CHAMBER OF COMMERCE.

Timaru Herald, Volume CXXV, Issue 17946, 3 May 1928, Page 4

CHAMBER OF COMMERCE.

ANNUAL MEETING,

The annual meeting of the South Canterbury Chamber of Commerce was held Inst night, the president (Mr L. B. Blodorn) occupying the chair. PRESIDENT’S ADDRESS. In the course of a well-reasoned address, the retiring president said: I would like to take this opportunity of tendering my best thanks to the members of the Council who have at all times given me their co-operation and assistance most willingly. A very special word of thanks is due to our secretary (Mr J. Leggott) without whose able assistance and sound advice much Would be added to the work of the president and Council of this Chamber. The position in regard to electricity has been advanced quite substantially during the past year. Although visible progress at the source of our future supply, the Waitaki river, is not great, exhaustive tests have been carried out by the Public "Works Department and a definite pronouncement as to ultimate site may be expected at an early date. This year’s effort in the matter of publicity was confined principally to the Accommodation Bureau, and quite good results were obtained. A number of activities which may be classed as minor matters, but which have the definite object of furthering the advancement of Timaru and district were also engaged in, and in most cases good has resulted. Transport is perhaps among the most important of this Chamber’s activities for the future. Efforts to effect an improvement must not be relaxed. A perusal of the Harbour Board’s figures for the year shows that they remain practically stationary. This is to be regretted, and causes one to ■wonder whether we, as a district, are making the progress we are entitled to expect considering our favourable location and natural advantages. It may be that our country districts have reached their maximum of return, so that produce, speaking generally, will remain a stable item in the figures. One would prefer to think, however, that the present is a passing phase, and that the future holds much better prospers, both for Timaru and the whole of South Canterbury. , The state of the trade balance in New Zealand is such an important item to commercial circles, and indeed to the whole population of this country, that any address of this kind would be incomplete without some passing notice of the more recent figures. A perusal of figures in this connection; gives rise to a great real of satisfaction, the marked improvement noticeable for 1927 being particularly pleasing. The converting 6f an adverse balance of nearly 4 i millions which existed at the end 0f'1926, into a favourable one of almost 32 millions as at 31st December, 1927, showing an improvement for the twelve months of something over £8,000,000, cannot fail to be reflected in the trading conditions of this country. To attain this end both exports and imports played an important part. Exports showed an excess for the period named of 3i millions over the figures registered in 1926, while imports were reduced by very nearly 5 millions. Not since 1924 has such a satisfactory trade balance been evident at the end of the December quarter, and the position at the end of 1927 was only a quarter-of a million :sh6rt of . that existing in December, 1924,' the most' favourable balance for five years past. It is still more pleasing to note the continuance of the improvement of the trade position in the present year. In January, exports exceeded imports by £3,800,000, in February, by 41 millions, and in March by £3,400,000, making a total of 111 millions excess of exports over imports for the three months .of 1928 for which the figures are available. The exports for the March quarter of 1928, over 23 millions, exceed the exports for the corresponding period of 1927 by nearly 61 millions, and in this figure is reflected the splendid wool prices obtaining for this year’s clip. The excess of exports for the March quarter is greater than for many years, and is a matter for congratulation to New Zealand. v The favourable trade balance, brought about in two directions, first the increased production of, and the enhanced prices for our produce, and second the restriction of imports to a large extent must surely be reflected in' the future prosperity of our country by virtue of the very sound position arrived at. A particularly pleasing feature of the foregoing position is in the remarkable growth of production shown during 1927. A comparison, covering the four principal pastoral products exported, is illuminating, and contains, facts which cannot be too widely known. In 1927, we exported over 7J million lb. of wool more than in 1926. The exported amount of frozen meat was oyer 330,000 cwt. more. Butter showed an increase of 260,000 cwt., and cheese exported was 30,000 cwt. more for the periods under notice. Does it not, in the light of these figures, appear to indicate that there is indeed little foundation for the state of depression and tightness, of money which we are experiencing at present? It would rather appear that the reverse should be the case and that one could look forward with optimism and confidence to the future of our country. In spite of the ever-present demands from every town and district for increased or improved services, one cannot look at the enormous Government expenditure without some apprehension. Taking the periods 1907—1916 p,nd 1917—1926, we find that the total average Government expenditure per annum was over ten million and twenty-three million pounds, for the first and second periods, respectively; an increase of approximately thirteen million pounds per annum during the last ten 'years. On a per capita basis the expenditure for the periods named represents £9/7/9 and £l7/17/9, an increase of £B/10/9 per annum—surely a huge increase even allowing for the extra charges brought about by the Great War. But extravagance cannot be, attributed solely to Government Departments. That we, as a community, are finding it increasingly difficult to live within our means is evident from the steady growth of the hire-purchase system. While it cannot be denied that this method of trading has advantages in certain directions, you will agree with me that the mortgaging of income for. the purpose of providing luxuries is to be deplored. From every quarter protests have been heard against the increasing tendency of Parliament to allow legislation by Order-in-Council. Our system of Government was never intended to grant absolute authority to public officials. Such power, placed in the hands of Government officials, is the power intended only for'Members of Parliament, and is one which should be jealously guarded. Under the present system far too much authority is placed in the hands of officials, whose opinions are being allowed to usurp the functions of Parlia-

