A YEAR'S PROGRESS. CHAMBER OF COMMERCE MEETING.

Evening Post, Volume LXXV, Issue 41, 18 February 1908, Page 2

A YEAR'S PROGRESS. CHAMBER OF COMMERCE MEETING.

THE CHAIR_MAN'S SPEECH. SOME INSTRUCTIVE FACTS. , _— . The annual meeting of tho Chamber I of . Commerce was held this afternoon, the president (Mr. J. G. Harkness) presiding. Tho meeting was preceded by a luncheon, and there was a large attendance of members. The chairman, in moving the adoption of the report and balance-sheet, which have already been published, said : — To-day our attention is directed towards tho consideration of our fortyfourth annual report, and at no time fa the history of the chamber has a more agreeable task devolved on the president than that which confronts me at the present moment. TRADE. 1 The figures contained in the report demonstrate the fact that the Dominion has up to the 30th September, 1907, had a record year of progress. The volume of trade shows a decided and gratifying increase. Business has throughout tho year been sound and satisfactory. The causes which have contributed towards this havo been many and varied. The cessation of the unfortunate struggle in South Afli- ! ca, tho termination of the great camEaign between Japan and Russia, comined with a period of peace amongst the nations, has afforded the whole i civilised world time and opportunity to turn their undivided attention to tho cultivation of those pursuits which tend to promote a nation's wealth and prosperity, i Practically, with few exceptions, every country has received an impetus in its commercial, industrial, pastoral, and agricultural interests, and we, occupying a remote, though not altogether insignificant position, have participated in the general wave of prosperity that nas touched every nation far and hear. When it is taken into account that our population is yet below a million, that the country is only partially developed, that what has been done — though viewed from certain standpoints it may appear wonderful — the transforming of a country from its primitive condition within almost the space of half a century, to a land whoso primary productions aro either assisting to feed or cloth the inhabitants of older and' distant lands, that our resources are yet practically untouched, x^ '^ a maiter o£ extreme congratulation that the voluino of our trade shows an increase- of £5,572,285 for tho year, and a gross total of £36,882,204. "FAT" YEARS. For the last ten years the Dominion has been particularly fortunate in, enjoying what may be termed "fat years." Our staple products have realised high prices. Probably not all at the same period of time. But it has been noticeable that when a certain line uas receded to a level that might bo considered unprofitable, there has been a compensating balance, in the fact that other articles have reached a phenomenal level. Let us glance now at our four leading lines of export. Wool, of »urse, occupies the premier position. | That may not bo realising, at the present moment, the prices of last' season, but nevertheless present results must be considered satisfactory to all concerned. In frozen meat wo have keen competition from countries possessing certain geographical conditions and facilities which wo do not possess. Yol, notwithstanding these facts, prices are fairly remunerative. Dairy produce was was never higher in price nor the demand keener than it is to-day. Hemp is somewhat depressed, but may improve. In reference to the future', lam not desirous of taking the pessimistic view of the possibilities which may eventuate, but so far as can be discerned, there is no reason to believe that we shall have to face a decided slump in values. But indications aro not wanting- that the coming year will not excoed its predecessor in quantity or value. In addition to lower prices there may of course arise unforseen contingencies that will interfere with trade conditions in tho Home Land, materially affecting the spending power of that class of the community that use perhaps the larger proportion of New Zealand exports. Tho Dominion being so dependent upon tho Mother Country for the consumption of its surplus food products will inevitably be tho first to feel the reflex action of any change in a backward direction. It is well at the present moment to bear in mind the opinion voiced by the President of the British Trade Board, "That in the near future we must expect an ebb in tho volume of trade and commerce." Evidences are not wanting that 6o far as the present year has gone, we must anticipate a considerable shrinkage in value by the end of 30th September, 1908. EXPORTS AND IMPORTS. The total exports' for the year are £19,984,272, an increase of £2,249,474,. equal to an advance of 12J per cent. The imports— 'exclusive of specie amount to £16,071,887, showing an advance of £2,496,766 over the preceding year, equal to 18 1-3 per cent. These figures constitute a record for the Dominion.