House of Representatives
6 July 1934

13th Parliament · 1st Session



Mr. Speaker (Hon. Or. H. Mackay) took the chair at 10.30 a.m., and read prayers.

page 309

SPECIAL ADJOURNMENT

Motion (by Mr. Latham) proposed -

That the House at its rising adjourn until Wednesday next at 3 p.m.

Mr BEASLEY:
West Sydney

– The only day train from Sydney to Canberra during the week runs on Tuesdays. and few persons travel by it. As it is proposed that the House shall not meet until Wednesday next, would it be possible for the convenience of those honorable members who will be travelling from Sydney to make arrangements with the Railways Department of New South Wales to run that day train on Wednesday instead of Tuesday?

Mr PERKINS:
Monaro- Minister for the Interior · Eden · UAP

.- I shall see what can be done in the matter; but in the light of previous correspondence on the subject I am afraid that it will be found impossible to have made at such short notice the alteration desired by the honorable member. If his wishes cannot be met in this direction, the best arrangement possible will be made for transport by means of motor buses.

Mr RILEY:
Cook

.- I am not particularly concerned regarding the train service to Canberra, but I am at the suggestion that this House shall not resume its sittings until Wednesday of next week. The present Government has been in office for two and a half years, and I regret that so far it has not fulfilled its election pledges.

Mr Archdale Parkhill:

– But for the assistance given him by the United Australia party, the honorable member would not have been in this House during the last two and a half years.

Mr RILEY:

– It is extraordinary that, instead of speeding up business, the Government appears to be back-pedalling. It would be more fitting if the number of sitting days were increased, in an endeavour to honour the many promises that were made prior to the elections in 1932. In reply to the remark of the Postmaster-General (Mr. Parkhill), I say definitely that I was returned to this House .by a majority of the votes cast in the Cook electorate. I neither sought for nor hoped to obtain support from other forces, whether they were behind the Lang party or the reactionary party of which the Postmaster-General is a member. At all times when I have contested the Cook electorate I have been selected and endorsed as a Labour candidate. At the forthcoming elections I propose to face my constituents in the same capacity. I seek the assistance, the votes, and the support only of those who are prepared to support the policy of the Australian Labour party.

Mr LATHAM:
AttorneyGeneral · Kooyong · UAP

.- I regret that the honorable member for Cook (Mr. Riley) is disappointed with the Government. I think that honorable members generally know that the adjournment to Wednesday is being made in an endeavour to prepare the budget and to present it to Parliament at an earlier date than was at first contemplated, thus completing, so far as that is possible in this Parliament, the performances which by its policy the Government promised.

Question resolved in the affirmative.

page 309

PERSONAL EXPLANATION

Mr PATERSON:
GIPPSLAND, VICTORIA

– During my speech last night on the proposals for the redistribution of Victoria. the honorable member for Henty (Sir Henry Gullett) made an interjection to which I retorted that I recollected having read a few weeks ago a report in the press to the effect that he had protested against the elimination of Corangamite and the reduction of the representation of primary producers, and that he intended actively to oppose this step.

Sir Henry Gullett:

– The words used by the honorable member were “strong”, “protest”, and “fight”.

Mr PATERSON:

– I accept the honorable gentleman’s correction. Later in the debate the honorable gentleman referred to my remark and quoted from a report in the Melbourne Argus, which showed that he had referredwith disapproval to the lessening of country representation and the elimination of Corangamite. That report did not contain any mention of his intention to oppose the redistribution proposals. I can find no other newspaper report on the matter, consequently I must assume that my impression was gained from an imperfect recollection of the report which the honorable gentleman cited. To whatever extent I misrepresented him by overstating the purport of his remarks, I express my regret to him.

page 310

QUESTION

WAR SERVICE HOMES

Administration in Tasmania - Evictions.

Mr BLACKLOW:
FRANKLIN, TASMANIA

– Will the Minister administering War Service Homes state what saving has been effected in the cost of administration of war service homes in Tasmania since it was taken over by the Commonwealth, whether there have been any ejectments, and what additional revenue, if any, has resulted from the transfer?

Mr FRANCIS:
Minister in charge of War Service Homes · MORETON, QUEENSLAND · UAP

– The saving in the cost of administration will amount to about £1,500 per annum. There have been no ejectments. Without a special examination of the figures I cannot say to what extent the revenue has increased, in view of the fact that the interest rate was reduced from 41/2 per cent. to 4 per cent., as from the 1st January, 1934, and having regard to the substantial reduction in the instalments payable by purchasers.

Mr WATKINS:
NEWCASTLE, NEW SOUTH WALES

-Will the Minister administering War Service Homes lay on the table of the House a list of returned soldiers and war widows who have been evicted from or compelled to leave war service homes in New South Wales during, say, last year?

Mr FRANCIS:

– I shall ascertain whether the information desired by the honorable member can be made available to him.

page 310

QUESTION

GENERAL ELECTIONS

Use of A Class Broadcasting Stations

Mr BEASLEY:

– Can the PostmasterGeneral give an assurance that facilities for the use of A class broadcasting stations for election purposes will be made available to all parties on the basis of their representation in this House?

Mr ARCHDALE PARKHILL:
UAP

– The only assurance that I can give is that the procedure followed at previous elections will be adopted on the next occasion.

Mr JAMES:
HUNTER, NEW SOUTH WALES

– Does the PostmasterGeneral mean that the leader of the party to which I belong will not be given the same facilities for broadcasting as will be given to other political leaders?

Mr ARCHDALE PARKHILL:

– What I have said is that the arrangements which have prevailed for many years with regard to political addresses from A class stations will not be interfered with by me.

page 310

QUESTION

ENGLAND TO AUSTRALIA AIR MAIL SERVICE

Mr JENNINGS:
SOUTH SYDNEY, NEW SOUTH WALES

– In connexion with the Imperial Air Service that is now being arranged between England and Australia, can the Postmaster-General say whether consideration has been given to the extension of the direct service to Sydney ?

Mr ARCHDALE PARKHILL:
UAP

– I received a deputation on this matter on behalf of the Minister for Defence, in whose department all matters relating to civil aviation are dealt with, and have sent its representations to that Minister, but so far the time available has not been sufficient for consideration to be given to them. In regard to the postal aspect, I would only repeat to the honorable member what I told the deputation, that if the mail arrives in Sydney in time to be delivered in the afternoon of the same day the postal department will make arrangements for that delivery.

page 310

QUESTION

NORTHERN TERRITORY

Tennant’s Creek Gold-field - Transport Unit Tests - Case of Constable Stott.

Mr NELSON:
NORTHERN TERRITORY, NORTHERN TERRITORY

– I have received the following wire from the secretary of the Progress Association, Tennant’s Creek gold-field : -

Government apathy generally and particularly regarding crushing facilities this field deplored. Present battery working unsatisfactorily owing faulty erection. Total ore crushed to date under 30 tons in five weeks. Position leaseholders becoming desperate as regards capital. Unless immediate crushing and cyaniding facilities provided prolonged exemptions or abandonment only course. Request you endeavour induce Government provide crushing and cyaniding facilities treating thirty tuns per day. Further finds north and west since Doctor Woolnough’s visit. Have wired Acting Administrator and Director of Mines requesting them visit field immediately. Kindly facilitate.

There is only a two-head battery on the field. In view of the fact that over 200 men are engaged there at the present time, and that many more could be employed on this reproductive work, will the Government give immediate and earnest consideration to the advisability of erecting a battery without delay?

Mr PERKINS:
UAP

– A telegram similar to that read by the honorable member has been received by the Department of the Interior and is now being inquired into. I have asked that the matter be treated as urgent, so that the true position may he ascertained, and will probably have something to communicate at a later date.

Mr HAWKER:
WAKEFIELD, SOUTH AUSTRALIA

– Has the Minister for the Interior yet received reports as to the success or otherwise of the transport U 11 t with which his department is making experiments in the interior of Australia. Are there indications that would warrant the institution of a service by such a transport unit, partly to fulfil the obligations entered into by the Commonwealth under the Northern Territory Acceptance Act to carry out certain railway construction?

Mr PERKINS:

- by leave- The cheapening of transport in undeveloped areas has long exercised the minds of dominion and colonial governments. In J 927 a Colonial Office Conference, held at London, recommended that a committee be established to investigate the matter and devise some form of transport which could be utilized to provide cheaper transport than was possible with ordinary road motor vehicles, and which would obviate or defer the building of non-paying developmental railways until such time as development and production reached a stage when such railways could be constructed and operated without loss. The cost of the investigation has been financed by contributions from the various dominion and colonial governments and ‘by the Empire Marketing Board. The Commonwealth Government has contributed £1,500.

The first 15-ton unit, operated on petrol, designed by the Oversea Mechanical Transport Directing Committee, was successfully tested in England and ou the African Gold Coast, the unit being subsequently purchased by the Gold Coast Government. Arrangements were made for the second 15-tou unit, slightly modified as a result of the experience gained with the first unit,- and equipped with a diesel engine, to be subjected to six months oversea trials in the Northern Territory of Australia. The trials are being carried out under the supervision of Captain E. C. Roscoe, on behalf of the Oversea Mechanical Transport Directing Committee, London. The unit arrived at Adelaide early in April, 1934, and after preliminary tests in South Australia, was sent by road to Alice Springs, from which base it has since been hauling loads in the Northern Territory under commercial conditions. Up to date, the unit- has travelled approximately 4,600 miles in Australia and is at present carrying loads from Birdum, the railhead of the Northern Territory railway from Darwin.

The unit, in the course of its trials, has travelled over unmade roads, and has encountered sand conditions very much more severe than those for which it was designed by the Oversea Mechanical Transport Directing Committee. So far the trials have been a complete success, free from mechanical fault, and the only trouble experienced has been two or three tire punctures.

Freight charges in Central Australia are about ls. a ton a mile. It has been found possible to reduce these charges by nearly half for goods carried by the 15-ton unit, . and if ba.ck loading could be arranged the charges could be very much further reduced.

The tests are being carried out in cooperation with officers of the Department of the Interior, and close observation is being kept of the trials with a view to future transport arrangements for Northern Territory development.

Mr ABBOTT:
GWYDIR, NEW SOUTH WALES

– With reference to a reply given by the Minister for the Interior to a question asked by the honorable member for the Northern Territory (Mr. Nelson) yesterday, is this House to understand that Constable Stott, who was charged with having ill-treated natives, and subsequently was completely exonerated by the court, has to meet the expense of the case out of his own pocket, although in taking the action that he did, he was carrying out his duty as a constable in the employ of the Commonwealth Government?

Mr PERKINS:

– As I stated yesterday, the matter has been investigated by my department, which is of the opinion that it is not the duty of the Crown to meet the costs of the case.

Mr NELSON:

– In view of the great possibilities of mining in the Tennant’s Creek area and of the desperate position of the 200 odd men who are on the field, will the Minister endeavour to make arrangements to continue the development of that mining field by granting the miners one quarter of the value of ore won, such value to be determined by assay ?

Mr PERKINS:

– I am unable to give an affirmative reply to the honorable member’s question, but I promise him that it will have consideration. The department is fully aware of the development which is taking place at Tennant’s Creek, is watching every movement, and will do everything possible to assist it.

page 312

QUESTION

IMPORTS OF MEAT BY GREAT BRITAIN

Mr R GREEN:
RICHMOND, NEW SOUTH WALES · CP

– Has the Minister for Commerce noted the press cable which is published this morning regarding meat imported into the United Kingdom, a portion of which reads as follows : -

Discussions have now advanced to a stage when the Dominions’ representatives will convey to their Governments a definite proposal from Britain …. Britain proposes a combination of quantitative restrictions and a levy on beef and mutton. The terms of the levy will give the Dominions a 50 per cent, preference over the foreign, while the proceeds will provide financial aid to the home producers.

Shortly after it was signed, the Ottawa agreement was altered in respect of meat imported by Great Britain. Will the

Minister take that alteration into consideration when dealing with this proposal, and also express to the British Government the desire that the spirit of the Ottawa agreement shall be maintained in the market that is given in Great Britain to dominion produce as against foreign produce of any description?

Mr STEWART:
Minister for Commerce · PARRAMATTA, NEW SOUTH WALES · UAP

– The discussions now taking place in London are pursuant to the provision of the Ottawa agreement, which provided that after the 30th June, 1934, the British Government would be free to review the question of imports of meat from the dominions, which are partners to the agreement. The Commonwealth has already taken definite steps to preserve to the utmost the interests of the meat producers of Australia.

page 312

QUESTION DISALLOWED

Mr JOHN LAWSON:
MACQUARIE, NEW SOUTH WALES · UAP

– In view of the statement of Dr. Gilruth which appeared in yesterday’s press, will the Minister invite the honorable member for Northern Territory to repeat-

Mr SPEAKER:

– Order ! The question cannot be allowed.

Mr JOHN LAWSON:
MACQUARIE, NEW SOUTH WALES · UAP

– I should like you, Mr. Speaker, to explain why you prevented me from asking a question before you actually knew its purport?

Mr SPEAKER:

– I heard sufficient of the question to know that it had no reference either to matters of administration or to matters connected with the business before the House.

page 312

QUESTION

SITTINGS OF THE HOUSE

Preparation of Budget

Mr JOHN LAWSON:
MACQUARIE, NEW SOUTH WALES · UAP

– Is it a fact, as has been suggested in the press, that this Government contemplates suspending the sittings of this House for a week or so in the near future, so as to facilitate the preparation of the budget?

Mr LATHAM:
UAP

– It is at present impossible to give a definite answer to that question. One of the objects of the House meeting on Wednesday instead of on Tuesday of next week is to enable the Government’ to endeavour ‘to prepare the budget in time to submit it to the House without the short adjournment which it was originally thought might be necessary.

page 313

QUESTION

MINISTER EOE HEALTH

Mr BEASLEY:

– Has the Cabinet under consideration the appointment of the Minister for Health (Mr. Marr) to a government position before the general election takes place ?

Mr LATHAM:
UAP

– I can only presume that the honorable member’s question has been prompted by his personal friendship for the Minister for Health, but I am unable to hold out to him any hope that his expectations or apprehensions will be realized.

page 313

QUESTION

TARIFF BOARD REPORTS

Mr WHITE:
Minister for Trade and Customs · BALACLAVA, VICTORIA · UAP

– In reply to questions previously asked by the honorable memer for Grey (Mr. McBride), the honorable member for Gippsland (Mr. Paterson) and other honorable members, with respect to Tariff Board reports, I said that I would make a statement to the House this week. I now wish to inform the House that as further reports will be given consideration by Cabinet next week, my statement will be delayed until then.

page 313

QUESTION

TAXATION OF MINING COMPANIES

Mr BERNARD CORSER:
WIDE BAY, QUEENSLAND

– At a recent meeting of a large Australian mining company, a prominent director referred to the fact that the Royal Commission on Taxation had recommended that a class of mining shares previously allowed as deductions was no longer to be allowed as such and pointed out what a great deterrent that would be to mining. Is the supposition of that director correct ; and, if so, does the Government intend to take action in accordance with the suggestion of the royal commission ?

