N.Z. MAIL PUBLISHED WEEKLY. FRIDAY, OCTOBER 29, 1886.

New Zealand Mail, Issue 765, 29 October 1886, Page 16

N.Z. MAIL PUBLISHED WEEKLY. FRIDAY, OCTOBER 29, 1886.

A remarkable instance of conversion from pernicious error to sound truth has just come under our notice. It will be remembered that some weeks ago we had occasion to draw public attention to a grossly unfair and unfriendly article on New Zealand, which appeared in the Sydney Morning Herald. ¥e fully exposed at the time the glaring fallacies and mistakes of the article in question. Evidently its injustice and inaccuracy have been proved to the conviction even of the Herald,for a recent issue of that journal contains a leading article couched in a totally different strain. The contrast between the two articles is so striking that we feel convinced, that our Sydney contemporary must, in the former case, have been unwittingly the victim of some wilful misrepresentation, for nothing could be fairer or more generous in its recognition of this Colony’s merits and position than is the latter article. Its text is the floating of the new loan, the price of which is more favourably viewed in Sydney than it was here. The Herald remarks with reference to the present aggregate of New Zealand indebtedness : : —

The amount is undoubtedly large ; put it is satisfactory to know that the last loan was only made to carry out previously authorised railway lines, and some public works ; and. that there is a growing feeling in opposition to further enlargement of the debt. From several sources we learn that New Zealand, which has so long been in a state of depression, is beginning to prosper. No one, of course, ever doubted the recuperative power of the Colony. The question of recovery is only one of time. A temporary cessation from borrowing, a few good seasons, and a moderate prise level for its products would speedily, suffice to put affairs on a satisfactory footing. The people of New Zealand are full of energy, and they have shown great determination, in developing the agricultural, pastoral, and mining resources of the country, and in the prosecution ot shipping, commercial, and other industries needed in the building up of a vigorous national life. , . ' Proceeding to review the progress made by New Zealand in the last five years, and the “ wonderful resources of the Colony, the Herald observes : “ When a period of depression is spoken of the idea of progress is hardly suggested, and yet coincident with this era of depression the Colony has made a very rapid advance in population, wealth, and trade.” It goes on to point out that in the short space of five years tlie population has iucreased from 482,000 to 578,000, the iotal aeeording to the census returns of April last ; this increase being equal to very nearly 20 per cent., while in the same period the increase in Australia was only at the rate of 18 J per cent. The Herald points out that while this is in part due to a considerable immigration which, despite the depression, has taken place, it is also due in part to a low mortality rate, the death-rate per thousand being 10-39, compared with 14-16 per thousand in Victoria, and 21-3 per thousand in Great Britain. But, it goes on to show, the Colony is growing in wealth as rapidly as in population. For instance, its sheep returns, 14,546,801, exhibit an increase of 3,016,178, or 26T1 per cent., for the quiuquennium. The increase in Australia is given as barely 2 per cent. The growth, in the wool production has been still greater, the rate being no less than 43 per cent. Its production of 88,265,3391 b of wool represents 6"071b per head, whereas the yield in previous years was only 5-331 b per head, as compared with a yield of 3’Blb of wool from the Fiver Plate sheep. It is urged that if allowance be made for difference in freight and expenses of sale, the net yield to the New Zealand grower is 3s 9d per sheep, against a fraction over ls .5d per sheep to the Fiver Plate grazier. Fuither, our Sydney contemporary admits that New Zealand yields far more wheat, oats, barley, potatoes, and bay per acre than any Other Australasian colony, the production ol wheat beinquite double that of the Australian figures. XsoTj from tli© reduction, of

