‘Able To Choose Industries’

Press, Volume CVI, Issue 31209, 5 November 1966, Page 25

‘Able To Choose Industries’

(N.Z. Press Association) AUCKLAND, Nov. 3. More overseas and New Zealand organisations want to start manufacturing or expand industries than the Government can provide for from the resources of manpower, money and materials available, according to the Minister of Industries and Commerce (Mr Marshall).

“The Government now has to be selective in supporting new industries,” he said today. “We are able to, and do, require high standards of efficiency and economy,” he said.

“Some critic was saying the other day that industry would not grow in New Zealand because industrialists would prefer to start in Australia and supply New Zealand from there under the free trade agreement," he said. “There are, in fact, so many industries wanting to start in New Zealand that we can’t cope with them all. There is a company which already has a plant in Australia and is now starting here in partnership with a New Zealand company and there are many others wanting to do the same.” Mr Marshall said no indus-

try which required import licences was approved unless it was able to produce goods of a quality and at prices comparable with similar imported goods. “No new project is approved unless it is able to make a significant saving in overseas funds by import substitution. We are also paying close attention to the greater use of

New Zealand’s natural resources and raw materials and to the capacity to export as well as to supply the local market.” Capital intensive industry with a high volume of production a man-hour was preferred to labour intensive industry. Manufacturing in depth was also preferred to indus-

tries based largely on assembly to increase the New Zealand content of such industries. “In the case of new industries based on overseas interests, we are requiring, and getting, a substantial share of New Zealand equity capital. “To provide for an increasing population and to improve our living standards, it is necessary to make full use of our own resources and production. “We have had to make goods for ourselves which we could not afford if we had to buy them overseas.”