THE IRON INDUSTRY.

Otago Witness, Issue 3030, 10 April 1912, Page 13

THE IRON INDUSTRY.

PROTECTIVE TARIFF WANTED. CHRISTCIIURCH, April 4. A deputation from the Ironmasters' Association waited on the Hon. G. Laureneon (Minister of Customs) this morning. The deputation consisted of Messrs J. Anderson, G. Scott, J. B. Laurenson, and F. Cooper. Mr J. B. Laurenson said that association had on previous occasions waited on Cabinet Ministers and placed the position before them. They felt that the tariff for a long time had been against the manufacturers. They did not ask for a general tariff, but submitted a list of articles made in New Zealand with a' view of obtaining protection on them. If they had a tariff of 33£ per cent, on those articles, they would be able to establish the industry. They had no desire to increase the prices to the consumer. A board might be appointed, as in Germany and Canada, to ascertain whether prices were being increased by the assistance of the tariff. If that were found to be the case a report could be presented to the Minister and articles admitted free. Mr John Anderson said that the promoters had no desire to penalise any portion of the community. All they wanted was tho general welfare of the Dominion. His firm had specialised in the making of oil engines, which were not protected. The response they had received up to the present was satisfactory up to a certain measure, but if they had a duty on the ma-chines they would not ask any more for them. It was the increase in the output that they wanted. The dairy industry was becoming a large one in New Zealand, and his firm was specialising in dairy boilers. That line of manufacture was on all fours with oil'engines. They had a published price, and would not alter it if a duty were imposed, but they would get a greatly increased output, which would result in an improved position for the employers and the workers. The workers had been helped to secure increased pay, and the employers had no complaint to make. He did not say that the workers were overpaid. The employers, however, might reasonably expect some assistance, and the Government by giving protection would assist them to double the output without increasing the cost to the purchaser. The cost of production would be lessened by the increase of the output. Mr Scott said that through the 25 per cent, duty on ranges the range manufacturing industry had been built up into one of the largest in the country to-day. The Government could take the protection off. and it would be impossible for the foreign-made article to come into the market. One speaker quoted the experience of a Dunedin firm who formerly sent dredging machinery worth £20.000 a year to Australia, but since the Federal Government had given protection the firm's exports fell to £IOOO. The Hon. Mr Laurenson said that he would ask Mr J. 15. Laurenson to send him a list of the items on which they considered a duty was necessary for the welfare of the trade He had been very much interested in Mr Scott's remark about tho range industry to the effect that ho would raise no objection to the protective tariff being removed, as it could now compete with outside makers.

Mr Scott's reference to oil engines and motor cars was also on the right lines, and ho was strongly in sympathy with thoim Mr Anderson had pointed out that the State paid a large enm to enable the engineering students to complete their education, and it was unfortunate that the Dominion should Jose their services. Mr Cooper's statement as to the high cost of selling through outside competition was also interesting. He would send an account of the deputation to other members of tlie Cabinet, aid he would also have an interview with the secretary of the Customs Department regarding the tariff. The late Government had pledged itself to revise the tariff, and he assumed that the Government's successors would try to carry out that policy. He understood that Sir Joseph Ward had already promised to move in that direction. The Government had also pledged itself to go in for the nationalisation of the iron industry. He believed that they could turn out pig iron at £1 15s per ton. f.0.b., at Parapara, and that at present it cost £4 15s per ton imported. With that reduction and with protection to the industry they should be able to build up an iron industry that thev could be proud of. He had every sympathy with the deputation, and he would see what could be done. He hoped to be able to communicate with them within 10 days. The deputation heartily thanked Mr Laurensou for his reply.