CHAMBER OF COMMERCE

Otago Daily Times, Issue 21446, 22 September 1931, Page 3

CHAMBER OF COMMERCE

MEETING OF COUNCIL The council of the Dunedin Chamber of Commerce was held last night, present —Messrs T. C. Ross (president), James Begg, G. Simpson, jun., S. Lawn, J. R. Fairbairn, C. J. Darracott, N. Falconer, J. P. P. Clouston, W. D. Lambert, E. Sliced, R. Duncan, J. M. White, A. C. Cameron, A. Mumford, A. H. Allen, J. B. M'Kinlay, C. J. Wood, H. Turner, W. E. Earnshaw, P. 0. Smellie, J. G. Dykes, I. M'Farlane, R. C. Burgess. MOTIONS OF SYMPATHY. Motions of sympathy were passed in respect to the deaths of Messrs David Scott, A. L. Bolwell, and Dr R. Gordon Macdonald. INVITATION TO UNIVERSITY. An invitation ivas received from Professor Jack, dean of the arts and science faculty, to visit the main University building on Friday, October 2, so that members might become more directly acquainted with the work of the institution. ELECTION OF MEMBERS. The following applications for membership were approved:—R. S. M'Kenzie, Ltd., J. Romison and Co., Ltd., Yorkshire Insurance Company, T. R. Hindle, R. S. J. A. Macdonald. UNEMPLOYMENT WORKS. The executive reported: “The question of the continued wasteful expenditure upon unemployment relief works has been further considered, and a letter has been sent to the Prime Minister, Minister of Labour, local members of Parliament, and other chambers of commerce.” The letter ivas as follows: — At a recent meeting of the executive of this chamber the gravity of the present economic position was discussed, especially in the light of the further serious slump overseas of New Zealand by-products such as tallow, sheepskins, etc., and the further serious fall in wool as revealed by the first two Australian wool sales. The position now facing this country is critical, and the prospects are that the position will be very much worse six months hence unless markets show an upward trend in the very near future. Many farmers are even now in a desperate position, and the business community is going through a phase which will tax their resources to the utmost. Such being the position, the executive of this chamber views with serious concern the continued wasteful expenditure upon unemployment relief works. Gangs of men ranging in number from 20 to 30 are employed about the city, and while some of the work, such as easing curves and widening narrow roads, has a value to the community, a great deal is of an utterly useless nature. The system of supervision is such that even where the work is of a useful nature the amount done is farcical. Owing to lack of funds, local authorities are unable to provide efficient supervision. With some of the gangs it is doubtful if the men average one good hour's work a day. From reports received from reliable business men who are moving up and down the country it would appear ns it this state of affairs is general right throughout the Dominion. This leads us to the conclusion that the present system is wrong, and that the unemployed should be placed under the jurisdiction of, the Public Works Department, or other Government department, which could take steps to classify the men and place as many as possible upon piecework. The economic position is much too serious to tolerate uneconomic expenditure at the present time, and any system which leads to such expenditure is wrong. We urge you to take immediate steps to remedy this position by establishing relief works of a kind where those employed can feel that they are engaged upon work in which they can take an interest, and which would be of permanent benefit to the community. The letter was approved. LAND SETTLEMENT SCHEME. The Primary Products Committee, reporting on the land settlement scheme suggested by the Onehunga-Manukau Chamber of Commerce, set out the main features of the scheme as follows:—(a) That the Government shall acquire lands or set aside Crown lands for developmental work with a view to closely settling same when improved. (b) That camps shall be established to provide food and shelter for suitable single men, who shall be expected to work for their board (or for little more) upon such land, (c) That as soon as a sufficient area of land is improved a ballot shall be held, open to all those working on the job, and the successful applicant shall be provided with sufficient finance by the Government to enable him to stock up with dairy cows and to carry on. A small house will also be provided. The Government to get 5 per cent, interest on its financial outlay, (d) There are many other provisions in the scheme, such as preventing trafficking in leases, etc., but the foregoing outline •will suffice for the purposes of this discussion. The committee had given the scheme careful consideration, and finally reached the following unanimous resolution: — The suggested scheme presents difficulties which are insurmountable while farming is in its present serious position—e.g„ it would be practically impossible to find money for the suggested scheme at the present time. In the opinion of your committee it is not a sound economic proposition for the Government to. acquire land at present values. It is extremely doubtful if any farming land can return 5 per cent, on the capital outlay with primary products at their present level. Generally speaking, farming cannot pay on to-dayV level of prices unless costs of production can be drastically reduced. In the opinion of this committee it is far more important to keep existing capable farmers going than to place new men (and possibly inexperienced men at that) upon fresh areas of land. The committee realises that, generally speaking, it is not economically sound to have to resort to subsidies to assist any industry, but, bearing in mind that approximately £40,000 per week is being expended upon unemployment relief, and bearing in mind that it is desirable to find productive work for the unemployed. this committtee is strongly of opinion that the 4A scheme should be extended rather than that land should be acquired for settlement as suggested by the Onehunga-Manukau Chamber. As you know, the 4A scheme is a scheme whereby the Government subsidises farm labour provided such is used for development purposes, such as draining, gorse-grubbing, etc. Your committee suggests that this scheme is capable of still further development, always provided capable district supervision is ensured. For the foregoing reasons your committee is opposed to the Onehunga scheme, and urges that the Government should make every effort to get costs of production down to a level where farming can pay without any subsidy.”

