COST OF HIGH EXCHANGE

Taranaki Daily News, 12 September 1934, Page 9

COST OF HIGH EXCHANGE

EFFECT ON HARBOUR BOARD EXTRA COST AT NEW PLYMOUTH. FERTILISER IMPORTS REDUCED. OVERSEAS PAYMENTS HIGHER. (By Wire—Parliamentary Reporter.) Wellington, Last Night. Tire loss suffered by the New Plymouth Harbour Board as a result of the Government’s manipulation of exchange was mentioned by Mr. C. A. Wilkinson (Ind., Egmont) in his Budget debate speech in the House of Representatives to-night. Mr. Wilkinson said that in 1929 27,698 tons of basic slag went into the port of New Plymouth, yet the total in 1934 was only 550 tons. In the same period importations of phosphates fell from 19,378 torts to 15,131 tons.

, Exchange alone on one ton of basic slag amounted to £1 ss. Not only did that mean that farmers were not getting the material to fertilise their land, but the fall in importations seriously interfered with the finances of the Harbour Board. The board lost wharfage on 30,000 tons and had to pay a higher rate on its remittances to London. In 1934 it cost the board £7428 on its remittances of interest. In addition it raised a small loan in London and incurred additional expense of £6633.

Those figures were enormous for a place like New Plymouth, and the people, including the farmers, had to pay rates to make up for the impost, Mr. Wilkinson added. The trade in basic slag had now vanished completely.