FRUIT-CANNING TRADE.

New Zealand Herald, Volume LXV, Issue 20116, 29 November 1928, Page 15

FRUIT-CANNING TRADE.

COMPLAINT IN AUSTRALIA.

GOVERNMENT INTERFERENCE.

A STRIKING DENUNCIATION. [FROM OUR OWN CORRESPONDENT.] SYDNEY, Nov. 21. Because of Government interference in tho fruit-canning industry Henry Jones Co-operative, Limited, intends to reduce its manufacturing activities in Australia to the "irreducible minimum," and to employ tho company's funds in remunerative channels outside tho industry with which the jnmpany has for so long been closely associated. It is feared that this ■will be a big blow to the orehardists in Now South Wales, Victoria and Tasmania, but tho policy, it is said, "must be pursued unswervingly until our political rulers appreciate tho necessity, not in tho company's interest, but in tho national interest, to retire from the field, which, however ardently they desire and hope to cultivate, they have in fact devastated and despoiled." It is stated that in New Zealand, where the company carries out extensive manufacturing operations, no alteration in policy will bo necessary because of tho entire absence of Government interference. Fruitgrowers there, as a consequence, woro now more prosperous than at any timo in their history. In addition, a sane and progressive expansion of orchard development and manufacturing was proceeding along lines satisfactory to all. " Loss to the Taxpayer." The directors say fhat for several years tho development of tho fruit industry in Australia has been seriously affected by Government interference. Tho board had hoped that the political rulers would realise tho follv of so recklessly invading a field which belonged particularly to private enterprise, and that they would have abandoned their "misguided attempts" to benefit one section of tho industry at the expense of tho others, with great and inevitable loss to the taxpaying public. It is pointed out that the support accorded to the so-called fruitgrowers' factories had been commented upon by tho Auditor-General of Victoria as "an innovation in public finance of comparatively recent origin that was contrary to tho piocedure governing tho control of public money." Tho directors state that their companies paid in State taxation alono last year more than £23,000. Ihat sum represented only a small proportion of tho amount that would bo required to liquidate tho losses incurred by tho Government-assisted canneries of \ ictoria and New South Wales.

Auditor-General's Statement. The Auditor-General of New South Wales had reported that the accumulated deficit on the Murrimbidgee irrigation areas was £5,004,864, that tho State canneries at Lceton had cost £1,30,000 in the last three years, and that the immediate future did not promise any relief from what must bo called continued disaster. The official further pointed out that "if privately-owned' canneries could show a profit at the present price of canned fruits, the production costs at the State canneries must compare unfavourably with others." The directors of Henry Jones Co-opera-tive, Limited, say thai so long as the State Governments are prepared to stand such losses it is impossible for the company to compete. I'tirther than that, the matter was of vital importance to the t«\payers in general. Great investments of Government capital had been made, and heavy annual working losses incurred in "a misguided endeavour to drive vale enterprise, out of an industry which it, has established unaided by any Government, and which experience had proved conclusively could lie managed effectively only by private enterprise."

PINEAPPLES IN FIJI. IMPORTANT UNDERTAKING. OPENING OF NEW CANNERY. [ FROM OCR OWN ruKR rSl'OM'i NI • 1 SUVA, Nov. 22. Fiji's first nOn-Government, pineapple cannery was opened last Friday by Airs. Hewitt, wife of Commander Hewitt, ono of the directors of the Fijian Pineapple Company, when she switched on the power ant', started the plant. The Governor of Fiji, Sir Eyre Hutson, the Colonial Secretary, Mr. Seymour, the Chief Justice, Sir Alfred K. Young, and almost all tho heads of Government departments and business men of Suva with their wives were present at the ceremony. Commander Ilewitt said that while tho cannery was a small one it would be very much bigger next year, but would not bo in Suva. It is Ilie company's intention to erect a modern cannery on the, island of Ovalau on tho Waidau estate, tho company's property. Referring to possible competition, he said there was rio reason why all parties interested in the industry should not work together in co-operation and friendly rivalry. The Governor, Sir Eyre Hutson, said lie hoped that the lead given by tho company would result in the greater development of a new and important industry in Fiji. Ho referred to the experiments which had been carried out by the Government in conjunction with Canadian Canneries, Limited, and suggested that, it was the, outcome of these experiments that Commander Hewitt and his company ha<l entered tho industry to place it on a proper basis. On the first, day's run a little less than six tons of fresh fruit from the Waidau and Suva districts, 210 cases, or 5010 cans, were turned out, the waste being surprisingly small. The capacity of the fac•orr was set flown at 6000 cans for each 10 hour day, but on the opening day tho plant only ran for 6i hours. Messrs. Barnes. Gleghorn and Hoyt, of the Hawaiian Canning Company, who are visiting Fiji inspecting possible sites for pineapple plantations and canneries with a view to extending the Hawaiian industry into Fiji, havo just returned front a four of the colony. They were accompanied by Sir Mavriard Iledstrom, the Colonial Treasurer, Mr. Rushton, and the Superintendent of Agriculture, Dr. Tothill. They visited many suitable sites, both private property and available on leaso from the Government.

The Legislative Council lias agreed that for the next four years duty on all machinery imported to the colony in connection with the pineapple industry he refunded; that no export tax bo levied on canned pineapples being exported from the colony for the next 10 years and, finally, that the import duty paid on sugar, materials for cases, tin plates and partly made tins for use in the canning and packing of pineapples bo refunded. In addition the Government is assisting in every way possible the furtherance of inquiries bv those interested, such as the Hawaiian party, for whom it provided the Government yacht Pioneer free of charge.