a supplement to TUB PEN * TB DQCCMi rnarion Commerce 1964 TRADE MISSION REPORT / A U. S. DEPARTMENT OF COMMERCE PUBLICATION A SUPPLEMENT TO International Commerce ... the weekly news magazine for world traders published by the Bureau of International Commerce and sold by the Superintendent of Documents, U.S. Government Printing Office, Washing- ton, D.C. 20402, and by Department of Commerce Field Offices for $16 a year. Report of the 1964 Trade Mission to «8 ^ **$$& +&$>*' tf>' ,<*>** AUSTRALIA U.S. DEPARTMENT OF COMMERCE Luther H. Hodges Secretary Franklin D. Roosevelt, Jr. Under Secretary Jack N. Behrman Assistant Secretary for Domestic and International Business Thomas G. Wyman Deputy Assistant Secretary for Domestic and International Business BUREAU OF INTERNATIONAL COMMERCE Eugene M. Braderman Director For sale by the Superintendent of Documents, U.S. Government Printing Office, Washington, D.C., 20402 Price 30 cents. U.S. MACHINERY AND EQUIPMENT MISSION TO AUSTRALIA F. GILBERT LAMB President Lamb-Weston, Inc. Portland, Ore. PAUL A. LINGER, Mission Director Consultant to the Secretary of Commerce U.S. Department of Commerce £k EUGENE M. LANG President Resources and Facilities Corporation New York, N.Y. RUDOLPH GOLDSMITH President French Fabrics Export, Inc. New York, N.Y. ABRAHAM I. SAVIN President The Edward Balf Company Hartford, Conn. ELMER J. HANKES President Testscor Minneapolis, Minn. ~«B> E. W. KLAPMEIER Consultant Blaw-Knox Company Buffalo, N.Y. MIGUEL NISTAL, JR., Trade Development Officer Trade Missions Division Bureau of International Commerce U.S. Department of Commerce Reports by Mission members are reprinted from the May 4 issue of INTERNATIONAL COMMERCE. Specific trade and investment opportunities are reprinted from issues of April 13 and April 27. Photographs appearing in this supplement were furnished by the Australian News & Information Bureau, the Australian Gov- ernment Trade Commissioner, and the International Bank for Reconstruction and Development. The map was prepared by the National Mapping Office, Department of the Interior, Canberra. OLDEST, BIGGEST CITY IN AUSTRALIA: Sydney, capital of New South Wales, covers 21 square miles, has one of world's finest harbors. Aust. News & Info. Down Under moves up Machinery, equipment, technology wanted as buoyant economy surges forward By PAUL UNGER Trade Mission Director There is still time for the U.S. business- man to get in on the Australian bonanza, but he had better hurry. Even though he may have missed the forward surge of the Australian economy over the past few years, he can look ahead to a steadily growing and expanding market for his machinery. Australians are asking for U.S. products and participation. The Australian potential for U.S. ma- chinery and equipment sales is typified in the following example: The U.S Trade Mission just back from Down Under interviewed an Australian firm now designing, installing, distribut- ing, and servicing residential heating and air-conditioning units through twelve branches serving the entire Sidney metro- politan area. They expect shortly to be named the distributor for a major oil company of home heating oils (just be- coming popular in Sydney); they will tie oil sales in with appliance installations. They reported that they installed only about 15 residential central heating units last year, but they see their own market within 3 years as about 1,500 units a year. This is a brand new market because Sydney has practically no central heating. Competitive jump Why does this heating firm want to share this bonanza-to-be with a U.S. partner? Because he is convinced that U.S. equipment and know-how will give him the competitive jump in this market. He reads the U.S. trade journals and knowns of the marketing, merchandising, and sales campaigns used in the United States to promote heating and air condi- tioning. He is willing to buy this machin- ery and experience and save himself costly errors. He wants a U.S. firm to export to him those larger and more complex units and components which cannot be manufac- tured economically in Australia; license him to manufacture in Australia the com- ponents and units it is economical to make there; and supply him with a consultant on his whole operation. He neither needs nor seeks U.S. financing but is ready to consider some form of joint venture, li- cense, fixed fee, or royalty. This story is similar to stories we heard about many other industries. Most inter- views of this nature were in the packaging machinery field. Running close behind were those in materials handling equip- ment, electronics and instrumentation, scientific and electromedical instruments, machine shop