KAURI GUM INDUSTRY

Northern Advocate, 6 February 1934, Page 11

KAURI GUM INDUSTRY

FUNDS FOR RESEARCH. APPEAL TO GOVERNMENT. NO MONEY AVAILABLE. " (Special to "Northern Advocate.”) ' AUCKLAND, This Day. . In order to find ways and means of placing natural gums in competition with synthetic gums, the American Gum Importers’ Association desires assistance in the matter of research work and the. Auckland Kauri Gum Industry Association has asked the New Zealand Government to accede to the request. In reply,* the Prime Minister, the Rt. Hon. G. W. Forbes, to whom the matter was referred by the Minister of Lands, the Hon. E. A. Ransom, pointed out that owing to financial difficulties, finance could be provided only from the levy under the Kauri Gum Control Act. As it had been proposed to remove the levy, this aspect will; be considered at the meeting which (is to be held by the Auek-, land Association on Wednesday. ■!

In its letter to the Minister of Lands the association ; said: —“The Kauri gum industry is in a critical position. -The advent of synthetic gum'/'and quick-drying lacquers and va/uishes has been responsible for the better grades of kauri ■ gum being;, almost wholly neglected. This is shown by the fact that normal shipments have dropped from 8000 tons a year to about 3000 tons, of which less than 20% is used for the manufacture of varnish.” The American association in its work to improve the position in regard to natural' gums, has been assisted by various countries producing natural gum. New Zealand exporters have been voluntarily subscribing to the organisation, but, owing, to depreciated business, the dhiount subscribed has fallen a long'way short of that required to make a success of the work.

“In view of the critical position, we feel compelled to ask the Government to provide funds, or to send a representative to assist the American Gum Importers’ Association in their research,” the letter added. In reply to the letter, the Prime Minister stated that such a work could only be financed from the levy, and asked whether the association would approve, of the whole of the levy being used for research in the manner suggested, it being understood that the association should be joined with the Research Committee of Control set up to conduct the research. The attitude of the association will be decided at Wednesday’s meeting. “For a period during the past several weeks, the kauri gum market was fairly active, but at present there is little movement,” said Mr. E. IT. Mcllveen, chairman of the Kauri Gum Industry Association, “We are depending upon England for a market for kauri gum, exports to the Continent ami America hove fallen away. 1 ’ It appears that overseas interests are buying on a hand-to-mouth existence. This was indicated by the fact that American buyers did not take advantage of movements of the dollar, but

only replenished stocks when they were obliged to. The Association has been successful in obtaining a reduction of 5/- a ton from the Overseas Shipowners’ Allotment Committee on freight charges for kauri gum, the reduction having been made effective from February 1. “I consider the Government would be wise to foster which will result in improvement in the kauri gum industry, for kauri gum is one of the New Zealand primary products America is willing to take from the Dominion,” said Mr. Mcllveen.