The Wanganui Chronicle. FRIDAY, MAY 6, 1949. THE FOUNDATION OF TRADE

Wanganui Chronicle, 6 May 1949, Page 4

The Wanganui Chronicle. FRIDAY, MAY 6, 1949. THE FOUNDATION OF TRADE

yiiE foundation of all trade is to supply a want. This fundamental is known to every retailer in the country and to every sales assistant who stands behind a shop counter How this large class of citizens will view the following statement made by Mr. R. W. Marshall, New Zealand Trade Commissioner in the T'nited States and commercial attache to the Embassy at Washington, can be left to the imagination. The statement refers to the suitings and especially worsteds manufactured in New Zealand.

“I am convinced that there is a future for this class of woollen goods if there is a continuity of supply and correct styling and if prices are right.'’ It is to be hoped that this is not all that .Mr. Marshall is able to report on the American market because if it is it means nothing at all. Every trader knows, almost every schoolboy knows that these conditions must be fulfilled in respect to any goods in any market. Continuity of supply is essential if a market is to be supplied, proper styling is equally essential for nobody ean sell an out-of-date style and nobody in his senses pays more for goods from one source than is required to secure equal goods from another source. So far, therefore, Mr. Marshall has told fine people of New Zealand nothing. The remarkable revelation that Mr. Marshall had to return to New Zealand to become acquainted with the wide range of goods now manufactured in this country indicates that he has not been kept well informed while in Washington concerning the developments in the country whose trade interests he has been supposed to be representing How can he fulfil his function as the promoter of New Zealand trade if he does not know what goods are being manufactured? He can advise neither concerning New Zealand buying in America nor the selling of New Zealand goods there unless he is fully advised of developments within this Dominion. What purpose then has he been serving as a trade promoter in Washington? The situation as revealed by Mr Marshall invites enquiry. When Dr. Thomas Oliver. Emeritus Professor of the Galashiels Textile Institute visited New Zealand he examined the woollen manufacturing industry very closely and gave it as his considered opinion that New Zealand should look to the American market for the sale of tweeds. “Make your defects your advantages’’ was one of his dicta. He advocated the developing of exclusive patterns for New Zealand tweeds, changing the designs frequently. This would permit of New Zealand manufacturers utilising the broken wools produced in this country. The manufacture of high grade worsteds is handicapped by the fact that finer wools are not as plentiful as crossbreds and Romney wools. Australia is better placed to manufacture worsteds than is New Zealand and it would not be sound trade policy to endeavour to compete in the export trade in a field where a stronger competitor has greater advantages. But while Mr. Marshall was talking of the future is it necessary to consider the exports of worsteds from New Zealand in the present condition of the industry? The country’s own needs in this direction cannot be supplied by the local industry and there are a number of reasons for assuming that in this field it will for a very long time he necessary to import large quantities of worsteds from overseas. It would appear from the reported statement that Mr. Marshall is not as aware of fine condition of the textile industry in New Zealand as he should be. It would be as well if before he leaves to again represent New Zealand’s trade interests in the United States' of America He would make a more detailed statement so to assure the public and particularly the trading community that he is capable of producing something more than the bromides included in his recent Press interview In the course of tfunt statement he might state his qualifications for making the following statement: “If progress and targets were maintained certain essential materials for New Zealand’s hydro-electric, schemes should be available in the United States if they could not be obtained from the United Kingdom.” First however, he should explain what he means by this statement. At the moment it is too vague.to lie of any value at all. As a trade Commissioner studying New Zealand’s requirements he should ’nave something more concrete to report than that if progress is made and targets are maintained certain essential materials should be available.- Of course, they should I No one would expect anything else, for it is the natural result of progress being maintained, but 1 lijit information hardly justifies the maintenance of a Trade Commissioner in Washington. It is understood that the function of a Trade Commissioner is to secure definite information not to give utterance to such obvious platitudes as tbo.se attributed to Mr. Marshall. Let Mr. Marshall , get down to business, the Chronicle will welcome for publication a statement from him t’nat is helpful to exporters and importers. STANDARD OF HOTEL ACCOMMODATION ]\/|R. J. J. HALL, secretary of the Dunedin Licensed Victuallers Association, is reported to have said that “as Hie Price Tribunal insists that the accommodation section of hotels be run at a loss no improvement can be expected in the standard of accommodation.” This view is contradicted by Mr. Percy Coyle, the director of the National Council of the Licensed Trade of New Zealand, who expresses the view that, t’ne newly appointed Licensing Commission will see that the standard does not fall

The very considerable increase in the tariff rates recently granted for hotels is presumably to be justified on the basis of rising costs. If it is then the public will be able to see by easy and obvious comparisons of tariffs of the past bow much the actual cost of living has increased in recent years. Under existing conditions travel with hotel accommodation of t’ne right kind is a matter of financial impossibility for many people in this Dominion today. Those who are so penalised by the higher tariff will be entitled to examine with care the viewpoint adopted by Mr. J. J. Hall, of Dunedin. When he says “as the Price Tribunal insists that the accommodation section of the hotels be run at a loss” ’ne reveals that, there are many in the hotel business who desire and probably do split, the accommodation for travellers from the accommodation for drinkers in the bars and desire to keep the two sides of the business in water-tight compartments. Nothing could be more disastrous from the privately owned licensed Hotel and nothing could be more encouraging for the Trust system of running the hotel business. When a liquor license is granted to a licensee he is given for a nominal payment in the form of an annual license fee, insofar as the community is concerned, a share in a monopoly. This monopoly has become so valuable that very high prices are paid for goodwill wliic’n emphasises the reality of this State maintained monopoly. If the licensees of hotels are going to split their operations into liquor supply and accommodation, making each stand on its own feet, then there is every reason for the State securing for the public a share in the profits of such monopoly as it has created. It Mas previously been claimed that the possession of a license has enabled hotelkeepers to provide better accommodation at given tariff rates than would be possible had no license for the sale of liquor been in existence. The public is entitled to have hotel accommodation at, reasonable rates and what is of even greater importance today, sufficient accommodation to provide adequately for the travelling public. If this service is not forthcoming then a radical change in file conduct of the hotel business can be predicted The Chronicle had previously advocated that Hie license for the sale of liquor should be quantitative Hie quantity of liquor to be made available for sale by an hotel being limited to the amount of aceoinmodal ion made available therein for the travelling public. It is only by making t’ne privilege of selling liquor have some relationship io tile service rendered by the hotel to the public that the good hotelkeeper will be given the reward w’oieh he deserves.