ONAKAKA IRON

Nelson Evening Mail, Volume LVI, 17 July 1925, Page 4

ONAKAKA IRON

BOUNTY INCREASED TO 30/- A TON

(From our Parliamentary Correspondent)

WELLINGTON, This Day

In order that the Onakaka Iron Company may be put in a better position to meet foreign competition in respect to the local supply of iron ore, the Iron and Steel Industries Amendment Bill wai-i brought down by Governor-Gene-ral's message in the House yesterday afternoon. It authorises an increase in the bounty payable to the company from 12,- to 30.'- per ton. The Minister of Mines (Mr Anderson) stated that the company had expended £IIO,OOO, but in order that it might compete against cheap labour by which iron ore was produced in India and other countries, it. was desirable that the company should receive some assistance bv wav of extended bounty.

The Leader of the Opposition (Mr M illord) askeu whether an estimate could be given of the probable amount of the bounty on output for the next twelve months, also would the amount of subsidy be retrospective. The Minister replied that lie would give further information on the second reading of the bill, but the some of money laid down in the original Act would not be exceeded. The bill would enable the bounty to be made payable to the company earlier than what was proposed before. He would sav that payment would be retrospective, although that did not matter very much, as the production of iron ore had not been very great up to the present time. The object ot the bill was to assist the countrv.

Mr Atmnre telegraphed yesterday afternoon : "Pleased to inform you that the Iron and Steel Industries Amendment Bill ha,~ just been read a first time, providing for the payment of a bonus of 30/- per ton. Messrs Atmore and Hudson made strong representations' to the Government to bring down the above legislation.