SOUND FINANCES

Dominion, Volume 31, Issue 242, 9 July 1938, Page 7

SOUND FINANCES

Manufacturing Industry In

Dominion

FEAR OF TOO MANY

IMPORTS

“The statistical summary of the Reserve Bank of New Zealand lias given a verv informative analysis of the advances made by the trading banks.” says the New Zealand Manufacturers’ Federation in an official statement. “'rhe advances in Marell, 1938, to the manufacturing industries are shown as a little more than £4,500,000, as compared with much larger advances made to other sections of the community. 'This shows the very sound financial basis upon which manufacturing industry in New Zealand has been developed. It has provided the bulk of its own finance—in many eases the original basis being hard-earned savings by operatives who have set up in business on their own account, supplemented by the savings of others who have confidence in their ability to build up a business under reasonably settled conditions. Manufacturing industry as a whole has, accordingly, fitted itself out financially on a most sound and adequate basis.

“Accordingly, in view of the unremitting fall in employment in Industry, it appears necessary to make fully known the enormous reductions there will bein the national income if the manufacturing industries are squeezed out of existence as the result of high costs. “For the year ended June 30, 1937, the Year Book records exports of dairy produce as £23,000,000, meat £13,000,000, wool and skins £20,000.000. The manufacturing industries turned out products to the value of £48.000,000, which included added value of £26,000.000 over and above the cost of materials used—with an employment of 80,000 workers. “The production values and total workers in dairying and in the manufacturing industries are practically identical. The public of New Zealand has a full realisation of what a national disaster' it would be if the dairying industry was wrecked. Yhere should be a similar realisation of what is facing the country if manufacturing industry is reduced to nullity through being displaced by imports.”