1.-7

200

To tolerate a monopoly is to vest in a few persons the power to tax the rest of the community. " Monopoly is that, monopoly does," and the typical act that identifies this unlawful power is the crushing of rivals. The law must .protect to secure equal treatment to all. This can he done by State regulation rather than by State ownership. By common law monopolies are contrary to the, public interest,, and must, be definitely dealt with, as anything that restricts output, of production and competition is not in the interests of the community as a whole. It has been recognized that no foreign company or firm, or agents acting for or financed by a foreign company or firm, shall own or control any of the primary products of the country. The above shall apply to freezing-works and their subsidiary operations, as being linked up with the production of stock and the advancement of settlement and prosperity of the country. Combination to limit the killing or export of stock shall be illegal. All freezing-works, wherever situated, shall he free to individual farmers or their agents for killing, freezing, and handling of stock, at current rates for freezing, felling, and freight. Freezing-charges shall be subject to revision by the Government at one common rate for the district in which the, works are situated. Any rebates or secret commissions shall be illegal. Rates of freight shall be at one, common rate available to every one throughout the Dominion without, preference or secret rebates or concessions (not always practicable, as some companies grade to suit their trade connections in pre-war times). The whole output from each, works shall carry the distinctive marks of the works. The grading and m, ,rks shall not be altered without the consent, of the Government, but freezing-works can. pool farmers' lots, with their consent, under a general number, for economical handling and selling. Control of freights shall be in the hands of the Government, and regulated so that each district shall be. free to make regular shipments : Wellington, Lyttelton —weekly ; main ports —fortnightly ; out-ports- —monthly, as required. Taxation of foreign firms shall be the same as is paid by British, firms. Foreign firms, companies, or agent's acting for foreign firms, shall not escape taxation on the plea that, no profits are made in the country of trading. The fact that they are trading shall be taken that they are making the same profits as others. It shall be illegal for foreign firms, companies, or agents of the same to deduct from the profits, managerial expenses, capital, and other charges not incurred in the country. In the event of foreign firms, or agents for the same, not showing any profits or less than the British firms i n the same class of business, the foreign firms shall then pay on the percentage of their turn-over such taxation as shall be equal to but not less than is paid by British firms. No foreign firms shall enjoy the privileges of the protection afforded by the laws and administration of the country in which they desire to carry on the trade unless by paying adequate taxes.

EXHIBIT 16. Mutton and Lamb.

Season. Sales made by Head Sales made Office mile- through pendent of London. London. j Total C if. Sales (O.-book). m , c cj i Total Sales Total Sales ~ . , , „, . , O.i.l. and ex Ship anil „, . , a f ex Ship and cn Store. „5 ex Store. 5. 6. Sales made to American Houses by London. Percentage Column 2 bears to Column 6. Per- | Percentage centage I American Column 7 ! Sales bear to bears to Total LonColumn 6.i don Sales. 9. 10. i. 2. 3. 4. 7. 8. 1908-9 1909 10 1910-11 1911-12 L912-13 1913-14 1914-15 144,560 i 325,060 105,900 ! 491,290 81,383 ; 330,660 115,160 ; 331,0,50 43,640 262,090 63,250 184,465 22,000 10,000 469,620 597,190 412.043 446.210 305,730 247,715 32,000 89,691 559,311 93,491 ! 690.491 76.752 ' 488.795 49.945 496,155 188,782 494,512 259,651 507,366 13,552 45,552 Nil. 4,416 13,644 699 24,884 7,590 Nil. 25-84 15-33 16-64 23-21 8-82 12-46 48-29 Nil. Nil. 0-63 0-75 2-79 3-34 0-14 0-18 5-03 5-77 1-49 1-71 Nil. Nil. Oolu represent; itnn 2 represents sales bs sales to C.M.C, inO i in O-bool i-book. to W. W., A. L. J., A. L. J., G. W., F. J. W., W S., S. C. Column 3