“N.Z. Approach To New Industries Realistic"

Press, Volume CI, Issue 29749, 16 February 1962, Page 11

“N.Z. Approach To New Industries Realistic"

’The Press” Special Service

WELLINGTON. Feb. 14.

New Zealand’s present approach to the establishment of new industries is “realistic,” in the opinion of Mr D. W Finley, of Melbourne.

Mr Finley, manager of the market research department of Imperial Chemical Industries in Australia, said that while he had no detailed knowledge of the group of new industrial agreements for New Zealand published recently. those responsible selmed to have adopted a sound policy.

He was not referring to the cotton mill project, on which he made no comment.

The agreements accepted the fact that they were dealing with the kind of industries which were highly capitalised and needed large-scale operation if they were to be as effective as possible, he said The only way to get this kind of industry operating was to give it the bulk of the local market, but at the same time protect the consumer by insisting on a reasonable pricing policy. Already, Mr Menzies had indicated that Australia

needed a new policy in establishing industries, Mr Finley said He thought that Australia had now accepted the fact that its tariff policy needed some modification in order to deal effectively with these problems. One requirement of a sound industry was that it should raise the standard of living by increasing output. The pulp and paper, cement and rubber industries were examples of New Zealand industries that had a very high value of production for each man employed In other words, they were of real assistance to the economy. He thought the majority of the group of new industries soon to be established would also prove to be beneficial on this count.

Mr Finley said that although an oil refinery was going to be started in Whangarei he did not think this would lead yet to a petrochemical industry in New Zealand. In this particular field a tremendous aggregate of industries was needed to make it economical. It had to be established on a very big scale.