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On the mine of the Ivanhoe Gold Corporation there is at present a high speed engine, built by Hick, Hargreaves, and Co. It is a cross compound Corliss valve engine, of 950 horse-power, and cost £2,679 f.o.b. London; oversea freight shipping charges, duty, and landing charges at Fremantle, £750, representing 27 per cent. of the f.o.b. price. Railage and cartage from Fre

flourishing as it was in years gone by. Only by the use of modern machinery-by the use of all that the highest skill and energy can give us can the industry be pushed ahead. It is by such means that trial position, and we certainly must not Australia. has achieved her present indusmantle to the mine amounted to 329, representing 12.3 per cent. of the f.o.b. price; so that the retrogress. In Western Australia and total charges from port of shipment (London) to Queensland--notably at Charters Towers time of delivery on mine amount to 39.3 per cent. of the f.o.b. price (total cost on mine, £3,738). It displaced three slide valve and one cross compound engines. It is now used as the main driving engine. Since it was started it has saved the company £580 per month, the savings being 102 for labour, and the balance, £478, in economies of fuel, water consumption, and repairs. It is the best driving engine on the mines, and gives the best results, viz., 13 lbs. steam per horse-power per hour.-(Q.41350).

hard ground and refractory ores have to be dealt with.

Senator Lt.-Colonel GoUID.-And lowgrade ores.

Senator HENDERSON.-That is so. We must all recognise that those low-grade cost, and the most scientific treatment apores must be worked at the least possible plied to them if the industry is not to go Having regard to the position of the mining down. For these reasons I desire mining industry in Australia to-day, this evidence machinery to be free, provided that some is surely strong enough to induce us to arrangement can be made to protect the endeavour to free it of any obstacle likely revenue of the Commonwealth, and to preto be placed in its way by the Tariff. vent the free importation of machinery should like to bring under the notice of the that is being made in Australia, and used Committee a case which came under my with satisfactory results. I should not own observation, in which a very large sum like to vote for Senator Macfarlane's rewas collected by way of duty on a highquest in the restrictive form in which it class engine imported into Western Austra- has been proposed; but if the Government lia. It is a type of engine which has not press the demand for the pound of flesh been made in Australia, and is not likely for which they now ask, I am very much to be made here for many years. As afraid I shall have to vote against them. Senator Gould has pointed out, we shall need a population of something like 50,000,000 or 60,000,000, and to have the world's market available to us, before we shall find men ready to erect in Australia the machinery necessary for building such engines. Under the present Tariff, the mining company which imported the engine to which I have referred, had to pay no less than £1,500 in respect of duty upon it. The treatment of low-grade ores necessitates the use of the most up-to-date engines and machinery to insure success. The number of persons absolutely depen dent upon the industry constitutes an additional reason for taking action to relieve it of such taxation as is proposed by the Government.

Senator Lt. Colonel GOULD.-There are more than 126,000 persons engaged in the mining industry.

Senator MACFARLANE (Tasmania) notice of the Committee the following [3.28]. I should like to bring under the the free-trade section of the Tariff Comstatement which appears in the report of

mission

that

Engineers and others agreed, on examination, converters and certain other classes of machinery, particularly high-speed engines for generating electricity, that patented machinery, of which much was used on the goldfields, and cannot be made in Australia, should be exempt.

Senator TRENWITH.-But the honorable senator is not proposing to apply this provision to machinery used only on the goldfields.

Senator MACFARLANE.-My request does not go so far as I should like it to go, but I am prepared to accept Senator Lynch's suggestion, and to modify my proposal so as to place on the free list highmeans that there something like speed reciprocating engines, coupled with generators or dynamo electric machinery.

Senator HENDERSON.-And

are

that

We

500,000 persons dependent upon it.
have evidence that the industry is at pre-
sent at a low ebb, and it behoves us to do
something, not to retard, but to advance
it, so that it may again become as

Senator BEST. To be used for mining purposes.

Senator MACFARLANE.-If it is thought desirable to limit the amendment

to mining machinery, some one else can move in that direction.

