EMPIRE TRADE.

New Zealand Herald, Volume LXVII, Issue 20481, 5 February 1930, Page 12

EMPIRE TRADE.

NEED OF RECIPROCITY.

REVIVAL IN BRITISH INDUSTRY.

COTTON MANUFACTURER'S VISIT

la tlie course of a tour of New Zealand, investigating market conditions oil behalf of Messrs. Browne, Jackson and Company, cotton manufacturers, of Manchester, Mr. S. Gibbins, ono of the principals of tho firm, is at present in Auclo land. According to Mr. Gibbins, Great Britain is on the ovo of a great industrial revival and her manufacturers and exporters are eager to co-operate with tho Empire in an effort to increaso reciprocal trade.

" English firms are now beginning to realise that they cannot lcitvo their business in the Dominions entirely to travellers," Mr. Gibbins said. "In a speech in London some time ago the Prince of Wales, in referring to the importance of trade within tho Empire, advised us to 'send the bosses out to the Dominions. This is what wo arc doing. We realise that the .Dominions arc our best customers and even the oldest and most conservative firms are now awakening to tho necessity for fulfilling the requirements of individual markots to capture trade." Vogue of Mass Production.

Mass-production methods were making steady progress in British industry. In every firm where young men were at the head it was realised that marketing conditions had changed, calling for new methods of production and selling. Through mass-production, British industry was being entirely reorganised. Of course, much remained to bo done but a definite movo was being made in the right direction. " Firms which wish to cater for the needs of the Dominions realise that they must produce goods at a price within tho reach of tho market, Mr. Gibbins said. "It has been found by many firms-in addition to my own that sensible and properly-organised massproduction methods can turn out goods at a low price, and without any falhngoff in tho traditional British quality, -this means of price reduction is far more satisfactory than wage-cutting, as it autoinatically creates a demand for the goods it produces. Spirit of Go-operation. " There can be no doubt that a proper spirit of 50-operation between Great Britain and the Dominions will mean a great industrial revival in the Old Country, attended by prosperity throughout the' Empire. British manufacturers are not looking for a one-sidod export trade. My own firm does the bulk of its business with the Dominions and its policy is ono of definite encouragement of Empire trade. We' carry it to practical lengths by telling our employees that their Dominion cousins pay their wages by buying tho goods they make and urging them in return to buy Empire goods wherever possible. It is a 'sound policy which is meeting with a very considerable measure of success. " I think I can say that many other firms in England aro beginning to follow the same policy. Even forgetting the ideals of patriotism, it is in their own interests to do so, as a greater market for Empire goods at Home means a greater market for British goods in the Empire. *' As for New Zealand products, there is no need for me to comment 011 their high reputation in England. However, I can say that there is still a great potential market for your exports in the north of England. Tho industrial districts there have a dense_ population, the densest in England outsid& the London metropolitan area, and the people are being gradually educated up to buying exclusively Empire goods. The direct shipping of New Zealand products to Liverpool and Manchester would mean the opening of a huge market for New Zealand butter and. cheese. There would be competition from Denmark, but proper organisation would help to thrust home New Zealand's great Imperial advantages." Profit-Sharing Scheme.

Mr. Gibbins said that, in spite of unemployment, industrial conditions in Great Britain woro gradually improving. His own firm was in tho linppy position of having no labour troubles. It operated four mills in und around Manchester, working two shifts a day, with a weekly output of 600,000 yards of cloth. Labour was employed on a profit-sharing basis. Every employee was paid union wages and in addition was given a percentage bonus on his wages on all profits over 5 per cent. The scheme worked most satisfactorily, and even an office boy in the employ'of tho firm drew an annual bonus in the vicinity of £l3.

His firm "had pioneered mass-production methods in the cotton industry, and with such success that it was also able to pioneer in profit-sharing. "Our employees make good money," he said, "but they certainly earn it." He expressed jrre'afc pleasuro at the receptions accorded him throughout New Zealand, and paid a tribute to the soundness of tho market. New Zealand had not gone tariff-mad. and was therefore in a far better position than sonic other countries.