PRE-SESSIONAL

Sun (Auckland), Volume 1, Issue 46, 17 May 1927, Page 12

PRE-SESSIONAL

Prime Minister Traverses Government’s Policy and Aims \ TARIFF AND FINANCE DISCUSSED SPEAKING at Dargaville last evening the Prime Minister, . the Right Hon. J. G. Coates, gave a review of steady political achievement and a promise of further honest endeavour, devoid of spectacular experiments. The continuance of cautious control of finances and the encouragement of productiveness to meet the lower price levels was the keynote of the speech.

(.Special to THE SUN.) DARGAVILLE, Monday. Delivered as a pre-sessional policy address, the Prime Minister’s speech gave Dargaville citizens a chance to hear questions of national importance dealt with as well as the Reform Leader’s official response to recent criticism levelled by Mr. Holland, Leader of the Opposition. Just as Mr. Holland, speaking recently at Auckland Town Hall, had his audience wholly sympathetic, so Mr. Coates, speaking at the largest town of his own electorate, had an audience that was almost unanimously with him. The only difference was that whereas Mr. Holland’s hearers were warmly, almost affectionately, demonstrative, Dargaville audiences showed little animation, except in protest against occasional interjectors. Indeed, the mildness of the welcome extended to Mr. Coates was rather surprising. Eulogies by the Mayor, Mr. F. Jones, and the county chairman, Mr. V. Trounson, were followed by a more tangible tribute in the form of a bouquet handed to Mrt. Coates by a tiny girl. Even at that the audience, which filled all but a few seats at the back of the hall, hardly rocked with enthusiasm. Perhaps the coldness of the night was responsible. For the benefit of his hearers Mr. Coates referred to the 16 points of the Reform policy, as placed before the country at last election. Later legislation, he claimed, showed the Government’s sincerity. Throughout the address the Prime Minister stuck closely to his • notes, though sometimes interruptions sidetracked him. He gave an outline of some of the measures which the Government hopes to submit to Parliament during the forthcoming session. THE TARIFF AND INDUSTRY

“The report of the Tariff Commission will, I hope, be presented to the Government shortly, together with its recommendations,” he said. “It would obviously be out of place for me to discuss at this juncture the policy of any proposed legislation dealing with the all-important question of customs revision. The matter may be regarded as sub judice at present, but it is intended to submit a tariff bill as soon as practicable in the coming session.

“In connection with our secondary industries, I would point out that our Dominion occupies a spmewhat singular position, because of its being so largely a primary producing country. A fall in the price of any of our principal products is felt, not only by the farmer, but has a much wider effect, thus creating a position of difficulty and hardship. One of the remedies for overcoming the dangers in this respect lies along the road of building up our secondary industries. It is necessary, particularly in a young country like ours, to have a customs tariff for revenue purposes, and this will be the case for many years to come.

It will be to the general advantage of the country, in my opinion, if we continue to take steps to build up gradually, but securely, such industries as will help to relieve us during times when prices for our primary products in the world’s markets have fallen to a low and unprofitable level. “I do not suggest for one moment that every industry should be encouraged, but careful inquiry would disclose the merits of industrial undertakings, particularly whether they were likely to have security of existence, and what measure of assistance, if any, should be extended to them. The country and the town are, and will, continue to be inter-dependent, and I hope our primary producers, on

whom the community so largely depends, will, in this matter of development of essential industries, take a broad view in the interests of the Dominion as a whole. “The Government is also conducting the incidence of taxation and if the inquiries into the general question of investigation is sufficiently advanced, proposals in this connection will be submitted. FINANCE FOR THE FARMER “Another question which has occupied the attention of Cabinet is that of still further enlarging the opportunity of easier finance for the farmer,” Mr. Coates continued. “The Government will do all in its power to make the rural advances legislation of last session very successful in its working. The Act came into operation on April 1 this year. Any necessary amendments to give fuller effect to its provisions and generally extend, its usefulness will be designed and' will, I feel sure, be agreed to by Parliament. “It is probable that in conformity with the report of the Rural Credits Commission last year, proposals will be submitted to give effect to further recommendations of the commission. In thq meantime the important question of farmer’s finance is under close investigation and review. A BUSY SESSION “The legislative programme for next session also contemplates measures dealing with mining, shops and offices, education, fertilisers, and agricultural education. “I look forward with confidence to a busy and useful session,” said Mr. Coates. “It will be found that the Government’s programme of work is well advanced and there will be no cause for complaint on the score of delay in submitting our measures. “The period through which we are passing is admittedly difficult and proving embarrassing to many of our people,” Mr. Coates continued. “There are those in our midst who believe that the Government can quickly remedy all the evils, financial and otherwise. They forget that these periods of depression and unrest are the result of economic disturbances world-wide in their cause and effect. Speaking of New Zealand, may I say that the solution lies in a determined effort on the part of all our citizens. It calls for brave hearts and a fixed determination. The main slogan should be ‘increased production.’ “Prices of our marketable products are lower, but the costs of production remain the same. It is through greater effort and increased output on the part of those who are engaged in our industries, both primary and secondary, that we can expect to compete and at the same time maintain a satisfactory standard of living, if good results are not attained by this method, then the only course open is to face the costs in another way. It is essential if we are to compete in the world’s markets to .see that enterprise can do so on a basis which will give incentive and encouragement to our citizens. NOTHING SPECTACULAR “The Government went to the country in 1925 on a definite policy, the great majority of the electors approved that policy, an'd we are steadily translating that policy into practical application. I made no attempt then to put forward a spectacular programme involving vast expenditure nor containing fanciful promises. The whole fabric of our community must rest on prudent finance. The Dominion has faced periods of depression in the past and the energy and industry of her people have always enabled us to win through. The present difficult times will prove no exception to the rule. Already the silver lining to the cloud is making itself slowly but surely visible. At such times, when people are feeling the pinch, there is, I know, a tendency to blame the Government. I would, however, ask them to have patience and employ their industry and effort to the really useful purpose of greater production. A little quiet stocktaking on the part of all our people will do no harm. Indeed it will be all to the good for, by the exercise of greater thrift and economy, we shall reach the goal of prosperity the sooner.”

Referring to Mr. Holland’s criticism he said that he was afraid New Zealand did not sufficiently value its high status on the overseas financial market. The war debt, he said, was the only deadweight debt. The others showed a return for expenditure. “1 recognise that people always want someone to make a football of, hence the Government has been criticised, but I know that when the time comes the people will be solid behind the Prime Minister and his party as in the past.” In the applause that followed this declaration only one derisive “haw, haw” was audible. “ARE YOU AFRAID?” Mr. Coates went on to discuss Labour’s latest land policy, which he condemned as a piece of political trickery. A Voice: You seem to be genuinely afraid of Mr. Holland; what is the matter? Are you afraid? Mr. Coates: Mr. Holland is the Leader of the Opposition. A Voice: And a good man, too. Mr. Coates: But I am going to take this opportunity of correcting some of his fallacies. The interjector refused to be subdued until a member of the audience protested that they had come to hear the Prime Minister “not that man at the back.” After that Mr. Coates was allowed to complete his two and a-quarter hour speech in peace, but when a vote of thanks and confidence was introduced an amendment, proposing thanks only, was submitted, the seconder of the latter motion protested against the public being invited to a civic reception and a policy speech rolled into one, but when the motions were put to the vote the amendment was hopelessly overwhelmed.