equipment, plastics in a variety of operations, paper converting, air pollution equipment to comply with a recently enacted Clean Air Act, meat- packing, aircraft communications, vegeta- ble oils manufacture, and many more. Through conversations with the De- partments of Industrial Development in the two states visited, the Mission con- firmed these findings. The Departments were receiving requests from Australian businessmen for similar connections — in much the same industrial groupings — with overseas companies, particularly American. Although many were interested in spe- cific items, most businessmen came to the Trade Mission to find U.S. firms that could supply machinery, equipment, and technology. The most frequent request was for the name of a middle to small- sized U.S. company with whom the Aus- tralian could associate himself. The large U.S. corporations, through subsidiaries or joint ventures, have al- ready opened Australian markets for U.S. -style products. As these products become accepted and popular, there is room for others. The Australian is ready to move, but he wants assistance. He would like to use the experience of U.S. businessmen. He does not know which are the mod- erate-sized U.S. companies in his indus- try, so he picks names out of directories and trade journals and writes letters. In the majority of instances — sometimes in all — he gets no reply. So he welcomes the Mission, with its files of U.S. firms who have declared that they do want to sell U.S. goods and do want to do business in Australia. More prosperity seen As background to these opportunities for machinery and equipment sales is a buoyant economy with growth factors promising more prosperity in the years ahead. Here is a thumbnail sketch of what the Mission saw. In Sydney, with a population of more than 2 million, Australian-designed cranes are busy raising new "glasshouse" sky- scrapers to the 40-story level. There is a subway and a large system of electric commuter trains. Eight lanes of traffic, plus 2 train tracks, cross the famed Syd- ney Harbor bridge, and back up for blocks at rush hour. About 56% of the population lives in the six state capital cities, 40% in Sydney and Melbourne alone. Thirty-two percent of the work force is in industry, as against only 22% in the United States. Industrial land in the 15- to 20-mile belt around Sydney commands $6,000 to $12,- 000 an acre. There is an auto to every 3.8 persons, a radio to every 4Vi, and a television set in 70% of the homes. Australia boasts the largest savings bank in the world, and the department store with the largest one-day receipts. Banks have almost 4,000 branches around the country. Australia is turning out 4 million tons of steel annually; it is both good and cheap, and some of it is exported to the United States. The largest bauxite deposits in the world are being turned into alu- minum locally. Recently discovered oil and gas were to have started flowing through pipelines last month. Coal is mined almost totally by machine, and Australian exports threaten to drive U.S. coal out of the Japanese market. Reach over 1,200 businessmen A U.S. Machinery and Equipment Mission communicated with over 1,200 Australian businessmen through Information Centers in Sydney March 9-18 and in Mel- bourne March 19-26. Members referred 261 Business Proposals of U.S. companies to 248 individual Australian firms; referrals totaled 837. Of the 397 specific opportunities brought back for follow-up, 225 were for export, 29 for import, 100 for licensing, and 43 for joint ven- ture and investment. Copper, lead, zinc, cobalt, iron ore — Australia has them. The magnificent Snowy River Scheme, with its 100 miles of tunnels, 9 dams, 10 underground powerplants, will produce almost 3 million kilowatts of hydro power and 2 million acre-feet of irrigation water annually. The country for some time has been shifting from manufacture of consumer goods almost entirely to a greater em- phasis on heavy industry. Australia is now virtually self-sufficient in building materials, plastics, radios, foods, textiles, clothing, most household appliances, steel, many common chemicals. Also it manu- factures most of its needs in metal prod- ucts, farm equipment, furniture, leather goods, locomotives and rolling stock, mo- tors, drugs, paper goods, and rubber products, among others. Modernization only skin deep But although you can see almost any product in Australia, some of the newer ones are few in number. Modernization in many areas is still only skin-deep; the need and desire to flesh it out represents an important segment of Australia's large potential market for U.S. machinery. For example, Melbourne has a new