OUTLOOK IN AUSTRALIA.

New Zealand Herald, Volume LXVII, Issue 20556, 6 May 1930, Page 12

OUTLOOK IN AUSTRALIA.

CONDITIONS IMPROVING.

FIELD FOR OVERSEAS CAPITAL.

BUSINESS MEN CONFIDENT. Australian business men who arrived by the Aorangi yesterday stated that the Commonwealth was taking her financial and industrial problems philosophically. There was a general feeling that the present depression was of a temporary character. It might last two or moro years, but nothing would shako their confidence in ultimate recovery. Mr. W. S. Robinson, who has largo financial interests in Australia, said the present crisis was not unexpected. Countries in process of development were bound to bo affected by the movement in world prices. Much, perhaps, would depend on America, which, to somo extent, had cornered the world's gold. Australia was a supremoly confident country and would certainly rise to the occasion, said Mr. Robinson, hut a totally now idea of values must bo adopted by its people. Tho Australian worker, for instance, was perfectly equal to the occasion, but lacked proper leadership, Wiso

leadership in overy sphere of activity was moro needed than anything clso. Tho Federal Labour Governnjent was doing all that could be done to ease tho position and Mr. Scullin was showing a comprehensive understanding of tho position.

Encouraging Industries. Mr. Robinson is proceeding to London via America on business connected with his interests and while in England will attend tho Imperial Press Conference on behalf of two Western Australian "and South Australian newspapers. The advantages to bo gained by inducing overseas firms to start manufacturing in Australia were urged by Mr. Frank Goldberg, the well-known publicity export, who is passing through New Zealand en route to tho United States and Great Britain with the object of persuading

largo British and American concerns to open factories in tho Commonwealth. " In spite of Australia's high tariff wall I believe overseas manufacturers will see the folly of loosening their grip on tho Australian market," ho said. "I am confident that when they aVe confronted with the actual facts regarding prevailing conditions they will give serious consideration to the possibility of actually manufacturing within tho Commonwealth. Already a number of British and American firms has made plans to do this, and it will bo an important part of my present journey roiind tho world to induce others to follow suit."

Mr. Goldberg mentioned the recent establishment in Melbourne of a cigarette manufacturing plant for tho British firm of Godfrey Phillips with a capital of £500,000 and the artificial silk manufacturing works of tho Kayser Company.

• ■ Policy of Hard Work. " While it is strictly ' true that Australia is passing through a very difficult period," said Mr. Goldberg, " I find that her position is being completely misrepresented by certain .calamity-howlers who regard every development through dai'k glasses. Australia is very sound 'and will shortly occupy an even stronger position than formerly. Everywhere one sees that the people are serious and determined in their intention to rehabilitate the country's industrial status. Economy is universally evident and tho general realisation that increased production •is absolutely essential is being translated into actual practice. The depression which was, naturally, the immediate sequel to the Government's drastic tariff plan has now been replaced by a widespread determination to make tho very utmost ■of the opportunities provided by that plan. Australia is not enveloped in a fog - of gloom. Sho has sottled down to hard work, and hard work is the world's finest antidote for pessimism." Mr. A. A. Gaffney, of London, who has spent several years in Australia a (id has now come to New Zealand to open .an establishment on behalf of a number of English manufacturing concerns, expressed the opinion that conditions irr Australia were now improving. Thero had .been far too much spending of an unproductive nature in the past, but things were .now being righted. Mr. J. D. Millen, of Tasmania, a member of the Federal Senate, also viewed Australian conditions in a hopeful light. Mr. Millen, who is chairman of directors of Coal Oil (New Zealand), Limited, is visiting New Zealand to inspect tho company's oil bore at Ornata, Taranaki. Mr. Millen said Australia's new tariffs had had the effect of stimulating local industry. Tho Labour Government had faced very serious financial stringency and it was forced to. adopt drastic measures.