- Excluding epecie from the calculation, the former exceeds the latter by £3,819,959, being £305,041 less than the- difference, between the two Of last year. Probably this will not bo considered a satisfactory position by some. Time will not permit of a lengthy reference to this complicated subject. One- of the ablest of living statisticians made tho' following statement: "He who attempts to draw any conclusion whatever as to a nation's wealth or poverty from the mere fact of a favourable or unfavourable balanco of trade haa not grasped the first fundamental principle of political economy." Tho increase of "our imports may indicate the expansion of trade, and elasticity of finance dependent upon tho increased vaJuo of our producis, or it may arise from the natural increase of trado to meet tho extravagances consequent upon the improved conditions of our people. It may on the other hand, bo the result of overtrading or overspeculation, and it may bo, \and probably is, to a certain extent the ontcome of accumulated wealth having brtmght about a reduction of individual indebti edness to tho foreign capitalist. MORE CARE REQUIRED. ' What needs to be emphasised in connection with our export trade is more careful preparation and supervision in tho maintenance of quality. If we are to hold our present position in tho markets of the world there must be more care exorcised in every department of the business. Our meat must be sound and of exceptional quality. Wool must be improved, the yield per head increased, and tho requirements of tho trade complied with. Producers must learn that all wool shorn from a sheep will not command an equal figure. Greater care is needed in r.orting and sampling, and dirt, in conjunction with other foreign substances, cannot be expected to realise tho same figure as a clean, wellgrown staple. If our dairy produce is to maintain its present enviable pcsi« .tion^ its flavfigr and keejmyj, .qualities

must be improved. This is a matter that rests entirely in the hands of the producers. Hemp must bo produced from raw material of good quality, and the marketable article must be strong and well dressed. OTHER ASPECTS. Turning now to tho report and the subjects referred to therein : There is no intention to weary you with * mass of figures. The tables attacludK speak for themselves. One feature that, however, stands out prominently in connection with tho export trade is that wool, frozen meat, dairy produce, tallow, and hemp show substantial increases in quantity. From this point of view tho Dominion may well congratulate itself. There is, however, one rogretablo aspect in our exports. Grain, that formerly held a prominent place, totalling in value during 1904 £447,347, has almost vanished as an item in the returns, tho last year only equalling £79,697. Notwithstanding this drawback; the primary products of tho soil occupy the position of 90 per cent, of our total export trade. It is an indication of tho fact that our flocks and herds aro on the increase. The latest statistics available show that sheep nnmbered 20,983,772, an increase of 875,301 over the previous year. The only time when this total has been approached was in the year 1902, when the number was 20,342 ; '727. Cattle now number 1,851,750, exceeding that of last year by 40,814. Our future prosperity for many years to come is dependent on that increase being maintained. An important factor in this direction is the opening up of our remaining waste lands, the settlement thereon of nie.t competent to develop the reso.iKes of the soil, and the bringing into rapid cultivation of all such areas. This wcik can only be accomplished by the prosecution of such public works as roads, bridges, and railways, that will facilitate the transport" of produce and stock to the cheapest and best port of export. ! Public money judiciously expended in this direction will ultimately prove a source of ever increasing wealth to the Dominion, bringing hi its train prosperity to town and country alike. DAIRYING: STEADY DEVELOPMENT. Tho dairying industry shows steady devoloprnent, and values during this season have reached a phenomenal level. Never sinco the beginning of direct, shipments sixteen years ago havo wo touched before 150s per c\vt. Whilst, acknowledging the-, help given by tho Government experts in assisting to establish ,this business on a satisfactory footing, this present season has been remarkable for tho severity of the grading and the quantity oh second grade exported. Yet rarely has our produce been better spoken of than' now by the London agents,, and the complaints as regards