EXPORT VALUES FLUCTUATIONS

Northern Advocate, 9 December 1937, Page 6

EXPORT VALUES FLUCTUATIONS

In anot her column of this issue, wo publish statistics showing; the Dominion’s export figures overi the last 20 years. Those export figures include specie. If will be seen that in 1928 the Dominion reached the. record figure of £50,188,481. The following year, 1929, there was a slight decline, and the figures were £55,579,063.; From that date, New Zealand’s income dropped disastrously (by approximately £11,000,000 in 1930) to £44,940.692, and (by another £9,000,000 in 1931) to £35,153,028. The actual drop in income from 1929 to 1931 wasi £20.420.035, or 36 per cent. The problem facing the country at that period was to do with, the taxation from an income of £35.000,000 what it previously didi in 1929 with an income of; £55.000,000. It will he seen that in spite of (he increased produc-j lion of tiie farmer, the incomej dropped enormously because the I purchasers of New Zealand pro-1 duee overseas were not in a posi-| tiou to pay higher prices for it.| It is unnecessary to remind ourj readers of the years 1931. 1932,: and 1934. •when the country’s in-1 come from produce sold overseas | was well below the average of tlie j previous ten years, when it was approximately £44,000,000 a year. The years ’3l. ’32. ’33 and ’34 undoubtedly contributed to the downfall of the Coalition Government, because it had to make economies to bring its expenditure within its attenuated revenue. For this the Government was soundly chastised by the electors, but it should lie remembered that when it left office, the country’s finances were sound. The years ’35, ’36, and ’37, from! .Time to June, show a very differ-j out stale of affairs, the income for I hese 1 hrec yea rs respectively be- j ing £42,418.351. £53,188,515, * and I £64.138,736. ll will be seen that j the farmers’ income for the 12j months ending .lime, 1937, was] £64.138,736, or approximately

CR,000.000 more than the highest previous record of C 00.000,000 in 1028. The present Government has a very large income from which to levy taxation for Sia I e purposes. Obviously, a fall In prices would reduce the basis for taxation and the country’s income from this reduced, source must shrink.