Mr CASEY:
Assistant Minister (Treasury) · CORIO, VICTORIA · UAP

– That recommendation of the royal commission concerns both the State Governments and the Commonwealth Government, and is on that account not one of the matters embodied in the bill to amend the Income Tax Assessment Act, which is now before the House.

page 313

COLONIAL LIGHT DUES COLLECTION BILL 1934

Bill brought up by Mr. STEWART. and read a first time.

page 313

QUESTION

EXTRACTION OF OIL FROM COAL

Mr JAMES:

– Some time ago the Prime Minister definitely announced that a hydrogenation plant would be set up for the purpose of extracting oil from coal. Has the Government yet determined when and where this plant will be erected ?

Mr LATHAM:
UAP

– I am not aware of the precise terms of the announcement to which the honorable member has referred, but I shall bring his request under the notice of the Prime Minister, and a reply will be given at an early date.

page 313

QUESTION

SHALE OIL

Mr GREGORY:
SWAN, WESTERN AUSTRALIA

– In view of the investigations which are being made respecting the extraction of petrol from shale, and the possibility of the Commonwealth Government expending large sums of money on that project, will the Minister give an assurance that no action involving the expenditure of a large sum of money will be taken by the Government without the approval of the Parliament ?

Mr LATHAM:
UAP

– The funds at present being expended on this project have already been authorized. Any further expenditure would have to be approved by Parliament. As a matter of fact it is not possible for a government to expend sums in excess of those already authorized without first obtaining the authority of Parliament.

page 313

QUESTION

EMBARGO ON ORANGES

Mr HILL:
ECHUCA, VICTORIA

– I have received from Fresh Fruits Limited, of Shepparton, Victoria, a letter stating that citrusgrowers in Victoria desire to know if the New Zealand embargo on oranges is likely to be lifted shortly, and pointing out that, in that case, the prices of oranges in the Melbourne market are likely to be higher. Can the Minister say what the position now is, and whether the embargo is likely to be lifted at an early date?

Mr STEWART:
UAP

– A conference of the technical officers of the Commonwealth and New Zealand Health Departments was held in Canberra a fortnight ago, and made certain recommendations, which have not yet been considered by the governments of the two dominions. The Government of New Zealand has not yet had an opportunity to consider the recommendations, because its officer is not expected to return to the dominion until to-day. The Commonwealth Government is considering those aspects of the recommendations which affect citrusgrowers in Australia.

page 314

QUESTION

ELECTORAL ROLLS

Mr R GREEN:
RICHMOND, NEW SOUTH WALES · CP

– In view of the early dissolution of this House, in preparation for an election on the 15th September, can the Minister say when the amended electoral rolls for those States for which the redistribution proposals have been carried, will be available?

Mr PERKINS:
UAP

– The redistribution proposals which have been dealt with by this House have still to be considered by the Senate. From the passing of those proposals by both Houses about eight weeks will elapse before the amended rolls can be printed.

page 314

LAND TAX ASSESSMENT BILL 1934

Bill brought up by Mr. Casey, and read a first time.

Mr CASEY:
Assistant Treasurer · Corio · UAP

– In order to facilitate the passage of this measure, I ask leave to move the second reading now.

Mr Beasley:

– I object.

Leave not granted.

page 314

ELECTORAL DIVISIONS

Proposals for Redistribution of Western Australia

Mr PERKINS:
Monaro- Minister for the Interior · Eden · UAP

by leave - I move -

That the House of Representatives approves of the distribution of the State of Western Australia into electoral divisions as proposed by Messrs. R. H. Bandy, J. P. Camm, and S. R. H. Roberts, the commissioners for the purpose of distributing the said State into divisions, in their report laid before Parliament on ‘ the 28th day of June, 1034; and that the names of the divisions suggested in the report be adopted.

Immediately prior to the proposed redistribution the enrolment in each division was as under -

The number of electors in each of the proposed divisions showing the extent to which the number, in each case, differs from the quota is as follows: -

Mr A GREEN:
KALGOORLIE, WESTERN AUSTRALIA · ALP; FLP from 1931; ALP from 1936

.- I move -

That all the words after “That” be omitted with a view to insert in lieu thereof the following words: - “ this House disapproves of the distribution for the State of Western Australia into electoral divisions as proposed by the distribution commissioners, and requests the Minister to direct the distribution commissioners to propose a fresh distribution of the said State.”

Section 19 of the Electoral Act provides that in making any proposed distribution of a State into divisions, the distribution commissioners shall, among other things, give due consideration to community or diversity of interests, and to means of communication. I shall deal, first, with the means of communication, then with community or diversity of interests, and go on to show that the increasing population in the present electorate of Kalgoorlie is sufficient to justify this House in sending the proposals of the distribution commissioners back to them for reconsideration. On numerous occasions, I have pointed out that the Kalgoorlie electorate comprises 909,000 square miles out of a total of 975,000 square miles for the whole of Western Australia. In other words, that electorate comprises eleventwelfths of the State, and is half as large again as the whole of Queensland, which comprises about 609,000 square miles. An examination of the map will show clearly the vast territory that I am expected to cover and the relatively small area that the other four members from Western Australia have to serve. I do not wish to suggest that those four representatives have not enough work to do, for even the residuum of the State, after my electorate is taken from it, is twothirds the size of Victoria. In the circumstances, the other four Western Australian representatives in this House are kept very busy. My port farthest south is on the southern ocean and my port farthest north is on the Timor Sea. I have 2,500 miles to travel to go by steamer from Esperance in the south to my port that is farthest north. I am nearer to Wyndham when I am in Canberra than when I am in my own electorate. During the recent recess I made two excursions through my electorate which occupied fifteen weeks. I travelled 3,300 miles by air and more than 7,000 miles by other means of transport, yet still had one-third of my electorate to cover. I shall, of course, not be able to visit all of it before the elections. The additions proposed to be included in the Kalgoorlie electorate are from the division of Swan and consist of part of the subdivision of Toodyay and part of that of Northam. I recognize that the Swan electorate carries a large population and that the honorable member for Swan (Mr. Gregory) deserves some relief, but I am sure he will agree with me that the State could be redistributed without giving me eleven-twelfths of its territory and including in my electorate agricultural folk who have no community of interests whatever with the people on the gold-fields. The people of Toodyay subdivision are almost entirely wheat-farmers. Northam is regarded as the capital of the agricultural districts of Western Australia and is the largest city in the agricultural areas of the State. The idea of including such areas in the Kalgoorlie electorate is unwise. It must be evident to any one who thinks for a moment that, in view of the vast area that I already represent, it would be absolutely impossible for me, in the time at my disposal, to represent adequately the agriculturists in the Toodyay and Northam areas. It would be as great an anomaly to include Toodyay and Northam in my electorate as it would be to place either one or both of the gold-mining cities of Kalgoorlie and Boulder in an entirely agricultural division. The people of Northam and Toodyay realize clearly that this proposed redistribution is not in their best interests, and that the member for Kalgoorlie could not possibly give them the attention that the honorable member for Swan has given them in the past. Numerous meetings have been held throughout the affected area at which motions of protest against the redistribution have been carried. At one meeting the town hall at Northam was filled to overflowing with indignant electors. Already the Kalgoorlie division includes fifteen out of the fifty State electorates ; but, if the new proposal is agreed to, it will include seventeen State electorates. This surely shows how unnecessary the suggestion is. In passing, I may say that the financial implications of a tremendous area like that are enough to condemn the proposal. I can see clearly what will happen if the electorate is enlarged. When the seventeen State members are approached for a donation towards any public cause, the persons concerned will, at the same time, say, “ Oh, let us also ask Texas for a donation.” To look at the subject from another point of view, it is proposed to include almost half the area of the present Swan electorate in the New Kalgoorlie division. It is true that the area proposed to be included in my electorate is not the moat thickly populated of the Swan division; but it would nevertheless have to be traversed by a new member. There are railways right through the area, but the train service is infrequent in many parts of it. For instance, there is a train once a week on a new line to Bonny Rock, but the train remains four days at the terminus. It would be impossible for me to devote that much time to that particular place, and I cannot afford a motor car to travel through ‘ the area. If I attempted, in the coming election campaign, to cover in any reasonable way the parts of the sub-divisions of Toodyay and Northam, that are proposed to be included in the Kalgoorlie division, I should have to leave the remainder of the division entirely untouched, which would manifestly be unfair.’ In big electorates of the kind we are discussing, the people, generally speaking, are considerate; but it often happens that when I visit a remote part of my electorate, I am told, “You are the first federal parliamentary representative that has ever been here.” I am, at the same time, asked, “ When will you come again ?” In most cases I know that it will be impossible for me to return. If these proposed new areas are included in the Kalgoorlie division, it will then be as large as Tasmania, Victoria, New South Wales and South Australia combined, and in those States there are 60 members to look after the interests of the electors. During my sixteen weeks’ tour through my electorate, I spent 33 nights on trains. The trains were not comfortable like the transcontinental train or the Melbourne express. Frequently, I had only a blanket and a pillow, and quite often I “was lucky to get them. To carry out a tour of that kind requires considerable physical stamina. I have already referred to the lack of community of interest that there would be if this alteration were made in the Kalgoorlie electorate, and this is realized by the electors whom it is proposed to transfer to the Kalgoorlie division. Whatever may be said about the political views of the present honorable member for Swan, it cannot be denied that he has closely devoted himself to the welfare of the wheat-growers in his division. Of course, I also have received a very substantial vote from wheatgrowers in other parts of my electorate, but I realize that it would be impossible for me adequately to represent an additional area such as that which it is proposed to include in my division. I do not suggest that the three commissioners who have recommended this redistribution have been unfair. I know them personally, and they are gentlemen above reproach. But the Commonwealth Electoral Officer for Western Australia, who has been newly appointed to his office, has, no doubt, considered the redistribution from a departmental point of view, and is anxious that a redistribution shall be adopted which will make unlikely any interference with the boundaries of the Kalgoorlie electorate for a number of years in consequence of a possible reduction of the number of voters below the minimum quota. I wish to show that there is an alternative proposal that would leave very little probability of that happening. The minimum quota for Kalgoorlie is 36,560. The number of electors on the roll at the 30th December, 1933, was 1,953 below the minimum quota. The number that will be on the roll under the new proposal, will be 43,419 or 6,859 above the quota. The following table gives a summary of the variations in the number of electors in the federal divisions in Western’ Australia in the period 1921-1933: -

The only division that has anything approaching the increase in Kalgoorlie is Swan. These figures show that although Kalgoorlie was in a most unfortunate position for a number of years, owing to the slump in the gold-mining industry, its population is now bound to increase. The gold bounty was sought because of the parlous condition of the industry, but a marked change has occurred in the outlook since the price of gold has doubled. The figures of the Mining Department indicate that the number of men in the Kalgoorlie division to-day is 10,000 greater than in 1930. About 6,000 of those men are not enrolled as electors, the prospector’s residence, of course, not being static. The Melbourne -.4.06 of the 26th June last published the following telegram from Perth :-

Although thu authorities are unable to forecast the actual number of men to be employed on thu mines in the near future, indications are that 1,000 additional millers will be engaged by the end of the year.

It has been said that one miner carries five other men on his back. The population of Kalgoorlie and Boulder is about 15,000, and the actual number of miners working there is 3,000. When I went to Wiluna in 1922, only seventeen men were engaged. [Quorum formed.) From eighteen months to two years is required for the erection of the plant necessary for a mine conducted on modern lines, and working on a big scale. A longer period than that was occupied in preparing for work at Wiluna, which now has a. force of 900 men, and a population of about 4,500. A. considerable number of new mines are being opened up by large and reputable companies. The Triton mine, at Cue, now has about 34 men, but will eventually give employment to about 400. The Lancefield mine, at Laverton, has about 40 men already, and the total will no doubt be increased to 500 when its plant is complete. The Southern Cross mine is ‘being opened up again, but the property will not be ready for active operations for at least two years. The number of men there will be steadily augmented. The Edna May Amalgamated, one of the sensational finds of recent years, is to be re-opened, and it will give employment to at least 600 or 700 men. The Phoenix mine at Norseman is also to be re-worked. I could mention numbers of other properties that are to be opened. My division contains one of the largest auriferous belts in the world, extending from Norseman, about 150 miles north of Esperance, practically to Wyndham with breaks of country. ‘ The number of electors on the roll will soon be increased, because at least an additional 5,000 men will be engaged on the big mines in the next few years. Consequently, the proposals of the commissioners with regard to Kalgoorlie should be referred back for reconsideration. If the commissioners find themselves in difficulty over the matter, since Kalgoorlie has 1,900 electors under the minimum, a way out could be found by including in the electorate for the time being, the subdivision of Avon, instead of Toodyay and Northam. But I feel sure that within two or three years the population of the Kalgoorlie division will be over the maximum quota. There is a community of interests between the people of Avon, who live along the gold-fields railway, and the residents of the division qf Kalgoorlie, because the former send hay, chaff, flour, and other goods to the city of Kalgoorlie and the gold-fields. The addition of that subdivision would increase the number of electors by about 3,900, making it nearly 2,000 over the minimum.

Mr GREGORY:
Swan

.- I support the amendment moved, by the honorable member for Kalgoorlie (Mr. A. Green). I have no desire to cast any reflection upon the commissioners, because I know that they endeavoured to do their best to produce an equitable distribution. It seems to me, however, that they were influenced too much by considerations of mere population, and too little by community of interest. Every honorable member who last night voted for the amendment of the honorable member for Corangamite (Mr. Gibson), in regard to the redistribution in Victoria, should also vote for the reconsideration of the Western Australian proposals, under which it is intended that there shall be three city electorates in Western Australia - Perth, Fremantle, and Swan. In the Swan electorate, under the proposals now before the House, there will be 26,000 metropolitan voters, and 20,000 agricultural voters, thus making this constituency essentially a metropolitan one. In my opinion, the agricultural interests of the State are entitled to two representatives in this Parliament, and I cannot agree to anything that will reduce their representation. It is now doubtful whether the gold-mining interests will be represented as such at all. It is proposed that 9,300 agricultural voters should be transferred to the Kalgoorlie electorate. I have received numerous protests against the proposed change from districts extending all the way from Northam, right through the Mount Marshall district, including one from the Kunonoppin-Trayning Road Board in the following terms : -

In connexion with the proposal to sever the Mount Marshall State electoral district from the Swan Federal electorate and attach it to the Kalgoorlie electorate, I have been directed by my Board to lodge a strong protest against the change.

This resolution was unanimously passed by my members at the last meeting held on the 21st inst., but before acting in the matter the individual members of each ward obtained the expressions of many of the residents on the proposed change. In every instance there appears to bo strong opposition to the alteration, and such an opinion may be taken as being unanimous throughout the district.

The chief objection is that the Mount Marshall State electoral district is purely an agricultural one, with no communal interests with the gold-fields or the far north. It is feared that it will be neglected from the agricultural point of view if merged in with the Kalgoorlie electorate, whose interests aru overwhelmingly mining.

It is alao thought that the population basis of the Kalgoorlie electorate will, in a very short while, adjust itself owing to the stimulus given to the mining industry by the price of gold and the rush of people engaged in mining activity. The strong movement of population towards the gold-fields, which has occurred in the past few months, must challenge the figures which have been given officially as repre”ii ting those areas. It is thought that many have not complied- with the compulsory enrolment provisions, or have neglected to give notice of change of address.