quality have been few and far between. Naturally when high prices are current, produce as a rule gives satisfaction and all grades nave a ready market. It is a matter of sincero regret that in consequence of the unprecedented dry spell in January and February, it can hardly bo called a drought, the ontput has considerably diminished. Wo might go further and say that through dry pastures, tho dearth of sufficient root crops for winter feed, consequent depreciation in value of stock, and other causes, the aggregate loss to settlers this year 'will amount to many thousands of pounds. Before leaving this subject, it may be 1 advisable to remind you of a pressing need in connection with the port. Welj lington is tho final port of departure of ocean steamers carrying this clas^ of produce, yot we have no cool storago accommodation for cheese. In this respect we aro behind other ports in tho Dominion. Shippers are frequently inconvenienced .and suffer considerable loss, Cheese is forwarded to the port for shipment and is kept in & heated wharf shed, with the result that it. deteriorates in quality, with a conac-. quent deterioration in value. This is a dofect that should bo remedied. The importance of this matter is evident when we consider that an averago shipment of dairy pioducb is worth probably £i,uU,OOO, the cheese alono being valued at nearly £/U,UuO. , ' CONCERNING IMMIGRATION. Whilst we with pardonable pride express a sense of gratification with respect to our continued prosperity, the development of the Dominion, the settlement of our waste lands, and the prosecution of public works, there is one factor in connection with the progress of tho country that no thoughtful man: can ignore. And that is that our population is not increasing in that ratio that the needs of the Dominion demand. This is a subject that is, unfortunately, ignored by many, and opposed thoughtlessly by others. Possessing, as we do, a country of great" possiiuinties, and capable of enormous expansion, it is l impossible that this development can bo brought, into rapid effect without a population of men and women living and working under such conditions as, will give frte scope to their energies and .industry. The Dominion is hampered because its contains but a handful of people To-day there is not an industry connected with our agricultural, pastoral, industrial, or manufacturing interests' that is not languishing for want of additional help. Is it too much to say that within the next five years the Dominion could find profitable employment for thousands of emigrants of tho right class who would make desirable settlers? Yet there are some who will not face this question fairly, but contend that such a policy would mean disaster to the country and injury to a large portion of our present population. Sir Joseph Ward}> Prime Minister, when discussing the naval defence of the Empire at tho Imperial conference- last year, spoke as follows: — "We 1 have before the people of New Zealand still the work of the interior development of a country which in tho years to come will be capable of carrying 20,000,000 of people without any difficulty. We have under one million of population at the present moment. Now^ at our present rate of progress, it will take 500 to 600 years to obtain this population." He ought to have' said "in tho ages to come." If this interior development is to bo dono in the interests of the country our population must increase more rapidly than heretofore, and it can only be mnnaged by encouraging an influx of judicious, suitablo immigration. The- net gain to immigration for the past year is only 4410. TRADE OF THE PORT. Having referred thus briefly to the trade of the Dominion, as a whole, we may now glance for a moment at that of tho port. In the geneial prosperity apparent throughout New Zea,land, it is evident that throe-quarteis of that advancement is due to the expansion of the North Island. Its population has increased in greater ratio than the South Island, and consequently trade has increased proportionately. Wellington has participated in this result in a marked degree. Thero is no desire to draw a comparison between this and other large centres of population. Suffice it to say that in imports, exports, duties paid, and ship tonnage ■we are stil) in the front rank and easily first. Wo ought to maintain that position. During the year, taking values as a basis, tho imports have increased by 16£ per cent., and the exports by 14 per cent. The shipping tonnage exceed that of tho next port by 594,360 tons. Taking tho trade of tho port into consideration it should bo gratifying to ail who hnvß the welfare of the city at heart that the progress is steady

