OUR INDUSTRIAL PRESERVES

Sun (Auckland), Volume III, Issue 816, 9 November 1929, Page 7

OUR INDUSTRIAL PRESERVES

OPEN TO THE WORLD TO FIGHT FOR MARKETS YX7HILE the other countrie* of the * world have been busy for the past ten years in the post-war work of reorganising and re-estab-lishing their productive forces, supplying their home market and seeking out new markets in every country, New Zealand has beer lagging behind industrially. We still leave our producers open to fierce and unfair competition with outsiders, who are getting away with a million a week from New Zealand while our own workers are unemployed. Where a local industry has been fostered and sheltered it has gone ahead by leaps and bounds, and by increasing its output has reduced production costs while outside competitors have been compelled to cut their prices and profits to secure a share in our markets. A KEY INDUSTRY The key industry of production is iron and steel, and the growth of our once-insignificant iron industry illustrates what can be done in the way of producing for ourselves instead of being at the mercy of outside rings. In 1923 the Onakaka Ironworks produced 64 tons of pig iron, which was sold at a loss. Before this work started our foundries were dependent on Iron from India, which cost £.14 a ton landed here. As soon as Ona - kaka started producing, the price of Indian pig iron was reduced to £6 2s 6d a ton! The Government would give no tariff shelter to the local industry, but paid it a bonus of 12s 6d a toe.. The produce of India was dropped b\ -the same amount, and when the bonn> to the Nelson product was increased to 30s a ton, the price of the imported ‘pig” was dropped by just that amount! The coolies in the Indian ironworks were paid 10d a day of 12 Hours. The lowest-paid worker at Onakaka gets 14s a day of eight hours. Had the Indian product succeeded in closing down cur local works by its cutting tactics it would again Have had our foundries in its grip and charged its former prices. The cost of producing 64 tons at Onakaka five years ago was £8 15s a ton. Last year the works produced 5,176 tons at £4 15s a ton, and this year the cost of production is expected to drop to £4 Is 6d a ton. The bonus is now 24s a ton and is being reduced 2s a ton each year. The company is now' launching out in the production of pipes, rods, bolts, nuts, etc., and was exporting its pig iron to Australia, where it was greatly in demand until it was shut out by an increased duty. OPENING INDUSTRIAL DOORS The key industry at Onakaka opens the industrial doors to the establishment of innumerable subsidiary industries, which would use our own mu - terials and keep our workers busy. We have all the natural advantages for the building up of many flourishing industries within our own shores. Coal and water power are cheap and plentiful everywhere. We have raw materials in abundance in the form of mineral, animal and vegetable wealth: an ideal climate for British stock to produce in: natural harbours for economical transport: freedom from possible invasion and industrial disloca - tion: and we possess the inventive and organising capacity for production if only we will get to work. First of all we must give preference to the products of our own workers and keep them employed. Every expansion in one industry means more work for many other industries. It means cheaper production and benefits everyone. Give your fellow workers their natural right to their home market by buying their products in preference to those of outsiders poaching on our preserves.