THE PREMIER SPEAKS AT FOXTON. HIS VIEW OF THE POSITION.

Evening Post, Volume XLVII, Issue 41, 17 February 1894, Page 4

THE PREMIER SPEAKS AT FOX TON. HIS VI EW OF THE POSITION.

[Br Tblrobapii.l | UNITED PBEBB ASSOCIATION. I Foxton, Kith February. Tho Premier, accompanied by Mr. T. Humor, his private secretary, arrived here lit 6 o'clook to-night, having loft the Mariawatu train in.the morning at Kerern, whore lie was met by tho Mayor of Foxton, and driven to hid destination. Calls were made ut sevoral of the settlers' houßes en route. The Premier addressed a large meeting at tho Foxton Town Hall this ovoning, Mr. E. P. Williams, Mayor, in the ohair. Mr. Seddon said the time was opportune to spoak to the people of the oolony, because at tho present timo thejr were suft'oring from a tomporary depression. Thoro was no necessity for that, for if they judged Now Zealand from tho standpoint of ita population they would find that its 6")0,000 people exported la«t year prodtnts to tho valno of 8i millions sterling. Hud thoro boon any falling-off in tho industry of tlio population? No. Month aftur month the population wbb increasing, ancl during tho year had inoroasod ty something like 10,000; but, notwithstanding that, tboy had been enabled, without very groat inconvenience, to find work for the toilers. Muny of these roquiroil land, and land bad been found tor them. To Beck tho cause of the temporary inoonvenieuoe caused by the depression tiioy must go further afiold, and ho oould tell thorn that thoir sufferings wore duo to tho oxtraviiganco and mismanagement of other colonies. Ho blamod to aomo oxtont the FINANCIAL INSTITUTIONS. Careful examination showed that the position of tho banks doing bunineas in New Zealand wan Bound. They were in a Bplendid position, as, despite what had ooourrod in othor oolonies, in New Zealand there was mutual confidence between creditor and debtor. Some of tho institutions, howevor, hud shown a want of judgment which, if curried to excess, would do them a great injury, to say nothing of tho injury they would do tho commerce and trade of New Zoaland. It was not right that New Zealand should have had to suffer in 1878 owing to tho Glasgow Bank failure, and it was not fair that tho people of the oolony, who wery frugal and comparatively more wealthy than thoao of other colonies, should suffer from tightness or want of monoy through no fault of their own. Tho banks had borrowod — that was tho proper term to apply —from tho people of the oolony, by deposits in oxcess of advances, .£1,200,000. Hod anything occurred rocently to militate against the trade of tho country to account for the withdrawal of advances? The Bank returns for the laßt six months of tho year showod the difference was .£122,000 less advanced to tbo trade of the country. That in itself would not bo folt if spread over all the banks, but, whon gproad over two or throe of thorn, it showed that the customers dealing with tho.-(o banks had boon hardly pressed with demands made upon them. The specie exported in 1893 lor tho September and December quarters was .£196,1 9, while that imported for the -.who period was .675,430, so that tho colony was pooror in specie to the extent of .£120,769. If this sum wero added to the udvanoes called in daring the samo time, it would tot up to a quarter of a million. Looking to the inconvenience caused by this, and taking the condition of the country and tho volume of products, it was evident that there rraß no necessity for it. It was wrong that tho people of New Zealand Bhould be callod upon without jnst canse and snddonly, as proved by those roturns, to find this monoy. It showed the Government, and it must bo apparent to all, that they could not longer continue to allow the country to to be in this unfortunate position, and tho time had now como, and the poople at the ballot-box had affirmed it, when the OOVSBNMKNT MDBT ADVANCE MONEY on real ostate to settlors, and not leave them to the mercy of these institutions. The Govornmont had for years been advanoing money through the Post Office and Insurance Departments up to one-half tho value of the security, and also to local bodies on the strength of their rates for roads and bridges. Yet now that they wished to afford similar assistance to settlers, they wore told they were going to injure the finance of tho country, and bring about financial disaster. He desired, in faimoßß to the banks, to say that during last year tlioy imported speoie amounting to .£112,717 in oxoesa of tho amount they exported. So far as specie- waa concerned, it would be seen that the banks had done fairly well for the whole year, but what bo took exception to was the state of the figures for the last six months. He combatted the statement that THK EXPORTS show a falling off. Even, according to tho roport of the Wellington Chamber of Commnrce, if tho decrease in prices were taken into consideration, tho value of exports for last year as compared with 1892, showed an increase of .£221,446. There waa an actual inoreaae in tho export of timber, butter, cheese, mutton, shoopskins, tallow, and wool. The fall in the value of exports was due to tbo fall in prices, whioh was entiroly beyond tho control of the Government. Largo numbers of people also were settling on the land who required stock, and naturally tbeve were larger home wants. The inoreaso in tho annual value of manufactures produced at the prinoipal industrial establishments from 1886 to 1891 was -81,985,497, or at the rate of 2,670 per cent.; but the population had increased during the same period only 833 per cent. They had heard a great deal about the aolony's BORBOWINa ON THE BLT. The Government had not borrowed on tho sly or in any other way, and did not intend to do ao, oa they could do without it. As to the loan conversion schemo, it was not brought down by the present Government, but by the Stout-Vogel Government, and supported and opted upon by the Atkinson Administration. Those operations were tormed " loan conversions whon former Governmonta wore in power, but when a Liberal Government was in office they were termed "borrowing on tho sly." The Govornmont bad converted loans bearing <1£ and 5 por cent., and wore obtaining monoy at 3} per cent., thus saving a great amount of interest to tho colony; and yet they were told that by these operations the net debt of the oolony had been increased. Many public writers took it that the sinking fnnd ropresented coin in hand, bnt in doing so , they displayed their ignorance of the morest rudiments of finance. The fact was that the prosont Government had effected a saving of .855,000 in interest through their loan conversions. The INDEBTEDNESS PER READ j of the population of the oolony in 1890 was £60 5s 4d, and in 1893 .£SB 2b 7d, or 2s 9d j less than when the present Government took office If the faot were recognised that there were suoh things as sinking fund debentures, it would be seen that by loan conversions they were simply exchanging debentures. The land values of New Zealand showed an actual inorease from 1888 to 1893 of .£11,078,000, and yot they were told in the face of this by thoir critios that their securities were not good. 118. LEE SMITH had accepted the position of Commissioner for Now Zealand at the Canadian Tariff Conference. His connection with many successful public companies and industrial concerns proved him to be a man of the highest commercial standing. As the flax industry was of the greatest importance to tho_ oolony, he had given instructions to Mr. Smith to make every enquiry as to tho industry, with the view of aeonring good markets and avoiding middlemen. If THE TEMPERANCE TARTY would be moderate in their demands, they would.get on bettor. The Government had passed legislation whioh had grappled effectually with the liquor traffic, and in passing olause 21 of the Act of last session they had aoted in the interests of the Temperance Party, for without that clause the Aot would have been a nullity. The Government intended to ro-introduoe a LOANS TO LOCAL BODIES Act Amendment Bill next session, giving the local bodies power to exempt improvements under local rating. This provision would not be made compulsory, and the logal bodies would be allowed to have the option of coming under it. TH« FINANCIAL POSITION of the colony was simply impregnable. Tho Customs revenue was up to exneotations, the expenditure waa kept within the estimate, and at tho ond of the year the Colonial Treasurer would be able to announco that tho surplus was as largo as that of last year. No questions were asked, and a resolution of thanks and unabated continence in the Government was carried unanimously. At tho olobo of his address Mr. Seddon was entertained at a banquet by tho residents of the distriot.