Request amended accordingly. Senator GRAY (New South Wales) [3.31]. I hope that honorable senators in considering this great question will disregard their leanings to free-trade or protection, and try to do what is best for the development of Australia. I was delighted to hear the speeches of Senators Henderson and Lynch. It would be impossible to controvert the statements which they made. The mining industry employs, perhaps, more men than any other in the Commonwealth, and it must be recognised that it is now passing through a critical period, making not only the development of new mines, but even the continuation of old mines, a matter of difficulty. Within the last eight months the price of copper has fallen from £115 a ton, at which it stood for three or four years, to £56 a ton, and the price of lead from £22 108. to £13 10s. a ton; while the prices of silver and other minerals, with but few exceptions, have been seriously reduced.

to

the globe; but they won their name only because their manufacturers had the cuteness to recognise that their machinery must be of the best, and the courage to discard anything old-fashioned. In the West Riding of Yorkshire, a mill was considered old when it had been in existence for five years. Within that period the owner e'ther built a new mill or completely renovated the old and replaced the machinery with newer patents. The same thing has been done in the cotton, and in many other industries. It is this readiness adopt improvements that has kept England to the front as a manufacturing country. Her manufacturers have been wise enough to recognise that they must constantly strive, not only to increase their output, but to improve its quality, so that it shall be superior to the productions of any other country. Why was it that the New Zealand Woollen Mills were successful, although protected by a duty of only 15 per cent., and the Victorian Woollen Mills had a struggle under a duty of 40 per cent.? It was because the New Zealand manufacturers kept themselves abreast of modern developments, whereas Senator GRAY.-No; but the yield has Victorian manufacturers depended entirely declined, especially in Western Australia. on the Tariff, and practically forgot that It, therefore, behoves us to do what we new machinery was constantly being incan to improve the conditions of the mining vented. They were like children who deindustry. The mining of low-grade ores pend entirely on their mothers for their food, has become extremely difficult, because of and could not do anything without Gothe almost infinitesimal profit obtainable. vernment support. The real prosperity and But upon the continuance and prosperity of development of our industries will be due, the mining industry depends the well-being not to the Tariff, but to the personality of of thousands of miners and their families, those conducting them. If our manufacand of those dependent upon them. There- turers adapt their methods to new condifore, instead of handicapping the industry tions, and take the fullest advantage of we should brush aside everything that the brain power of the world, they will suctends to retard its development, and we ceed, and Australia may become though I should give all possible encouragement to think not for a long time vet-an exporter those connected with mining ventures. of manufactures. The fact that raw maseems to me, however, that Senator Lynch terial is close at hand, and available to is one of those geographical fiscalists who any extent, will count for much. But our have regard only to the interests of their manufacturers must be ready at all times own State. to adopt the latest improvements. ThereSenator LYNCH.--What about the Broken fore, instead of levying a duty on maHill mines?

Senator TRENWITH.-The price of gold has not come down.

It

Senator GRAY.-I think that the honorable senator narrows his sympathies to that industry which is, perhaps, more important in Western Australia than in the sister States. Even if industries are established by the Tariff, they can become permanent only by keeping in touch with the latest improvements and developments in other parts of the world. The Yorkshire woollen mills have a reputation all over

chinery, we should, if it were practicable-which it is not offer a bounty for its importation. Senators Lynch and Henderson have proved that we shall act unjustly, and in the worst interests of the Commonwealth, if we levy a tax on mining machinery, especially at a time when the condition of the industry is critical. It is almost impossible, at the present price of metals, to make mining operations profitable, and to pay wages, which are not too high, to

men who work under conditions far inferior to those which obtain in other industries. I hope that the Committee will allow mining machinery to come in free of duty.

Senator DE LARGIE (Western Australia) [3.45]-I think that the honorable senator who has just resumed his seat might very well have spared us the hack-. neyed taunt that our votes upon the proposal under consideration will be influenced by geographical considerations.

Senator GRAY.-I was referring only to one honorable senator.

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Senator DE LARGIE.-So far as that honorable senator is concerned, I think that he is quite blameless in the matter, because if there is one industry which is common to Australia it is that of gold mining. Gold-mining operations carried on in every State of the Commonwealth, and therefore any Tariff assistance that we may extend to that industry will not be confined to any one State. Further, it is the industry in Australia which pays the highest rate of wages to the workmen engaged in it. In Western Australia and, I think, the same remark is applicable to Queensland, and to the greater portion of New South Wales-the wages paid to gold-miners are the highest that obtain in any calling in the Commonwealth. Therefore, any consideration that we ask for gold mining is not being sought on behalf of an industry which is associated with sweating or evils of that character. In discussing a question of this kind we ought not to forget the very important part that gold mining has played in the history of Australia. I dare say that the greatest event in our history was the discovery of gold. Certainly the greatest event in the history of Victoria was the discovery of gold at Bendigo and Ballarat, just as I am sure the greatest event in the industrial life of Western Australia was the discovery of gold at Coolgardie. These events stand out so prominently that they constitute land marks in our history. When we recollect the important part that gold mining has plaved in the history of the Com monwealth, we must recognise that the proposal to admit high-speed reciprocating engines for the purpose of generating electrical power for gold-mining purposes is not an extraordinary one. If we look at the duties that have been imposed upon various classes of machinery we shall find that the highest are those which have been

levied upon the machinery connected with the gold-mining industry. Gold-mining machinery is imported with a view to developing an industry which can gain no benefit whatever from protection, as the agricultural industry undoubtedly can.