Yours faithfully,

M. Felgate, Secretary.

This is endorsed by other protests I have received from the Northam municipal council, from the Chamber of Commerce, the Agricultural Society, the Primary Producers Association, and from every road board which is affected by the proposed change. In every instance it is pointed out that the agricultural industry, of which Northam is the natural centre, is entitled to representation, but under these proposals would be submerged by the mining vote. An enormous area has been added to the Kalgoorlie electorate, which will extend to within 80 miles of the city. If we look at the map of Western Australia, we see that a small corner in the south-west is represented by four members, while all the rest, comprising about nine-tenths of the area of the State, is represented by only one member. Further, during the last . two years, approximately 1,000 farms have been abandoned in Western Australia; and, as against that, there has been unprecedented development in the mining industry. The old district of Southern Cross, which was prominent in the early history of the eastern goldfields, hut has been practically abandoned for twenty years, has been revived owing to the increased price of gold. It is proposed to employ there between 250 and 300 men, which will mean that the population of the district will be increased by 1,000. In Kalgoorlie important developments are taking place, and the number of miners employed is rapidly increasing. The same thing is occurring at Coolgardie, Menzies, Orabanda, Mount Morgans, Laverton, Wiluna, and Murchison. I am confident that, before three years, if the price of gold keeps up, the population of the electorate of Kalgoorlie will be greater than that of any other in the State, and we shall have the anomaly of this huge area having a larger number of electors than any other division in the State. Large amounts of capital are constantly coming forward from Great Britain for the development of the gold mines in Western Australia, and that seems likely to continue, for I believe that the price of gold will be maintained for a considerable time. The result is that ,omes. which have been abandoned for years owing to the high cost of production, are now being re-opened. This applies even to Pilbara, in the north-west, for which fresh capital has been obtained.

It was emphasized at the recent international conference in Rome that the prosperity of the farmers was of the ‘very greatest importance to every community. That applies with perhaps even greater force in Australia than in other countries, and for that reason it is important that the farming community should receive adequate representation. I do not wish to see rural representation in Western Australia dwindle until it is confined solely to the electorate of Forrest. I am not concerned regarding my personal chances, ‘because, at the last election, I polled very well in the city areas, but I am concerned with the principle of adequate representation for agricultural interests, which is of vital importance. It is a matter for regret that less consideration seems to be given by this Parliament to providing proper representation for country districts than to parcelling the ‘ country up into areas containing equal populations. [Quorum formed.] Honorable members who supported the amendment carried last night in connexion with the proposed redistribution in Victoria should also support that moved by the honorable member for Kalgoorlie (Mr. A. Green), because in both instances the principle involved is the same. It would be regrettable if through the adoption of the commission’s proposals the agricultural districts in Western Australia were left with only one representative in this chamber.

Mr PROWSE:
Forrest

.- The proposed redistribution in Western Australia, particularly with respect to tje Kalgoorlie electorate, suggests that the provisions of the Constitution in the matter of representation should be stretched to the utmost possible limit. Under the proposed redistribution there is little or no difference between the number of electors in metropolitan electorates and in rural and mining constituencies, and, as was stated by the honorable member for Swan (Mr. Gregory), within three years the electorate of Kalgoorlie may have a larger number of electors than any other electorate in Western Australia. It is easy to repeat the cry of “ one man, one vote,” but we should also consider the right of every man to equal service from his parliamentary representative; that equality is impossible when in some electorates the quota of voters is distributed over an unnecessarily large area. The honorable member for Kalgoorlie (Mr. A. Green) has clearly demonstrated the difficulties which he has to encounter in attempting to serve his constituents, and those difficulties should be recognized when a vote i3 taken on .the amendment now before the House. It would appear that the Kalgoorlie electorate has been extended without proper regard to community of interest. The honorable member for Swan lias shown that under the [rpposed redistribution in Western Australia, agricultural areas are to be attached to mining districts. The number of voters in the Kalgoorlie electorate should be limited to 25,000, and even then it would be difficult for its representative to serve -them adequately. I trust that the House will treat this amendment as it did a similar amendment moved last night.

Mr GABB:
Angas

.- I congratulate the Government upon the consistent attitude which it has adopted by adhering closely to the recommendations of the commissions. Whatever stigma attaches to certain honorable members in connexion with the vote taken last night the Government has not been associated with their jerrymandering proposals.

Mr Gibson:

– I rise to a point of order. I ask that the words “ stigma “ and “jerrymandering” be withdrawn.

Mr SPEAKER (Hon G H Mackay:
LILLEY, QUEENSLAND

– As the honorable member for Corangamite (Mr. Gibson) regards the words mentioned as having a personal application, I ask the honorable member for Angas to withdraw them.

Mr GABB:

– In deference to parliamentary usage, I withdraw them. I shall say that the efforts being made by son:i;honorable members to prevent the forthcoming election from being conducted on the boundaries recommended by the commissions is not creditable to this Parliament, .and will result in the people’s faith in the parliamentary system being further diminished. We cannot disguise the fact that the members of two parties in this chamber have combined to save flip seats of certain honorable members. After all there are advantages in being a member of a party, particularly when one can secure the support of two political parties. If there is a possibility of an honorable member losing his seat by his electorate being absorbed, or becoming more difficult to hold, a combination of the votes of honorable members directly interested may result in the recommendation of the commission being rejected. In such circumstances, an independent member is at a disadvantage. I voted for the retention of seven members for South Australia, as it was my duty as a Soul.?.

Australian, member to do. Having done so I was content and I am glad that I have not “belly-ached” as some honorable members have done at the prospect of losing their seat.

Mr Prowse:

– I desire to make a personal explanation. While the proposed redistribution in Western Australia is favorable to me, it is unfavorable to the honorable member for Kalgoorlie (Mr. A. Green) who is a political opponent of mine. The present honorable member for Kalgoorlie will not always bold that seat. I repudiate the insinuations of the honorable member for Angas.

Mr FENTON:
Maribyrnong

.- I cannot understand why it should be contended by honorable members representing Western Australia, that the electors in that State will not be fairly represented under the proposed redistribution scheme. It has been said that certain agricultural areas are to be included in the Kalgoorlie electorate, but I understand that the present representative of the electorate is, himself, a wheat-grower, and if that is so, what better representative could the wheat-growers have? At present the honorable member for Kalgoorlie (Mr. A. Green) represents a large number of farmers in his constituency. AH this twaddle about community of interest is becoming sickening. Although I am the representative of a metropolitan electorate I live in the country, while many who represent country electorates reside in the capital cities. I may have displayed some heat in discussing the proposed redistribution in Victoria, but I was not actuated by personal interests. If an independent commission recommended that the electorate of Maribyrnong should be cut to pieces, I would support its recommendations. I am surprised that attempts should be made to violate acts of Parliament, and that for purely selfish reasons some honorable members should throw overboard principles which they have supported fm years. In the past I have taken risks, and if God spares me, I shall take them again.

Mr Ward:

– The honorable member has thrown his principles overboard.

Mr FENTON:

– I have never done so. I have adhered more closely to my principles than some of our latterday friends opposite, who are endeavouring to make their presence felt. In view of the action taken last night and to-day, we might as well dispense with the Constitution, the Electoral Act, and the Representation Act. If the recommendations of an independent commission are to be treated with contempt, we should allow this House to formulate redistribution schemes. Some honora’ble members speak with their tongues in their cheeks and disregard the recommendations of intelligent and independent men.

Mr Prowse:

– I desire to make a personal explanation. The whole tenor of the remarks of the honorable member for Maribyrnong is offensive to honorable members.

Mr SPEAKER:

– The honorable member for Maribyrnong has expressed himself somewhat forcibly, as he is entitled to do, but up to the present he is in order.

Mr FENTON:

– I trust that there will not be a repetition of what occurred last night, and if there is I submit that the names of certain honora’ble members will stink in the nostrils of the public.

Mr SPEAKER:

– The honorable member is not in order in reflecting upon a vote recorded last night. He has also used an unparliamentary expression which he must withdraw.

Mr FENTON:

– I withdraw it.

Mr HAWKER:
Wakefield

.- There appears to be an honest difference of opinion as to whether some honorable members should be compelled to represent large electorates, which, besides entailing a good deal of travelling and heavy expense to enable them to keep in touch with their constituents, put the electors at a disadvantage in organization for the purpose of expressing their needs to their own member. It has been suggested that those who experience such difficulties should receive some consideration, and that the commission should be expected to depart from the exact quota to the extent of the margin of 20 per cent, which the law provides. Actually in the report of he Victorian commission which has been laid on the table of the House reference is made to the discretion which is allowed to it, but the commissioners say that in the absence of any direction from Parliament they have failed to exercise their discretionary powers to any considerable extent. Under these circumstances, surely it is entirely legitimate for Parliament to refer back recommendations which have been made in ignorance of the wishes of Parliament. In making another allocation of the boundaries the commission should be asked to take cognizance of the disabilities of the people who have to travel long distances and experience great difficulty in communicating with their representatives. That was the main reason why we, in South Australia, considered that Parliament should do what it could to enable that State to retain its seventh member. Only because of that was I prepared to vote against the majority of the House in favour of a course which might have exposed future legislation to some risk of being unconstitutional. On the same principle I voted for the retention of the ten country members for Victoria, and propose to vote in favour of the amendment to give the people in Kalgoorlie a chance of being in approximately as favorable a position as are those in the more densely populated districts. It is grossly unfair to impute improper motive to honorable members who are acting consistently in supporting that principle. I hope that the amendment moved by the honorable member for Kalgoorlie (Mr. A. Green) will be agreed to.

Mr THORBY:
Calare

.- I emphasize the fact that the commission was appointed to make certain recommendations to this House. Its recommendations are now under consideration. Every honorable member is justified in criticizing the recommendations and in offering suggestions, and Parliament will be within its rights in referring the matter back to the commission for further consideration. But because honorable members have deemed it their duty to adopt this attitude some other honorable members have misrepresented their action in such a manner as to make it almost degrading to be associated with Parliament. Although I am politically opposed to the honorable member for Kalgoorlie (Mr. A. Green) I say that if any case for a reconsideration of suggested boundaries has been made out it is the case presented by that honorable member. No portion of Australia is more difficult to represent than is the division of Kalgoorlie, which, I understand, is by far the largest electorate in the Commonwealth.

Mr A GREEN:
KALGOORLIE, WESTERN AUSTRALIA · ALP; FLP from 1931; ALP from 1936

– It is larger than any State except Western Australia.

Mr THORBY:

– Railway facilities in that electorate are less in proportion to its area than in any other division. I have considered carefully the various proposals submitted to this House by the commissioners, and I am entitled to dissent from them without being accused of jerrymandering.

Mr SPEAKER:

– Order ! The honorable gentleman is not entitled to use that expression, which has already been ruled out of order and withdrawn.”

Mr THORBY:

– Although remarks of this nature are withdrawn they are recorded in Mansard. There is a good deal of justice behind the claim of honorable members representing Western Australian constituencies, that the House, in referring the recommendations hack to the commission, should ask it to give full consideration to the margin allowed under the law, particularly in repect to those districts where it is impossible for the representative to do justice to his constituents because of the impossibility of visiting the whole of his electorate even once in three years.

Mr PERKINS:
Monaro- Minister for the Interior · Eden · UAP

– In bringing this measure before the House the Government has tried to be non-partisan. It realizes that although the commission was appointed to make certain recommendations to the Government it was not obligatory on Parliament to accept them. The House has the right to override the commission. If the proposals were binding on the Parliament, it would be a waste of time to submit them to the House for approval. Nevertheless, I ask honorable members to consider seriously the advice of this independent body. The Government realizes the size and circumstances of the Kalgoorlie division, and possibly if the matter is referred- back to the commission it can suggest the omission of portion of the area, without exceeding the margin permitted by the act, But I ask honorable members to consider whether in the event of the recommendation being referred back to the commission there is any possible chance of a fresh distribution being made in time for the next election. The effect might be that the election would have to be held on the existing boundaries. Already, the report on Victoria has been referred back to the commissioners and the inquiries I have made this morning, although not complete, indicate that it will not be possible in the short time available to have the divisional boundaries in that State altered and approved by Parliament in time for the election. Honorable members must consider whether they would be acting wisely in agreeing to the amendment. The Government leaves the matter to the House.

Question - That the words proposed to be omitted stand part of the question (Mr. A. Green’s amendment) - put. The House divided. (Mr. Speaker - Hon. G. H. Mackay.)

AYES: 27

NOES: 30

Majority . . . . 3

AYES

NOES

Question so resolved in the negative.

Amendment agreed to.

Original question, as amended, agreed to.

page 322

WINE EXPORT BOUNTY BILL 1934

Message recommending appropriation reported.

In committee (Consideration of Governor-General’s message) :

Motion (by Mr. White) agreed to -

That it is expedient that an appropriation of revenue be made for the purposes of a bill for an act to provide for the payment of bounty on the export of fortified wine, and for other purposes.

Resolution reported.

Standing Orders suspended; resolution adopted.

Ordered -

That Mr. White and Mr. Guy do prepare and bring in a bill to carry out the foregoing resolution.

Bill brought up by Mr. White and read a first time.

Second Reading

Mr WHITE:
Minister for Trade and Customs · Balaclava · UAP

– I move -

That the bill be now read a second time.

This bill is designed to continue the assistance by way of bounty which is given to certain wines exported from the Commonwealth. The existing Wine Export Bounty Act will expire on the 28th February, 1935, and unless Parliament makes provision for continuance of the system, no bounty can be paid on wine exported from Australia after that date.

The wine industry in Australia has had a chequered career over the past decade. It would be well if, at this stage, I briefly sketched, for the information of honorable members, the history of the Commonwealth’s wine bounty legislation. The industry dates back to the ‘thirties and ‘forties in South Australia and Victoria.

Under their respective repatriation schemes, the Governments of New South Wales, Victoria and South Australia placed large numbersof returned soldiers on the land to grow grapes for the wine industry. The scheme, though excellent, was overdone, and, as a result, there has been serious overproduction.

The only means of providing an outlet for the surplus grapes was by stimulating the export of wine from Australia, and in order to develop overseas markets the Government granted, in 1924, a bounty of 4s. a gallon on fortified wine exported. This included an amount of1s. 3d., which represented the drawback of the excise duty due on the fortifying spirit contained inthe wine exported. In 1927, the bounty was reduced to1s. 9d. a gallon, exclusive of1s. 3d. a gallon drawback, making a total of 3s. a gallon on wine exported. Although the reduction was assented to in April, 1927, it did not operate until the 1st September, 1927, and during the interval, abnormally large quantities of wine were exported to Great Britain on consignment in order to obtain the higher rate of bounty. Such action on the part of wine-makers built up in London large stocks of Australian wines which seriously prejudiced the orderly marketing in Great Britain, and did untold harm to the industry. In March, 1928, the bounty was further reduced by 9d. a gallon. In June, 1930, the position of winemakers, and consequently grape-growers, became critical, and the present Bounty Act restored the bounty to the level operating in 1927, viz.,1s. 9d. a gallon.