The report was adopted. EXECUTIVE REPORT,

The report of the executive was as fol lows:—

Stoppage of New Lines. —A request was received from the secretary of the Westport League asking our co-operation in protesting to the Government against the stoppage of the work of construction of the Buller Gorge railway. The executive replied regretting that it could not comply with the request, stating that we considered the recommendation pf the Railway Board in regard to the construction of railways should be upheld. , Wiring Regulations.—A letter as follows was forwarded to the Associated Chambers of Commerce: “We have again been approached by the Dunedin Wholesale Electrical Merchants’ Association asking for assistance in urging that strong representations be made in the proper quarters for giving time for traders to dispose of existing stocks of material, but that in future importers should lodge an affidavit with the Customs authorities that the electrical goods they are importing comply strictly with the Public Works Department’s regulations.” Building Construction Bill,—This matter was referred to the Vigilance Committee by the council. The tee met in conjunction with the executive, and, after -consideration, the following telegram was sent to the Associated Chambers: —“Building Construction Bill discussed by executive to-day, and resolved that Associated Chambers be asked to urge that the Bill be strongly opposed but, if necessary for rehabilitation of actual earthquake area in Hawke’s Bay. the building regulations in the Bill be applied to that district only in the meantime. Will you kindly convey this to committee sitting to-day.”

Non-resident Traders’ Act.—A request was made to the chamber asking that action be taken with a view to having the Act modified. A number of overseas firms refused to pay tax, thus causing friction between principal and agent. The

matter was considered by the Vigilance Committee, and the question was referred to the Associated Chambers, who replied that the question of the payment of tax was one between the principal and his agent. The executive concurred in this view.

