INUNDATION OF PROSPERITY.

Press, Volume LXVII, Issue 20251, 1 June 1931, Page 16

INUNDATION OF PROSPERITY.

HELP FOR PRIMARY

PRODUCER. v ' • ■' EXPANSION OF MARKETS. IMPORTANT REVIEW BY MR COATES.

Emphasising that the primary industries were the foundation of New Zealand's prosperity, the Leader of the Opposition (the Bt. Hon. J. G. Goates), in an address at the EHesmere Gun Club's annual "duck" dinner on Saturday evening, urged the necessity for reducing costs of production and'for extending the Dominion's markets 'overseas. In an important review of the, present economic situation Mr /Coates declared that the. solution of the difficulty lay in increased production. The expanding markets of the East and India had yet to'be exploited, and he predicted great trading increases with these countries if' the forthcoming Empire conference in Canada was successful. Mr Coates ended with an appeal for the economic unity of the Empire and for preferential'trade in Britain. , • Mr Coates, who was ■ the ; guest of honour at the dinner, was warmly cheered as he entered the hall and took his place, on the right hand of the president (Mr J. Winchester). He was attended by Mr-David Jones, M.P., and Mr H. S. S. Kyle, M.P. More than 100 men were present at the dinner. Proposing the toast of "The Parliament of New Zealand" (to which Mr Coates replied), Mr K. T. McMillan said that it was a great honour to .the club and to the district to have the Leader of the Opposition, at the dinner. In ,an economic crisis such p.s the present* they had to put into Parliament men Of knowledge and experience. The primary producers of the district were anxious to , get all possible assistance from the Government. The Ellesmere district had tho name of being a. district of pigs, peas, and potatoes. Today the Australian Government would not allow the importation of potatoes, although it was ablo to export pork and nig products into New Zealand. The wheat-growers had been fortunate . in the Government assistance they had secured. Cheap barley, however, fas allowed to be imported and sold at such low rates as to undercut most of the local producers. Mr Coates and Ins Party were in high prestige -at the present time, ami were looked upon as [be Party which would pull the country congratulated the club on the quality of its "prime Ellesmere" duck, which, he said, was the finest he had over- tasted. ; ; . "We Shall Get Through." "In proposing this toast Mr MciM.ilreferred to the serious position of. n! to

that vro are facing a difficult time, probably the most difficult'in: our.;history. But that we shall get through I have not tho slightest doubt, although to. do so will require tho concerted . effort of all. In years gone by I think we have rather overlooked thp real source of our. wealth. With all'respect to secondary they are most valuable—it has' been brought home to the people and to-the thousands of unemployed that this country depends on the sale of primary produce for its prosperity. "Considering the sale of our product's overseas we find that "Great Britain is our one great market, the market which buys our products and on which we depend for the success and prosperity of our country, When we consider that of our total production only vflve peT cent, of the wool is used within New i Zealand, only 24 to 27 per cent, of the butter, only seven per cent, of the i lamb, and ottly six per cent, of the j cheese, the fact that our prosperity de- i pends on the prices for produce in the world's markets is brought home more keenly than ever. • Foundation of Prosperity. "While w,o hear. a great deal. about wage cuts changing conditions for tlxe worse by decreasing thepurchasing power for primary produce, it must bo remembered that we depend on this overseas trade for prosperity more, than anything else: At present, because of tho falling world prices, New; Zealand haß to carry oil with 20" million pounds less. Surely, therefore, every thinking man must "realise the, necessity' of, economy. Thati heavy'fall in the value of primary produce is the real cause of our present difficulties, and- has- . its effect in the increasing-numbers of unemployed. You hear all sorts -of causes quoted, but they all come back to the main question—the primary producer. "It must be clear to. everyone who has thought it out that; New Zealand,really, is a farm, one, big farm; and it is this farm which the peqpld mst depend, upon for their measure of prosperity. .When' the primary producer suffers" a cut of between 40 and 100 per cent, ia his prices, he is in difficulties, and at once all the; people are. in .difficulties. ; "Until we. can place, the primary producer in such a; positibn that -vve can producer in such a positipn that he van'proin the markets of the world, the country will continue to' have, a difficult period. The one great question in. the Dominion to-day is for every man and woman to see how. he and she. can recognise this great industry and get behind it to bring about a position to allow the farmer to carry on.. All the palliatives, all the efforts to give assistance tOs the unemployed are only temporary. The problem can be solved only by those men out of work being employed in the industry of the country. For always remember that the purchasing power of tho people is measured by the/earning; power of their produce overseas. Reducing Cosfei "There arc interest charges and costs which have to be faced—high interest rates simply mean high .banking rates, and a . difficulty, in maintaining production; there are wages costs!, too—the t fact is that the money is not in the country to keep tho wages to their former rate.- The only way to keep thoso wages; up is higher taxation, and .' we don't want that. Eating costs are a first charge.and therefore it iB-neeipasary to get down those Costs to give,tlie'primary producer, un incentive to carry on. Again, all forms of transport affect the primary producer. It is' the-, ■►duty of public men to bring about a readjustment so that the farmer has the goodwill and tho confidence of the : people and the.practical assistance of Parliament.