Up to that period, the bounty was paid out of Consolidated Revenue. A departure was made in 1930 by placing part of the burden of financing the bounty on the domestic trade. This was done by increasing the excise duty on fortifying spirit by 5s. a gallon, and placingthe extra collections into a trust account, out of which the bounty was paid. Provision was made that if the amount in the trust account was at any time insufficient to pay the bounty, any deficiency was to be made up from Consolidated Revenue.

The provisions of the Financial Emergency Act of 1931 further reduced the bounty by 20 per cent., making the rate 1s. 4.8d. a gallon.In 1932, on account of the prevailing financial stringency, the Wine Export Bounty Act was further amended by the Financial Emergency Act to restrict payments from Consolidated Revenue in respect of bounty on wine to £96,000 per annum, plus the amount received from the extra excise duty of 5s. a gallon imposed on fortifying spirit in 1930. It was further provided that the money available for payment of bounty should be distributed pro rata amongst exporters. To achieve this end provision was made for progress payment of the bounty. A first payment of1s. a gallon has been made since the Financial Emergency Act has operated. Further payments are dependent on the amount of money available in the trust fund at the end of each year. In 1932-33, the rate of bounty which was paid was 1s. 4.2033d. a gallon, and in 1933-34, the maximum rate of1s. 4.8d. a gallon was paid.

The rate of bounty has been changed five times since the original act was passed in 1924. The following statement sets out the details: -

In this bill it is proposed further to reduce the rate of bounty from1s. 4.8d. a gallon to1s. 3d. a gallon for the first two years, and adopt a sliding scale providing for a reduction of1d. a gallon per annum until the rate of bounty has been reduced to1s. a gallon.

The following figures indicate the extent to which the export trade in fortified wines has increased since the inception of the bounty: -

In June, 1934, there was approximately 14,000,000 gallons of fortified wine in bond in Australia. This quantity is far in excess of the local domestic requirements. Moreover, there is little prospect of increasing local consumption to any appreciable extent in the immediate future. It is, therefore, incumbent on Australia to exploit overseas markets if this surplus is to be absorbed and the industry saved from disaster. The only way in which this can be done is by the continuance of bounty assistance. If the bounty were discontinued export would seriously diminish, further vinting would be severely restricted for at least three years, and grape-growers would bo faced with ruin. It should also be remembered that the Governments of New South Wales, Victoria and South Australia, particularly the latter, have large sums of money invested in irrigation settlements on which the growing of wine grapes is a very important factor. The withdrawal of the wine bounty wouldundoubtedly result in those governments suffering heavy financial losses which would severely impair budgetary equilibrium. Last year I visited the wine areas of South Australia. From what I saw there, I am convinced that the abandonment of this important industry is unthinkable. The export of wine has added substantially to Australian credits overseas when such credits were badly needed. The value of our exports of wine over the last five years for which figures are available has been as follows: -

The wine industry in Australia represents a large capital investment. It employs about 600 persons annually in wineries and 3,500 growers producing grapes. In addition it provides each year seasonal occupation for an army of grape pickers, carters and labourers during the vintage.

Although the Government is convinced that continuance of the bounty is essential, it is of the opinion that the present rate is too high. Competent authorities in the trade consider that Australian wines could be sold in London without loss of trade at a higher price than is now being realized. South African wines, which are certainly no better in quality than Australian, brings higher prices in London. The Wine Overseas Marketing Board’s present fixed minimum price is 3s.7d. a gallon, less prescribed quantity discounts, while South African wine realizes approximately from 4s. to 4s. 3d. a gallon. Furthermore, there are good grounds for believing that some Australian makers are selling at a figure below the board’s minimum price. There is no doubt that the present rate of bounty assists in this undesirable practice. The Government, in the legitimate interests of the industry, has decided to correct the position by a reduction of the existing bounty. Such action will at least make price-cutting more difficult, and will probably result in the Wine Overseas Marketing Board, without loss of trade, being able to increase its minimum price for wine to a figure more in keeping with its value. Such stabilization would enhance the prestige of Australian wines on the United Kingdom market. Moreover, a reduction of the rate of bounty will allow for considerable expansion of the export trade without any additional burden being placed on the finances of the Commonwealth or the industry. The proposed act is to operate for five years. There is every prospect of development of the export trade during that period, particularly as the United States of America is now open to Australian wines.

The Federal Viticultural Council has expressed the view that the rate of bounty should be stabilized at not less than1s. a gallon. The present rate is1s. 4.8d. a gallon. The Government, however, realizes that a heavy reduction, effected suddenly, would considerably disturb trade, and would probably result in loss of business while sellers and buyers were adjusting contracts and prices. It is, therefore, proposed to make the reductions by gradual stages, so as to cause a minimum of disturbance of the trade. Reduction of the bounty in this manner will also tend to discourage exporters to rush large shipments overseas before February, 1935, in order- to take advantage of the higher rate ofbounty under the existing act. Similaraction in 1927 did serious harm totheindustry.

The original bounty act passed in 1924 had two main purposes - (a) to protect the interests of growers by the fixation of minimum prices for grapes and fortifying spirit; (b) to encourage the exportation of wine.

Since 1927 the Minister for Trade and Customs has fixed the prices to be paid for grapes and fortifying spirit each year. Up to 1933 wine-makers who operated in both the local and export markets, and who claimed bounty on wine exported, were called upon to pay such prices for all grapes and fortifying spirit purchased both for the domestic and export markets. This action was considered necessary in order to satisfy the Minister that reasonable prices had been paid for the grapes used in the production of the wine on which .bounty was claimed.

In April, 1933, a prominent winemaker advised the department that, during the 1933 vintage, he proposed to purchase grapes up to a certain date for use in the manufacture of wine for export under bounty conditions, and pay approved prices for such grapes, and after that date to purchase grapes for wine for the domestic market at prices mutually agreed upon by himself and the growers. This maker kept the two classes of wine separate, which rendered it impossible for the department to hold that fixed prices had not been paid in respect of grapes used in making wine that was exported under bounty. Other makers quickly followed suit.

As the Commonwealth Government has no authority to control the prices paid for grapes used in the manufacture of wine for the domestic market, the new procedure adopted by wine-makers forced the department to recede from the position which it had previously taken up. t was obliged to acknowledge claims for bounty where approved prices were paid in respect of the wine exported, irrespective of the prices paid by the maker for grapes used in the manufacture of wine for the Australian market. This lack of power to enforce the protection hitherto afforded growers with respect to prices for grapes used in making wine tor the domestic market has seriously impaired the efficacy of price fixation.

It has, however, been suggested that as the State Governments have the power to Ss prices within their respective States, action should be taken by the wineproducing States to ensure that wine-makers shall pay prices considered fair and reasonable by the Minister for Customs for all grapes purchased, and that the States should make the manufacture of wine illegal except under licence, a condition of which should be that prices considered fair and reasonable under the Wine Export Act be paid for all grapes purchased.

If the price of grapes for the domestic market be left uncontrolled and the present Commonwealth / policy with respect to grapes for the export market be maintained, there will be a tendency on the part of some makers to average the prices paid for their grapes each year by reducing the price of their domestic requirements to a low level. This prospect is most unsatisfactory. It circumvents one of the principal objects of the Wine Export Bounty Act, by forcing growers to accept an uneconomic price for grapes, and gives to the wine-maker who buys grapes for the domestic market at low prices an unfair advantage over competitors who either pay the prices fixed by the Minister for all grapes, or who do not operate on the domestic market. In other words, those wine-makers who purchase grapes for the domestic market’ at prices which they themselves determine, get more of the benefits of the act than they deserve.

Wine-makers, generally speaking, do not desire to purchase grapes from growers at uneconomic prices, but the unfair and favoured position enjoyed by a few makers who have taken advantage of the letter of the law, will gradually force all makers who are interested in the local market to pay low prices in order to retain their domestic trade.

Numerous conferences with a view to co-ordinating State and Commonwealth powers relating to the wine industry have been held between the Commonwealth and State Governments, but the desired result has not yet been achieved. South Australia has approved a draft bill. New South Wales has not yet expressed its concurrence, and the attitude of Victoria is uncertain; but it is believed that it will come into line with South Australia.

Price fixation is a very contentious subject, hut it is hoped that, at an early date, all the States concerned will fall into line and give the grower the necessary protection to ensure that he receives a reasonable price for all the grapes he produces. I emphasize that this is a State, and not a Commonwealth matter-, but the Commonwealth Government has gone a long way toward stabilizing the industry.

To ensure that growers received a reasonable price for grapes, all claimants for bounty have, since 1927, been required to give an undertaking under the Bounty Act that they would pay fixed prices before bounty was paid to them. The time within which payment was to be made, however, was not fixed, and although most makers have honoured the undertakings within a reasonable time, some companies have not paid growers in full for several years.

Provision is made in the bill for payment for grapes used in the production of the wine upon which bounty is paid by a system of quarterly instalments. In regard to fortifying spirit purchased by claimants for bounty, the bill provides that payment shall be made within six months from date of delivery. It is considered that makers should pay growers within a reasonable time, and the terms of the bill in this respect should not embarrass wine-makers to any appreciable extent.

As this bill provides for a system of deferred payments for grapes and fortifying spirit, there is the danger that some makers may be tempted, through a shortage of finance, to dispose of large quantities of wine at “slashed” prices, and consequently, at a later date, be unable to meet their obligations to grapegrowers. A provision has, therefore, been inserted in the bill to enable bounty to be withheld unless the Minister is satisfied that the price at which the wine was sold is sufficiently high to enable the wine-maker to meet his commitments to both grape-growers and suppliers of fortifying spirit.

In the bill there is also specific provision for -

  1. The fixation of prices of grapes used in making wine exported under bounty. In the existing act the authority is only implied. (&) The clothing of the Minister with power to withhold bounty in cases where the claimant did not fully observe the prescribed conditions in respect of a past transaction on which bounty had already been paid; and
  2. The granting of authority to the Minister to insist that reasonable wages are paid and reasonable conditions of employment are observed by vignerons. Similar provision is already contained in the existing act, but it has been found by experience that a tightening up is needed, as, in South Australia, some vignerons are able to evade the requirements and are competing unfairly with the others.
Mr Blacklow:

– Immediately the industry is on an economic basis, others may be induced to rush into it, and wo may be faced with the problem of overproduction. In what way would it be dealt with?

Mr WHITE:

– I went into that matter very carefully with the representatives of South Australia. As honorable members are aware, there was over-production of the doradillo grape for spirit. On the recommendation of the State Minister for Lands, a scheme was submitted to the Federal Government to make provision to enable doradillo-growers to graft their vines over to the dried-fruits varieties andreduce plantings.

Mr Thorby:

– If that is done in this case, the agreement with regard to the production of dried fruits may be destroyed.

Mr WHITE:

– I think the honorable member is under a misapprehension. If he would visit Berri and other vinegrowing districts in South Australia, he would realize that such action would ‘be warranted. When the bill is in committee I shall discuss with honorable members the problem of over-production. It is not the desire of the Government to make the industry so attractive as to encourage over-production.

In addition to the bounty, the Government has rendered valuable assistance to the wine industry in other directions. The excise duty on fortifying spirit has been reduced from 10s. and lis. a gallon to a flat rate of 6s. 6d. a gallon. Another valuable concession granted to wine-makers is the provision for the manufacture of wine in bond. Prior to 1927, wine-makers were required to pay excise duty on fortifying spirit when it was added to the wine. If the wine were subsequently exported, a drawback of the duty was paid. In that year, owing to the large expansion in the export trade in fortified wine, and to the general financial stringency, wine-makers were permitted to manufacture wine in bond both for export awd home consumption. Under this provision, wine-makers are not required to pay duty on fortifying spirit used until the wine is actually delivered for home consumption. If it is exported, no duty is payable. Makers are thus saved a great deal of worry and expense in interest payments to find large sum3 for the payment of excise duty in respect of wine which may be stored for long periods pending delivery for home consumption or export. This concession has created many administrative difficulties, but recently the conditions governing the procedure have been improved, and provision has been made to allow wine-makers to make a deduction of 2£ per cent, from the excise on fortifying spirit added to wine in bond, to cover losses due to evaporation and cellar operations.

I have dealt with the essential features of the bill. Necessarily, many other points may require explanation when the measure is in committee. Those honorable members representing States that are interested in the wine industry will, I am sure, appreciate the value of the bill, and agree that during the last two years, the Government has done a great deal to stabilize the industry.

Debate (on motion by Mr. Forde adjourned.

Silting suspended from 12.58 to 3.15 p.m.

page 327

QUESTION

AUSTRALIAN EASTERN MISSION : REPORT

Mr LATHAM:
A AttorneyGeneral and Minister for External Affairs · Kooyong · UAP

– I lay on the table -

Australian Kas tern Mission - Report of the Right Honorable J. G. Latham, Loader of the Mission. and move -

That Hie paper be printed.

I submit to the House this report, which I have presented to the Prime Minister (Mr. Lyons). This Mission was a novel enterprise, certainly without precedent in the case of a British dominion, and almost without precedent in any other country. We have learned, or are learning in Australia, that the various countries of the world are inter-dependent, and that it is impossible for any one country to ignore the rest of the world. The issues of war and peace possibly may be affected by some of the things that are done in Australia, but it is more than probable that war may be caused by something which happened outside Australia. Obviously, therefore, it is important from this, the most vital point of view, that every effort should be made by Australia, so far as it is in a position to affect these issues, to bring about good and friendly relations with the rest of the world. Again, the economic life of all modern developed communities depends very largely upon trade with other peoples. Trade between the Commonwealth and other parts of the world does not depend merely or solely upon what we may do, say, or think in Australia, but is also affected fundamentally and obviously by what occurs in other parts of the world.

It has been the policy of this Government to endeavour to develop and to improve good relations between Australia and other parts of the world. There has always been a political liaison, which we regard as permanent, between Australia and the rest of the Empire, and there has recently been established, by means of the Ottawa agreements, a much closer economic liaison between Great Britain and Australia. This, the first step upon a new pathway, has naturally been attended by difficulties, and there have been obstacles in the way, but the present trend of development in the world appears to indicate that, inevitably, agreements of this kind will become more and more the ordinary method of dealing with the flow of trade. With Great Britain our relations are now closer than they have ever been, and a more urgent effort is being made to maintain and extend trade between Australia and the other parts of the Empire. In Great Britain we are represented by a highly capable High Commissioner, and we already have the best means of obtaining ready, prompt and accurate information, from the Governments of Great Britain and the other parts of the Empire and of conveying similar information to them in turn.

This Government has also taken a further step in attempting to develop better relations between Australia and New Zealand. It is unnecessary to explore the past, hut any honorable member who has been interested in the matter will, I am sure, agree that the relations between the peoples, as well as the governments of Australia and New Zealand, have not, within recent years, been such as could be contemplated with complete satisfaction. New Zealand is the nearest British dominion to Australia, and we should work in the most intimate cooperation with her. It is hoped that the appointment of a trade representative of Australia in the sister dominion will help to remove many misapprehensions concerning Australia and Australia’s policy, and will also lead to the development of trading and commercial relations between the two countries.

