BUSINESS MATTERS

Evening Post, Volume XCIX, Issue 123, 25 May 1920, Page 8

BUSINESS MATTERS

TRADE OF WELLINGTON

.A GENERAL SURVEY

» CHAMBER OF COMMERCE | MEETING.

' A numbei of important business ques bons were discussed at the Wellington Chamber of Commerce meeting to-day An apology was received from the Mayor of Wellington (Mr J P. Luke, MP ), who is at Mangahao * The Chairman (Mr M. Carr) gave a very hearty welcome to Mr R W Dalton, H.M Trade Commissioner in Jfew , Zealand, who has" recently re turned to New Zealand from London In Reviewing the trade of tno Dominion in general and of Wellington" in particulai, Mr Can referred to the business dim „ culties of the war period, when it was impossible to get adequate supplies War conditions prevented many of the us»ual j>re war markets supplying goods, and fresh avenues of supplj had to be lound, After the armistice it was hoped'that conditions would ease, but exactly the reverse had been the fact Probably at no time had hading been more difficult than during the past twelve oi eighteen months The reason was probably summed up m the phrase that it arose out of conditions being |he natural aftermath of the Gieat.Wai r-readaption of machinery, repatna tion of troops, laboui troubles, lessened production, and inflation of credit The difficulty of the New Zealand impoiter 10-day, however, was not so much the price vto be paid for goods, but the question of getting goods at any price It was difficult, almost impossible, to g«t either a firm quotation from over leas or a definite commitment aa to ihipment Some houses" would not ac cept orders at all j others would accept only subject to approximate dates of Ihipment, and on condition that the price paid should be that ruling at date of shipment These weTe facts which were known to e\ery commercial man present

J'A GOD SEND TO NEW ZEALAND " \ With regard to export trade, Mr Carr >aid —New Zealand is so. far from the narkets of the world that this' trade is intimately wrapped up with the question if; shipping. There can be no question jhat the Imperial purchase of many of jur chief articles of production was a to' New. Zealand. It shifted ih,^..responsibility of obtaining shipping acilities'> from the;. New Zealand exporter ».the Imperial Government.- The total unount" paid for the various classes of foods since the initiation of the Imperial WfcHaffe "scheme" ■ to data' has been £138,139,522.

