BUSY INDUSTRIES.

Star (Christchurch), Volume LXVI, Issue 20331, 14 June 1934, Page 15

BUSY INDUSTRIES.

Aucklander’s Impressions of Australia. (Special to the ** Star.”) AUCKLAND, June 14. Extraordinary activity in the building trade in Melbourne and Sydney was observed by Mr. Albert Spencer, president of the Auckland Employers’ Association, who returned from a visit to Australia by the Monowai. Manufacturers were also busy, he said, putting in extra plant. New industries were coming into being and some of the older concerns had increased their staffs by over 50 per cent. A plentiful supply of cheap money had assisted. The internal loan of £12,000,000 was oversubscribed by £4,000,000. “The motor industry has made a wonderful recovery, and in some cases orders for new cars cannot be filled quickly enough for the eager buyers,” said Mr. Spencer. The number of light British cars is a very hopeful sign. Australia, like New Zealand, needs more capital for developing its resources and establishing new industries. Investors coming to a new country must have some assurance that their money will have a reasonable chance of obtaining a return. This assurance is given by the Commonwealth Government’s present sound policy of promoting an all-round development of secondary and rural industries. The Government realises that both classes of industry must grow together and so assist I each other. Huge Export Subsidies.

“Australia’s secondary industries are the largest employers of labour. anti can, if properly developed, gradually and surely find work for most of those young people who leave school every year, and are not suited for farm work. This tends to increase the local market for primary products, which already absorbs 60 per cent of the output at satisfactory prices. Export subsidies paid by the local consumer on butter, cheese and other products last year amounted to £19,000,000, the sugar bounty to £3.000.000, and the wheat bounty to £8,000,000. Australia is becoming more and more self-con-tained. Those engaged in the primary industries are now forced to realise that the faster secondary industries are developed the more they themselves will benefit by increased consumption. It is to be hoped that the New Zealand Government, when Parliament assembles, will follow Australia's policy by encouraging secondary industries.”