Our next nearest neighbours, if one may use the phrase, are to be found in those countries which make up what is known as the Ear East. I am glad that we are essentially a European community, and are not confronted with the problems that arise from mixed races in other parts of the world. “We have adopted European phrases and the ideas that correspond to them. From our childhood we have been accustomed to read, think, and speak of the “ Far East “. It is the Far East to Europe, to the old centres of civilization, but we must realize that it is the “Near East” to Australia. We are apt to” think of the world as old, aged and worn. 0That may he. But the greater chance is that we are only in the beginning of human history to-day. We have to look forward, not merely to next year and the year after, but also, I hope, to many centuries of a happy and prosperous civilization in this continent. It is inevitable that the relations between Australia and the Near East will become closer and more intimate as the years pass. Therefore, it is important that we should endeavour to develop and improve our relations with our near neighbours, whose fortunes are so important to us, not only in economic matters, but also in relation to the vital issues of peace and war. It is in the highest degree improbable that anything which we do will lead to war in the East; but if war takes place there on a major scale, it is bound to affect Australia profoundly, whether or not the Commonwealth is actually engaged in that conflict. The whole of our interests, therefore, lie in doing everything in our power to prevent the risk of war in the East from becoming a pulsing reality.

Apart from the issues of war and peace, it is obvious that our economic destiny, in which is wrapped up the standard of living of our people, is already largely determined and may be determined even more largely in the future by the volume of trade we do with the countries of the East. The world to-day is passing through very difficult times. I sometimes think that we are suffering from two classes of our citizens, the engineers on the one hand and the economists on the other. The engineers have developed the mechanical and other resources of science to a degree which apparently is far in advance of our social organization. We find that we are unable socially to measure up to the standards they have set up by means of new machinery, new methods and the like, which throw out of work perhaps millions for whom the social organization has so far been unable satisfactorily to provide. But we also have the economists abroad. Every country has its economists who, I .think, sometimes pull up the tree of trade by the roots to see whether ft is growing. I am reminded of what the position of mankind would be if, before we could breathe, we had to work out the functions of our respiratory organs.

In the world to-day tremendous emphasis is laid upon economic questions. That is natural. If we die by war, we live by trade. But all countries are aiming at much the same objective; they desire to achieve a favor.able balance of trade - to export more than they import. It is obviously impossible for all countries to attain that as a world objective, because the imports of. one country are necessarily the exports of another. It appeared to . the Government that the economic motive waa becoming go dominant in the world that it threatened to overcome and overwhelm the other motives of mankind. In our human relations, we fortunately are able to be friends and live on terms of amity with people whether or not they employ or trade with us. If a” human being were to say that he would be on friendly terms only with those who employed him or bought his goods, then human society would inevitably dissolve and disappear and we should relapse into barbarism. Unfortunately there is a tendency in the international sphere to adopt this principle: to say or to assume that it is impossible or at least very difficult to be friendly with another country unless that country buys from us more than we sell to it. If that other country adopts the same standard, friendship is impossible. We are able to depict by means of graphs the movements that take place in the volume of world trade. The tendency to act upon the belief that the curve of friendship should follow the curve of trade, is, the Government considers, one that will be fatal to the world if mirrored in the policies of the nations. I have been saying this in the East. Our trade balances with those countries vary, some being favorable and others unfavorable. Towards the end of our visit to Japan I gave a dinner to leading Japanese citizens and representatives of Japanese interests. The speech which I delivered on that occasion appears in my report. I then said -

The world to-day is passing through very grave difficulties and in many countries it is a time of crisis. At such a time it is natural that each nation should be pre-occupied with its own interests. It is, therefore, perhaps of very special importance that we should not forget the human side of international relations. We speak of the powers of the world, and we divide them into the great powers and the smaller powers. We in Australia want to look behind that entity which is called a Power to the human beings who compose the peoples of the world. This mission represents the idea and the most earnest desire that whatever the economic difficulties of the present time may bc, it is all-important in the interests of humanity that we should not forget human relations. Economic circumstances will vary from year to year, perhaps from mouth to month, but it would be a sad thing to be forced to believe that international friendship should increase or decrease with . the volume of trade between particular countries. International relations in the last resort are really human relations, and whatever our economic difficulties may be, we should always strive to keep our human relations upon a basis of friendship and goodwill. If we can do this it will be much easier to solve some of our economic problems.

That idea was the basis of the decision to send this mission to the East. The governments of .the countries which I visited were, of course, fully informed of the nature and the objectives of the mission, because arrangements were made through the British Foreign Office for its despatch and reception. I found that the idea of the mission was soon understood. It was always understood ob initio by the governments concerned, and the idea behind the mission was quickly grasped by the peoples of the countries to which I travelled. There are some people who may be described as deficient in imagination. Some are incapable of realizing that it is possible for a human action -to he performed without an idea of immediate personal benefit; and, of course, from such quarters it is very easy to develop criticism of the ideal and objective of such a mission as this. I have referred to this attitude on the first page of my report, in which I say -

At the outset it was difficult for some to understand that any object would be served by sending a mission of friendship to our neighbours. Hitherto, the general intercourse of Australia with these countries had been almost purely economic in character, and it required some effort of the imagination to understand that the psychological effect of such a mission might be very real and valuable. The western mind does not always realize that in the East there are many people who appreciate a compliment even more highly than a bargain, and who see a genuine significance in a sincere act of courtesy.

As I have said, the idea of the mission was soon understood and grasped. At the same time, we found ourselves considerably concerned with matters affecting trade. But the attitude which I adopted with respect to trade questions - and all the nations which we visited were, as I have said in .the report, avid for increased trade - was that this mission was concerned with international relations generally. I was not the Minister dealing with trade, customs, or commerce. I had nothing to do with them. Such matters were administered by other Ministers. I was visiting these countries as the Australian Minister for Foreign Affairs. At the same time, however, I was willing, indeed, to receive any information about trade in order that it might be considered by my colleagues.

I have felt, on many occasions, that matters which are directly and and in .their very nature apparently purely trading or commercial in character are not altogether independent of friendship. We, as individuals, are more inclined to deal with people whom we know and like. Recently a number of English University men, led by the distinguished essayist and author, Mr. Philip Guedalla, went to Argentina. They took the trip for the purpose, not of dealing with trade, but of making the acquaintance of the Argentine people. When they returned to Great Britain last year, Mr. Guedalla made a speech in which he said that many commercial matters were vitally affected by entirely non-commercial factors. I am sure that we shall find that our trading relations are better with a country with which we are friendly than if our relations are of a distant or hostile character.

It is difficult for me to speak of the nature of the welcome which the mission received. It is almost impossible to exaggerate the warmth and cordiality of the welcome which was extended to us everywhere. I have given in the report merely the bare facts, setting out the names of the places which we visited, and referring to the more important engagements of a public kind which we attended. It is impossible for written words to convey an adequate impression of vhf genuine pleasure which was shown, not only by governments and persons representing governments, but also by the people of the countries which we visited. Many of them thought, and very many said, that they regarded this visit as the first recognition in .this area of Ohe world of a common human interest in mankind. The effect of the appeal on the peoples was most obvious. We visited the Dutch East Indies, Singapore, Saigon in French Indo-China, Hong Kong, Shanghai, Nanking, Tientsin, Peiping, which was formerly Peking, and Canton. We also visited J apan and the Philippine Islands. The welcome that we received everywhere is a subject of which it is rather difficult for me to speak, because

I might be thought to be engaged, not only in exaggeration, but also in some form of self-advertisement. I assure honorable members that I realize fully that this remarkable welcome was not personal in character. It was a tribute and compliment to Australia in return for the compliment which Australia was paying to the peoples of these countries. Every possible facility was offered to me to meet everybody whom I could meet in the time available. His Majesty the Emperor of Japan, the President of the Republic of China, the Governor-General of the East Indies, with all of these I had long interviews, also with political leaders, commercial and industrial leaders, and the leaders of academic life in the countries which I visited. One thing which interested me particularly, was to observe the reverence and respect for scholarship and learning in the higher circles of these communities.

There were very many public functions and many speeches were made. I frequently made five, six, sometimes seven, and up to ten speeches in the course of a day. I have not. sought to inflict upon honorable members a record of all the speeches that I made ; in fact, there is no record of some of them, except notes written in pencil on the back of a menu or card; but 1 have included in an appendix to the report, some reports of speeches which were made with reference to the mission by other persons, particularly in Japan. I have also included a copy of my notes of a broadcast speech made in Japan, and another speech which I made at a dinner to which I have already referred. On every occasion I was received with the greatest cordiality and friendship, and I returned from every one of these countries quite satisfied that there was a very real desire for friendship with Australia and the British Empire.

Australia, as Australia, is but little known to these lands ; it is not nearly well enough known. The attitude towards a country like this among many people in such countries as Japan and China, where civilization can be measured certainly by many centuries and perhaps by thousands of years, is rather difficult for us to realize. Civilizations have developed in these lands quite differently from our civilization, being very distinctive and containing some elements of which I think any country in the world would be proud, Australia is regarded as a very new, very recent, and very young country, practically without a history, but the approach made by this nation on this occasion brought it into the area of vision of these people in the most marked manner. I hardly like to use the expression in speaking of a diplomatic mission of this character, but I think that there is little doubt that Australia received a very good advertisement throughout the whole of the East.

It is impossible for me to speak fully and in public upon international relations between the various countries which I visited, and the rest of the world. As honorable members are doubtless fully aware, a statement of opinions, or a statement of apprehensions, may sometimes help to give rise to the evils or dangers which it is desired to avoid ; but I must admit that I found in many quarters a great deal of apprehension in the East by one country of another. I had the opportunity to discuss the position with the leaders of the nations concerned, and I am satisfied that with better understanding some major difficulties would undoubtedly disappear. I found that after having seen the leaders of one country, and then conversed with the leaders of another country, I myself was able to remove some misunderstanding. I think that it was Francis Bacon who said, “Full many a friendship is loosed through lack of converse.” Lack of converse and absence of contact mean failure of understanding, and failure of understanding often means enmity and ill will. If in this area there were a closer and real contact between, not only the peoples themselves, but also in one case between the different factions of the people, I am sure that some major difficulties would disappear. My own experience of the visit brought me in close contact with quite a number of misunderstandings which definitely were misunderstandings.

I now propose to deal with some questions which particularly affect Australia. I found that frankness of speech when obviously sincere was never resented. Never, I am glad to say, had I to apologize for Australia. I was always able to put the Australian point of view frankly, and yet with a due recognition of the susceptibilities of those whom I was addressing. I frequently had to explain the relations existing between Australia and the British Empire; and as this is more or less a mystery even to some of ourselves, honorable members will understand that I had a rather difficult task.

On page 26 of the report, I have included notes of a broadcast speech which was made by me in English and forthwith translated into Japanese and broadcast again. I shall not read the whole of the speech, but I desire to refer to one or two portions of it for the purpose of indicating the general attitude which I adopted. I began by saying, in the first paragraph -

This is the first mission which the Government and the people of Australia have sent to any foreign country. Australia is a dominion of the British Empire; our loyalty and our affection are given to the people of our own race and I am sure that the people of Japan, loyal as they are to their own country, will understand that Australia owes her first duty to her own people, and after that to the great British .Empire of which she forms a part.

After speaking of the relations of Australia and Japan, I continued -

The Australian Eastern Mission does not come to Japan in order to’ buy or sell goods. This is not a visit of a trade delegation; it is a complimentary call for the purpose of demonstrating our goodwill and friendship. While this is so, t do not suggest for a moment that trade is unimportant. The nations of the world live by trade and we recognize the difficulties which exist in trade and commerce in the world to-day. The people of Japan in the first instance protect their own industries, and, after rightly conserving the interests of their own people, are prepared to enter into friendly commercial relations with other people. In the same way in Australia we protect our own industries. As a part of the British Empire we then naturally and properly consider the interests of the British Empire and its various parts. We are then prepared to make trade arrangements with the countries which trade generously with ourselves.

I then mentioned that an effort was being made to negotiate a trade agreement between Australia and Japan, and expressed the hope that an agreement advantageous to both countries would be reached. I found that, when the matter was frankly stated, there was no objection, whatever to the proposition that it is the duty of Australia to look first after Australian interests, in the same way that it is the duty of Japan to consider, first, ite own interests. It was unnecessary to think of adopting any other attitude, even had I dreamed of doing so. I quote from that address for the purpose of indicating the general attitude that I adopted.

In the case of the Dutch East Indies, no international questions arise. The visit there was most helpful. There had been in the press and elsewhere a certain amount of criticism of Australia’s determination to establish a British overseas air service. That proposal has been criticized by, and on behalf of, interests represented in the Royal Dutch Airways, the president of which flew from Holland to Batavia in order to interview me. I spoke to him as well as to the heads of the Government and numbers of prominent people on the subject, and was able to explain to them Australia’s policy in this matter in such a way that I believe most of the misunderstanding that existed has been removed. Those gentlemen quickly recognized, when it was put to them, that Australia is an air-minded nation, with some of the finest flying men in the world, and is entitled to develop its flying services as every other country is entitled to do. I was able to remove, I think entirely, the suspicion that had been entertained with regard to the principles upon which the establishment of a British air service had been founded.

In the Dutch East Indies, as elsewhere, I found that some people entertained strong views on the tariff, and that in many cases those_ views were particularly ill-founded. I have referred to this matter on page 7 of the report, where it is stated -

The Netherlands East Indies In general shared the view which has been sedulously propagated in certain quarters that the Australian tariff is, as compared with other tariffs, exceptionally high and there is a general belief that our tariff operates to the disadvantage of many of the products of the East Indies. It was not necessary in the case of the Netherlands East Indies to -point out that any comparison of the Australian tariff with other tariffs should take into account not only methods of valuation of goods for tariff purposes- a point which is hardly understood in Australia, because, owing to the methods by which valuation is made in sterling, and payment is made in Australian money, a duty of 50 per cent, in Australia is equal to a 40 per cent, duty elsewhere - but also prohibitions, embargoes, licence systems, exchange and other restrictions. In the case of the Netherlands East Indies it was sufficient to explain that an analysis of the Netherlands East Indies import trade into Australia showed that 35 per cent, of the products imported into Australia from the Netherlands East Indies was admitted free of duty (other than primage duty) and that C2 per cent, of the import trade was admitted at the same tariff rates as those operating under the British preferential tariff.

That accounts for 97 per- cent, of Australia’s import trade from the Netherlands East Indies. It was also explained to the Government officials that, in regard to some of their most important items, the Australian tariff policy towards the Netherlands East Indies products had been one of marked consideration. That has been the case irrespective of the Government in power in Australia. The paragraph continues.

These interviews did much to dispel erroneous ideas and the result was that it was frankly - recognized that the Australian tariff treated the trade from the East Indies quite reasonably.

I found other statements concerning tariff matters which tended to affect international relations. For example, a friendly article in a leading Japanese newspaper stated that the Australian tariff conspicuously discriminated against Japanese goods. I was able, to point out that Australia had a two-column tariff, the first, relating to trade with the British Empire, and the second to trade with foreign countries. I explained that, so far, Australia had entered into trade agreements only with Canada and New Zealand, and that, therefore, Japan was on the same footing as other countries outside the British Empire. I made it clear that there was no discrimination, much less conspicuous discrimination, against Japanese goods.

