Research On Imports Attacked

Press, Volume CIV, Issue 30761, 27 May 1965, Page 1

Research On Imports Attacked

A band of “hopeftils” was poking around under rocks trying to delve into dark recesses to find out Ihe degree of protection afforded to manufacturers in New Zealand, said the vice-president of the New Zealand Manufacturers’ Federation (Mr J. R. Maddren) yesterday.

This, he said, seemed a fruitless excursion when so many positive things required the attention of the counttry’s resources and abilities. What possible use this information could be. even if lit could be accurately assembled, he did not know, he said.

Mr Maddren was giving the opening address to a two-day

export seminar in Christchurch organised by the federation’s export action group.

Some overseas products could be landed in New Zealand at prices ranging from 51 per cent to 78 per cent of the comparable ex-factory price in New Zealand, said a report in last Saturday's issue of “The Press.” The report came from the Agricultural Economics Research Unit at Lincoln College, on a study that it has begun of the amount of protection afforded to locally-made goods by import control. The director of the unit (Professor B. P. Philpott) was reported as saying that the unit was deeply interested in the whole question of the best national allocation of resources between agriculture and other industries.

Mr Maddren said that one wondered why a “little band” was setting off on what would seem such a fruitless excursion at a time when the

country’s resources and abilities should be mounting the greatest export drive ever envisaged. “1 was quite astounded to read where, at another conference held recently not f;r from this city, an econom st, I think it was, was reported as saying that manufacturing industries and our large agricultural industries could not develop side by side.” he said. “Now, I wonder where that Rip Van Winkle economist has been all these years, because the very thing he said couldn’t happen has happened, and we have a flourishing manufacturing industry built up and developed over the years beside a strong and virile farming industry.

“And both these industries are essential, not only to the present development but to the future development of New Zealand." No one sector of industry nor no one sector of the

i economy in New Zealand I could stand alone, said Mr Maddren

“We know that savings, through import substitution, do not necessarily become money in the bank.” said Mr | Maddren. “But they represent exchange whieh is freed | for spending on other goods and particularly on plant for further development and the purchase of raw materials." This trend was also taking place in every other country, and the effect must be to reduce the demand for many kinds of manufactured goods Mr Maddren said that the world was still short of food, so New Zealand's meat and butter were wanted. But not all those who would like to ;buy could afford to pay mari ket prices.

Exports worth £2om by i New Zealand manufacturers, said Mr Maddren. should be I in sight within the next year, and there was no limit to ■the targets which could be ; set.