Senator GRAY.-How do those industries derive a benefit?

Senator DE LARGIE.-Every agricultural and dairying product has been made a subject for taxation, so that our agriculturists and dairymen have had the whole of the home market conserved to them.

Senator GRAY.-The farmer does not derive a benefit of one penny from a protective Tariff.

Senator DE LARGIE.-I am sorry to say that he did not get all the benefit that was intended to be conferred upon him by the granting of a butter bonus. We know that the butter agents grabbed a fair share of that bonus.

duties are

Senator GRAY.-Protective inoperative, so far as the farmer is concerned.

Senator DE LARGIE.-There is another aspect of this question, of which we ought not to lose sight. It is that there has actually been expended in gold mining more money than is represented by the value of the product of the industry. Therefore it cannot be said that it is an industry in which a direct benefit is conferred upon those who embark upon it. We all recognise that to the speculator there is a glamour about mining enterprises which induces him to risk much in the hope of obtaining more. The request of Senator Macfarlane, therefore, is not one of an extraordinary character. As a protectionist I am anxious that no vote of mine shall injure any of our industries. But in taking up the attitude that I do towards what may be regarded as a freetrade proposal, I am fortified by the request which was preferred to the Tariff Commission by Mr. Hasforth, the secretary of the Engineers' Society of Kalgoorlie, who asked that high-speed reciprocating engines, which were intended to be attached to electrical generators, should Mr. Hasforth exbe admitted free. pressly singled out high-speed engines as articles which should be admitted into the Commonwealth_free.

Senator Lt.-Colonel GOULD.-Under all circumstances?

Senator DE LARGIE.-No. ferred to the mining industry only.

He re

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Senator DE LARGIE.—I have already pointed out that the mining industry has special claims on our consideration for the reason that it cannot derive any advantage whatever from a protective policy. I have just instanced the agricultural industry as one which will obtain advantages that we cannot extend to the mining industry.

Senator GRAY.-Does the honorable senator wish to limit this proposal to gold mines?

Senator DE LARGIE.-Undoubtedly. Senator GRAY.-Why not extend it to tin mines?

Senator DE LARGIE.-I do not know sufficient of tin mines to be able to say whether this class of machinery is much in use upon them.

Senator GRAY.-I think that we ought to have a quorum present. [Quorum formed.]

Senator MILLEN (New South Wales) [4.1].-Senator de Largie offered just now the strongest possible reason why if these engines are to come in at all they should come in as free for one industry as for another. He said that there would be an inconsistency if we allowed steam turbines to come in free, whilst we made dutiable high-speed engines which were used for the same purposes. I was glad to hear him say so, because, if he wishes to avoid inconsistency, seeing that steam turbines come in free, not only for mining, but for every one who wants them, he ought, on his own showing, to vote to make highspeed engines similarly free for any industry that needs their assistance. No more glaring inconsistency could be conceived than to allow steam turbines used for the generation of electricity to come in free for every industry, and at the same time specially to pick out the mining industry as the only one in Australia entitled to get free high-speed engines. cannot vote for any such selfish proposition. I am not prepared to give a vote which would be a class vote in its narrowest possible form. Who use these high-speed engines, and what are they used for? Senator de Largie interjected. they used for the generation of electricity. Mines are not the only industry that requires electricity. A large and increasing number of people in Australia are becoming more and more dependent upon electricity. Municipalities, when they proceed to light their towns-a purely municipal undertaking, to which the poorest ratepayer contributes--require an engine of this kind. Senator W. RUSSELL.-That is a bit of Socialism.

