UNWARRANTED ACTION

Evening Star, Issue 22890, 23 February 1938, Page 14

UNWARRANTED ACTION

SPRINGS ORDERED FROM AUSTRALIA

A' message from ’Auckland published in last night’s ‘Star’ stated that Auckland manufacturers were very indignant because an order for the manufacture of some thousands of laminated wagon springs for the Railway Department had been placed in Australia, principally because increased labour costs in New Zealand had necessitated a rise in the price of the Dominion-made article. Previously these springs had always been obtained from New Zealand factories. The statement has drawn comment from a local manufacturer who sent forward a tender when these were called for. Soon after the date on which the tenders closed he received a visit from a member of the Railway Department who had gone further into the matter, and sought also a definite delivery date. The particulars given had' met with approval and the manufacturer was told that his date of delivery was much better than had been anticipated. The discussion ended there and the manufacturer was quite confident that he would be given the work, more especially as he knew that his tender was the lowest submitted. He was consequently very much surprised when he was later advised that his tender had been declined and that the order had been placed in Australia. He considers that the Government would not be likely to obtain a cheaper price in Australia, even taking higher costs in New Zealand into consideration.