1.—12

VIII

Summary of Recommendations. The Committee's recommendations regarding the tariff may be summarized as follow : — (1.) The general tariff should be revised by Parliament without delay. The present tariff, which was framed in 1907, is unsuited to the needs of the country, and often unfair in its incidence. (2.) Before increased protection on locally manufactured goods is given it should be the duty of the Board of Industries and Commerce to ascertain that such protection will not result in prices being unfairly raised against the general public. (3.) A further measure of preference should, be given on goods imported from the United Kingdom ; but no preference should be granted unless at least 50 per cent, of the value of such goods is of British manufacture, production, or origin. The present regulations should be amended accordingly. (4.) Tn the case of imported machinery which cannot be made in the Dominion, or in the case of new or patented machinery, such machinery should, for the encouragement of local industries, be admitted free. (5.) An " anti-dumping " law should be passed, on similar lines to the Canadian Act. (6.) The proposed Board of Industries- and Commerce should be a Tariff Board, with advisory powers. (7.) Steps should be taken to enter into reciprocal agreements with the several British dominions. The Coal Industry. After the most careful consideration of all the available facts, and assisted in some instances by personal observation, the Committee has come to the conclusion that it is vain to suggest half-measures in dealing with the question of coal-supply. The successful working of our coal-measures is vital to the whole people. The failure of supply has led to deprivation and discomfort in the home, the crippling of industry, and the paralysis of one of the greatest of our public services. Report by the Board of Trade. The Committee has had the opportunity of perusing the valuable report furnished by the Board of Trade, and is indebted to it for a great fund of information gathered by that body in its exhaustive research into every phase of the coal-mining industry. The Board, though satisfied that some form of nationalization is urgently needed, does not recommend the entire elimination of private ownership. While agreeing with many of the conclusions of the Board of Trade, your Committee's opinion is that the recommendations contained in the report do not go far enough. The general question of the production of coal, its distribution, and the providing of a better system for the actual working and management of the coal-mines is of too great moment to the whole Dominion to permit of the adoption of any course except one which offers the best prospect of placing this most essential industry on a satisfactory footing. The Committee is of opinion that to endeavour to work the mines as suggested by the Board of Trade, under the joint management of the present owners (whose interests are to be almost wholly absorbed) in conjunction with the workers and a representative of the Crown, will not adequately solve the problem. Representation on the Board as above provided would in all probability result in a clashing of the several interests. Wasteful Methods. It was stated by a reliable witness that over a big proportion of one important mine 75 per cent, of the available coal is wasted owing to its not being workable at a profit. It is therefore certain that large quantities of coal are