I

As

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Senator MILLEN.-Very likely; but I appeal to the honorable senator for his vote on that very argument. As a Socialist, he should say that that socialistic enterprise shall not be called upon to pav 20 and 25 per cent., whilst the individualistic enterprise of the mine-owner shall be al

Senator DE LARGIE.-We have also to bear in mind that in another portion of this schedule it is proposed to admit steam turbines which are used in connexion with the electrical motor industry and which are required to do the same work as the high-speed reciprocating engines to which I have alluded-free. Of course, I recognise the danger that would result from the admission of high-speed reciprocating engines free, if they were subsequently used for any industrial purposes other than those of mining. I think that stationary engines and engines required for driving our mills can be made just as well in the Commonwealth as they can be in any other part of the world. I am anxious that the engineering industry shall not be injured. In order to safeguard it we shall have to be very careful in our definition of a high-lowed its machinery scot free. These enspeed engine. That can be done by saying that the engine shall be connected directly with an electric generator or motor. This will insure that it shall not be used for any other purpose than the one which we desire. I hope that those who look at the matter from a mere trade stand-point will see that a very good case has been made out for giving the mining industry what is really the only advantage we can give it in the Tariff.

gines ought to be free, for the simple reason that they are not being made here. Even the engineering manufacturers of Australia import them when they are called upon to supply a plant containing one of them. This item brings rather forcibly to my mind the unfortunate way in which the whole division has been drafted. I am a free-trader, but, in view of the character of the Tariff and all that has preceded it, it would be idle to suppose that even

a free-trader would require an absolutely free Tariff upon all engineering matters. But in practically each one of these items there are included, with articles which can be and are being made here, and in respect of which even free-traders would be indisposed to destroy the protection which they have hitherto enjoyed, other articles which are not being made here. The alternative which faces us is either to place a very heavy impost on a lot of machinery which is not being made in Australia, or to destroy the protection upon machinery which is made here. To a great extent, the manufacturers are themselves to blame for that. Instead of their placing before the Commission collectively a reasonable, fair, and honest statement as to the machines and en

In

gines which they could make profitably, and supply at a fair price, various individuals amongst them came forward to ask for everything that there was the slightest chance of getting, and the Government, unfortunately, have followed them. stead of their making a fair division, putting on one side everything that could be made here at a reasonable profit and sold at a reasonable figure, and, on the other side, articles which are not being, or are not likely to be, made here for some time, the whole lot are boxed up until, if I want to free an article not made here, I have also 'to free an article which is made here, or, if I want to put a duty on an article which is made here, I have also to put a duty on an article which is not made here. That puts one in an unfortunate position. In spite of my fiscal views I have no desire to give a vote to destroy an existing industry. On the contrary, I should be inclined to assist, so far as I can, such an industry as this, but I absolutely object to placing a duty on an article which is not being made in Australia, and is not likely, for some time, to be made here, knowing that the effect of the duty, by increasing the cost of the machine or engine, will handicap not merely the mining, but every other industry which requires to use it. It may be that Senator Macfailane's amendment does not commend itself in its wording to every honorable senator, but that ought not to secure its defeat if the object at which it aims is approved. Personally, I seek to make high-speed engines free. If those who think with me have any fault to find with Senator Macfarlane's amendment, I suggest that it should, nevertheless, be adopted, with the

Senator Millen.

knowledge that if it is faulty the responsibility will rest upon the Government, after consulting their expert officers, of drafting a better definition, and then, on recommittal, asking us to alter the wording. By means of that amendment we can indicate the goal towards which we are striving. I believe a majority of honorable senators favour the free admission of highspeed engines for some purpose or other. Some, like Senator Lynch, wish to limit that to mining. I want them free for every industry. But I do not want our inability to agree about what is, to some extent, a detail, to result in none of us getIn order to avoid a ting what we want. three-cornered duel, which would result in the Tariff going through exactly as it stands, I suggest that Senator Lynch should move his proposal as an addition to Senator Macfarlane's amendment.

Senator LYNCH.-Will the honorable senator help me?

Senator MILLEN.-Certainly not, because the Committee has never listened to a more selfish amendment. I am surprised to hear it come from Western Australian senators. They have been very free in voting to put duties on pretty well every other industry in the Commonwealth, but the moment we reach what is practically the first item in mining, those strong Western Australian protectionists become I cannot assist high-class free-traders. the honorable senator to carry that se.fish policy to any greater extent. I am not prepared to make these engines free only for one specially picked and favoured section of the community. If Senator Lynch submits his amendment as an addition to Senator Macfarlane's amendment, the Committee will be able to have a clear vote If Senator Lynch's without confusion. amendment succeeds, there is nothing more to be done, but, if it fails, we can then on straight-out vote Senator have Macfarlane's amendment. My object in making this suggestion is to avoid a threecornered duel, which would result in none of us getting anything.

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Senator SAYERS (Queensland) [4.10]. I favour high-speed engines being admitted free, but, although I have lived in a mining district nearly all my life, I cannot see why the Committee should be asked to admit them free for mining and not for any other industry. I believe they are not made here, and that their use will be of assistance to a large number of ind:stries.

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