THE NEW YEAR

Otago Daily Times, Issue 21531, 31 December 1931, Page 8

THE NEW YEAR

PRIME MINISTER’S MESSAGE GROUNDS FOR CONFIDENCE DIFFICULTIES STILL TO BE FACED (Pen United Press Association.) WELLINGTON, December 30. The following New Year message to the people of the Dominion has been issued by the Prime Minister (Mr G. W. Forbes) ; “On the threshold of a New Year the time is not inopportune to take stock of our position in order that we may profit by past experiences, and at the same time gain encouragement in meeting and overcoming our future trials and difficulties. “The year just closing has been a trying and anxious one. It opened with the promise of better times, prices appeared at length to have reached rock bottom, and it was confidently anticipated that the depression was lifting. Unfortunately, those hopes have not been realised. Our exports, while attaining their previous volume, have shown a further serious fall in value. For .the 11 months ended on November 30 last the declared value of our exports amounted to £32,000,000, compared with £42,000,000 for the same period of last year, a reduction of not less than 25 per cent. This decline in the national income has of necessity permeated the whole social fabric, and both individually and collectively we have been compelled to do without many things that we were able to afford in more prosperous times. “ The past year has boon one of severe trial, particularly for the primary industries, and the low values ruling for our main exportable products have caused serious difficulties for. the farmers. It is a source of gratification to realise that financial institutions and mortgagees have generally done their best to assist the .primary producer to carry on. “In a country such as New Zealand, so largely dependent upon the products from the land, it is naturally essential to continue to strive for an increased output, always improving in quality, to offset in some measure the reduction in commodity prices. The gap cannot be completely bridged in this way, but the advantages of increased production will only be fully realised when more normal times return. It is satisfactory to note that the volume of output from our two great industries —sheep and dairy farming—has further advanced during the past year, and the quantity of fruit exported has also increased. Butterfat production for the season ended July last increased by 2.5 per cent, over the previous season, and for the first four months of the present season an advance of 3.85 per cent, has been registered. While the export trade in lamb has shown a marked increase, the prices for wool, which has hitherto been the mainstay of the sheep industry, have been more adversely affected by world conditions than any other commodity, and thus sheep-farmers as a class have felt the depression probably more keenly than any other section of producers. “ Unemployment, which is still one of the greatest problems facing the nations at the present time, has been a matter of special concern to the Government, and every effort has been made, and will continue to be made, to absorb in occupation those who are unfortunately out of work. In this connection the co-operation of every section of the community is necessary, and this in the past has been willingly given. It is therefore with confidence that we appeal -for a continuance of this community effort. “ On the facts at present available it is probable that continued sacrifices will bo called for. The position, however, is not without its compensations. For the II months ended last November our exports exceeded imports by no less than £9,000,000. Thus New Zealand’s overseas trade continues to preserve a favourable balance. “ A serious position developed in connection with the provision of funds to meet overseas commitments, but as has been recently announced the Government has taken preliminary steps to meet the difficulty by arranging with the co-opera-tion of the banks for the pooling of exchanges. “ Important world conferences are set down to be held early in the New Year to discuss problems of a far-reaching nature, including disarmament and war debts, reparations, tariffs, etc. A satisfactory solution of these problems is of great moment at the present time. In addition it is hoped that mutually advantageous arrangements will be effected as a result of the Empire Economic Conference to be hold at Ottawa during the coming year. “ A potent factor for us in world affairs is the stability of the British Empire, and recent events have indicated that the British race, as in the past, faces a real crisis with a determination and solidarity. In these times, particularly, a great degree of co-opera-tive effort is required, and it is hoped that this spirit will prevail during 1932. When many of the present obstacles to a real revival of world trade and commerce are removed, we can look forward to an era of better times in which the Dominion will share. “I feel that we can face the New Year with confidence, fortified with a resolute resolution to shoulder whatever burdens the future may hold in store for us. I extend cordial greetings to my fellow-citizens on the beginning of the New Year, and sincerely hope that the present clouds of depression will lift materially during 1932.