INDUSTRIES IN THE WAIRARAPA

Wairarapa Times-Age, 11 February 1939, Page 8 (Supplement)

INDUSTRIES IN THE WAIRARAPA

MR J. ROBERTSON, M.P., PREDICTS EXPANSION

Good Scope for the Extension of Co-operation

OPPORTUNITIES OF BUILDING UP POPULATION

The Wairarapa district it is obvious, is not what can be termed an industrial area as the term is ordinarily understood. Our mountain barrier to the south, separating us from our main port, may cause this and the possibilities of the district when this barrier is pierced by a tunnel cannot yet be estimated. In the meantime, however, we have the great pastoral industries, sheep and dairy farming. From .the latter, last season, the Wairarapa received £1,029,000. From the sheep.industry, although it can only be estimated, it received in the vicinity of £2,000,000. A certain amount of wheat is grown and while the quantity is not great, it is noteworthy that average yields are well above the New Zealand average. Although a timber industry is still carried-on to some extent, this has for many

years been a declining industry owing, as is natural, to the development of settlement and the clearing out of bush in consequence. It would appear to be a sane prediction, therefore, that any new industries likely to be established in the Wairarapa within any predictable period are likely to be closely associated with the soil.

MARKETING OF PRODUCTS.

Already we have freezing works and dairy factories, both necessary adjuncts to the land industries, for the processing of meat and dairy produce to turn them into marketable commodities. In this connection the dairy industry has almost from its inception been conducted on co-operative lines. The sheep industry on the other hand, neither in' processing nor marketing, has adopted to any extent the co-oper-ative principle. The reason for this need not be gone into, but the consideration recently given by the Wairarapa branch of the Farmers’ Union to a proposal for the stabilisation of meat prices put, forward by Mr L. T. Daniell indicates that there is a growing recognition of the need for co-operative effort in order to get better and more equitable returns for the producer. It may be that a survey of the development of the dairy industry can provide some indication of the development which could be brought about to the advantage of the sheep farmer. At one time our butter was exported in a dry' condition and was milled and blended by men at Home who introduced additional moisture into it in order to bring it up to the 16 per cent limit imposed by regulations in England. Today it goes Home with the moisture content already regulated to requirements and is sold :as.New Zealand butter under its own brand. Moreover, the marketing of dairy produce was carried on without co-ordination or regulation, which undoubtedly caused heavy losses annually to the producer. The present marketing scheme, which is the admiration of those in the dairy industry in other countries, is a natural development arising from the var-

ious attempts made by the best brains; of the industry in the past to bring about a form of collective and co-oper-ative marketing. There can be .no doubt that those -developments ihave 'brought aboutwerydargejgains 'to the .dairyifarmers.

WOOL PROCESSING. Is it not possible, therefore, .at the New Zealand end to do something in the .processing of our wool which, while creating a local industry .here .would also increase the growers’ returns? In this connection -attempts have; already been made to -establish scouring and carbonising plants and to develop -.the co-operative .marketing .of wadi. -Such attempts -have so -far 'failed co'f success and, it must -be candidly admitted, through lack of properly organised -cooperation. We : might -also be .able *to learn something in ;this -.connection 'by looking abroad. Un Scotland -there exists a co-operative -organisation known as Scottish Wool Growers, iLtd, which commenced operations in 1927. Referring to the operations ofthisrbody the Sheep ''Committee co'f ’the 'Scottish National -Development 'Council'has this' to say:

The system of selling through a wool-broker entails some features which we consider unsatisfactory. The Scottish‘Wool Growers 7 Ltd.is.an organisation which commenced operations in 1927 and has:shown:a rapid increase in the membership and in the amount of wool handled. 'From 1928 to 1933 membership has increased threefold. Of the total amount of wool grown in Scotland the Scottish Wool Growers Ltd now handle about 25 per cent, while they also purchase

a very considerable quantity of ‘English wool. These' figures indicate a very considerable success in a cooperative marketing venture which has only been in operation for- six years. We are given to understand that this is because, in consequence of the extent of their business, they are able to secure better returns from the large users of wool than are the brokers. The advantages of selling through an organisation which is in direct touch with the various ramifications of the woollen industry at Home and abroad, and which is built up on a basis of sharing profits among is members, are obvious.

