THE SHOE TRADE

New Zealand Herald, Volume LXXIV, Issue 22859, 14 October 1937, Page 16

THE SHOE TRADE

STATE OF INDUSTRY SLACKNESS OF BUSINESS REPLY TO MR. ANDERTON MANUFACTURERS' VIEWS

Remarks made by Mr. W. T. Anderton, M.P. for Eden, in commenting on the condition of the footwear manufacturing industry, form the subject of several letters received by the editor of the New Zealand Herald. One of the letters, written by Mr. K. E. Crimp, secretary of the Auckland group of New Zealand footwear manufacturers, is as follows: — "Your report of an interview with Mr. W. T. Anderton, M.P., calls for a few words of comment. r l ho prompt publication of tlio telegraphed inquiry to Mr. Anderton and his reply thereto should have made the position perfectly clear. It is regrettable, therefore, that there are some statements in the published interview which have given grounds tor fresh criticism. No manufacturer whoso machines are idlo and whoso workmen are unemployed would feel pleased with the reminder of how the industry was showing steady progress up to 1935-36. He would find it very difficult to refrain from attributing the present slackness of the trade to the effect of the operation of the recent Government legislation. It is to bo regretted that no advantage was t.iken of the opportunity to make a statement in Parliament of the position of the industry at present instead of devoting valuable time to what is now past history. Delivery of Orders

"It is difficult to see what point Mr. Anderton wishes to emphasise in his statement about the deliveries of orders. Undoubtedly factories in Auckland about six months ago were unable: to deliver some orders without considerable delay. Any delays that might occur at present are obviously not due to pressure' of orders, but may be caused by any one of a number of perfectly good reasons. is, however, one really serious matter that calls for comment. Mr. Anderton is reported to have said: 'Ladies' walking shoes could be bought three months ago for 12s 6d, and to repeat the order today the wholesalers are asking 16s 6d. A similar shoo less than 12 months ago cost lis 3d.' To anyone connected with the trade this statement about the rise in prices over the last three months is obviously wrong. If anything, there has been a reduction in prices over this period. "In order to check the statement of a rise in the pi;ice of shoes from lis 3d a year ago to 16s 6d at the present time, I have obtained statements respecting women's shoes from manufacturers whose output accounts for 75 per cent of the Auckland production. Whereas the increase from lis 3d to 16s 6d is equivalent to over 45 per cent, the highest increase I could find •was only 20 per cent. A majority of the factories showed an increase, however, of from 10 to 15 per cent, with a tendency to average from 10 to 12i per cent. ' : Higher Costs

"There is in'these increases nothing that cannot.be justified by the rise in costs q'ftyith ;laboiir and materials. The Department of Industrie's and Commerce has examined cases of increases in prices, and so far as is known it is quite satisfied that these increases are warranted. _ "Manufacturers agree with Mr. Anderton/ that tho importation of shoes from Czechoslovakia is not. the main factor in the problem. Nevertheless, manv thousands of shoes have come in from that country, and these importations have their effect on the unemployment conditions; in our factories. It is noted with interest that Mr. Anderton is concerned with the state of the footwear . industry in: Auckland, and manufacturers await expectantly the fulfilment of the promise made by the Government that remedial measures will be announced this week." '' Company's Experience On tho, same subject, Mr. F. H. Bridgens, chairman of directors of Bridgens and Company, Limited, * "In perusing the explanation of the member for Eden, Mr. W. T. Anderton, of his remarks regarding the state of the boot trade, I notice some statements which might give a wrong impression. Ho says that Auckland nnanufaeturers •, could not give deliveries earlier than six weeks when placed by retailers.- He docs not make it clear whether he is referring to the position earlier in tho year or at the present time. If it is at present, there are a number of possible explanations of delay. One would be shortage of Bpecial raw materials which come from overseas. . "Another would be the soundness or otherwise; of the account of the retailer. Another reaso?; at the present time would be tho dislocation of the factorv, owing to short-time being worked. If Mr. Anderton would call at our factory I shall be very pleased to explain' to him in detail the effect of the amount of work on hand upon the speed of delivery, and how it is often harder to get an order manufactured quickly when the factory is slack than when it is busy .

Progress Arrested "It was pleasing to road his report of the steady improvement of the industry this last few years, due to the abilities of the workers and manufacturers of New Zealand, but we regret that it has come to a sudden standstill. I frould like Mr. Anderton to give his opinion of the reason. He might say that over-buying of New Zealand goods by retailers is the cause, but the small orders placed in the last few months ought to have meant the exhaustion bv now of surplus stocks and we should be back to our usual busv part of the year. "From our experience tho figures quoted /by Mr. Anderton about increase in prices seem to be all wrong. I do not/know pf any factory of any importance which has increased prices in this wav. In conclusion, I should like to state I have been a worker all mv life, and my; sympathies are as much with tho workers as with the manufacturers.','