I also found that it had been reported in Japan that the Commonwealth Bank Act prohibited any foreign bank from operating in Australia. I told the people of Japan that the Commonwealth Bank Act contained no such provision, and that, in fact, the Yokohama Specie Bank, as well as French and other banks, had operated in Australia for many years.

I also came across other examples of remarkable misunderstanding. The first paragraph on page 22 of the report reads -

In another article attention was called to the “ fact “ that Australia was fortifying her coastline with 10-in. guns. Surprise waa expressed that Australia was incurring such enormous expenditure and that Australia thought it necessary to incur it. The statement was quite inaccurate. It was made, without foundation, in some Australian newspapers last year. Like many other misstatements it was duly exported. I suppose that it has still a long life before it. 1 do not know of any country which has 16-in. guns in its coastal defences, although some countries have 15-in. guns. If we think proper, we are entitled so to defend our coastline, but the fact remains that we are not doing it.

By the means stated I found that most of the misunderstandings about Australia were due to the publication abroad of statements made in this country - statements so misunderstood that their importance was magnified and used against Australia. In these countries, there is no one to correct mis-statements of this character. The British representatives are most helpful, but, of course, they have no precise knowledge which enables them to set these and other more serious misstatements right.

I- sincerely hope that before long, representatives of Australia will be appointed to these countries. In my opinion,- we should make such appointments in our own interests. I do not. suggest diplomatic representation in the East, although I shall say something on that subject before I conclude. On the subject of Trade Commissioners in the East, I have almost completed a special report for the Minister for Commerce. The delegation received a great deal of useful information confidentially from the representatives of Great Britain and of Canada, which dominion is well represented in the East. The desirability of appointing trade commissioners in Eastern countries is almost beyond question, although I know that there are interests opposed to their appointments. Enterprises which already have trading relations with Eastern countries naturally do not want any one else to get into the market. They object to the appointment of trade representatives who might induce other firms to engage in the Eastern trade. In some cases, at least, that element is not absent from discussions regarding the appointment of trade representatives by Australia. I have referred to this subject in one or two passages in my report. In the first paragraph, on page 8 of the report, I state -

It was remarkable to see how anxious people were to obtain information with respect to Australia, and how the absence of any authoritative source of information handicapped not only Australian trade, but also prejudiced the general position of Australia. The British diplomatic and consular representatives have done most valuable work in helping Australian interests, but they have not the detailed knowledge which would enable them to correct mis-statements and remove misapprehensions which often become part of the mental stock of a particular people. [Leave to continue gwen.]

On page 16 of the report, another reference to the same subject reads as follows : -

The diversified matters on which the mission was consulted in Hong Kong and China clearly indicate the opportunity and also the need for official representation. In many spheres, an official representative can be of great help even to business houses and associations who have familiarized themselves with the peculiar trading conditions obtaining in China. Especally is this so in cases ‘where representations have to be made to government, semi-government or municipal officials. These officials have become accustomed to the official representatives of all other countries either sponsoring, aiding, or supporting the business nationals of their own country. A business executive can accomplish far more with the aid of his country’s official representative than he could otherwise hope for. As T have already said, however, I propose to deal with this subject in a separate report.

In Japan, there was a direct request for the appointment by the Commonwealth Government of an official trade representative to Japan. I am quite sure that we should serve the interests of Australia well if we appointed a suitable representative to watch our trade interests in that country.

I have referred, in various places in my report to complaints which we heard concerning certain Australian goods which had been exported. I am well aware that this is a tender subject. I have my OW11 strong view about it. I know that in many quarters, whenever a complaint is made about Australian goods, an attitude of mixed concealment and resentment is adopted. It may be possible, in a newspaper discussion in Australia, to win an argument by resentment and objection, but that does not bring back the trade. I have been abroad in an official capacity on several occasions, and I have not been in any country to which Australian goods have been sent without hearing comparisons of our goods with the goods of other countries, to the disadvantage of Australia. I do not think that we should hide our heads in the sand when considering this subject. Generally speaking, only a small percentage of exporters are inefficient, careless, or worse.

Mr R GREEN:
RICHMOND, NEW SOUTH WALES · CP

– Our. export regulations give them the opportunity to be so.

Mr LATHAM:

– I raise the question now very definitely. I am not at all sure that in the interests of Australia’s reputation, prestige and commerce, some exporters - only a few - should not be totally excluded from any further participation in our export trade.

HONORABLE MEMBERS - Hear, Hear !

Mr LATHAM:

– I admit that I felt ashamed, while I was in the Dutch East Indies, to hear that while flour was always marketed by other countries in standard bags of, I think, 49 lb., some clever Australians - I do not know who they were, and I abstained from finding out - had cut, and cut, and cut the bags until they contained 48 lb., 47 lb., 46 lb., and even less. It is true that the weight is marked on the bags in accordance with our regulations, but the people of the East reckon, when they buy a bag of flour, that they are buying a bag of the standard weight. They can read our figures just about as well as we can read theirs. What would their figures mean to us on. an article of commerce? Absolutely nothing! The Australians who engage in :these practices probably consider that they are clever. It is true that’ trade may be obtained by these means for a time; but it certainly cannot be held. I remind honorable members that I am making no irresponsible statements, but official declarations properly supported. I feel sure that the Minister for Commerce will make further investigations into this matter. I heard the same old stories with regard to Australian canned and tinned goods. We know in Australia that we can produce the best, the purest and the finest, food in the world. Why then is a small percentage of people who may think that their standard is good enough, to be allowed to persist in selling goods which customers overseas regard as inferior compared with the competitive goods of other countries? It was an amazing thing to me to find that the United States of America holds almost a trade monopoly in canned and tinned goods in certain large areas in the East. There is no reason at all why we should not be competing fully with the United States of America, more particularly in recent years when that country has been in trading difficulties on account of the gold standard. I have given figures in my report which show that our exports to China of canned fruits were valued at only £228 in 1932-33. Whenever any one ventures to say anything on the points that I am now discussing, with the object of improving the standard of Australian products, there is an immediate chorus of protest, and it is said that the mere mention of the subject helps to ruin Australian trade. This is an entirely wrong attitude. These subjects should be dealt with on their merits and not for publicity purposes. In one large town which I visited the people will buy no more Australian goods of a particular kind on account of the misperformance of a certain contract. I understand that a protest appeared in a section of the press when a statement to this effect was published, and it was said that it would damage Australian trade. Australian trade has gone from that town until the things complained of have been rectified. At present the trade simply does not exist, and it was most valuable.

Take another thing that may be regarded as of small consequence - the placing of attractive labels on Australian goods.

Mr Beasley:

– It should be remembered that we get rubbish from Japan.

Mr LATHAM:

– I am considering the subject from the Australian point of view. I am not concerned at all at the moment about the interests of Japan. No doubt, Japan will look after her own interests in this connexion. We should look after the interests of Australia. Certain goods have been labelled in Australia in a way that the people concerned regard as attractive; but it does not matter a snap of the fingers whether the producers of these goods regard the labels as attractive if the ultimate purchaser regards them as unattractive. In Japan we were shown samples of tins, the labels of which had come right off, with the result that no one knew what the tins contained. You cannot expect to sell a semi-rusted, unlabelled tin with a little paste sticking on the outside of it ! This, as I say, is a small matter, and probably only a small percentage of traders are guilty of the carelessness and inefficiency which result in this kind of thing; but there is an adverse effect from it upon our whole trade. It is deplorable that we should have sent only £228 worth of Australian canned fruits into China in 1932- in view of the fact that that country imports very large quantities of such goods

I have spoken at some length on these trade matters, although they were only indirectly associated with the objects of the mission and I have referred to other cognate matters in the report. I hope, therefore, that honorable members will be good enough to read the report, and remember that what has been said in it represents either the facts, or what other people say are the facts. I shall deal with those two points. If the facts are as I have set out in the report, obviously the matter requires attention. If oilier people believe that they are the facts, the result in respect to our trade is exactly the same as if they were the facts, and again, therefore, the matter should be carefully considered. I am satisfied that there is still a tremendous market in the East for Australian goods.

The report includes a special reference to wool. I have already briefly addressed the Wool-growers Council on this subject, and on certain other matters f shall make confidential a report which it is impossible to publish at the present time. I am satisfied that there is an enormous and expanding market for wool in -the East. The demand has scarcely begun in China, and the increase in its consumption in Japan is proceeding amice. I have not time to refer to the many occasions on. which I was afforded an opportunity to meet leading people interested in commerce and industry; but one conspicuous illustration of the desire of people to meet the mission was afforded by a remarkable dinner given to it at Osaka by the Japan Woollen Manufacturers Association. The health of Australia and the mission was toasted, and, as Japan purchases huge quantities of our wool, I stated in reply, “Sensible people in Australia do not expect anybody to buy our wool merely because it is Australian wool. They recognize that it will sell only on its merits of quality and competitive price, and satisfactory commercial conditions surrounding the sale.” That, I think, is what we have to recognize in regard to all commodities. In the long run we shall not obtain a permanent market for any commodity unless we are able to produce it efficiently and upon a satisfactory competitive basis. We may be helped from time to time by agreements - I believe we shall be - but, in the long run, it will be the merit of an article that will sell it, and not merely the advertising of it, or honing and praying that we shall be able to sell it.

I come now to the subject of international relations. People told me before I went to Japan that I should be questioned to death regarding Australia’s immigration policy ; hut that was not my experience. I found that there was little, if any, active feeling on that matter in Japan. It is true that I was asked about it very pointedly at the time of my first newspaper interview in Japan, at which I was questioned by nearly 40 reporters at once; but, when it became apparent that I was aware that the laws of Japan prohibited the immigration of Chinese and Korean labourers the questioners became less insistent. When I indicated the reasons for that prohibition under the laws of Japan, and also suggested that, if the doors of Australia were thrown wide open, the Japanese in Australia would have the same difficulties in competing with Chinese and Koreans in Australia as in their own country the questions practically ceased. On the broad principle I experienced no difficulty at all. Japan believes substantially in holding its country for the Japanese. Australia’s policy is “ Australia for the Australians and the British.” Nobody complained of that when it was directly and f rankly stated.

I found, however, considerable difficulty abroad owing to some of the remarkable propaganda that has been indulged in here from time to time about “our great undeveloped potentialities.” People abroad believe that the whole of the unoccupied part of Australia, including, for example, the electorate of Kalgoorlie, with which we were recently dealing in debate, is a great fertile area that could support many millions of inhabitants, as the rice-fields of Japan and the wheat and rice fields of China support their teeming millions. There has been so much loose talk about our great and undeveloped potentialities, based on area, without regard to so obvious a requirement as rainfall, that a completely false idea, pre- judicial to the real interests of Australia, has been formed in other pants of the world. I consider that the development of Australia in the last 100 years has been little short of miraculous. We have practically doubled our population since federation. No other country, with the possible exception of New Zealand, can boast a similar record. The extension of the amenities of civilization has been most rapid and effective. In some parts of the Commonwealth we grow wheat on areas that have an average rainfall of not more than 10 inches a year. Could any other people do better ? We are raising sheep on land where it requires 15 acres, and sometimes more, to feed a sheep. Could anybody use our pastoral lands more effectively than we are using them ? Great harm has been done to Australia in the eyes of the world by the general and loose statements that we have great unoccupied and fertile areas that might support a large population. I had no hesitation in describing to the leaders in the countries which I visited some of the outback areas of Australia with which I am personally familiar. I was able to give first hand information concerning one station of 120,000 acres, which supports only 20,000 sheep. I explained to them the character of the country, and said that in vast areas of it agriculture is impossible. I told them that the sheep could live in some districts only because of the fact that artesian water was obtained at great expense, and that a large population could not possibly exist there. We shall be consulting our own interests if we speak of Australia less frequently in the style of a company prospectus. In these days, when other countries are hungry for land, if we allow a false idea to become current that we could readily absorb many millions more people, we shall be incurring an entirely unnecessary risk.

I had an interesting discussion with the Japanese Minister for Foreign Affairs, Mr. Hirota, on many international subjects, and I mentioned particularly the Mandated Islands and the repeated reports that Japan is fortifying them: I told him that there was little wonder that other nations were apprehensive of Japan when it was so frequently reported in Australia that Japan was taking such action. I also said that I knew that the islands were not being fortified. That information came to me as Minister for External Affairs, and was confirmed in Japan by the most direct evidence possible, not from Japanese, but from British sources. I asked him whether he recognized that Japan was bound, by the terms of the mandate under which it accepted the islands, not to fortify them. He agreed that, obviously, that was the case. I asked him whether he did not also recognize that, as the terms of the mandate were the source of the title of Japan, those obligations were equally binding whether Japan was a member of the League of Nations or not. He agreed with that, and went on to say that Japan had made a specific agreement with the United States of America not to fortify the Mandated Islands. I asked him if he would help to alleviate suspicions that sometimes arose, particularly in this part of the world, by making a public statement to that effect, and substantially a statement of that kind was made, evidently on the authority of the Japanese Foreign Office, because it did not come from me. I have included in Appendix A of my report a newspaper account of a statement by me, in which I referred particularly to the matter of the fortification of these islands. I further suggested to Mr. Hirota that it would be a very good and sound thing to do if he were to announce that Japan would also recognize the obligation to report annually to the League of Nations on the administration of the islands, whether it was or was not a member of the League, and I hope that some satisfactory assurance will result from that suggestion.

Another matter mentioned in the report is the diplomatic representation of Australia in Japan and of Japan in Australia. Upon that subject I had a frank conversation with Mr. Hirota, which is summarized on page 24 of the report. 1 represented to him, first, that very few diplomatic matters arise between Australia and foreign countries - I may add, the fewer they are, the better. “Happy i*8 the country that has no history “ is a well-known saying. To-day, I say, the less diplomacy a country has the better are its chances of happiness. The less the Ministers for Foreign Affairs have to do the better for the world. Secondly, I told Mr. Hirota that when any diplomatic matters arose we always had the ready and willing service of the British diplomatic officers, and in many cases their representations would have more weight than ours. I said, further, that the institution of diplomatic relations with Japan would raise a very big problem for us. In the case of Japan it would mean, only the addition of another representative to the diplomatic corps, but in the case of Australia it would mean the establishment of a diplomatic branch of our Public Service, and if we sent a Minister or ambassador to Japan we should have to reconsider the nature of our representation in London, and whether we should send representatives to other capital cities, such as Paris, Washington, Rome and Nanking. The matter could not begin and end with the appointment of a diplomatic representative to Tokio. I also added that it was the intention of the Government to send a Trade Commissioner to Japan. After hearing me, Mr. Hirota agreed that there was no need for diplomatic representation by either country in the other. Possibly there is room for difference of opinion on this subject, but I think that I stated the general view of Australians. We shall still see newspaper statements on the subject, because this is one of those matters upon it is possible to write when it is necessary to provide something with which to fill up a certain amount of space, but the real position is as I have stated.

