TEXTILE MAKING IN N.Z.

Dominion, Volume 38, Issue 306, 25 September 1945, Page 8

TEXTILE MAKING IN N.Z.

Government I lan Announced USE FOR FLAX FACTORIES

The intention of the Government to retain seven of the 17 linen flax factories set up and operate them for the purpose of establishing a Government sponsored textile industry was announced by the Minister of Industries ami Commerce, -Mr. SULLIVAN, during the debate on the vote for linen flax development. Those factories would spin and weave coarse and fine threads. He added that the industrial process .subsequent to the processing of the flax would be carried on by two private firms, one of which would produce and spiu liner types of threads, ami the other coarse threads. Mr. GERARD (N., Mid-Canterbury) said they had been informed last year that there was not much chjince of postwar export trade but that the Government hud some plans for keeping the in-' dustry going. He was informed that a co-operative company was to be established. The industry was particularly suitable to country towns, , provided it could be run on au economic basis, and in his district did not use wheat-growing land biit that around the foothills. lie would be sorry to see the industry go from his own electorate and believed that more mechanization could be used to advantage. Would the company about to he established consist only of the .State or would there be worker and employer representation? Mr. POLSON (N„ Stratford) said the industry wits established during the war in a praiseworthy attempt to help the Mother Country. It was clearly uneconomic as £175,000 had been lost in tour years. lie did not Suggest anyone was to blame for this. He also had been told of tlie Government's idea to form a public utility corporation with the object of continuing to operate seven of ’.he present 14 factories. If the industry was going to be “given .t go” on a reduced scale it was something he contemplated with approval. Arrangement with Britain.

Mr. SULLIVAN said the industry had been established for war purposes at the request of the Imperial Government, it was arranged that the British ‘Ministry of Supply would find the whole of the production costs and the sum of £185,006 had already been paid. The British authorities did not allow New Zealand to take into consideration depreciation, which had totalled £106,341. The qw.’stiou of capital charges had been deferred. Depreciation was to be reviewed later. New Zealand had asked Britain to send a man here to discuss capital costs, but Britain had decided to leave that matter to this country. Of the 17 factories, seven would be operated to establish a textile industry. For the processing, linen flax and the fibre for the production of fine and course threads, a corporation would be set up consisting of two representatives of the Government, two of the growers, two oi the manufacturers concerned, and two of the' workers. It would be financed by the Government. Mr. MACKLEY (N„ Masterton) said it was regrettable in view of the fact that the account was in such a precarious and unsatisfactory state, that the House did not have before it a balancesheet of the industry to show as clearly as possible how the losses had arisen. The delay in the presentation of such accounts was also a mutter for concern. It would not be tolerated in any private concern. Future Prospects. Mr. C. CARR (L„ Tiraaru) expressed the hope that the industry would develop to the stage of the weaving and spinning of linen fabrics. There were looms m our woollen mills which could be adapted. He hoped the Minister would not rest till 'further research enabled this country to manufacture its own linen. Mr. SULLIVAN said it was not proposed to weave as well as spin, but that might be a subsequent development, Hie Foxton factory was investigating the possibilities of weaving, but the machinery there could not be adapted. He was not in a position to say what would become of the factories which were no longer to be used, but the practice which would be adopted would be to consult the local authorities. The Forestry Department was looking into the question ot the buildings at Tapanui and Oxford.