The organised co-operative marketing of wool offers to the producer a means whereby he may obtain a distribution of profits which normally are concentrated in the hands of wool-broking firms whose interests are not those, of the producer. We desire, therefore, to urge upon producers, and in particular those whose clips are not large enough to enable them to make satisfactory bargains elsewhere, to support the existing cooperative organisation, the Scottish Wool Growers Ltd, Glasgow, by offering them their wool. WAY TO HIGHER RETURNS. The advantages of co-operative marketing of wool are well set out in this report from a body of the highest standing in Great Britain. If we could go further in this country and so process our wool that it would go home sorted and intensively classified in the various grades and qualities, scoured and carbonised, there would be in the opinion of experienced authorities much higher returns that can at present be obtained. It is a fact that the user of our wool in Great Britain has to buy in lots of which a percentage -.only imay ibe suited to the specific requirements of his particular product; hence -he buys and has to sell again unwanted lots. If the user could buy -his -.wbol under a particular brand, as .a -merchant now buys our butter, the brandrandzmarking indicating uniformity ;in the contents of the bale, he would Obviously be -prepared to pay a better -price than he can now .afford. Of course .people with vested interests in ? the . existing methods of marketing will . naturally oppose-any change, and there are -also -many other difficulties to be overcome. Nevertheless one does not require to -have any intimate or particular knowledge of the problems facing -the sheep-farmer as.a producer, in -order to be -able to see that improve--ments can be brought about in the marketing of -his product and in such a -way -as to secure him -a better return than-he -can-possibly -obtain under' exis-ting-methods.

ROOM FOR MORE PEOPLE. The whole "Wairarapa area’ is one which undoubtedly possesses vast pottentialities.'.The sheep population shows a certain amount of steady growth, but there is enormous scope yet for the growth of the human populace living by-or from the land. In the more accessible parts of the district there are areas of land which could easily carry a much -greater population than is -at present -on -them and the growth of transport .’facilities, the development of communications by telephone, and radio, etc,-has also brought much nearer to the centres of population, areas which before-could be regarded as isolated. .In-order to bring-about the greater development of those areas and to increase our production generally, it is

highly necessary to decrease and eradicate, as far as it can possibly be done, disabilities under which settlers furthest remote from the centres of population have had in the past to labour under.

I am glad to say it is part of the present Government’s policy to increase the educational facilities for the children of settlers in the remoter areas and the increasing reticulation of those areas by electricity and the provision of better roads will bring within the reach of such people the mais amenities of life in the larger centres. Even a casual survey of the district will reveal to any observer the possibilities of greater production and moresettlement in the Wairarapa. I for one at any rate, feel convinced that if those engaged in our industries on the land can have brought within their reach facilities provided by modern science and are prepared to use those facilities to the best advantage we have a prosperous future to look forward to for all engaged in production work and service. BALANCE & STABILITY. Meantime, we have the prospect before us of the Rimutaka Tunnel piercing the hills and it might be suggested that it is not too early even now to plan for the changed conditions which we will then obtain. Every new industry inaugurated is a step forward in bringing about that balanced economy so necessary for economic and social stability. The Wairarapa can provide a splendid field for industrial expansion, electric power is easily available and with improved transport, a new vista of prosperity is opened up. We in New Zealand must make up our minds that our economic salvation lies in developing our own latent talents for the production of finished goods for our own consumption, even if not for export. There is nothing of economic nationalism in this policy, it is only the policy followed by Great Britain today, applied to our own conditions. Great Britain is seeking to develop her farming industries, to produce an economic balance with her factory production. We in New Zealand have to aim at the same result by seeking to balance our factory production with our farming industries. Economic stability is the panacea for the difficulties facing the world today, we in New Zealand, and to come nearer home even, we in the Wairarapa can also help by making this our dbjective in our own sphere of activity. Signed— J. ROBERTSON, Member for Masterton.