OUTLOOK IN INDUSTRY

Wairarapa Times-Age, 15 March 1939, Page 7

OUTLOOK IN INDUSTRY

PRESENT AND PROSPECTIVE EXPANSION HON D. G. SULLIVAN’S SURVEY. EFFECTS OF IMPORT SELECTION. (By Telegraph—Press Association.) WELLINGTON, This Day. “Never before in the history of New Zealand has such a major step been taken in regard to manufacturing industry as the adoption of the Government’s policy of import selection,” said the Minister of Industries and Commerce, the Hon D. G. Sullivan, in a statement issued last night. He reviewed the expansion which had already taken place and plans for future expansion.

Clothing factories in the Dunedin district were working to full capacity as a result of a rush of orders received from local retail houses, Mr Sullivan said. Individual factories were training new operatives to take their places in the factories to meet the demand for products. One factory had reported that new business which had already been received and the certainty of new business in the future, would keep the factory in full operation during the normal slack period—May and June. Never before in the history of the firm had the factory been busy at that period. TANNING & WOOLLEN MILLS.

A tanning factory reported that for the first time for many years the tannery was working two shifts daily. Staff was nearly double what it was 12 months ago, and application had been made to the Customs Department to import additional machinery. Woollen mills had experienced a greater demand for their products as a result of the import regulations. Orders on hand vpuld keep one factory busy for months ahead, and new hands were being taken on as soon as they became available. In the weaving department one firm had recently begun to make materials previously not made in New Zealand. One firm was erecting a new factory and was embarking upon a capital expenditure of £lO,OOO (£5OOO for premises and £5OOO for machinery). It was bringing a key man out from England to train New Zealand workers. Another firm was starting the manufacture of a new line which previously was all imported from abroad. It was spending £BOOO on buildings and £7OOO on new plant, some of which would be purchased in New Zealand. Another concerned was preparing to invest approximately £20,000 in a factory and plant to make a new product. THE RADIO INDUSTRY. The radio industry was fully alive to its opportunities, the. Minister said. One firm hoped to treble its output of certain parts and expected an increase of nearly 100 per cent in its sales of complete radio sets in the forthcoming year. Already a large number of additional workers had been taken on and more would be required when the new machinery was installed. Hardware and farming requisites would also be made in New Zealand in greater quantities as additional productive facilities were brought into operation. Extensive additions were being made to at least one factory and a number were putting in further machinery.

When extra plant was installed in a factory making toilet preparations, an extra five or six people would find employment there. There were also reports that an overseas concern was contemplating the erection of a large factory in New Zealand to make their toilet preparations and soap, and another overseas concern was arranging to have its laundry products made in the Dominion.

Brushware manufacturers had had to increase their staffs, one by six and another by eight operatives, and a continued increase in production was expected. Good orders were being received by the biscuit and confectionery industry, which was very busy. Additional operatives had been engaged to meet the increased demand. Additional expected demand for locally-made malt extract had encouraged one factory to increase its plant. SPECTACULAR ADVANCE.

The footwear industry had made a spectacular advance when it was given added protection, by way of tariff adjustment, and the import control scheme had given this industry another fillip. Reports were that factories were very busy and machines which were practically jdle for two years had all been brought into production. One factory alone had taken on an additional 30 operatives since Christmas and, as output was growing, the firm was having all its machines overhauled and wherever possible was Installing the most modern equipment. Another concern was well advanced with a £lO,OOO outlay foi factory extension in which production was expected to start in four or five months. When the plant was installed more intense specialisation could be adopted, and the total output considerably increased. In addition employment would be available for 60 to 7( more workers.

Individual units in the footwear industry had instituted schools of instruction at their factories for th( training of new employees before the) were drafted into the factory. FRUIT PRESERVING.

Work had already been begun on the erection of a new factory in Wellington for the dehydrating and packing o: fruits. Though there were no drying peaches or prune plums to speak of ir. New Zealand, the horticulture division of the Department of Agriculture was co-operating in long-range schemes foi this factory—apricots, peaches,' ano small fruits. More than one firm was extending its production and intended to embark on the making of washing machines. One of the firms had already taken on more workers, increasing the total number by 25 per cent. When all these firms were in full operation thousands of washing machines would be turned out every years. PRODUCTION OF SILICA. The institution of the control o; imports had given a. decided fillip tc o new company to work the silica deposits of the Whangaroa district. The .materials would be taken to Aucklanc and converted into materials for use in the cement, paint, brick, plaster anc metal polishes industries. All preparations were completed to begin production as soon ’as the necessary machinery was installed, and prices wen likely to be considerly lower than those of the imported materials. A new factory was being erected for the manufacture of wood lasts, stiffen ers and shanks for the footwear trade and arrangements had been made t< manufacture completely in New Zealand a very well-known battery.