CALL FOR EARLY FORMATION OF EXPORT COUNCIL

Press, Volume C, Issue 29637, 6 October 1961, Page 12

CALL FOR EARLY FORMATION OF EXPORT COUNCIL

If the export drive was going to proceed on a national basis, the, Government must speed up the appointment of an export development council, which the Minister of Overseas Trade (Mr Marshall) said was being seriously considered, said Mr R. B. McNish at a meeting of the council of “The Canterbury Chamber of Commerce last evening. A report from the Associated Chambers of Commerce tabled at the meeting said that Mr Marshall had been asked to set up the export development council at the earliest possible date. It was recommended that the council should be small, with an independent chairman and members to be well balanced between statutory boards and men well experienced in export and commercial trading. The president of the Canterbury chamber (Mr R. H Clark) said last evening that Australia was well ahead of New Zealand in the drive for exports. The export drive was being pushed in all the Pacific countries, and New Zealand had some leeway to make up. It had been suggested that banks should make special terms for advances, presumably in interest rates, for export business, and he thought it noteworthy that the Government was apparently considering this incentive seriously, Mr Clark said “New Zealand is starting behind scratch in the drive for exports and must make up leeway.” The export drive was the paramount target for New Zealand, and the import issue should not be clouded by any speculation that . Britain might or might not join the

European Economic Community, Mr W. G. V. Fernie i said. Mr Clark: It is the export drive. E.E.C, or no E.E.C. It should be brought home . to the public that a drive for more production and a drive for export were not synonoi mous, said Mr R. C. Neville. > Only the surplus from home consumption could be exported. “While butter is selling at 2s per lb and meat is cheap we will continue to eat it largely. This should be brought to the attention of ‘ the public. There appears to ' be no national direction to an export drive as yet. but it is a problem that affects 1 New Zealand as a whole.” Mr Clark said that the problem of high home consumption was equally relevant to the manufacturing industry. Some industries could not hope to export when they could not meet , home demand. He knew of a firm that could not meet New Zealand consumer demand ' although it was working two ' shifts. Mr J. R. Johnston said that 1 although there was a large surplus of potatoes in New Zealand this season the Australians had practically refused to take them and had put many impediments in • New Zealand's way. “They seem positively hostile to our potatoes across the Tasman, yet we import goods from them." , Mr Clark: I sometimes wonder if we should not be , prepared to deal with Australia in the Australian way —that is, be a little more . rugged in dealing with them. We could pay dearer elsewhere and go shorter rather than import Australian steel, for instance.

ai Ui Mr W. J. Truscott said the tt conditions at present were not right for manufacturers al in New Zealand to develop a any export trade. d “Manufacturers have to p practically crawl on hands w and knees to the Government to get in port licences to a satisfy home demand. We 01 used to export, and the licence for imports was only one-fifth of what we exported, but now they just don’t answer when we write for an import licence." Mr Clarke said that the measures taken by the Government to dampen home consumer demand would become effective in the next six months. Already 48 steel workers had been dismissed in Auckland, and building workers' overtime in Hutt and Wellington had been reduced Mr Truscott replied that if a business had a turnover of £lOO,OOO a year, and export revenue of £20,000, how could it continue on a special import licence for raw materials for export goods. The firm could not exist on a turnover of £20,000. Exports were a marginal market based on a full home market. “The export drive will not get under way until the export development council is set up. Then the drive will function from the top down in a real national effort,” Mr McNish said. “We should r press the Government to set up the council." Mr Clark asked whether Mr Marshall had given any indication when the Government would move in the matter. Mr McNish replied that the whole idea depended On the co-operation of the produce boards. Any export drive organisation must have the E assistance of the boards. r “The members of the council cannot be selected in five minutes, but we should urge that the council be set up quickly to achieve an export drive on a true national basis," he said. - - -