"Mr McMillan referred to the question of tariffs, Article* which «re

.necessary for, the . primary producer • should be allowed;into -New Zealand- for the cheapest possible * eost.- Tariffs on such necessities . are- all forms of in-' creased cost which hamper ■ tbe farmer ■ in putting his produce on the world's markets. These are some of the difficulties and some of .the' points which Parliament must consider to suggest some solution .to. the" problem .of the Ijrimary producer. .. ■ i "By means of lot can be done to help a man. keep up' his produc-. tion. For I am certain' that: the solu;tion to our present difficulty is incr.easej production. Some people talk aboup over-production, some about under-cort-sumption—there is no •' difference; ■We must ■ have the country- settled - witt satisfied -farmers. It is a country for small settlement. The' primary industries go first arid the others follow in their wake. When we know the fall' in market -values, and the need for increased . volume of '' .production, it is essential that the farmer' should have at his disposal at the .cheapest cost fertilisers to»kdep up production. The Overseas Markets. "Let us examine .our markets.' Great Britain is, our great stand-by, the only country which has left an open market to lis. Though Canada, has set up & tariff against our produce, I am hopeful that this question may be .adjusted by a treaty. I know- that Canadians are anxious, in the off season to use New Zealand produce., "Then we:liaye the East to look to. I believe that the .East will ultimately be a great market for New Zealand.„ At present the chief difficulty is "that of th« depreciation in - silver, values. At the Empire Conference which is to be held •shortly in Canada', -one of-the principal matters for discussion-is the stabilisation of the silver dollar to gold. If that dollar could be stabilised the purchasing power of the East would be inK proved immeasurably, by about 3s compared with Is now. Once tho millions of the East have their standard of living improved, ( we shall have a "great market there- for butter and wool. I hope that the conference in Canada will be directed towards the solution of this problem, for once tliat standard- oif- living moves up, the demand for our produce will certainly be increased. < Trade With India. "There-has befen a very good 'feeling between New Zealand and India. It grew, up -with the association. of our troops .with theirs, when' they fought side by side in the Great War. Sit is for us to Hold out tbe hand of friendship, to India. Wo - import wool packs, hessian, rice, sago, ' and other things. The trade balance is all the wrong way. They want our wool- and butter; and theirs is another market which must be explored of great value to the primary producer and so to every man, womanj and child ■in the country., This also ■is a matter for. discussion with the Indian representatives at the Canadian Conference. Lbclieve w6 have the opportunity to encourage trade, both to the advantage of India and to the ad- i vantage of New; Zealand. . • , "The pupposer' of the toast referred to pig products, which are still a sideline in New rZealand.:Wo know that with, our production of pork we ought to be able to increase our export by ton' times. . At prcßciit the .value of the export is half a million pounds; it- ought to be 10 million pounds. All that wc require is a little' attention and the recognition; pf .the. dairy-farmer and tlie grain-grower, and I am •sure -.wo -could multiply our- export,to such-an extent. Denmark has done it; why cannot we?

Unity of the Empire. Alter ull, "\Y6 desire, to sec our Km - pire flourish. It aeenta to mo that iho

Governments \<>f . thsr different,.jrajMpif of the Empire sbouldTealise the fill potentialities of their EmpjajglilM the possibilities of a greater standing and a 'greater' through economic unity. intcr-change of trade, for' is full of wonderful heart of the ,Empiro' which threaten our very amHB designedly carrying out ovex|ljHuHH of yearfc a programmo of esfpfDHH costs between 20 and 40* peffigßKmß low our own. We. should godKHH to the people of Grtat have their own kith and parts of the world and that be recognised against those destroy tbe Empire. '' jFrom J|9BHM nomic unity, if it 'is. properly, .we can bene£,t' the people of Great Britain.at^EHpjHHj Mr David. Jones, M.l\ fo r trict, also spoke briefly on fittlaHjH lems, in reply -to thp - . toast cultural and' Pastoral fully agreed with -Mr Coates JraHj ■prosperity of _ the country; de'peaWHH the prices for primary produce, JjjggjH that were very' low to-day. for a change in Great' a Government which- would r i@ini|HSE| necessity for protecting the .iotHHmB tion of Empire .produce;-on visit to. England- ~ Mr. Jones t hajfljflHßß definite signs of" sncli. a'ehingßJafflll mentioned the many iniprovpmenMjjjjßM farming, particularly - those •tie Sting and the "use of fertQiM>MNfl|| the same time farmers- still problems -to consider. The , versus the horse was one. of lems; transportation was anothßti®ragg their farms they must: end«a*o nT *991 down costs - to the ■ utmost, the usefulness of things t-usly they might Have granted'. The question of .tawStefflj® produce imported into New ZealfUJflkMl another of great importance. The farmers of the • district, . sure, - would be . pleased to .have;. Jlg()Mp| them Mr Goatesy who 'had initiatg^ffl^H sliding scale of duties on who had held to his opinions is^| of the opposition of the I»l*n<j«glHj which he lived- . *a' . 4 • - Mr Jones was warmly'-appl»Htg^^p The Toast List. . The following toasts were hWWjSM during the evening:—"His-MajelijjßjlJffi King," proposed'by Mr J. WiOTMSffiffl . "The Army, Navy, and Air For«lg|| proposed by Mr P. W. replied to by Mr H. G. LiyingstoMwSß® Colonel Murphy; "The New AJgggfS Gun Clubs' Association,''-proposw^Wn Mr P. Alexander, and replied *9 OP. G. Pramptonj/fAgriculturalrtiatt*®! toral. Interests,'' proposed by MrNicholls. and replied to by Mr M.P., and-Mr G. W. Osborne; Thqijflg. Clubs of Canterbury," proposed Py m . J. T. Parkin, and replied to by«Jg-;_ sentatives of other clubs; The. ; Canterbury Acclimatisation , proposed by Mr I - Howell, and. to by Mr S. F. Barnett; Bodies," proposed by Mr W. O. and replied to by Mr H. S. a-*§"s*. M.P., and Mr J. C. Free; "The rnere Gun Club," proposed by W Harrison, and replied to by, Winchester. Ttoms were tfivi'ii by Messrs l». bell (songs),.'J; Tennant (songs),.. urd Bariser (violin solos), Arthur (recitations'), and C. Romeril ■ lions), The accompanist was Osmcnt. - .7 jjj£-f