The Present.

The wretched present—the most disastrous in the existence of our Colony—and what do we find? Our Labourers unemployed, and calling for work; our Mechanics and Operatives walking the streets; our Farmers in the most miserable plight, many who, a few years ago, were comfortably off seeking that doubtful refuge, the Insolvency Court; our Merchants and Traders struggling as they never struggled before; Fathers of families puzzling their brains to try and solve the problem of "What shall we do with our Boys?" We find our Government thirsting for another Loan (indeed the Country cannot do without it), but with no special object in view, except to repeat what previous Governments have done—Spend! Spend! Borrow! Borrow!—and the principal question troubling our Parliament is, not so much what can we do to add to or improve the general prosperity of this splendid Country, but who shall run the concern. It is this state of things that has led to the issue of this sketchy Pamphlet. We, in common with many others, have been induced' to pause and consider.

Is there any remedy for this great depression? What mistakes have we committed in the past, and what policy shall we pursue in the future? And before dealing with those matters, we draw attention to a few Statistics.

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Population.

In 1868	225,000
In 1878	430,000

Imports.

From 1868 to 1878

£60,320,000

Exports.

Same period	£52,640,000
Excess of Imports	£7,680,000

But the whole of this increase arose in 5 years—from 1873 to 1878.

Debt.

Government Loans	£22,000,000
Government Loans now being authorised	5,000,000
Say	£27,000,000

Interest.

Annual charge on Loans	£1,200,000
Annual charge Municipal, Harbour, and Private Loans, say	800,000
Total amount to be provided annually	£2,000,000

What inference can be drawn from these figures?

First—That our Imports are largely in excess of the Exports; of course greatly to be accounted for by the large quantity of Railway Material. But a careful examination of the Government Statistics will show that ignoring this item the Imports still preponderate.

How long can a Country continue to Import more than it Exports? How have we managed to do so hitherto? Very easily; we have borrowed the difference, and we still owe it; but this state of things cannot last for ever, for remember our Exports are not all available for paying for the Imports, Two Millions annually are pledged to pay for Interest on our Loans. England is perhaps the only Country in page 6 the world that can afford to Import above her Export, and this arises from the fact that nearly every nation has to remit her immense sums yearly for Interests, which she receives in the shape of Produce and Gold.

Second—That the Country is not Capitalising. We have been incurring large liabilities, and have been exceedingly busy in consuming in a wasteful manner the productions and manufactures of other countries, enriching them and impoverishing ourselves. For bear in mind that Importing cannot possibly enrich a people. Is there any way of remedying this state of retrogression? Yes, two; one by increasing the Exports, and another by a judicious Fostering and Encouragement of Local Industries and Productions; and it is the advocacy of this last that has led to the issue of this short pamphlet; the seriousness of the subject prevents us from offering an apology, but before referring to it we will allude to the possibility of increasing the Exports; it is possible certainly, but we do not desire it unless it can be done profitably. What do they consist of at present? "Wool, wheat, tallow, hides, meats, gum, and gold. The last item gives employment to a limited number, and although the yield is fluctuating will doubtless continue; but it is wool and wheat that the Country is bound up in. Wool—A most valuable Export, inasmuch as it does not exhaust a Country to produce it, but gives comparatively little employment. And as for Wheat, who can judge of the future of this article, we fear the prospect is gloomy. Can a Country grow wheat for Export year after year? Yes, if the price is sufficiently high to permit of a certain amount being spent annually in returning to the soil some of the vitality that wheat-growing extracts from it; but the price is not high. Our unfortunate farmers sold last year at 3s. per bushel, our only market being England. Next season they will probably get more in consequence of a short yield in England and France, and a deficiency per acre in America, which she makes up by putting in an additional four million acres or more than the whole acreage of wheat in Great Britain. America is the competition we have to fear, she is so close to England, and her territories are immense. We firmly believe that the future of Wheat-growing—unless in exceptional years—is not a bright one, and "God help the farmers if they have nothing better to depend upon."

Farmers to thrive must grow Root Crops, Barley, Wheat, Oats Fat Stock, Pork, Butter, Cheese, &c.; and why not Linseed and Sugar-beets, and Tobacco. Most of these articles can only be grown for page 7 local demand; they cannot be exported except in small quantities Our interests are bound up in the farmers; they have to grow the food required by a nation, and thus supply the motive power; and unless they are prosperous every other business will suffer. But if everyone is a farmer there will be no customers for his products. He must have people engaged in other ways, and as with the exception of wheat he cannot export; those people must be employed in the country he lives in. It is on these grounds we claim the sympathy o the farmer. And the value to him of a local demand is forcibly illustrated in the matter of Barley. This has commanded for some time past a higher price than any other grain, in consequence of the requirements of our brewers. Had this demand not existed it would have been valued at so much for horse feed, and yet last year an attempt was made to tax this very industry. Whether a man should or should not drink beer does not enter into our discussion, but on the grounds that brewing is a colonial industry of great service to the farmer, we are glad the attempt failed. No doubt it will be cheering news for our farmers to know that Victoria proposes to levy a duty of one shilling per bushel on Barley, with the express object of shutting out New Zealand growth; and also, our own ports being free to grain numerous enquiries are at this moment being made from San Francisco, with the object of consigning Barley to this Colony. And we may further add here, as concerning the farmers, that orders for Hams and Bacon have been sent to Chicago, both from Dunedin and Christchurch; and yet every Australian Colony taxes our production to the extent of 2d. per lb., and the same on cheese. Ponder over these things, and ask yourselves has the time not arrived for a change? "We think so.

The question is—How can we give profitable employment in other ways than farming? Employment that shall be remunerative, and add to the wealth of the country.

Our reply is—Foster and encourage local productions and manufactures. New Zealand is bleeding at every pore. Let us endeavour to retain within ourselves some portion of the wealth we are pouring so freely into other countries, and this brings us face to face with the question of—