Disposing of Wool.

Horowhenua Chronicle, 29 January 1921, Page 3

Disposing of Wool.

A SELF-RELIANT POLICY

It seems hardly credible that New Zealand wool growers should be satisfied to pay heavy freights on not only the wool exported to the manufacturing countries, but'also on the seeds, burrs and otheir foreign substances the wool contains, and that the wool user, on the other hand, should be content to pay two or three middlemen's pro 7 fits, the return freight and a heavy customs duty on the returned manufactured article. Yet this is what the Dominion has been doing ever since it became a wool-producing country. Of course the lower-paid labour of other countries was a big factor in preventing the Dominion competing on even terms with outside countries. Since the war, however, the labour cost, particularly in the Old) Country, has more nearly approached that of the Dominion, and New Zealand has' been able to turn out manufactured goods at prices that compare more' than favourably with our rivals. The utilisation of cheap

water power is going to give the Dominion a still greater advantage, so that the prospects for manufacturing enterprises are particularly bright. The N.Z. Co-optiative Woollen Mills, Ltd., propose to establish woollen mills in proximity to, the Horohora hydro-electric system m the Waikato, and to deal co-operatively with woolgrowers andi users. That is to say, shareholders will receive a fixed rate of profit on their. capital invested, and the surplus profit will be used tb pay bonuses to shareholder-wool suppliers, and rebates on purchases to share-holder-wool users. In addition to manufacturing woollen materials, the company intendl to treat burry and seedy wools scientifically, so as to enable' farmers to place same on the market morei profitably than at'present possible. Mr Armstrong, the general manager, has had considerable experience in the treatment of burry wools, both by carbonising and mechanical proceses, and the first efforts of the company will be to erect the most up-to-date plant for this work. Machinery for the purpose can be obtained at a reasonably early date, and it is felt that the company's operations in this direction will be of great value and' assistance to woolgrowers. Messrs. Joplin. Stallard and Oarmichael, Ltd., Levin, have been appointed brokers for the Wellington district, and are in a position to advise those interested in the details.