I desire particularly to say that the mission worked in the closest collaboration with the representatives of Great Britain. They helped us at every point, and I was very glad to receive from all of them an expression of thanks for the visit of the mission, and a statement that it had increased British reputation and prestige in the East. I want also to thank the staff which accompanied me. They were always willing, although the work was continuous and exacting. Every member of the mission felt the stress severely. Often we had only a few hours’ sleep, because interviews had to be arranged, functions attended, and correspondence kept up to date. We travelled at a rapid pace; it is estimated that we covered about 17,000 miles in three months, an average of 190 miles a day. We made brief stays in some places, but in no place for longer than three days. The strain of travelling at that pace; of arranging interviews - often as many as a dozen or twenty a day for the discussion of important matters, sometimes through an interpreter - of endeavouring to avoid or correct misunderstandings ; of making speeches over and over again, and trying to say something that was worth while on each occasion ; and of maintaining all the time the Australian point of view in relation to various matters, was felt severely by me and those associated with me. The mission made many friends for Australia, and many personal friends, and I do not think that we made one enemy. We were always asked to stay longer wherever we went, and were always asked to come back again; and that is far better than outstaying one’s welcome anywhere. As I have said, the task of this mission was unique in our history at least. It was a difficult and delicate task, and it was a great honour and responsibility, I felt, to have the opportunity of serving Australia in this way. I have special satisfaction in the knowledge that the mission has not only helped Australia, but has also helped

Great Britain and the Empire. I appreciate very greatly, indeed, the statement of the Secretary for Foreign Affairs in the House of Commons, who said -

The British Government has been kept fully informed of the progress of Mr. Latham’s mission, i feel sure that the House will join me in congratulating Mr. Latham on the success of his journey which has been of the greatest value to Australia and the British Commonwealth of Nations in promoting good relations with the countries of the Far East.

Australia does not want war anywhere. Peace, and prosperity in the Far East are clearly in our interests as they are in the interests of the whole world.

I shall not. much longer be in this Parliament, and I shall leave it with great reluctance and real regret. I sought entry into Parliament, not only because of my interest as an Australian in Australia, but because of my interest as a human being in the general welfare of humanity, and in the hope that I might be able to do something that would be of value to Australia and, through Australia, to _e world as a whole. I shall bo more than satisfied if, at the end of my political career, I have been able to make any contribution, however small, to the establishment of those good and friendly relations between the peoples of the world upon which the maintenance of peace is so plainly dependent.

Debate (on motion by Mr. Scullin) adjourned.

page 338

PAPERS

The following papers were laid upon the table : -

Public Service Act - Regulations amended - Statutory Rules 1934, No. 75..

War Precautions Act Repeal Act - Regulations - Statutory Rules 1934, No. 13.

page 338

ADJOURNMENT

Sandy Bay Rifle Range - Conduct of Business - Date of General Election - Petrol Commission : Criticism of Mk. Cerutty by Counsel - Northern Territory Mining.

Motion (by Mr. Latham) proposed -

That the House do now adjourn.

Mr BLACKLOW:
Franklin

.- I desire to bring under the notice of the Government a subject which has been before this Parliament, at intervals during the last fifteen or twenty years, and it is time something was done about it. I refer to the proposal for the removal of the Sandy Bay rifle range. This House has, on previous occasions, heard the details of how this range in what is practically the centre of Hobart is holding up the development of the city, and endangering the lives of people living in the vicinity. Since I brought this matter before the House some time ago certain negotiations have been conducted. I am indebted to the Assistant Minister for Defence (Mr. Francis) for the interest he has taken in this matter. The Hobart City Council appointed a committee to deal with the matter, and when the Assistant Minister visited Hobart he placed the whole position before the council in a businesslike way. From that time reasonable progress was made, but only up to a certain point. On numerous occasions the Ministers have said that if it were possible to purchase a suitable site convenient to the City of Hobart, the Government would not hesitate to make the necessary transfer, and, after a most careful investigation, a site was selected at Glenorchy, which is as close to the centre of population in Hobart as is the present range at Sandy Bay. Hobart City Council entered into negotiations for the purchase of this site and has made the necessary inquiries with respect to road accommodation and transport, both of which are quite satisfactory. For the information of honorable members I quote the following paragraph from a letter sent by the city council to the Minister on the 25th April last :-

The area of the present Sandy Bay range is approximately 250 acres, whilst the area at Glenorchy, which you wish my council to acquire, is approximately 1,138 acres. lt appears to my committee that we should not be required to pay for an area over four times greater than the present range. It realizes, however, that the configuration of the new site may necessitate a larger area, and that reasonable provision must be made for development, and is therefore prepared to acquire a considerably greater area than the present range. I am sending by the same post a large scale plan showing the area stipulated in your letter, and also that which my committee is prepared to recommend the council to acquire. This latter area is approximately 681 acres or two and three-quarters the size of the present range. This leaves a balance of 457 acres, which it is considered the Commonwealth should pay for if it desires to acquire it. For the purpose of graphic comparison, the outline of the present Sandy Bay range has been superimposed on the plan.

The plan sent to the Minister shows clearly the area which the Hobart City Council is willing to acquire. Provision appears to have been made for the safety of those living in the vicinity, and if the Government will accept the adequate area suggested by the City Council, the council is prepared to carry out its part of the under taking without delay. In order to test the suitability of the Glenorchy site, particularly whether the noise would disturb any one living in the vicinity, the military authorities recently set up a machine gun and fired a number of rounds. Persons living near the proposed site would not be inconvenienced by the noise to the same extent as are those now living near the Sandy Bay site. If the practices were necessary at Glenorchy to demonstrate the suitability of the site, the military authorities cannot justify the retention of the range at Sandy Bay owing to the danger from ricochetting bullets and disturbance caused by noise. The action of the Government in asking the City Council to purchase an area much larger than is actually required, has created the impression in the minds of the residents of Hobart that the Minister is insincere. I should like the honorable gentleman to state definitely what is actually proposed. I have an intimate knowledge of what is required and have no hesitation in saying that the Sandy Bay rifle range is obsolete; it does not even comply with existing musketry regulations. I cannot understand why the Hobart City Council should be asked to acquire an unnecessarily large area and at the same time be expected to share with the Commonwealth any profits which may accrue from the sale of the Sandy Bay site. The City Council of Melbourne or Sydney might, with equal justification, be asked to replace an obsolete torpedo boat. The Sandy Bay rifle range is part and parcel of the defence system of Australia.Why should the people of Hobart be called upon to shoulder the responsibility of providing an up-to-date site that is capable of development? This matter has been under consideration for fourteen or fifteen years, and the present conditions are an infliction on the people who live in that vicinity.I hope that the matter will be cleared up immediately.

Mr FRANCIS:
Assistant Minister · Moreton · UAP

– I wish first to give an emphatic denial to the charge of insincerity on the part of either the Minister or the department. This matter has engaged the attention of different Ministers for Defence for a considerable number of years, but little material progress was made until it was taken in hand by the present Government. There has been delay within recent years, the reason for which is obvious. To-day, however, I am happy to be able to say that satisfactory progress has been made with the negotiations that have been proceeding with the parties concerned.

The Sandy Bay rifle range is situated in a portion of Sandy Bay, a suburb of Hobart, that has become thickly populated. At the time of its construction, many years ago, the population of Hobart was small. The department acted in accordance with the policy it always adopts, of anticipating development by obtaining areas necessary for rifle ranges and other defence purposes. Owing to the development of Hobart and the continual agitation for the removal of the range, negotiations were opened with the city council, and the department undertook that if a suitable site of sufficient size, and within a reasonable distance of the city could be obtained, it would consider the shifting of the range from its present location.

A definite proposition for the transfer of this range to a new site was not made until December, 1933, when I had the privilege of being- in Tasmania in the company of the honorable member for Franklin (Mr. Blacklow). At an earlier stage, certain proposals had been made by the Hobart City Council, and these were replied to in March, 1932. Several sites were considered from time to time, and it was finally suggested that the new range should be established at Glenorchy. The proposal was that upon the completion of the new range the Commonwealth would transfer the. Sandy Bay range to the other party to the contract, who, in turn, would transfer the Glenorchy site to the Commonwealth together with an amount of £12,000, being the estimated difference between the cost of the old range- £27,000 - and that of the new range - £15,000 - and a proportion of the amount, to be fixed by negotiation after taking into consideration road requirements, survey fees, &c, that would be obtained from the sale of the property, less the £27,000 mentioned. It will be realized that the Commonwealth must be protected against any material loss if it is required to move from a wellequipped range; it cannot be expected to agree to a monetary loss in the exchange, or to forgo a proportion of the profit that might accrue from the rising value of the property. These were the basic principles that governed the negotiations. The soil at the Sandy Bay rifle range is comparatively soft. Immediately behind the butts the range is steep and thickly wooded, thus affording protection against the ricochetting of bullets. The position at Glenorchy is entirely different. It is stony country, thinly timbered, and a considerably larger area is required to make the range safe., because bullets ricochet in all directions on stony ground. The Commonwealth is asked to shift from Sandy Bay where it has a well-equipped range to another site, and the Government does not wish to be placed under a disadvantage. It selected the earlier site, which complies with its requirements, but it is willing to meet the Hobart City Council in every way if that body will provide an equivalent of the Sandy Bay range on an approved site. It asks that the area of the range to be taken overbe sufficient to prevent the ricochetting of bullets and to meet safety requirements under the existing regulations. If the council will comply with the conditions stipulated by the department and the site offered is approved upon inspection, the contract will be completed at the earliest possible date. It would be folly for the department to take over a range that is. unsafe, and be obliged to close it shortly after it was opened until the additional ground necessary for safety was acquired. The negotiations have pro ceeded in a most satisfactory manner, and I am confident that the Hobart City Council will realize the practicability of the Government’s proposal, and the absolute necessity for ensuring safety before the range is transferred from its present site.

I take this opportunity to pay a tribute to the enthusiasm of the honorable member for Franklin, who at all times has been zealous in his advocacy of the transfer. He is thoroughly versed in rifle shooting, having been an international rifle shot, and in the Great War performed an invaluable service in raising the musketry efficiency of inexperienced men. During the war he had facilities which enabled him to establish a rifle range in any part of France, Belgium and Egypt, in a limited time. I ask him to realize, however, that the establishment of a rifle range in a populous area in Australia is a totally different proposition from such a task in a foreign country under war conditions. I invite him to accept my assurance that every endeavour will he made to finalize this matter as soon as possible, provided the Hobart City Council will accept the conditions of transfer. So far, this body has tackled the matter in a business-like way. If it will complete the negotiations in a similar spirit, I have not the slightest doubt that the new rifle range will be completed in the near future to the satisfaction of both parties.

Mr R GREEN:
RICHMOND, NEW SOUTH WALES · CP

.- I rise to protest emphatically against the adjournment of the House so early this afternoon and also against the proposal to dissolve this Parliament prematurely. To-day we have had an example of the usual rush that takes place quite unnecessarily towards the end of a session. We have witnessed the spectacle of a Minister, on the motion for the adjournment, replying from typewritten notes to a speech affecting a matter which could more appropriately be dealt with during the discussion of the budget. Honorable members are being inconvenienced, and the country’s business is being neglected, merely because the Government is anxious to have an election months before the time at which it would ordinarily take place. I protest against this adjournment for that aud other reasons. This afternoon, the Attorney-General (Mr. Latham), who was the leader of the goodwill mission to the East, put before the House some excellent suggestions regarding trade and general matters affecting our relations with Oriental countries. The right honorable gentleman has also announced that he does not intend to seek re-election. Therefore, when the new Parliament meets, it will not be able to avail itself of the knowledge and experience which the Attorney-General gained during his visit to the East. I admit that the honorable gentleman did excellent work while he was absent from these shores. As a matter of fact, I was in the East at the same time, and returned to Australia only a fortnight ago. The Commonwealth Parliament is apparently not to have the benefit of the knowledge lie acquired except so far as it is contained in the report which he has submitted to this House and in the confidential report which, it is stated, is to be submitted to Cabinet. This afternoon, important matters were raised in connexion with that report, but no opportunity will be given to discuss it during this session. If a change of government takes place, and the right honorable gentleman is not a member of the next Parliament, his valuable work in the East, and the expense of the mission, will be wasted.

There are many other matters of vital importance awaiting consideration. One is the wheat industry. We have not yet received the report of the royal commission which is inquiring into that industry, and nothing is likely to be done, by this Parliament, at any rate, towards its rehabilitation. In addition, the position of the dairying industry may be jeopardized if an adverse vote is given when the poll of the dairy-producers is taken on the 11th October. I know that that is not likely to happen, but, still, it is a possibility. The Government has given no explanation of its decision to face the electors several months before it is necessary to do so.

Mr Latham:

– An explanation was given in yesterday’s newspapers.

Mr R GREEN:
RICHMOND, NEW SOUTH WALES · CP

– While at Singapore, early in June, T received from Australia a cablegram containing, among other information, these words, “Elections probably September.” On board the same steamer were quite a number of other Australians, and when I showed them the cablegram, they were surprised aud hopelessly in the dark as to the reason for an early election. When the House rose last December, there was no mention of such a thing, and the members of Cabinet were supposed to be a happy family. Yet, some months before the House reassembled, a press statement appeared to the effect that an election was to take place in September.

Mr Gander:

– lt was all guesswork.

Mr R GREEN:
RICHMOND, NEW SOUTH WALES · CP

– In the light of subsequent events, the information must have been obtained from some reliable source. A few days ago, the Prime Minister (Mr. Lyons) said that he proposed to tender certain advice to His Excellency the Governor-General, and he gave no reason for his contemplated action. I have wondered whether His Excellency will accept that advice, or whether he was sounded by the Government beforehand.

Mr Maxwell:

– Would not this , political propaganda be more appropriate on the election platform?

Mr R GREEN:
RICHMOND, NEW SOUTH WALES · CP

– No. This House is now experiencing a pre-election rush. According to the press - and I have no doubt that this will be found to be just as true as the announcement made last May with respect to the next election - the budget will be introduced, but honorable members will have no opportunity to discuss it. In addition, we are not to have an opportunity to discuss the report of the royal commission on the wheat . industry. Neither have we any information as to whenthe session is likely to terminate. This morning I asked the Minister for the Interior (Mr. Perkins) when the new rolls for the States for which the redistribution proposals are accepted would be ready and he informed me that after the proposals had been approved by both Houses - and they have not yet been before the Senate - a further eight weeks at least would elapse before they could bp printed. That means that the new rolls will not be available until the election is almost upon us. No reason has been given for the early dissolution of Parliament and a premature election in September. I shall not be satisfied for this Parliament to go into recess until several vital measures have been placed on the statute-book. As an outcome of the Attorney-General’s mission to the East trade agreements will probably be entered into and trade commissioners appointed. These matters should be considered without undue haste by Parliament. I understand that the temporary trade agreement entered into with Belgium has already expired, because the patience of Belgium has been exhausted.

Mr White:

– That is not so.

Mr R GREEN:
RICHMOND, NEW SOUTH WALES · CP

– In order to gain a temporary political advantage, the Government seeks a dissolution of Parliament and disregards the interests of the community. It claims to have received from the people a mandate to do certain things. Some of those things it has not yet done, and it will have to answer to the people for its failure to do them. I protest against the Government’s disregard of Parliament and the interests of the people.

