NOTIN FAVOUR

Southland Times, Issue 22107, 30 August 1933, Page 7

NOTIN FAVOUR

STATE ENTERPRISES POSITION IN NEW SOUTH WALES VISITOR’S IMPRESSIONS (Per United Press Association.) Wellington, August 29. Commenting on the relationship between New Zealand and New South Wales State trading, Mr A. S. Burgess, president of the New Zealand Associated Chambers of Commerce, who returned to-day from a visit to Australia, said he had been particularly struck with the evidence in New South Wales of a swing away from State enterprise. The industrial undertakings now operated by the New South Wales Government, apart from railways, tramways and motor buses, were mainly the residue of a large number established by the various Labour Governments of 1911 onwards. The majority of these enterprises had proved complete financial failures and had been abandoned. During the prosperous constructional years prior to 1929 the State brick works, the Monier concrc'.e-pipe works and the State metal quarries in New South Wales had been conducted at a considerable profit, due largely to preferential privileges in the supply of Government material for Government works, partial or complete exemption from taxation, and other similar advantages over private enterprise. In 1932, however, the Monier pipe works was the only one of the three disclosing a profit. Until 1930 State industrial undertakings had not been subject to income tax, but legislation that year had directed assessment on those concerns of taxation in respect of transacted business. . The trading results of State industrial undertakings sti'.’. operative for the year ended June 30, 1932, were: Brick works, a loss of £8629; Monier pipe works, a profit of £7899; metal quarries, a loss of £2082; the Government Tourist Bureau, a loss of £24,405; the Leeton canning factory, a loss of £17,254; the Lithgow coal mine, a loss of £112,000; dockyard and engineering works, a loss of £70,145. OFFERED FOR SALE N.S.W. STATE UNDERTAKINGS. (United Press Assn—Telegraph Copyright.) Sydney, August 29. The State Government has decided to sell, if suitable prices are obtainable, the three large State undertakings, the brickworks, metal quarries and the Monier pipe-works. It will be stipulated that present employees should receive preference with the purchasers, other things being equal.