N.Z. Manufacturers9 Part In Economic Stability

Press, Volume C, Issue 29706, 27 December 1961, Page 12

N.Z. Manufacturers 9 Part In Economic Stability

“Manufacturers throughout the country are looking forward to 1962 with confidence and a determination to play their full part with other sections of the community in an effort to gain stability for the nation’s economy,’’ the president of the New Zealand Manufacturers’ Federation (Mr T. E. Bower) said yesterday, ‘‘lt is recognised that the coming year will confront us with many problems, not the least of which will be the urgent necessity to build our overseas exchange figures to a more satisfactory level “In the past the trend has been, in periods of high export earnings, to import up to the limit, with the inevitable result that when export receipts fell we have lacked the necessary reserves of overseas exchange to cushion the impact. It has. therefore, been a case of either a feast or a famine in our imports—the disadvantages of which hav. been pointed out many times by the federation. 1962 “Crucial” “This coming year will be a crucial one for New Zealand, particularly because of the uncertainty of our positions in relation to the current European Economic Community negotiations, and the possibility of further falls in our already dangerously low overseas exchange. Diversification “To counteract any illeffects, one thing needed is a greater diversification of our export markets and the range of our export goods. Manufacturers, as I announced recently, know that they must shoulder some responsibility in the export field, and in 1962 there will be a concentrated drive by my federation to stimulate the export of manufactured goods. “During the last year there have been many important advances in the industrial scene, with new factories started, or well into the planning stage. These, with the already established industries, will continue to give greater impetus to the development of New Zealand ‘The further economic prosperity of the country depends largely on the continued expansion of manufacturing. Thousands of young people leaving school look to industry to provide them with the opportunity for rewarding labour, but such opportunities cannot be provided unless manufacturers have confidence to plan wisely and expand along the right lines,” he said. Government Policy ft was to the credit of the Government that it had attempted to provide such a climate, and its current policy to attain greater stability was proving effective, trophies—one for the first place, the Carl Schroder trophy for being the first West Coaster home, and the Sutherland trophy tor fastest time.

The federation hoped that the policy in the coming year would ensure that factories are kept operating to the fullest possible extent. Unnecessary Drain “New Zealand manufacturers can produce the volume and variety and, more important, the quality of goods to replace imports which are an unnecessary drain on our overseas finances. Restriction of imports will give manufacturers the opportunity to prove again to New Zealanders that reliance can be placed on this country’s manufacturing industry to fill the gap with a good product,” Mr Bower said. "We fully realise that the Government recognises that import licences for manufacturers’ raw materials must not be cut with any severity, for such a move at this juncture could only occasion serious internal economic repercussions which would take many years to overcome The Government has stated that strength in manufacturing brings strength to the country's economy. This imposes a great trust on manufacturers, but they are fully aware of their responsibilities, and are prepared to accept them.”