Dr MALONEY:
Melbourne

.- I again rise in defence of one of the best public servants I have ever met - Mr. Cerutty, the Auditor-General of the Commonwealth, whom I have known during my 45 years of political life. For many years he worked in association with the late Mr. Israel, one of the greatest of Australia’s public servants, and I cannot conceive of any man who served such an apprenticeship ever laying himself open to any charge of “ having used his official position in the Government service with gross impropriety “. Yet, in the Melbourne Age of the 22nd June, the following report of the Royal Commission on Petrol was published : -

Counsel’s addresses were continued yesterday before the royal commission on petrol nt the Arbitration Court. In the afternoon Mr. Menzies, K.C., counsel for the Shell Com- ?>any of Australia, urged that upon the credibility of that company’s witnesses must the commission’s finding as affecting his client bc based. He protested against the commission having decided to allow Mr. Alfred Frood to appear after counsel had put their case for the companies. In an attack upon the Auditor-General of the Commonwealth (Mr. Cerutty). Mr. Menzies charged that officer with having used his official position in the Government service “ with gross impropriety “.

On the one side we have Mr. Cerutty, an honorable man, and on the other side a legion of legal luminaries, led by an Attorney-General who takes money from the oil combine to fight his country and its interests. Never before have I heard of an Australian Attorney-General who, while in receipt of a high salary from his country to defend its interests and its people, has accepted payment from a combine which is opposed to the interests of his country and its people. Mr. Menzies’ father and I were good friends in the Victorian Parliament, and it is with great regret that I feel impelled to criticise in this ‘way the son. But when Mr. Menzies, K.C., attacks a man like Mr. Cerutty I would be failing in my duty if I did not rise to defend such a capable and honorable public servant. The legal luminaries present at the inquiry are entitled to examine and cross-examine witnesses, but the treatment of Messrs. Pollock, Frood and Cerutty by certain of them disgusted me. A friend of mine persuaded me to attend the inquiry. I say nothing against the commission, because the case is sub judice, but if its members had been angels from Heaven they could not have done other than they did. They were helpless before the attacks of these legal luminaries. Surely this wealthy oil combine could have found other able counsel to fight its case without asking an AttorneyGeneral to act against the interests of his country. Mr. Menzies said that it afforded him no pleasure to criticize Mr. Cerutty, but that it was his duty to his client to do so. Who is his client ? Is Mr. Menzies representing the State which pays him his salary as Attorney-General, or the oil combine which seeks to rob Australia ? The people of Australia believe that as Attorney-General, Mr. Menzies has no right to accept dirty money from a dirty combine. Mr. Menzies spoke in strong terms against Messrs. Pollock, Frood and Cerutty. I am prepared to meet those three men at any time, either in this world or in the next, but I have no time for a man who accepts money from his country and also from his country’s enemies.

Mr NELSON:
Northern Territory

– .L want to make another appeal on behalf of the miners in the Northern Territory, who “have proved themselves worthy men, but who, so far, have not received one penny of assistance from this Government. All the talk by Government supporters of what the Government is trying to do for these men is so much hot air unless something is actually done to help them. I only want the Commonwealth Government to do what all the State Governments are doing for the unemployed for whom they are responsible. In Victoria the Government, some considerable time ago, established S!.ate batteries to give assistance to unemployed men who were prepared to go prospecting. The State authorities claim that no money expended by employment councils gives such a satisfactory return as that expended to assist miners, and they take pride in showing the returns from amounts allocated for this purpose from unemployment funds for the past five years. Statistics show that the returns to prospectors through the State batteries have been £20,000 in excess of the total expenditure on mining since 1930. In 1930 the gold yield in Victoria from all sources, including State batteries, was 24,119 ounces, valued at £102,456. A total of 2,S09 tons passed through the State batteries for a yield of 1,8S6 ounces. In that year, £4,189 was expended from State funds, apart from unemployment funds advanced to prospectors. In 1931, £41,4.14 was made available entirely from relief funds, and in that year the production increased by 19,520 ounces, giving an increased gold output for the year of £102,5S5. In 1932, £30,840 was granted for mining purposes, including assistance to prospectors, and the value of gold produced was £79,782 above that for the previous year. In_ 1933, £23,118 was expended from State funds exclusive of unemployment funds, and again the output increased, this time by £78,304, as compared with the output of the previous year. During 1933, Victorian State batteries crushed 17,510 tons of stone. Surely these figures should indicate to the Commonwealth Government what can be done in this direction, and it should be eager to assist the large army of men who are prospecting on the proved fields in the Northern Territory, which have been favorably reported upon by its own geologist. Many shows on these fields hold thousands of pounds worth of gold, but the prospectors working on them have no means of treating the ore. Surely I am making a modest request when I ask for £100,000 for batteries, water, and assistance to prospectors in the Northern Territory. I urge the Government not to delay consideration of this matter until after the election, for immediate assistance is vital to the welfare of thousands of prospectors now working under great difficulty. The gold yield in Victoria during the first four months of this year was 23,590 ounces fine, valued at £159,461, which shows an increase of 3,628 ounces over the yield for the corresponding period of last year. At the present rate of production, Victoria will have produced £376,927 more gold in 1934 than in 1930, but it is expected that the rate of production will be considerably higher towards the end of the year. In addition, the State Government will have the satisfaction of knowing that it has given sympathetic treatment to the prospectors. Queensland, in the first four months of the present year, increased its gold output by £33,828 above the yield for the corresponding period of last year We all know the immense improvement that has taken place in the mining industry in Western Australia. In April, the Wiluna batteries treated 40,012 tons at a treatment cost of 19s. Id. a ton. These figures showed a working surplus for that month of £52,286 in Australian currency. I invite a comparison of these values with those obtained from mines in the Northern Territory. The Golden Dyke, for example, has exposed about 250,000 tons of stone of an average value of £4 a ton, as against a value of 35s. a ton at Wiluna. The auriferous areas of the Northern Territory are not speculative shows, for they have been proved by the miners without any assistance from the Government - without the help of even a pound of flour for sustenance. Yet honorable members of the Government have spoken boastingly of the assistance they have given to these men. At Tennant’s Creek, thousands of tons of stone which averages from 4 oz. to 10 oz. of 22-carat gold a ton is lying at grass. I have not exaggerated the value of the stone from that locality for much of it has been treated in South Australia. Because of the lack of sympathy on the part of this Government nothing under 4-oz. stone will pay the prospectors for treatment. This, surely, is a serious reflection upon the Government. Mr. Whealan sent a parcel of 53 tons of stone to Peterborough In South Australia where it was treated by the South Australian Government at a cost of 5s. a ton. In other words, the South Australian Government subsidized the miner to this extent. The 53 tons yielded 300 oz. of 22 carat gold, and it is estimated that when the residual sand is treated it will yield another 1 oz. a ton. Unfortunately, it cost £950 to transport the 53 tons of stone to Peterborough. This is prohibitive, and prevents the exploitation of this very valuable auriferous field. Some parcels of ore from Tennant’s Creek have yielded up to 10 oz. to the ton. When I was there last, Mr. Whealan had 1,000 tons of ore at grass which went up to 10 oz. to the ton. Other shows on the field are producing rapidly. Some of the returns which have been obtained are -

Some dollied parcels have yielded up to 34 oz. From approximately 69 tons of stone, 491 oz. of gold has been obtained. Under existing conditions it costs £24 a ton for transport and treatment of ore from this field. Surely the Government cannot realize that the field is more than 80 miles in circumference, and that new discoveries are extending it every day! It is capable of employing thousands of men. There is, at present, a 2-head battery on the field, but it is absolutely inadequate to cope with the work.

I wish that the Government would realize that here is, in real truth, a golden opportunity to do something to help the unemployed in a territory for which it is peculiarly responsible. I urge that batteries should be installed there. The cost of installation would be very quickly recouped to the Government. But what to me is more important is that work would be provided for men who are to-day on the verge of starvation, although there is almost untold wealth lying on the grass about them. How much better it would be for the Government to put these men in reproductive work than simply to pay them the dole! But the Government will not even pay the dole. It is the only government in the Commonwealth that denies sustenance and help to the unemployed for whom it is responsible. I appeal to the Government to display some faith in the report of its own geologist, and do something practical to exploit this field. If the prospectors were given, by way of an advance, a quarter of the estimated total value of the stone that they put through the battery, the interests of the general taxpayers would be preserved, and, at the same time, invaluable help would be rendered to these unfortunate miners. Any other government would jump at the opportunity to help these men to attain independence. If this work were put in hand, real wealth would be produced, for gold is the one commodity for which there is an unlimited market. I hope therefore, that the Government will not shirk its obligations and responsibilities to these long-suffering people who are willing to work if given the materials they require.

Mr BLAKELEY:
Darling

.- I support the honorable member for the Northern Territory (Mr. Nelson) in urging the Government to inaugurate a policy of development for Commonwealth territories. While Victoria and Western Australia are carrying out extensive programmes to enable men to leave the ranks of the unemployed and prospect for gold, the Commonwealth Government has done little in that direction. Thou; sands of men in the mining towns have a full knowledge of mining, and they are prepared to go out in search of the precious metal provided they have the necessary assistance. During the regime of the last Government, and at the request of the honorable member for the Northern Territory, I initiated a scheme for the granting of advances to prospectors to enable them to go off the dole and at the same time return something to the nation by increasing the production of gold. Some of the men took horses and camels, and other means were employed to reach the fields. Much of the development that has occurred since that time was based on the policy of the Scullin Government in this regard. There are opportunities in the Northern Territory for the employment of probably thousands of men, provided the Government will accept its responsibility and make water and batteries available as far as possible. The sum needed for this assistance would not be large in comparison with the expenditure incurred by the Governments of Victoria, Western Australia, and Queensland in encouraging mining prospectors. The price of gold enables a prospector to make a fair living on a low-grade proposition, provided water and a battery are at hand; but it is unreasonable to expect miners to pay for the sinking of wells and the purchase of batteries, even on a cooperative basis. When I was a Minister of the Scullin Government, I began in a humble way to provide a small government battery, and it was my intention to install a unit of one or two stampers with the necessary tables and plates to enable men to work the plant on a cooperative basis. It would pay the Government to place such batteries in the hands of local committees in Central Australia, the Government to accept responsibility for purchasing and transporting them to the various “ shows “ that have been proved. I agree with the honorable member for the Northern Territory that thousands of men could be placed in lucrative employment in. the territories under the control of the Government. The Minister for the Interior (Mr. Perkins) and the Government put forward a suggestion to reduce the number of unemployed in the Federal Capital Territory, which is now about 750, by transporting about 150 of them to the East-West railway, for ballasting and re-sleepering work. Is that the solution offered by this Government after having grappled with the problem for two and a half years? Numbers of miners in the different States would be willing to work in Central Australia, and on the fields in the different States, if the necessary assistance were forthcoming; but, in regard to the Northern Territory, the Government has refused to recognize its responsibility.

Mr LATHAM:
AttorneyGeneral · Kooyong · UAP

– I shall see that the observations of honorable members concerning mining are brought under the notice of the Minister for the Interior (Mr. Perkins).

The honorable member for Richmond (Mr. R. Green) addressed a. plea to the House which meant that I ought to remain a Minister continuously, because I have certain knowledge and experience. How long I am prepared to remain in public life is a matter that I myself must decide. I should not mind being a Minister always under some conditions, but unfortunately I am not able to continue my political career. There are others who would be unwilling for me to be always in a position to advise the government of the day. That particular part of the honora’ble member’s speech cannot be regarded with great seriousness, although I appreciate the personal compliment implied. The honorable member objected to all adjournments. He took exception to the adjournment now proposed, although, of course, it is the ordinary one at the end of the week. He really did not mean that we should go on sitting over Saturday, Sunday, and Monday. He himself adjourned as soon as he had spoken, and left other honorable members to carry on the business of the House. It was interesting to see that his fellow-members of the Country party adjourned even as he began to speak. Then he objected to the adjournment until next Wednesday. It has already been said that the Cabinet desires an extra day to enable it to expedite the preparation of the budget. The honorable member also objected to all future adjournments; and that is a difficult objection to answer. He took exception to the more permanent adjournment which many of us, possibly, will experience as a result of a general election. Usually, the election is held in October, November, or December. On this occasion it is tobe held in September, and this has become a capital crime in the eyes of the honorable member. But it is difficult to please everybody. Had the Government proposed an election later, a cry would have gone up from the other side that it was frightened to face its masters, the people. It would have been said that the Government’s mandate had been exhausted. If next year had been selected forthe election, it would probably have been argued that never in the history of the Commonwealth had an election occurred in January, February, or March. And I think it would have been true, too. Whatever the Government does, there are always some who will say that it is wrong. I could readily supply speeches at so much a line to any honorable member, first, to say that it is an outrage to hold the election in September, and, secondly, to say that it is an outrageous thing to have it at a later date. I do not think that honorable members will be much impressed with that part of the speech of the honorable member for Richmond. He went on to say that no reasons had been given for holding the election on the date decided upon. As a matter of fact, the Prime Minister (Mr. Lyons) gave reasons. They appeared in the press, but the honorable member apparently has not seen them. There are many big and important matters to be dealt with promptly, and it is manifestly to the public benefit that they should be dealt with by a government which possesses a full mandate from the people. I hope that it will be this Government; other honorable members hope that it will be another government; but whatever government is in power it is important that the matters I have referred to should be dealt with not by a parliament in its dying hours, but. by one with full authority from the people.

I was amused at the honorable member’s remark that the Government was going to hold an election in defiance of the will of Parliament, and of the will of the people. If an individual were to act like that he would be certified by two doctors at once, and I ask the honorable member to believe that the Government is not submitting itself to the people because it thinks that the people do not wish it to do so, and are therefore determined to throw it out. It is doing so because it believes that the people of Australia, being highly intelligent, appreciate what the Government has done, and wish to reinstate it with renewed authority to carry on the important work which lies before it. It is for that reason that it has been decided to hold the elections in September.

Question resolved in the affirmative.

House adjourned at 4.33 p.m.

page 346

ANSWERS TO QUESTIONS

The following answers to questions were circulated: -

Invalid and Old-age Pensions

Dr Maloney:

y asked the Treasurer, upon notice -

When he is preparing legislation to amend the Invalid and Old-age Pensions Act, will he give consideration to the revision or rejection of the large number of questions put to applicants for pensions?

Mr Lyons:
Prime Minister · WILMOT, TASMANIA · UAP

– A review of the questions included in the form of application for pensions is at present being made. Any variation of the questions included in the forms will not require amending legislation, as the forms under the act are prescribed by regulations made by the Governor-General.

Interest on Public Debt.

Mr Lyons:
UAP

s. - Information is being obtained, and will be furnished as soon as possible, in reply to a question asked by the honorable member for West Sydney (Mr. Beasley) respecting interest payments on the public debt.

Overseas Trade.

Mr White:
UAP

e. - The information sought by the honorable member for Capricornia (Mr. Forde), in regard to overseas trade, is being obtained.

Cite as: Australia, House of Representatives, Debates, 6 July 1934, viewed 22 October 2017, <http://historichansard.net/hofreps/1934/19340706_reps_13_144/>.