ment more and more. Your Chamber entered its protest against this undesirable practice. The second matter to which I refer is the proposed Ministry of Transport, a proposal mooted by the Prime Minister last year, and actuated probably by the perplexing position in regard to railway finance. It is my opinion, and the opinion of many, that the institution of another Government Department with its numerous officials and costly machinery would be of doubtful service to this country—would indeed, rather become an additional burden to the taxpayer, without any adequate return. Banking return figures, like those of the balance of trade, show a wonderful recovery from the position of twelve months ago. Deposits (fifty millions), were the largest aggregate amount for fiye years, and shoWe,d an increase of 4i millions overthe position as at the end of March, 1927. On the other hand advances over the same period contracted by four and three-quarter millions, and were just over forty-six million pouilds. A much more healthy l..position is disclosed from;' the figures comparing advances and. deposits as between 31st March, 1927 and 1928; Last year advances exceeded'deposits by over five and a quarter millions, but a very different state 6f things;.id. the excess of deposits', over three aid threequarter. millions, ' existing' rah 31st March, 1928. The : effect of tlie:. attitude in increasing the rate of‘interest, on advances-is Very noticeable in this reversal of showing an improvement of just over nine millions for the periods, under review. There are those who com .tend that the raising of the interest rate has been harmful. There is, on. the other hand, evidence in the figures I have given relating to the financial affairs of this country twelve months ago, to show that extravagance was rife, end that the ad-' justment was necessary if we were to' maintain the reputation for soundness of which we are so proud. Did it do nothing else, the increase in interest has acted as a corrective to speculative buying of stock and property, so rendering more sound many commercial and trading concerns, and laying the foundation of more solid conditions in the future. The president moved the adoption, of the report and balance sheet. Mr Foote seconded the motion, and complimented the president on the ex-' cellent addross which he had just delivered. In the course of some optimistic remarks concerning the future of South Canterbury, Mr Foote said that a few days ago he had seen a farm of ■acres which is supporting four adults and four children, and supporting them well. This was the result of intense cultivation and the adoption of scientific methods in working the land. By these means he was satisfied that production in South Canterbury could be greatly increased. (Hear, hear), Mr R. B. Bell also complimented the president on the excellence of his address; and went on ,to refer to several'matters of importance with which the Chamber had dealt, or intended to deal in the future. The motion' was then put and carried unanimously. OFFICIALS FOR ENSUING YEAR. There being only the required number of nominations, the following officials for the ensuing year were declared elected: —President, Mr W. 1. Tait; vice-president, Mr W. T. Ritchie; council, Messrs H. Lowry, J. Meehan, W. G. Irwin, P. B. Foote, A. M. Nicholson, A. P. Greenfield, R. A. Nicol, F. S. Shrimpton' and J. N. Greenland; hon. auditor, Mr A. O. Martin. : The newly-elected president was warmly applauded: ,' n -Mr Tait returned thanks for. til© honour done him. , Mr Blodorn specially thanked Mr R. B. Bell for the very valuable work which he had done during the year iu the matter of securing an augmented supply of electricity for South Canter-but-v.” (Hear, hear). Hearty votes of thanks were passed to the retiring president and to the honorary auditor (Mr A. G. Martin) for their work of the past year.