THE TARIFF.

Press, Volume LXIII, Issue 19112, 22 September 1927, Page 11

THE TARIFF.

FARM IMPLEMENTS. PROTECTION SOUGHT. SUPPORT FROM A. AND P. ASSOCIATION.' "That this meeting of the Canterbury A. and P. Association, supports the implement manufacturers in their request for a'higher tariff on tillage implements with the idea of stimulating local industry and in the hope of reducing the cost of implements eventually." The above motion was carried at a meeting of the Canterbury A. and P. Association yesterday afternoon after an address by Mr L, L. Cordery, ul the firm of P. and I>. Duncan, Ltd., the subject being the tariff on imported farm implements. Tlie president of the Association (Mr E. Hay) was in the chair. Prices Compared. Mr Cordery said that no doubt farmers had received from American traders a circular purporting to show that the Australian farmers had to pay very much more for locally maae implements in that country under protection than would have been the case under free trade. As a matter of fact, the protection enabled Australian farmers to purchase better quality and more sturdy implements made in that country at prices lower than American implements could be bought in New Zealand.

Mr Cordery quoted figures in support of his statement. For instance, evidence given before the Tariff Board went to show that a Oft reaper and binder weighing 17cwt lqr Australian made was sold in Australia for £6B, while an American made 6ft implement weighing 16cwt was sold in New Zealand at 5s more. An Bft hoe grain and fertiliser drill, Australian made, weighing'9cwt, was sold in Australia for £37. as agai.nst the American line (9 hoe) weighing lOcwt lqr 211b, which was sold in NewZealand at £SO 15s. . A ten blade disc harrow with pole, Australian, made, weighing 4cwt, was sold in Australia for £l3 15s 6d, while a similar American implement was sold in New Zealand for £l4 12s 6d. A ten-blade disc harrow with forecarriage, Australian made, weighing 4cwt 2qrs 61b. was sold in Australia for £ls 13s 6d, while a similar American implement weighing 4cwt lib was sold in the Dominion for £l7 Is 6d. A two-furrow disc plough,. Australian made, weighing llcwt' 3qrs 141b, was sold in Australia -for £26 12s, while a similar American plough weighing 9cwt and 211b was sold in New Zealand for £3l 4s. , .1 A one section diamond .harrow, 3 feet 2 inches wide, no bar, Australian made, weighing 2qrs Blb, was sold in Australia for £1 7s 7d while an American harrow weighing 2qrs 31 b was sold at £1 14s in New Zealand.

. He gave uumerous other instances with a similar result, the total weight and price of Australian-made implements sold in that "country being stated to be 177c.wt 3qrs 101b and £oB3 17s 9d respectively, compared with 167 cwt.lq.r 121b and £668 16s, respectively, in regard to American implements sold in New Zealand. . ■ Mr Cordery. said that t.lie New Zealand . implement-making. industry' was languishing almost to-death because of lack of reasonable protection, and in consequence the New Zealand factories were rapidly becoming repair shops. One effect of this position was that all the spare money from Now Zealand was being invested in Australian banks and industries, and the local manufacturers were forced to reduce their output and hands. • The American manufacturers, lie continued, watched the catalogues of local manufacturers and then adjusted 'their prices to compete with them. Two wellknown American companies did/ not issue prices with their catalogues; _ Another move adopted by Americanmanufacturers was to wait until a local manufacturer had got an implement which was proved to be successful and then purchase one, which was copied in America and then' sent out to compete with the New Zealand originals. If the New Zealand manufacturers were given the same measure of protection as those in Australia, the position would be ialtered. He maintained that the American manufacturers made only standard lines and left the unremutfcrative lines to the local makers. If the. position were altered, the monopoly enjoyed by Canada and U.S.A. would be removed and both England and New Zealand could benefit thereby. In tho case of his own firm it would mean that instead of 200 men being employed in the industry about double that number would be kept busy. . ■The manufacturers had placed their views before the Tariff Commission and had been told that they had put forward a good case. The Government had then asked that the manufacturers should approach the farmers for their assistance; hence the present meeting.

