Minutes of Evidence p.1401-1509 - Parliament of Victoria

1443
48793. Is it a success ?-It was until last yem·. The Honorable
48794. Under the lJ.. a pound duty ?-No, last yenr was a very bad year indeed for cnndle makers; Tb~'::~n~~ter,
because tallow was so excessively high and the market was flooded with foreign candles which European. 2nd Moy 1883.
makers had n1shed into the market thinking to crush us people out of existence.
48795. May it not have been the want of money now i'-It may have been that.
48796. They bad not you in their minds at all, it was merely the want of money ?-I do not know
that.
48797. You succeeded in Sydney with ld. a pound duty, could not you succeed here, with an
·.ordinary market for tallow, with Id. a pound. Is labour not as dear here as in Sydney ?-~Coals are
cheaper there and labour is much the same, but I explained that the cost of distribution was so much
less to us as actual manufacturers. I suppose we conlLl make them as cheap there as here.
48798. You have endeavoured to show that the local article is superior to the imported, and yet
you maintain that a prejudice exists i.n regard to the local article-may not the prejudice be got over, do
you think, by the people using the article ?-It has in very many cases done so. These testimonials that I
have just handed in to you will show that. ·
48799. These are some special candles ?-No, indeed they are not.
48800. Can you explain how it is that last year the amount of imports in this a1·ticle was so much
over the previous year-there was £11,114 revenue from it last year, as compared with £5,432 the year
before ; can you explain that large increase in the import of candles beyond my explanation that in many
cases the preference is given to the imported article over the local on the simple ground of its quality?­
No, I do not think I could give any explanation of it; but I do not accept your explanation.
48S00a. By JI;Jr • .LYunro.-Those steel pots are specially prepared, are they not-is not there a trade
secret connected with the mixing of the metal ?-I think there is.
48801. How many of those do you use in a year-would it warrant anybocly establishing a factory
for the purpose of making those steel pots ?-I do not think so ; for if we get a good pot it will last three
or four years. The makers at home say a good pot would last eight years or nine years, but we have
no such experience ; but a bad pot lasts only a very short time.
48802, Did you ever attempt to adopt the same principle in Melbourne aE you do in Sydney, namely,
selling directly to importers ?-Certainly. We started business with that intention, but we fonncl that the
importers were too strong for us-that they could either buy from us or leave us alone as they pleased ;
they possessed the large trade and had all the outlets in their own hands all through the colony, and
we found at last that if we wanted to do a candle trade we must go direct to the distributor, and overlook
the importer altogether, who preferred to sell the foreign candle.
48803. Could not he make as much profit out of the colonial candle as out of the imported?-We
used to tell him so, but he used to prefer to import. You see the importer is in a peculiar position.
Probably he has a house in I~ondon ; he is a member of a large house, and the house in London a.re buying
other things engaging freight, ha.ving insurance rebates, and many little things of different kind~, it suits
the buyer at home to buy largely, candles as well, upon which he charges 2~ per cent. commission, and he
ships them all out to the house here, ani! the house here have to get through them. That applies to a great
many of the houses here, and, therefore, until the houses here become thoroughly convinced by experience,
that it does not pay them to import foreign candles and sell against the local manufacturer, they will not
think of entering into an arrangement with the colonial manufacturer of an exclusive character; and it has
been the task of manufacture1·s for the last three or four or five years to convince the importing houses that
it is not to their advantage to import candles, and last year this company lost thousands of pounds in the
contest.
48804. 'Vhat is the capital of the Company ?-£200,000.
48805. Has it ever paid any dividends ?-It has paid one ; the new company has only been
established a year.
48806. Do you attribute last year's loss to the market being glutted. with imported candles ?-Yes,
I do.
48807. Being sold at a loss ?-Yes, no doubt, and the high price of tallow.
48808. Do you see any prospect of being able to cultivate that connection ?-I do ; I always hope
to do it.
. 488.09. In Sydney the consumer would get the benefit ?-If the importers and large houses would
m:1.ke a contract with the Apollo Company to take from them so many boxes a year, the company would
make a contract with them never to sell a box, except through them, and then they could put them at a
low price the same as in Sydney. It simply means using their staff to distribute candles.
48810. You do not object to paying this duty upon machinery that you use in your factory, do you?
-No.
4881 L Have you any objection to mention the yearly output of candles by your company ?-I would
mention it in u moment if I knew it, but I do not know what it is.
48812. By the Chai~·mcm.-Did I understand you to say to Mr. Mcintyre that it was next- to
impossible now for importers to form a ring to manipulate the market for candles?-Yes, undoubtedly, they
could not do it,
4.8813. So that that aspect of the case has passed away ?-Utterly. The moment they formed a
ring they would have the candle companies down upon them in a moment, and down goes the price.
48814. But I mean, assuming thut the candle companies were away, would the other appliances
prevent a ring ?-Then we could form a ring, but not so strong or of such long duration as formerly.
488L"i. Becfluse of the readier means of communication?-Yes.
48816. Byilfr. lVlunTo.-Is it not customary in all trades, especially in England, for them to meet
monthly or weekly to tt