RAIL FREIGHTS

Timaru Herald, Volume CXLVI, Issue 21360, 1 June 1939, Page 8

RAIL FREIGHTS

Differential Rates Abolished

Establishment of New Industries

“South Canterbury interests have been trading for so many years under the severe handicap caused by the operation of differential or local railway rates that the Chamber this year has conducted a far reaching campaign in an effort to bring about a revision of the railway tariff with a view to the introduction of a simplified tariff and the adoption of a flat mileage freight rate.” These remarks were made by Mr E. Darroch, retiring president, in the course of his presidential address at the annual meeting of the South Canterbury Chamber of Commerce last night. Mr Darroch went on to say that as so much had been said and published concerning this subject during the past 12 months, it should only be necessary now to say that with the combined activities of many interests throughout New Zealand and the regulation and Governmental control of motor transport, the railway freight rates had been revised and. to a large extent, local or differential freight rates had been abolished, and the tariff, to a degree, simplified. “It will please members to know that at the meeting of the executive of Associated Chambers on Friday last after a comprehensive report had been received and discussed the following resolution was carried,” added Mr Darroch:—

“That the report of the committee be received and that the executive learns with pleasure of the simplification of the railways tariff, and the adoption of the principle of a uniform mileage rate.” Manufacturing Industries "The abolition of local rates Is Indeed very satisfactory from the point of view of the provincial centres throughout New Zealand and may be accepted, so far as Timaru is concerned, as a vital step towards the much needed encouragement necessary befor? industries will be established here,” continued the speaker. It behoved all interested in the development and progress of South Canterbury, and the public bodies in particular, to remove all difficulties and disadvantages which might discourage manufacturers from establishing their factories in this district. Timaru’s town planning bylaws had contrived io create an industrial area along the waterfront, but it appeared to him that as this was such a highly rated area it must be abandoned for this purpose. When all was said and done the waterfront was a comparatively small area of only a few acres and with the definitely declared policy now operating to encourage the growth of manufacturing industries it was not worth while considering whether South Canterbury should not have a much wider vision and pursue a more ambitious policy to attract and encourage manufacturers. There were areas both north and south of the borough ideally situated, alongside the railway and adjacent to the port, offering advantages and amenities which might compensate firms in establishing their factories away from the more densely populated centres. Other obvious inducements should also be made available so that the spread of population in New Zealand would be more evenly distributed than is the tendency to-day. Mr Darroch said that these were actions which Chambers of Commerce might foster and gain public support for so that the Government and representative public bodies might be encouraged to offer inducements to anyone seeking to establish a new industry. Cause of Delay The Rev. Clyde Carr, M.P., who was thanked by the Chamber for his assistance in bringing about a change in the system of railway freights, said that he had made himself a nuisance in the office of the Minister of Railways, because there was no doubt that the differential rates were anomalous, altogether unjust, and operated with very great disadvantage to Timaru and South Canterbury. He joined with the Chamber in congratulating the Minister on having brought about a change. The delay in putting the new scale into operation, he explained, had been due to the complexity of the task, a vast amount of mathematical calculations having been involved. However, he could assure members that the Government would carry out its promise.

The matter of new industries was also touched on by Mr Carr, who said that he agreed with the president that the waterfront was not a suitable place for an industrial area. On Saturday night he heard of an Australian visitor who intended opening a factory and came to Timaru to make inquiries. He was shown the industrial area allotted under the town-planning scheme, but said that he would not go there if the land was given to him, as it was too cold. “There is that difficulty and also the high valuation,” said Mr Carr. “Though the sea provides an acre of land a year for nothing, the land is valued at £lOOO an acre.” He said he had approached the Valuation Department to see if a special rating area could not be made, but it was pointed out that if this were done ratepayers in other areas might have to pay more, and they would protest. He thought everything was against tire waterfront as an industrial area. Mention was also made by Mr Carr of the fact that, at the last meeting of the Timaru Harbour Representation Committee a motion was carried suggesting a committee comprising two members of the Chamber of Commerce, two from the Borough Council, two from the Harbour Board, and two from the Levels County Council, to survey the local field of industry with a view to seeing what land was available, what water, electrical and labour supply was available and to report on the competitive suitability of Timaru for industrial purposes. He had hopes that out of that committee’s work there would arise a South Canterbury Progress League. If they did not bestir themselves they would lose a golden opportunity for Timaru to go ahead.