MORE ACCOMMODATION WANTED, intimately connected with the advancement of the distract and th© city is the harbour, and its facilities to deal .with tho growth and expansion of trade. Probably no other factor has tended in the past to promote the advancement of tho provincial district more than tho management of and the opportunities afforded by tho harbour to expedite business and -commerce Unfortunately, tho development of wharf accommodation, in respect to additional areas of berthago ana shed room, has not kept pace with the growth of the district, and the requirements of shipping. Further accommodation is an urgent necessity. Speaking thus there is no intention of casting a reflection upon either the board or ( the management. Both have had to submit to tho voice of popular clamour rather than the dictate of sound judgment. With, the completion of the Main Trunk line during the current year, we must look for an increase in trade, which musfc gravitate towards this port, hence- tho present position will be accentuated. The changed conditioim brought ' into existence by an influx of population, the creation of now townships served by the- Main Trunk line, which will come into touch with the city and port, demand an immediate extension in several directions. The completion of the King's wharf will no doubt relieve to some extent the situation. It is use* less to argue that we do our business as well, and with the same expedition, as other ports. Tho policy of tho board should J>3 to place the management in that position that tho business can be dono along tho line of least resistance, with the minimum of friction and inconvenience to consignees. If the port is to hold prjde of place in the Dominion it must transict its business cheaper, and not as well, but better than, any other. It is not ' sufficient that tho facilities should be abreast of requirements. They ought to m> in adyance. HARBOUR BOARD BILL. The proposal to amend tho constitution of several of the- Harbour Boards of the Dominion, including the Wellington* Harbour Board, was introduced to tho Houso. As you are aware,, it proposod to abolish the privilege now enjoyed by this chamber o* being directly represented on the board." So far it has not b6on proved that this concession has been a disadvantage to the board, or that) the interests of tho port or district" have suffered in consequence, nor that a change is in any way desirable. As a body tho individual members of tho chamber are large contributors to tho rovenue" of the board, and on this giound 'alone have a right' to direct representation. Who are better able to judge of what will be for the best in connection with, the requirements of the port than those who come into constant and daily toucli with 'its business operations? It might not be 'out of place to remind those who insist that tlio ordinary franchise should be the" only basis of election for positions of this character that it is contemplated to immediately amend and enlarge the London Docks. In other words, to municipalise what is now private property. The Bill will be introduced to the Houss of Commons by' a Liberal. and Radical Government, and in that measure 1 it_ is not proposed 1 to adopt the above principle. THE NEW TARIFF. Reference was also made to tho Pure' Food Act, tho Harbour Board Bill, and tho new tariff. In regard to iht> lkstnanied the speaker said_: — "For.\renl or woe, the Dominion luuTentered upon a policy of Protection. Time alono will ' prove the wisdom of tho course nowadopted. When you 'carefully investigate thff'ieturns, and "find thai' out of a total I export valued at £19/087 ,570,- over' ! £19,250,000 is supplied by -primary producers, -who also supplied consumers in tbo colony with produce to the value of £14,000,000, making a • grand total of £33,250,000 wrung from the soil .one may be pardoned if they hesitate in a country such as .New Zealand, and submit to themselvee for' solution tho prpblem,' 'Why should the many be penalised by heavy Customs duties for the benefit of the few?'" MAIL SERVICE. For some considerable time past, continued tho chairman, the Dominion could not pride itaelf oil either a regular or a satisfactory mail service with the United Kingdom. Following on the utter collapse ol the San Francisco service a foitnightly connection was established, as you are 'aware, by means of the intercolonial sbeamers with tho Commonwealth mail service, \;ia Suez. Your council took advantage of the presence of the Postmaster-General (Sir Joseph Ward) nnd Sir James Mills,, managing director ( of the Union Steam Shipping Company, in London at the time of the Imperijal Conference, to urge on the former the desirability of improving this service by making it weekly. This proposal was given effect to, and a service provided at a reasonable cost, benefiting the Dominion. 