PAPER SHORTAGE

Wairarapa Times-Age, 25 October 1939, Page 2

PAPER SHORTAGE

SERIOUS EFFECT OF IMPORT RESTRICTIONS MENACE TO EMPLOYMENT IN PRINTING TRADE. URGENT REPRESENTATIONS 1 TO MINISTER. (By Telegraph—Press Association.) AUCKLAND. October 24. Drastic reductions in paper supplies for the printing trade are expected un- ‘ der conditions imposed by the third term licensing of imports scheme, operating in the first half of 1940. Unless conditions are modified in respect of printing paper, heavy unemployment is predicted in the industry and the development of a wide range of industries dependent on paper will be checked. The situation was discussed at a conference of the Auckland section of the New Zealand Wholesale Paper Merchants’ Association, and the Auckland section of the New Zealand Master Printers’ Association. It was stated that, on present indications, the printing trade could expect a supply of paper next year of not more than half of its present requirements, and the position might still further deteriorate. Both organisations agreed to request their parent bodies to make representations on the subject to the Minister of Customs, Mr Nash. It was explained that about 50 per cent of the Dominion’s requirements in printing and writing paper came from the United Kingdom in the normal course, and the rest from Canadian and foreign sources. Under the third term 1 icensing scheme, British imports were retained up to the limits of the 1938 figures, and there was a half cut in Canadian and foreign supplies. On the face of things, that allowed New Zealand 75 per cent of her normal requirements, but since 1938 there had been an advance of at least 50 per cent in prices of paper, and markets were still rising and likely to continue so for some time. As the comparison with 1938 imports under the licensing scheme was on values, the net result would be that, instead of New Zealand receiving 75 per cent of her normal supply, the reduction in practice would be up to 50 per cent. A further complication was introduced into the situation, however, by the fact that, because of war conditions, the United Kingdom, was unable to supply her usual trade. The supply of timber and pulp from Baltic countries to England was seriously interfered with by the submarine campaign. German war vessels appeared to be paying particular, attention to steamers carrying pulp, and it was stated that already advice had been received of the sinking of 15 since the outbreak of war. One large Auckland importing firm ; had already been informed that two of I the largest British mills with which it dealt had been closed down, because they were unable to obtain supplies I of pulp. It was pointed out that at the close I of the Great War New Zealand was I receiving almost all oLits printing paper stocks from North America, so that the United Kingdom paper export trade was in keeping with previous war conditions. In the circumstances, chaos would result if the allocations in the third term licensing scheme were adhered to by the Government.