• Piece-work and Bonus System. Mr D.' W. Westenra said that it appeared to him' that the Americans

would always have the advantage over local manufacturers, in that .they had the piece-work' and bonus system in operation there, whereas in New Zealand, the day work principle of wages was adopted. He thought that it would be.found that under the present system in -the Dominion, there were men of 60, who were getting as much to-day as when they were 35 or 40 years of age, and the farmer had to pay for it. He considered that until the. piece-work and bonus system was adopted in the Dominion, we would not be able - to compete with the Americans. Mr Cordery said that while he understood that the day-work principle' was general throughout the Dominion, it did not obtain.in his own factory, ex-, cept in times of- depression like the present/ As a matter of fact, piecework had been practised in his Arm's factory for about 35 years. His firm to-day was getting as good service from its workers as at any time since it had entered into business.

Mr John Deans: You say that the Government asked you to put the matter before the farmers? —Yes.

Why did they riot come direct to us? —They asked us to put it direct to you. Mr Cordery said that the local manufacturers on a pound for pound weight basis were to-day beating the Americans "all to pieces," the local figures being about 25 per cent, lower. Mr A. W. Beaven, of the .firm of Andrews and Beaven, said that it was: not asked that protective duties should be imposed in respect of all implements made in Xew Zealand, but only so far as it concerned the lines which tould be manufactured better locally.

Mr Westcura then moved- tlie motion set out above. In doing so, he said that it seemed to him that the local manufacturers would have to reorganise their workshops and follow. the Americans by introducing piece-work and bonuses.

Sir Cordery said that America paid the highest wages, but New Zealand came- next. It had to be-remembered that special machinery could not be installed to enable a bigger .output to be maintained unless the trade was available.

The motion was seconded by Mr \V. 11. Nicholson, 011 the understanding that it would lead to increased employment and lower prices for implements, and wa3 carried unanimously. It was decided to send a copy to thfe Minister, for Customs.

Mr Beaven said that the Hon. Mr McLeod was against the proposal until he visited Australia, but had since changed his opinion.

BRITISH MANUFACTURERS' APPRECIATION. [THE PRESS Special .Service.] WELLINGTON, September 21. The following letter has been sent to the Minister for Customs by Mr G. 0. Sutton, secretary of the New Zealand Association of British Manufacturers and Agents:— "At a meeting of the Council of this Association held on the 19th inst., satisfaction' was expressed at the favourable nature of the tariff proposals from the point of view of the British manufacturer, and it was resolved that a letter be sent to you expressing appreciation of the proposals generally. The views of our Association are, I think, expressed in the cablegram sent by . me. .on the 14th inst. to the Federation of British Industries,- London, and to the National Union of Manufacturers, London,- as follows: —Tariff" proposals generally favourable, assuring probably one and a half millions additional trade. High Commissioner ■ London, has details.' There are, nevertheless, ,a few items in .the proposals which our Association hopes will receive mote favourable consideration and as to.these..'l propose to write you to-morrow. In the meantime, I respectfully tender the Council's thanks for the effort which tlio Government lias obviously made.to ensure a larger proportion of our overseas purchases coming from the Motherland." IMPORTATION OF EGGS. The New Zealand Utility Poultry' Club recently wrote to the. Minister for Customs protesting against the removal of the embargo on the importation, of eggs and egg pulp. The secretary yesterday received advice from the Minister that the Club's representations would receive careful consideration.

MANUFACTURERS ASK FOR MORE PROTECTION.

"This is the most pressing matter now -before us," said Mr A. W. Beaveit. the president, speaking on the Tariff proposals at-last night's meeting of the Canterbury Manufacturers' Association, "and it demands all the attention we can give it. I We have Mr Marriner in Wellington, helping the' secretaries of other associations in obtaining all the information possible and putting .it into the best form possible:" A skeleton tariff had been brought down by a Minister, who they knew was favourable to adequate protection for New Zealand productions, and it ivas the Association's duty to induce the House to build into that tariff such additional duties ,as were considered necessary in order that the .secondary industries of the Dominion' might work' up the natural products, _ and compete successfully with . imported goods. It- was , very plain that they could not all live on the land.

"Wo Lave been very glad," he said, "to help the farmer to get such protection as he needs to produce wheat at'a price remunerative to him, and we highly approve of the increased preference which the Minister is giving to Great Britain in the new Tariff. We greatly hope, that this will apply to Great Britain only, excluding Canada, which is so largely used as a backdoor to the United States, both countries taking very little from us. _ "Still greater : preference Would be given to Great Britain if a high tariff were placed 011 foreign goods so that more could be • manufactured in New Zealand out of raw materials imported from Great Britain.. As .we all know, nearly all the raw material required for our local manuf.ictnes is imported from outside the Empire."