The Dominion TUESDAY, DECEMBER 7, 1926. NO GROUND FOR PESSIMISM

Dominion, Volume 20, Issue 62, 7 December 1926, Page 8

The Dominion TUESDAY, DECEMBER 7, 1926. NO GROUND FOR PESSIMISM

There is a distinct tendency in some quarters to take a pessimistic view of the outlook for the immediate future. Here and there one hears the remark in commercial and trading circles that business is slack, or that things are not too bright, or some similar comment of a somewhat dolorous nature. It must be conceded that there has been a certain, amount of reason for concern as to the outcome of recent happenings. The great coal strike in Britain, though so many thousands of miles distant, has hung like a shadow of evil over our primary producers who sell their goods in the London market. The strike, of course, had a depressing effect on prices, in addition to reducing consumption but it was the uncertainty as to the course events ultimately would take that gave the greatest cause for anxiety. Now that work has been resumed in the coal mines the prospects are brighter all Another unpleasant feature affecting this Dominion has been the unhappy developments associated with the control movement in the dairying industry. There can be no question that the divisions amongst members of the Dairy Control Board as to their marketing policy has had a disquieting effect and played into the hands of the ' opponents of control. Much of the agitation, against the boards policy was artificially created both here and in London, but the differences of opinion on the board gave legitimate giounds for uneasiness as to the trend of events. The attempts to saddle the board with the responsibility for the drop in prices of New Zealand, butter were not very successful, and the recent welcome advances in values have assisted to enlighten producers on the subject. An unpleasant feeling has been left in the public mind, however, that admirable as the policy of the board may be in theory, the board has a difficult task ahead to demonstrate its success as a practical business proposition. The present constitution of the board places it under a distinct handicap, for instead of working as a united body for a common end, it is only too plain that it is in some respects hoplessly divided into antagonistic sections. In spite of this state of affairs, however, the immediate outlook for the dairying industry is encouraging. In the north the output of the dairy factories has shown a substantial increase, and the recent improvement in prices looks like being well maintained. In the matter of wool prices, too, the market continues firm, and the prospects quite good. There are some even who anticipate a distinct betterment next year, and a big revival in industrial activity in Britain with a consequential benefit to this country. Be this as it may, there is nothing in the situation at the moment which gives any real ground for pessimism. We have been passing through a fairly sharp pinch, with the outlook at times a little gloomy, but the changes of the past week or two have distinctly brightened matters.