KAURI GUM INDUSTRY

Manawatu Standard, Volume XLV, Issue 192, 18 July 1925, Page 6

KAURI GUM INDUSTRY

PROPOSED BOARD OF CONTROL. BILL BEFORE PARLIAMENT. Per Press Association. WELLINGTON, July IT. In tlie House of Representatives this evening the Hon. A. D. McLeod, Minister of Lands, moved the second reading of the Kauri Gum Control Bill, the purpose whereof is to constitute. a hoard to control the trade ill gum. The hoard is to he made up of two representatives of the Government (one whom is to he chairman) one from the exporters and two from the producers, it is to he empowered to prohibit the export of kauri gum except under certain conditions and under license from the Minister on the hoard’s recommendation.

Replying to criticism by Mr Masters of the fixing of the price of gum being left open, and the fixing of the levies delegated to the Minister, the Prime Minister said the prices of gum were not stable like those of hotter and meat, and it was very difficult to assess the levies in advance of the market. Lately prices had been very low, and the Government had come to the assistance of those engaged in gum digging. % Touching on a suggestion hv Mr Murdoch that gum might he utilised in the manufacture of varnish. Mr Coates said the Railway Department was already testing varnish making from gum according to a formula prepared by chemists. In reply to an interjection, Air Coates said it was a mistaken policy for the State to become permanently involved in Ihe provision ofc. financial support in this or any other industry. Such a course was only justified to assist individuals who were sorely pressed and to enable, them to weather had times, which came in cycles. Then, when the market reached a profitable level, the State should quietly disappear. At present the Government was involved to the extent of about £513,000. The industry was likely to he a useful one for tho next two centuries.

Mr Holland said the industry was really a national one. and the Government ought to buy gum from the diggers and market it, eliminating the middlemen. In this way it would enable the diggers to get the* fullest share of the product of their labour. As the Government was unlikely to do that, they must in the meantime avail themselves of whatever benefit was obtainable through the medium of the bill. . . Air Young pointed out that the sad plight of some of those engaged in the industry was due to people being led away by tho high prices realised a few years ago and the investing of money in worked out lands irom which they obtained chip gum. r l bis involved the introduction of expensive machinery and when prices slumped the diggers were in trouble. 'I he aid given by the Government was nothing more, nor less than a dole. He doubted the efficiency of a control board as a. means of rehabilitating the industry, hut if the hill could bring an improvement then let them have it. Air Savage hoped that those actually engaged in digging gum would he protected by being assured of access to the fields. The .Minister of Lands, replying, said tho Government had recognised that in several industries subject to fluctuations m markets control in one of two ways must come; either State control or industries control. He had yet to learn that State control in any country had proved successful. Those engaged in an industry should he best qualified to undertake control, and in certain circumstances tho State might he justified in giving assistance. The Alinister agreed with Air A. Bell that every opportunity should he given to diggers on exhausted fields to take up land for farming. Regarding the levy. Air AlcLeod said it had been suggested that there, should he I ) per cent, levy on export, which would yield about L(iooo._ and 2} per pent, on sales, producing £7500. This should be ample to meet all costs of control. The bill was read a second time on tin' voices and referred to a special committee.