MANUFACTURE OF MOTOR TYRES

Southland Times, Issue 23512, 19 May 1938, Page 4

MANUFACTURE OF MOTOR TYRES

Monopoly In N.Z.? FARMERS ANXIOUS TO GIVE EVIDENCE (Special to The Times) AUCKLAND, May 18. Applications are at present being considered by the Government for the manufacture of motor tyres in the Dominion according to information that has been received by members of the New Zealand Farmers’ Union. These proposals were considered at a meeting of the annual conference of the Auckland branch of the union when a resolution that representatives_ of the union should be allowed to give evidence on the matter before the Department of Industries and Commerce was unanimously carried. “I have learned that there are at present several applications being considered by the department for the manufacture of tyres in the Dominion,” said Mr J. H. Fumiss. “If a licence is granted it must be on a monopoly basis because of the restricted nature of the New Zealand market. Our annual requirements could be met by a few days’ output from an English factory. “The result of such a monopoly would be a considerable increase in tyre costs and almost inevitably a decline in quality. Unless we demand as consumers the right to be heard the matter will apparently be decided without reference to our wishes,” he _ said. “Importers have obtained permission to give evidence and motoring interests, who are gravely perturbed, are relying on us to give a lead to the consumers for securing a thorough investigation before these proposals are brought into effect. “We can only regard the failure of the department to inform the public of the proposals with the gravest apprehension,” he concluded. “It indicates the possibility of applications for the establishment of other uneconomic industries being granted.”