IRON AND STEEL INDUSTRIES

Evening Post, Volume CII, Issue 28, 2 August 1921, Page 4

IRON AND STEEL INDUSTRIES

PROTEST AGAINST VARIATION

OF A PRINCIPLE.

(IT TELEGRAPH.—FItESS ASSOCIATION.?

AUCKLAND, Ist August. Representatives of the Auckland steel and iron industrieis waited on the Hon. J. G. Coatee (Minister of Public Works) protesting against the variation of the principle approved by the Government of giving preference to New Zealand 'manufacturers in Government contracts.

Tlie Minister stated that the question was to be discussed at a conference in Wellington shortly with Dominion iron and steel representatives. His object had been to consider not only the people in New Zealand, but aiso the expediency of a given work, and there was no doubt that this had been rather hampered by lack of competition in New ■Zoa.l-j.nd. In support of this lie quoted four instances in which tenders had been let abroad. For the Hope River bridge, the tenderers had refused to accept any responsibility in delivery. For the BeaJ&y contract only one New Zealand tender, at £16,587, had been submitted, while that accepted was £11,444. For the Point Elizabeth-Greymouth.contract lone Auckland tender, at £2544, was submitted, while the accepted one was £1645. For the Kaihu. -railway, Auckland, the tenders were £3643, and the accepted price was £1975. He was not quoting these figures to show that lie favoured outside manufacturers. It was just a question of how far he was justified in paying an inorsased x price-'iji New !Z&T.land. He was being pressed to complete works which had been hitng up in the Dominioni, and if he could not get guaranteed delivery for material it would only bo holding them . up. Ho was anxious to clear these works up and get rid of t!*em. He certainly favoured some 'preference to New Zealand firms, and, as a matter of fact, an approximately 10 to 15 per cent, preference was given to them. Ho intended to go into the whole question, and if New Zealand had artisans and plant capable of .turning out work it shouk! certainly be given locally. It would bo apparent, however, that he could not form a close corporation, for the whole of New Zealand manufactories, and give them preference irrespective of cost.