the acreage under grain, are we to infer that there is less agricultural industry in New Zealand than there was five years ago. It has simply taken a different form. An addition of about two millions of acres has been made to the area of artificially-sown grasses, and the absolute area under cultivation, amounting to 6,740,993 acres, is nearly 40 per cent more than in 1881, the artificially-sown grasses being used in the fattening of stock, to which the people of New Zealand are more largely turning their attention. “When it is said that-the ratio of cultivation in New Zealand is 11*65 acres per head of population against barely 1 acre per head in England, some conception may be formed of the extent to which New Zealand is extending its landed industries.” But the Sydney Morning Herald fully recognises that it is not merely in bucolic pursuits that New Zealand has made substantial progress. It adds the following striking observations on the general development of this Colony’s trade: Concurrently with this development of pastoral and agricultural enterprise there has been a vast expansion of production and export. In the case of some twenty minor products and manufactures it is shown that the exports since 1880 have increased from L 255,000 to L 1,360,057, or by over 400 per cent Within five years a frozen meat business’to the value of L 373.857 per annum has sprung up. The value of the trade in butter and cheese has increased over twelvefold. The export of timber is worth three times what it was five years back. The coal mines have been greatly developed, and the export has increased sevenfold. Where animals were shipped to the value of L 2352 in 1880, the total in 1885 was L 89.290. And, despite the reduced prices, the export and import trade of 1885 was valued at L 14.299.860. against Ll2 514 703 in 1881, an increase during fcur years of over 14 percent.; whereas in the same time there had been a very great decrease in the value of the trade of the United Kingdom, France, and the United States. Other evidences of the growing wealth of the country are found in the deposits in its banks of issue and savings banks, the ratio per head being slightly in excess of the total five years back. The official value of the rateable property rose from L 93,882,000 in 1882 to L 100,532,000 in 1885, though it is doubted whether the valuation really shows the full increase. In provision for the conduct of its trade it takes a high place, as it owns a steam fleet with a tonnage nearly twice as great per head as Australia; and in this particular it comes next among the countries of the world after Great Britain. Moreover, it provides more capital than any of the Australian colonies for the insurance of its own and neighbors’ property, This is a very complimentary but perfectly fair picture of the remarkable progress which New Zealand, even during a long period of severe depression, has been able to show. Hot unnaturally the Herald proceeds to ask:—“ With all these evidences of wealth and progress, how is it that the trade of the Colony is depressed ?” Of course, our contemporary says, the answer is that it is so heavily in debt. Too large a proportion of the proceeds of production has to go abroad to pay interest, and too little to swell the wealth of the colonists. Nevertheless, it contends, the borrowed money is reproductive, giving to the Colony something in excess of what is paid to the capitalist; and it may be expected that every year the growth of population and the accumulation of wealth will diminish the burden of the existing debt. It is pointed out, indeed, that some diminution has already taken place, for even with the addition now made, the debt is about 16s per head less than in 1881. Simultaneously with the increase of wealth and industry there has, tlierefore, been a relative diminution of debt. And, with the magnificent resources of soil and climate possessed by the Colony, the debt must continue to diminish, and the burden be less felt, if the temptation to further borrowing be resisted. On this last head the Herald speaks very forcibly. It says : The Colony has done enough foundation work in the construction of railways for the next decade. It has a larger mileage of railways per head of population than Australia, or any other country in the world ; and if it settles all the country within easy access of land and ocean steam communication before enlarging its debt to open up other lines, its early prosperity will be assured. One of the most hopeful signs is the fact that the Government was but lately defeated on the loan proposals. Parliament _ strenuously opposed any appropriation tor railway works not previously authorised, and struck out L 175,000 for the extension of certain lines, and it may be hoped, therefore, that the Colony will be content to expend the sum now raised to complete previously authorised lines and public works, and thereafter _be satisfied to subsist on the increment of its own resources.

This hope is based on a misconception as to the work still remaining to be done in completing our internal lines, which, of course, cannot be finished with the last loan. But apart from this point, it must be cordially recognised that our Sydney contemporary has at last taken a strikingly fair and accurate view of New Zealand’s position and possibilities. The article is a very able and interesting one, and is calculated to do this Colony service in clearly dispelling many erroneous ideas ; and even we

ourselves, the colonists of New \ Zealand, who are perhaps too apt to despond in “ dull times,” may in this instance derive both comfort and encouragement from “ seeing ourselves as others see us ”