CENTURY OF “PROGRESS”

Evening Star, Issue 23421, 11 November 1939, Page 15

CENTURY OF “PROGRESS”

BACK TO BARTER AGAIN IMPORTING FIRM CASTIGATES GOVERNMENT (SPECIAL TO THE 'StaK.’l AUCKLAND, November 10. A cartoon by Minhinuick (published earlier in the ‘ Star ’) and a list of imported goods which have now been banned or heavily restricted as a x’esult of the Government’s policy of import “ selection ” have been combined bv an Auckland firm in a circular which is being distributed to 3,000 of its storekeeper customers. The circular indicates the effect of import control on the business of F. E. Jackson and Co. Ltd., hardware, crockery, and fancy goods merchants, and a copy has been sent to the Minister of Customs (Mr Nash). “ The enclosed circular, which we are distributing to 3,000 of our storekeeper customers, indicates what your import control restrictions have done to ns, a typical importing hardware house,” says' the accompanying letter to Mr Nash, signed by the managing director of the company, Mr Gainor Jackson. “ We suggest that you and the other members of the-Government should examine this carefully as being an example of how your import control regulations are wrecking import businesses like ours, which have been established for 50 years and whose proud record during that period has been that it has been able to maintain its staff in its entirety during the many trade depressions that have occurred during the last 50 years, ' . ' , Our third period import licenses, from January to June next, will amount only to 15 per cent, of the minimum requirements necessary for us tc maintain our staff Have you and your Government realised the serious effect that these restrictions inevitably have on the question of unemployment? In the ship-breaking and scrap metal section of our business we had an average 82 men employed for two years, but with tfe embargo on the export of scrap iron we were reluctantly . compelled to dispense with all of these employees. Now our importing and merchandising business is to be similarly affected. Out of an average staff of 33 we antipipate that by February-March we will be able to maintain five only, of which three will be directors and only two employees.

“ Do you realise that the last to be unemployed are the employers, and that the unfortunate people that are being hit first are the employees?” the letter asks. “We are very concerned indeed for those members of our staff who have served us loyally over many years, and whose services we will have no option but to dispense with because we will have no goods with which to trade. In our opinion there is (pne course only for the Government to pursue. The Government's policy of coutrol of imports and exports and credits accruing from exports has failed lamentably. After 10 months of Government stranglehold over trade the position has steadily deteriorated. If the Government has the_ interest of the country at heart it will realise that the whole system of control has been a failure; it will wash it out and start de novo freeing trade from the fetters of Government control and allowing banking and finance to be conducted by those who understand it, the trading banks who would ration sterling exchange during the shortage. •’ The whole commercial community is seething with discontent over the mess into which the country has been landed as a result of Government control. If the Government cannot make a better job of governin'; the country than it has done, there is only one course open to it—to resign, permitting a new Government to be elected. The Government has been tried in the balance and found wanting. At present the country is headed for bankruptcy, with the stark fear of widespread unemployment facing that section of the people engaged in trade and commerce ■' P.. S.— ( think Minliiniiick’s cartoon is excellent, don’t you? You will note that in the picture featuring 1940, pur centennial year, there is no baby. Apparently they cannot afford that luxury The tide, too, has gone out, and apparently there are no longer any pipis on the beach. We are certainly in a period of very slack water.” [The cartoon reproduced at the head of the circular is one entitled ‘ A Century of Progress.’ It is divided into two sections,- one showing Maoris on the beach in 1840 watching a sailing ship and waiting to trade for blankets and axes. The other section shows two tattered individuals in 1940 watching a modern steamer arrive and hoping to obtain a few clothes or some hardware.]