GOLD TO RESCUE

Otago Daily Times, Issue 22356, 1 September 1934, Page 12

GOLD TO RESCUE

SOUTH AFRICA BENEFITS MINING A GREAT FACTOR. The improvement in the world economic outlook which for some time ha* been in evidence in New Zealand ha* been noted also in South Africa. While the process is a gradual one, it would appear to- be deiJjLute and general* although South Africa, like other countries, still has problems to face. Si eaking at the opening of the rr*» vincial Council. Capetown!, last mouth, the Administrator, Mr J. H. Conradie, said; —“We may deem ourselves fortunate that this session takes .place under more auspicious circumstances than HM been the case for three or four years in succession, and that our prospects in almost all directions are appreciably brighter. By this Ido not wish to imply that all our financial troubles ar* over, or. at any rate, are ended tor a considerable time; tor, although a decided change for the better has set m on all sides, it would appear to me that the revival which seems to be manuesting itself in so many directions can easily be overestimated. . . “In spite of our seeming return to prosperity.” said Mr Conradie, “ there are too many disquieting elements present, as, for instance, the still bo widely-pre-vailing poverty : and unemployment,: uO convince one that the position is quit* sound. It seems to me thau our PJ ese ™| recovery is, to too large measure, due to the amazing prosperity of only one largo industry, namely, the goldmining industry, while that prosperity again must be attributed largely to the abnormal price of gold. The slightest setback which the gold industry may suffer will immediately react unfavourably on all other branches of our economic system. • “ I would, therefore, warn you beforehand that when I announced that the financial year has ended far more favourably than we estimated, you should nol regard this as conclusive proof that wo have definitely returned to normal times.” , , , In Rhodesia, too, the mineral production continues to soar and record outputs are indicated this year. In the Bulawayo district in April there were 24.366 gold claims current, compared witn less than 20,000 in the corresponding month last year. Many farmers were said to be abandoning—in some cases with success—their agricultural and pastoral occupations for gold mining. The aggregate gold output of Southern Rhodesia for the first four months of the present year was 226,9620 z, compared with 199,8040 z for the first four months of last year, while the increased premium raised the value from £1,238,055 to £1,510,103. , . ~ Forecasts of an increase in Northern Rhodesia’s copper output also materialised. From 943,404 tons, valued at £305,920 in March, the territory s output of this mineral jumped April to 1,298,881 tons, valued at £427,850. This brought the total amount of copper produced in the first four months of the year to 4,095,146 tons, valued at £1.345,114, "compared with 3,012,195 tons, valued at £865,723, for the corresponding period of last year. , That members of the public generally t are able to pay their .way and yet make increased savings is indicated by striking figures quoted by the Pretoria correspondent of the Cape Times in a recent issue of that newspaper. He stated:— “ There has been a rapid advance m the aggregate cash balances to the credit of depositors in the Post Office Sayings Bank, and a new high-water mark wm reached in March last, the latest month, in regard to which official information is available. „ , “The deposits then totalled £901,000, against £803,000 in February, £586,000 in March, 1933, and. an average of £396,000 during 1932-33. Although the withdrawals in March (£661,000) were also larger than usual, the gap between deposits and withdrawals is larger than it has been for some years. In 1932-33 the monthly deposits averaged £396,000, and the average withdrawals £348,000. “At the end of March 1 the grand total in the Savings Bank was £9,192,000, against £6,421,000 at the end of March, 1933. Savings Bank certificates amounted to an additional £2,061,000 to the credit of the investor in this class of Government securities.” ■ A total of 582 plans were passed in May to the value of £423,017. This figure is the second largest for 1934 so far, the largest being £778,076 for February. The new amount brings the total for the first five months of 1934 to £2,309,161, of £601,258 in excess of the value of plana passed for the whole of 1933, which was £1,707,903. The plans include ■ blocks of flats, hotels, business premises, and additions and extensions to existing business and industrial premises. In the Transvaal also the number of motor cars and taxis registered has been nearly trebled since 1926. At the end of 1933 there were 58.673 of these vehicles,, whereas in 1926 there were only 23,812. In the past year the increase was 54.7 per cent.