Manufacturers’ Survey Of Business Conditions

Press, Volume CI, Issue 29828, 22 May 1962, Page 15

Manufacturers’ Survey Of Business Conditions

A recent survey of manufacturers in Canterbury showed that the building supply firms had been most severely affected by the Government’s economic policy, a decrease being shown in sales, forward orders, and employment. The clothing and footwear groups of manufacturers showed considerable drops in forward orders.

This was said in a report to the council of the Canterbury Manufacturers’ Association last evening.

The president (Mr R. H. Stewart? said the report showed that the Government’s policy had dampened consumer demand. Manufacturers had agreed with the Government's attitude on this policy to a degree. It was necessary to avoid panic methods, and the manufacturing industries had not been seriously affected jet ________

“The building maiterials industry has been affected worst, but it is always the first to feel any pinch. The survey shows a trend, but the position is not serious generally,” Mr Stewart said. He said that a summary of ’the replies to a questionnaire sent in by 87 firms whose answers had now been analysed, showed a net decrease in forward orders of 2.52 per cent. The net increase in sales. 2.4 per cent., was much lower than normal, the average annual increase in manufacturing output being approximately 7 per cent. Stocks of finished goods showed an increase of 4 5 per cent., while the employment trend showed an increase of 1.42 per cent. The survey was taken after a decision of the New Zealand Manufacturers' Federation, to enable it to have a clearer view of trends in industry at up-to-the-minute periods. Mr Stewart said. The questionnaire had been sent to 177 member firms of he association, and 108 had replied to date. In the compilation of results, weight had been given in accordance with the size of the firms in the different industries.

“The results shown are a logical survey of recent Government policy. Mr Shelton wants up-to-date figures, and he is a commonsense man who will use the information provided in a commonsense way. He is down to earth in his approach. 1 said to him recently that he did not talk like a politician. He replied that he was not a politician—he was a businessman.” Mr Stewart said.