New Zealand's Problems As Seen by Upper House

Manawatu Times, Volume LIV, Issue 6645, 4 September 1931, Page 8

New Zealand's Problems As Seen by Upper House

BASIS OF PROSPERITY IS THE LAND.

SHIPPING COMPETITION IN PACIFIC.

Per Press Association. WELLINGTON, Last Night. The Legislative Council met at 2.30. The Judicial Proceedings (regulation of reports) Bill and the Distress and Replevin Amendment Bill were received from the House, and read a second time pro forma and referred to the Statutes Revision Committee. Continuing the debato on the ‘lmprest Supply Bill (number 3), Hon. J. A. Hanan said the World War had brought in its train economic chaos and at present one country was challenging all the others by new and revolutionary methods of production. This challenge would have to be met as it was no use adopting an attitude of smug complacency. The basis of New Zealand's prosperity was the land and until the farmers’ position was tackled the Dominion was not going to. regain stable conditions. Tho situation demanded courage, for drastic measures were required. In New Zealand there had been a steady growth of bureaucracy and responsible representative Government wa3 collapsing. More and more people were being brought, into the employ of the State or receiving State grants and those footing the Bill were decreasing. As the costs rose it was absolutely necessary there should bo strict economy. Hon. J. B. Gow stressed the need for quickening land development by attracting investments into the land. He deplored the fostering of secondary industries at the expense of the Test of the people and the primary producer in particular. The cost of production was too high. A Court had been set up to deal with the wages question and it had run amok. It had only after severe pressure and the object lesson it. had received from the State made a ten per cent, cut in wages. Sir James Allen said competition by American shipping lines in the Pacific was conducted on an unfair basis. He referred to the United States marine laws which authorised the payment of heavy subsidies to shipping companies and restricted British, ships in American waters. He said it was unfair to place competition on such a basis. He did not suggest retaliation, but considered the proper course to take would be to represent the case to Britain. He believed a round table talk with American representatives would do much to remove the injustice. Hon. D. Buddo suggested that the land tax should be abolished at present in order fo relieve the farmer. This tax had been imposed primarily to prevent aggregation, but that could bo prevented by other methods.

Sir ,Heaton Rhodes said there should be a big appeal to the to take action against American shipping compgtition in the Pacific. New Zealand and Australia should jointly ash Britain to make an effort to place the competition On a fair basis. The Union Company could not possibly compete with the Matson Line under present conditions. The object of the United States was to drive a British mercantile fleet off the seas and build up a strong auxiliary to the navy. In reply Sir Thomas Sidey said the question of shipping competition v;,s being'carefully considered by the Government at present and the suggestion that .appealed to him was that .rcorc-: scntations should be made to t.hc imperi&tf authorities. The Bill was put through all its stages and passed and the Council rose at 4.50 p.m.