WHEELS AWHIRL.
AFTER HOLIDAYS, j THE INDUSTRIAL OUTLOOK. GOOD TEAR FORESHADOWED. A button is pressed, wheels begin to move, there is a soft" purring as machinery gathers speed. and in a fewminutes an Auckland factory is in operation for another year. This is howactivity was resumed in manv parts of the city yesterday. Setting the wheels going again after the holidays is not the laborious business it once was. In most factories the old-time furnace has disappeared, superseded by invisible power, and cleanliness, order and (>erfeetion of control are the rule. So the stopping and starting of industries involve® a minimum of effort. Not all Auckland factories reopened their doors yesterday. but in the majority work was resumed after the 10 days' break. There were lists of orders waiting to be filled, some held over from the December rush and others placed ahead by business firms to protect themselves as far as possible against the rise of prices. Industry is no ionper working from hand to mouth; there are months of activity in some cases without a new order, and nearly every manager *5s able to report that he has full employment for his staff up to Easter and perhaps later. This is a healthy outlook at the beginning of the year, and if the people continue to spend freely there is a prospect of a record turnover, witli peak production in the factories, during the next twelve months. The Overseas Challenge. Of course, much of this new trade may go to the benefit of manufacturers overseas, and already there is a considerable increase in orders for imports, so nmcli so, indeed, that some local industrialists are asking whether New Zealand industries are not in danger of losing their hold upon the market. C'ompetitively Tliev have been at a disadvantage in recent months, and the borderline of profitable production at the prices nowruling has been approached. In the boot and shoe industry, it was stated to-day that Australian and British firms were strongly challenging the position of local makers before Christmas, and the outlook for the industry bevond the immediate future was uncertain. "We have reached the deadline where more tariff protection will have to be considered,' said the representative of a leading firm of boot manufacturers this morning. "Australia is our greatest competitor, because of the equalitv of the exchange. Auckland importers have been placing larger orders there, and in December the imports of boots and shoes showed a very great increase." * tin - I,e ?' as confident that his firm and others , n the same line of production could hold their own for some time heavv myU summer and early autumn hea\> orders were tn b e expected for winter delivery, but there was the oues tion whether these orders could be wstr a mT l - P r Sent Prices " Lab o»r cover thLI X „to be advanced to co*er these the effect might be felt in reduced business later. Woollen Mills Busy Rra/tf !J ,ee t ,D o the competition of j the U milU ! he p . r f ent the difficulty of tne mills has been to keep up with the demand, remarked a local ron-• ' tentative of the trade. "In the tn ?a« e a h onthS u be /° re there, was a big rush of work, and we antici--ru. a furtl, er busy time." nt n Z nly Auck ' a »d woollen mill, that at Onehunga, is working at full pressure, and the 10 mills in the south have also experienced a flood of orders. Wholesalers and retailers formed the opinion as early as last September that wool prices would advance sharnlv, and increased their orders for 1937 de'liverv. Iheir anticipations were more tha'n borne out by the first series of wool sales, and to-day they are congratulating themselves on their foresight. The rise expected at that time was 15 per or possibly e little more; that which actually occurred was 60 per cent or over. 4 r This soaring of wool prices took everyone, mill owners included, completely by surprise, but it does not follow that they have been caught in a cleft stick, compelled to fill orders at costs greatly in advance of quotations, ijike all large manufacturing concerns they carry stocks of material to meet the needs of the period for which orders are accepted, and they are still workin" largely on carry-over wool from the previous season. So the rise in the prices of blankets, rugs, clothing and other goods of the kind is postponed. Competition compels the companies to work in this way, and the most «uc- I cessful manufacturer is often he who makes the most accurate estimate of raw material prices and provides accordingly. Closely connected with wool is tailoring. Although only a few pounds of wool go into a suit or costume, it is the most important raw material which concerns the tailor. So far there has been little advance in the prices of suits in Auckland, but the all-round increase in costs and the 40-hour -week are factors now to be reckoned with. It is the claim of tailors that thev have postponed the rise to the public for nearly six months, and so have encouraged business, but they cannot take orders on the present basis much longer. Furnishing the Homes. Furniture making is less exposed to overseas competition than the other industries mentioned, but local rivalry is, and always has been, particularly keen. This is the best protection for the public against unreasonable prices. As the year opens three leading Auckland furniture firms are enlarging their premises, and many others are pushed for space. Some have been working long hours to cope with the recovery of business, and all are in a more flourishing position than for a number of years. Marriages are increasing and more people are moving about. This all helps the furniture trade. More homes are being equipped, and worn-out carpets, beds and suites are being discarded fot something better. It is the ordinary aftermath of a depression. One of the difficulties is the lack of skilled craftsmen to man the factories. A cabinetmaker's training' is a matter of years, and even in these days of labour-saving machines, the deft touch and the expert's eye are still needed; perhaps more needed, to avoid the crude effects which a machine can produce. For some weeks in November and December, when more men were required but were not to be had, the only course in some factories was to work overtime, with the additional cost which that involved.
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Auckland Star, Volume LXVIII, Issue 3, 5 January 1937, Page 3
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1,093WHEELS AWHIRL. Auckland Star, Volume LXVIII, Issue 3, 5 January 1937, Page 3
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