The Press FRIDAY, MARCH 17, 1967. Developing The Chathams

Press, Volume CVI, Issue 31321, 17 March 1967, Page 10

The Press FRIDAY, MARCH 17, 1967. Developing The Chathams

There is little doubt that the agricultural potential of the Chatham Islands is considerably greater than the 140,000 sheep now grazing there —perhaps it is as high as a million or more. But it is not as selfevident as Mr D. L. Holmes, chairman of the Chatham Islands County Council, seems to suppose, that it is in New Zealand’s interest to develop the islands’ potential. Mr Holmes has to convince the New Zealand Government, or any other investor or lender, not only that investment is profitable, but that it is more profitable than a similar investment on the mainland. Mr Holmes, in an interview with a Press Association representative at Waitangi, recalled that the agricultural potential of the Chathams had been assessed at one million sheep. He did not estimate the capital cost of any scheme to raise carrying capacity to this figure: and it is likely that no reliable estimate has ever been made. An indication of the costs involved, however, can be gained from a study of costs of comparable ventures on the mainland. The Agricultural Development Conference has put the capital costs of increasing sheep-carrying capacity at £lO a sheep. The last freezing works built in New Zealand—at Lomeville, nearly 10 years ago—cost more than £4 million. Cashin Quay cost £6 million. The islands’ roads, water and electricity supplies, schools, hospitals, and houses would be quite insufficient and would require further investment of hundreds of thousands of pounds at least. Investment funds have seldom been in such heavy demand in New Zealand as they are today. An investment of even £1 million in the Chatham Islands would inevitably be at the expense of investment somewhere on the mainland. Can Mr Holmes claim that £1 million would be better invested today in the Chatham Islands than anywhere on the mainland? The islands’ total area, 372 square miles, is that of a small county in New Zealand; Cheviot County covers 327 square miles (carrying 313,000 sheep last June), and Ellesmere covers 443 square miles (429,000 sheep). Sheep numbers on the mainland last year rose 3.6 million; does Mr Holmes suggest that some of this expansion should have been deferred in favour of expansion of the Chatham Islands flocks?

Two years ago, after a visit to the Chathams by a reporter of “ The Press ”, we said. “ The cost to “ the New Zealand taxpayer of maintaining a hundred “ families on these small islands is huge; and it is “ apparent that the expenditure is providing neither “ satisfaction for the islanders nor profit, present or “ prospective, for the mainland ”. In the last two years the main development in the Chathams has been the preparation for the withdrawal —next month —of the flying-boat service and the substitution of conventional aircraft for these craft. The cost of this change has been, and will continue to be, considerable: and it remains to be seen whether the new service will prove any more acceptable to the islands’ inhabitants. The islanders have persuaded successive Governments to subsidise their economy. They will need to put up a stronger case than hitherto to persuade any Government to invest millions of pounds in the Chatham Islands.