'The advantages o£ this route ara that it provides a service that is regular and reliable, besides which, ,in comparison I with any existing route, it affords three opportunities, practically each way, as j compared with, for example, via Vancouver. IMPERIAL CONFERENCE. Passing to subjects of more than i colonial interest it is necessary to [ refer briefly to the work of the Imperial Conference. Naturally the important subject before the conference was preferential trade. .On this point tho colonies aio not unanimous. The unanimity is not in the request, but in tho method of its adoption. Canada was prepared to ' give a lower tariff on British goods, on the other hand 'the Commonwealth and New Zealand preference means a higher tariff for foreign goods. Ihe latter is hardly in accord with the true principle of preference. It was only to be eypected that an English Ministry, fresh from the general election, pledged to free trade, could not accept any such policy. Preferential trade, or a revision of the tariff in the Old Country, it not dead, it. is only simmering. From the standpoint of the tariff reformer it appears reasonable. If you compare for ten yen i-9 the exports of British produce p.nd manufactured goods from the United Kingdom to America, Germany, and France, her three- best foreign customers, with that of tho three colonies asking for or which have given preference, it is evident that the position is a strong one. The comparison is as follows : — 1895. ISO 4. £ £ Amciica 27,700,000 20,000,000 Geircauy 20,500,000 25.100,300 France 13,800,000 15,200,003 The colonies which have given or offered preference stand thus: — l£9S. 1904 Australasia „ _ 17,300,000 ■ ?3,600,000 Connda 6,500,000 10,600,000 8. aud E. Africa 10,700,000 17,800,000 The point in these figures is that threo foreign countries, with a population of 170,000,000, bought about £60,000,000 worth of goods in a year, while three colonies, with a population of 12,000,000, took £52,000,000. That is to say that every colonial commercially is worth to the United Kingdom irom twelve to thirteen foreigners. It is facts such as these that may cause the pendulum to swing in an opposite direction. NAVAL DEFENCE. Howc\er much our opinions may vary fn\ fircfereacej there, is a jiueaUon on

which wo aro fairly unanimous, and that, is the advisability of an annual contribution towards naval defence. The enormous wealth of tho Empire, tho extent of its annual productiveness, the. ramifications of its trade and commerce, are so great that few realise their magnitude. To protect these intrests and keep open the highway of commerce it is indispensible to commerce that the British NaVy should maintain its efficiency. The stability of the Empire depends as much upon this as upon anything else. Reaping as we do the incalculable benefits from our connection with the Empire, our annual contribution to the defence of the same should be maintained, and if necessary increased. CABLEGRAMS. An important suggestion made by Sir Joseph Ward during the conference, viz. , that the reduction in cable charges should be eifected, should receive our hearty support. Modern commercial life is not satisfied with the ordinary means of communication, however rapid. Telegraphy by cable a few years ago was regarded in the light of a scientific curiosity. ' Now it is essential to the prosecution and conduct of business. A substantial subsidy, if it it cannot bo effected in any other way, in the reduction of cable charges would be of immense benefit to New Zealand. Time win not permit any reference to the All Red route, except* to say that the pro- j posal needs careful investigation and j that the* subsidy required to maintain such a service at a high rate of speed will considerably out-weight the benefits obtained. CONCLUSION 7 . ' Financially the Chamber has improved its position since last year by £209. The membership now stands at 204, fourteen members have either resigned or died through the year and for the same period sixteen havo joined the j chamber. It is only necessary to semindyou that in innumerable directions, the chamber can do effective work. To ensure success it needs your hearty support, and '"ts membership should be increased to at least 300. In conclusion I -take this opportunity of thanking the secretary, Mr. Carroll, for his valuable help during the year. My acknowledgements are also due to Mr. A. E. Pearce, vice-president, for histready counsel and aid, and to the .numbers of tho council for. the courtsey and kindly consideration shown during my term of office. To tho members present I apologise, feeling that I have trespassed too long on their patience. I promise nnt to err in this direction again I now beg to move trie adoptfon of the report and Balance-sheet. (Applause)