PARLIAMENT

Ashburton Guardian, Volume 53, Issue 15, 28 October 1932, Page 3

PARLIAMENT

HOUSE OF REPRESENTATIVES. THE DEBATE ON THE BUDGET. (Abridged from Press Association). WELLINGTON, October 27. - In the House of Representatives today, replying to Mr W. B. Barnard (Napier), Mr Forbes said that owing to a considerable over-supply of bananas to the New Zealand market, resulting in ruinous prices and heavy losses, all supplying countries (including the Cook Islands and Western Samoa) had decided to limit th* quantities to be shipped, so as to allow importation into New Zealand of a total quantity of bananas equivalent to 25,000 "Fiji" cases every four weeks during the months May to September, and 30,000 cases during the remainder of the year. These quantities were considered to be the utmost that could be absorbed in the Dominion at a price that would enable the growers to supply.' No proper indication of average prices could, of course, be obtained from t sales in October, November and December, when prices were invariably higher than during the remainder of the year. Continuing, Mr Forbes said that in the absence of some such agreement many growers had been on the point of being forced out of business, and the result would have been a shortage of supplies, with a corresponding increase in price to the consumer in New Zealand, followed by ' disturbing fluctuations in both supplies and prices. The position of growers in the Cook Islands and Western Samoa had been most serious, and the Government had been reluctant to consider anything in the nature of a duty, which would have been the only alternative to the quota system. The present arrangement was considered to be in the best interests of both producers and consumers, who would each benefit by a system of orderly marketing. The debate on the Financial Statement was resumed.

Markets in the East. Mr J. Connolly (Coalition, Mid-Can-terbury) said it was still necessary for the country to practice economy, owing to the low prices of primary products and general financial conditions. He felt sure the time would come when people would look back on the present difficulties as an experience and not as a catastrophe. He stressed the need for new markets, and suggested that the potentialities of China and Japan as markets should be investigated. If exporters of meat would give 1 per cent, of their produce to the Meat Export Board to be . distributed in Eastern countries it should be possible to create a demand which would lead to development of trade. Attention should also be given to increasing the demand for meat within New Zealand, as there were thousands of families •jirho had insufficient meat. Messrs W. E. Parry (Labour, Auckland Central), H. M. Campbell (Coalition, Hawke's. Bay) and H. G. R. Mason (Labour, Auckland Suburbs) ' spoke.

_ W.hispering Campaign. Mr W„ F. Endeau (Coalition, Parneli) criticised the manner in which Select Committee work oi the House was conducted. He said that some members served on several Committees, and it was impossible for members to be at every Committee meeting. There was no type-written record of evidence taken, consequently members had no satisfactory method of ascertaining all the facts on which they were bound to make a decision. He suggested that it would be a simple matter for members to be supplied with copies of evidencl 1 . Mr Endean, referring to politics generally, said it was a "miserable game when we have a whispering campaign, and a man is villified. We know what is happening in New Zealand in regard to a certain man in this House, and 1 say it is a disgrace to politics, and the sooner this practice is abolished the better." (Hear, hear.) Mr Endean contrasted the position of the Attor-ney-General in England, with that in New Zealand. Hie said that in England members of the legal profession were very patriotic, and it was deemed their duty that a certain percentage of their time should be given to the country's affairs. New Zealand was not so fortunate, because active practitioners were not able to devote time to ihe country's affairs. He considered that in New Zealand the functions of the Attorney-General were falling into disuse. Sir T. K. Sidey had done justice to the 'profession, but the gentlemen in the Lower House who had occupied the position had certainly not come up to the mark. Mr E. A. Wright (Coalition, Wellington) quoted figures to show that New Zealand had been getting behind to the extent of two minion pounds a yjear in payment of her debt. The average surplus of exports per year over .that period was £2,355,413, whereas the annual interest payments overseas amounted to £4,361,969. That left an annual deficiency of'two million pounds. Referring to the recommendations of the National Expenditure Commission on hospital reform, Mr Wright- urged,that there should be a thorough investigation ofjlie proposal to amalgamate hospital districts, provided that this couia be carried out without interference with the welfare of patients. The cost of hospital administration had increased far too much in recent years, and the time had arrived when .a halt should be called. Mr J. A. Nash (Coalition, Palmerston North) followed.

Gold Boom Expected, The Minister of Agriculture (Hon. C. E. Macmillan), referred first to the. report of the National Expenditure Commission. He said it had been necessarv for the Government to formulate its policy on certain questions prior to the reception of the report from the Commission. Cabinet in its wide survey of the position had decided its attitude in regard to the destruction of rabbits, fertiliser subsidy, and free" carriage of lime. It regarded these operations as investments which would offer a good return to the State. The Government was quite satisfied that it would not be wise to give effect

to the recommendations of the Commission on these subjects, and consequently it would not do so. Mr Macmillan expressed regret that the finances did not permit the Government to do more to assist the development of gold mining. He was convinced that the Dominion was on the eve of big developments in gold-mining. There had been many improvements in the methods. The Government was making every effort, so far as the limited funds available would allow, to assist the industry, and it occurred to him that it would be advisable to build up funds from royalties on gold won, for the purpose of enabling the Government to bore and try out the country. This would be a substantial inducement to investors. . . Referring to Arapuni, the Minister said there had been much criticism, both inside and outside the House, concerning the installation of hydroelectric plants. People spoke of them as extravagant. He admitted that they were a good deal ahead of their time, but it would ultimately prove less costly for them to be installed in this way than to have to add to them later, as the demand for power increased. He quoted figures to show that hydro-electric plants generated at a lower cost per unit than steam plants. Continuing, the Minister said there was no cause for alarm concerning Arapuni, and he believed the people of New Zealand had a very good asset in this undertaking. "Even if the worst comes to the worst," he said, "even if it becomes necessary for engineers to relieve the pressure on the surrounding country by rendering a deversion tunnel capable of taking that pressure, the plant will still be capable of generating 80,000 horsepower at a cost of £32 5s per horsepower." • . ,1 The debate was adjourned when the House rose at 11.25 p.m. %