AUSTRALIA’S PLIGHT

Taranaki Daily News, 24 June 1931, Page 15

AUSTRALIA’S PLIGHT

AN UNHAPPY PICTURE. BUSINESS PROGRESS CHECKED. An unhappy picture of Australia’s difficulties, and particularly those of New South Wales, at- the present time is given by Mr. Walter Sinton, a former New Zealander, who arrived at Auckland from Australia last week. Mr. Sinton has been in business in Australia for the past 20 years and is a storekeeper at Kiania, New South Wales. According to Mr. Sinton, Australian business men are largely without hope. “None of our businesses is doing any good at all.” he said. The new Transport Bill, which has already been read twice before the House, is designed to make it impossible for motor transport to compete with the railways. Even a private motor used at all for commercial purposes comes under the bill. The charge will be 3d per ton mile, so that a truck with a three-ton load and itself weighing three tons, will have to pay 18d a mile road tax. A special license has to be purchased, in addition. The area in which a truck is permitted to operate will be set down by commissioners, and a .'chicle will not be allowed to go beyond that boundary. It will be an offence for a private fear owner to carry a passenger over a route on which the passenger could have travelled by train. The New South Wales deficit as announced this week is £8,150,000. Undei the Bavin Government the uneraploy-<|

went tax was 3d in the pound on all salaries over £2, and that was handled as a special account, but the Lang Government has raised the amount to Is in the pound and added the receipts, from it to the consolidated revenue. According to Mr. Lang that tax will have contributed over £4,400,000 by the end of June, so that the real deficit will be over £13,000,000. Every employer has to deduct Is in the pound from the wages of all employees receiving over £2 and to make a similar deduction form his own draw-, ings. The first £2 is not exempted so that an employee on a nominal wage of £5 receives only £4 las. People in New South Wales have been looking for an early election, Mr. Sinton says, but there is no indication of the Government resigning and there does not appear to be any means of forcing the issue. “Businesses are being wrecked on every hand,” said Mr. Sinton. “There is no feeling of security in anything. Since the closing of the State Savings Bank business lias been almost at a standstill. Actually, Australia should be ‘round the corner 5 now because we have a surplus of exports over imports of £26,000.000 in Australian currency, and were confidence restored Australia could very soon look for better things. But that confidence has been x wrecked completely.” ... Mr. Sinton stated that in his area ■ A. -

milk producers received last month 4}d per gallon and it cost them Id a gallon in many cases to get their milk to the factory. There were indications of a better return this month, possibly of Sid a gallon, but the milk being supplied at 44d a gallon is actually being retailed in the city at 7d and 8d a-quart, or from 2s 4d to 2s Sd a gallon. In .Mr. Sinton’s view' all the Labour Governments are being forced by extremists, who are supposed to be followers, but who are really leading the Governments. The adverse exchange and the impossibility of borrowing money will eventually force the country on to the right track. In the meantime the chief thing required to ensure a return of prosperity is a change of Government.