Decentralised Industry Scheme

Press, Volume CVI, Issue 31090, 20 June 1966, Page 3

Decentralised Industry Scheme

(N.Z. Press Assn—Copyright) NEW PLYMOUTH, June 19. A policy of decentralisation of industry incorporating a financially stronger industrial lending organisation to give loans at lower interest rates and incentives for manufacturers to move away from established industrial centres was outlined by the Deputy Leader of the Opposition (Mr Watt) at New Plymouth on Saturday. A member of a symposium discussing industry decentralisation, Mr Watt said there was room for concern at the

population drift to larger centres. The problem was national and had to be faced immediately. If the Labour Party became the Government, one of its first moves would be to establish an industrial finance corporation with capital of up to £lO million, the most to be contributed by the Government, to give low interest loans to prospective new industries.

The present lending organisation, with only £2 million capital at its disposal and with most shares held by private individuals, could not hope to meet the demand and encourage sufficient industry in New Zealand, Mr Watt said. Local committees should be established to determine the type of industrial expansion required in each district, what type of industry could fill that requirement and which manufacturers were willing to go to the district, he said. The committees would make recommendations to the

industrial finance corporation, which would determine the worthiness of the project, before making finance available to establish the industry, housing for employees, and machinery for the industrialist. The only qualification would be that the industry employ more than 10 persons, Mr Watt said.