Australian National Travel Association. —The president (Mr T. C. Ross) represented the chamber at the function in the D.I.C. on the 16th iust., when Mr Stilling, representing the Australian National Travel Association, opened a display of pictures depicting Australian scenery, Mr J. Heaney.—Mr J. Heaney, of Messrs Scoullar and Chisholm, has retired from business after 51 years with this firm. The executive congratulated him on his long and honourable services and extended its good wishes in his retirement. Russian Timber as Dunnage in Overseas Vessels. —A letter was received from the Invercargill Chamber of Commerce, stating that shipping companies trading between New Zealand and England were purchasing Russian timber in England and freighting some to New Zealand for dunnage purposes. Inquiries made by the convener of the Exports Committee did not disclose that Russian timber was being discharged here, but the real complaint is that Russian timber is used both on the inward and Homeward journeys, thereby depriving New Zealand sawmillers of the sale of their white pine to the vessels when in New Zealand ports. This aspect has not yet been considered. Honey Control Bill.—Telegrams were sent to the Associated Chambers and local members of Parliament asking them to protest against the Honey Local Marketing Board Bill which the executive considers detrimental to public interests and designed to force up price to consumers. The chamber opposes the control system generally. , „ .. . The report was approved, ihe Bull cling Construction Bill will receive further consideration by the Vigilance Committee. RUSSIAN PRODUCTS. L. J. Duflou, New Zealand agents for Russian products, Wellington, wrote stating that after mature consideration and following the advice of friends disgusted at the virulence of the unscrupulous campaign waged against Russian export trade, they had decided, in self-defence, to issue a fortnightly bulletin through the medium of which they hoped to prove by incontrovertible facts the exaggeration and untruths of the many allegations made by interested parties. , , . The executive recommended that no action be taken. This was agreed to by the council. TRADING COUPONS BILL. Mr A. H. Allen reported on his visit to Wellington to give evidence before the Parliamentary Committee on the Trading Coupons Bill. He expressed the view that the Dunedin representatives had done a good deal towards urging the committee to make a recommendation to have a clause inserted in the Bill prohibiting the giving of gifts in or with packages. Mr Allen was thanked for his report, and a similar compliment was paid to ad the representatives. VOCATIONAL GUIDANCE. Mr J. R. Fairbairn reported on the work of the Vocational Guidance Committee, on which he represented the chamber. Up to the present the work of the committee bad been largely .exploitary, and recently Mr Connolly had been appointed the organising representative. Mr Connolly would call on employers, and had already called at schools to ascertain the names of boys who could not find employment at the present time. A register of the boys was being obtained. Quite a number of boys had been placed who were proving a success. He laid before the meeting some details of a scheme for teaching boys farming, and said that the most encouraging success had so far attended the project. The idea was that the boys should be properly trained. The only charge the Government was being asked to bear was a payment of 10s a week for the first year. In the second and third years the Government would pay so much according to the value of the boy’s labour, the farmers contributing a subsidy. The Government, in the Bill that had been drafted, placed the scheme in the hands of the Unemployment Board. The committee had arranged to place 100 boys on farms in Otago, and it had been hoped that the Government would have allowed the scheme to be tried out in Otago before adopting it for the whole Dominion. The Government scheme, however, proposed placing 100 boys throughout the whole of New Zealand, which meant that only four or five would come to Otago. He feared that on that account the scheme would be a failure. The committee would prefer the scheme to be decentralised and left in its hands for trial in Otago before it was extended elsewhere. The president said he was sure the chamber would support the Vocational Guidance Committee, and the matter was left in the hands of the executive. LOCAL BODIES. The executive recommended that there should be a drastic reduction in the number of local bodies in the Dominion. The president said that there were about GDO local bodies in New Zealand, including about 50 rabbit boards. Many of the bodies, no doubt, did honorary work, but they had staffs which had to be paid, while travelling expenses and other items of expenditure had to be met, adding materially to the burdens of the country. Recently he read a report on the hospital system. _ Sixteen > years ago a Bill was introduced into Parliament providing that about 20 boards should be established for the Dominion; to-day the number was 45, each of which, of course, set out to have a first-class hospital. The report also pointed out that if there were fewer hospital districts the sick people could be catered for almost as well as they were at present by means of secondary hospitals in the country districts which would link up with the main hospitals in the centres. In that way a great deal of expenditure caused by overlapping could be prevented. Mr A. C. Cameron said that some time ago Mr Forbes promised to set up a committee to go into the whole question with a view to recommending economies, but the matter had been shelved on account, no doubt, of more urgent business. He pointed out that between 1920 and 1930 the amount of local body taxation had increased from about £10,000,000 to £31,000,000. The chamber had asked for an increase ip the size of counties with a view to eliminating a number of them. Some of the power boards were in a hopeless financial position, and it seemed to him they would never get out of it. It was agreed that the recommendation of the executive be sustained, and sent on to the Associated Chambers to be urged on the Government.