AIDING INDUSTRY

New Zealand Herald, Volume LXXIII, Issue 22392, 13 April 1936, Page 10

AIDING INDUSTRY

GOVERNMENT'S PLANS ONEKAKA IRON DEPOSITS RUBBER TYRE FACTORY [by TELEGRAPH —SPECIAL REPORTER] WELLINGTON, Sunday The activities of the Government in aiding industry as outlined by tho Prime Minister, Mr. -Savage, in an interview published in the Herald on Saturday are already under way. They are expected to bo devoloped materially by the complete establishment of the proposed Bureau of Industry under the guidance of the Minister of Industries and Commerce, the Hon. D. G. Sullivan, but inter-departmental investigations have been proceeding for some time into tho prospects for new industries which it is hoped to establish in the Dominion.

The Government has already discussed the possibilities of developing the Onekaka iron deposits, a question which was also receiving the attention of tho last Government before its removal from office. Valuable Assets

When an optiort on the Onekaka company's rights and resources was obtained in 19.34 by Iron and Steel Development (New Zealand), Limited, it was stated that the concessions and assets were valued at £1,132,000. The estimate of iron ore in the Onekaka deposits was 60,000,000 tons, while in addition there was said to bo 15,000,000 tons of limestone and 3,000,000 tons of coal. The new company obtained an independent report from Professor A. H. Tocker, of Canterbury College, who showed that the value of the proposed industry to the company could be approximately £750,000 a year. It was suggested at tho time that a capital of £2,000,000 would be required to develop tho industry. The Government is known to be taking a very definite interest in the scheme, but so far no announcement has been made regarding any possible avenues of State assistance, either by direct subsidy or protective tariffs.

Manufacture ol Tyres Another new industry, the prospects of which have been mentioned, is that of the manufacture of rubber tyres. Actually New Zealand is the only country using motor-cars to a large extent which has not its own tyre factories, and representatives of a large overseas manufacturing firm made investigations into the question some time ago. From a remark made by the Minister of Labour, the Hon. H. T. Armstrong, yesterday, it is gathered that negotiations which were proceeding with the last Government at one time are now being continued. "We have almost finalised the establishment of the rubber tyre industry," the Minister said. It is understood that other proposals which are receiving consideration include the development in New Zealand of the wood pulp industry and sugar beet growing, while attention is also being paid to reef mining, tobacco growing, and the increased use of New Zealand flax in the expansion of the wool pack industry.

ESTABLISHMENT OP BUREAU LEGISLATION TO BE INTRODUCED [BT TEI.ECRAPH —PRESS ASSOCIATION] WELLINGTON, Sunday It was expected that the Employment Promotion Bill would have provided for the establishment of the Bureau of Industry. Actually the work of such a bureau has been carried out by a departmental committee during the last few months. It is now proposed, however, to have the Bureau of Industry set up as a statutory body under legislation which the Minister of Industries and Commerce, the Hon. D. G. Sullivan, is expected to have before the House in the near future, and for that reason the establishment of the bureau was dropped from the Employment Promotion Bill. Other legislation which the Minister of Labour has ready to submit to the House includes amendments to the Shops and Offices Act and the Factories Act. and Workers' Compensation, and a bill dealing with farm labour.