f, Mr. Carr realised that many exporters ijelt aggrieved at some of the developments of "the •Imperial purchase, and, Possibly, in same instances, with a good .leal of justification; but tie believed that ;ihe consensus of opinion of the producing md commercial community of the Dominion was that the Imperial purchase ;was the Dominion's salvation. The handling of New Zealand's exporti.trade during '•She coming season had' been receiving the Tilose attention of producers and men interested in the trade for months past, •md this week conferences were being Aeldto discuss." and consider the many ihspeci^ of; thfj. trade which would in-Hvitably-arise:' Transport facilities must »>lay a leading ■part in any deliberations ;>r negotiations. During the currency of >ihe Imperial purchase there was.nb dif? <iculty regarding financial arrangements; jFhe coming season, however, would inJrtilve financial arrangements for export m a much greater scale than, in pre-war slimes. ■'■ '■'■■ ■'.- ... J A PROSPEROUS TIME. S "With regaw! to local trade," Mr. Carr lentinued,- "we are experiencing prosper- ■ ius times, but there is also no doubt that Jibe apparentprosperity isto some.extent artificial. Very high-nrices are ruling »md generally commodities are in short 'jnpply So long as the Dominion obtains good prices for its exports so long »vill local trade continue to be buoyant.' 3very business man realises that, owing *lo the decreased producing power of a turn-over of, say, £20,000 in ;ralue does not represent the Volume- of ;>rade which an equivalent value would' slave represented m, say,-1914. Undoubtedly the abnormal prices to which Jihe value of goods has advanced compels n disinclination on the part of traders o hold too large, stocks. • There have |>een maby -nrafjings iby prominent public *ncn ofHshe-danger of paying high prices sor land—prices which can only be justified if the properties'are. worked to their iitmost capacity and provided high prices Jor produce continue. Need I point out Jo business men that there is the same •langer regarding over speculation™ high-priced-merchandise stocks. The prudent Jmslness'man is seeing that in these times t}{ comparative--Iprosperitjr he is; making iimple xseserve for any contingencies which. !bay arise.""'"' " "'"'''"■ ; ■|• ■ RAILWAY RATES. . N i Adverting to the question of railways, j,VIr Carr said it:-was evident that if jjhere were to be increases in the cost »if running the railways, the community ivould have to face ■increased passenger and freight rates,:and.in this connection <ie thought it was high time that the Jailway tariff was thoroughly revised. jSe realised that,this;was,a matter which ivas highly technical—the question involved differential rates according to $ie class of service rendered, the amount. V>f handling involved, and the'; responsi- : -lility ashamed by the Department for carried. If the Government 'ranted, the assistance of business men •p. this matter, he was convinoed that the •dght men would be available. ; -CUSTOMS: TARIFF. ; - Mr. Carf-thought' it probable that here would be a revision of the Customs ■ariff in the near- future, and suggested ■hat the idea put forward some years :igo by the Minister for Customs, in 'jddressing that chamber, should be con.jidered: the appointment of three or our business men working in conjuno-. ion with the heads of the Customs De ■■ tartment. They could receive represenations and recommendations from variius trade interests, and from other secions of the community. "I believe," h» ■aid, "that some small commission of -his kind is likely to be very much less • ostly and more effective in drafting prolosals which would -' be acceptable to Parliament than a large oommittee which 'night travel through New Zealand tak--ng evidence from all and sundry." - The • question of State publicity, Mr. .Jarr suggested, was one that should have mmediate and earnest' attention. State • mblicity, both within the State itself, aid on its behalf abroad, had become nefcssary. Following business custom, ttie Itate should proneciite a vigorous adverising campaign now, when New Zealand aarkets werp secure, not waitine forony lossible falling off in the demand for this ountrv's production. The means of loing this should be' entrusted to a Pnbicity Department, under control of the lisrh Commissioner m London, «is well as "n New Zeal.md J In concision Mr Can appealed to ■]1 members of the, Ch?mber to do their itmost jn'divine theVany difficult pit. ■ilems ti> be facpd jn the near futurr Jpnn the p.rwr solution of these de-ivr\-\e r' ffltl nc''"'p*pnance of contentment re! ■j>~itreiHy m Hie present, and in the • p.irs to come. He expressed his approbation of tb«" bval support accoidcd to

him by members of the council, and for the time and attention which thoy had devoted to the affairs of the Chamber during the past year. He also thanked those members of the commercial community who had acterd upon the Railway* Goods Transit Committee during August and September last; and, lastly, but principally, he desired to express his deep sense of the untiring zeal and tact which the secretary (Mr. H. D. Vickery) had displayed during a strenuous year, when every day brought forward more than what- was thought might be cohside.red a sufficient task.

Mr. J. F. Martin, in seconding the report and • balance-sheet, testified to the appreciation of the chamber of Mr. Carr's energy and ability. Mr. Koberts' work in connection with the railway cut was also referred to by Mr. Martin, who then passed to the question of tariff revision. In many sections the Commonwealth tariff operated adversely to New 1 Zealand. • The time was ripe for reopening the question of reciprocity with Australia. New Zealand did not come under the heading of preference shown by Australia to British goods... He instanced the surplus of potatoes in, New Zealand, which could be relieved by sale in Australia—which was short. But New Zealand was cut clean out of this market. Australia was, too, in need of butter and cheese, but New Zealand could not quote low enough to overcome the hurdle of the heavy duty on New' Zealand butter. He'instanced also Australia's demand for oats by reason of a shortage there.

Mr. B. E. Sinclair : "We are short of oats too." .

The report and balance-sheet wero adopted.