shopping center with 65 shops, parking space for 3,250 cars, and over Vi million square feet; but in general, the housewife still shops daily in her neighborhood, on foot, carrying the string bag from green- grocer to butcher to dairy store to grocery to pastrycook, each shop presided over by the owner who serves her and she pro- fesses to like it that way. Air conditioning is standard in Syd- ney's new hotels, but central heating is unheard of in almost all houses; water and waste pipes run up the outsides of buildings, and homes by the thousands have detached toilets (usually flush). Machine shops are full of obsolete tools. Only last year the Melbourne-to-Sydney railroad standardized its gage, although trains still can't make the trip across the continent without changing cars because of different gages along the way to Perth. Frozen foods are packed in Australia but home freezers are rareties, as are freezer-compartment refrigerators be- cause of their high prices. Most bread is delivered to the house, much unsliced, some unwrapped; few self-service stores will handle it. Milk is delivered to the door at dawn in Melbourne in horse-drawn carts. Be- cause milk comes in glass bottles, super- markets won't handle it. Lost are the impulse sales of carton milk, in half-gal- lons or even quarts — the largest container now is an Imperial pint (about 1.2 U.S. pints). All of these soft spots underlying the Australian prosperity are opportunities for sales of U.S. machinery and equip- ment. Closer look This market Americans are being in- vited to share is rich, prosperous, grow- ing, up-to-date, modern. Its tastes and preferences often follow U.S. patterns and styles. The U.S. share of the market is steadily increasing while the U.K. share has declined. Through necessity and tradi- tion the market is attuned to a large proportion of imports. Australia is a major trading nation: Exports and imports each represent about 15% of gross national product, as against only 4% (exports) in the United States. Dedicated to continuing a large overseas trade, Australia nevertheless wants to change its composition. To lessen present dependence on highly changeable world prices for primary products (which make up 80% of its exports), it is promoting industry and increased export of industrial products. To supply expanding industry, it must import increasing quantities of machinery, equipment, raw materials, and labor. The United States is in excellent position to supply the machinery and equipment. Australia has close ties with and affec- tion for Americans. Australia has copied America rather than Europe in its eco- nomic development. Advertising stresses "U.S. design" and "U.S. styling" because U.S. fashions appeal to Australians. As fast as they can, they are striving to make and purchase household appliances and furnishings developed in the United states. Hundreds and hundreds of U.S. brand name products are manufactured in Aus- tralia under license. Businessmen read U.S. trade journals, attend U.S. trade conventions, are remarkably up-to-the- minute on new products and develop- ments in American industry. Government spurs diversification The Government moved to encourage diversification — both in export products and in trading partners. Exports to the U.K. have dropped from 35% of the total in 1958 to 17% in 1963; this year Japan replaced the U.K. as Australia's largest market. Now one-third of the trade is with Asia, and one-quarter with the United States. Imports from the U.K. have de- clined (from a postwar 45% to a present- day 30% of the total) although they are still in first position. Although 80% of Australia's exports still consist of primary agricultural products, the percentage is decreasing. Only 40% of the exports are wool, as against 50% in 1953. The United States is now Australia's second supplier, with 21% of total im- ports. Imports from the United States rose 10% in 1963, to a total of $518 mil- lion, mostly in machinery and metal prod- ucts. New U.S. investments amounted to $160 million. There are over 275 U.S. companies operating in Australia, over 1,000 licensing and royalty agreements, and agencies for about 10,000 U.S. firms. The market is large and growing. The present population — busily trying to fill a continent the size of the United States stretching north to south the distance from the Great Lakes to Yucatan, and east to west from Hatteras to San Diego —is increasing at a rate of 2.3% annually, aided by early marriages, large families, and a Government-assisted program which brought in 110,000 immigrants last year. It's a young population (53% under 30) destined to increase even faster — a widening market for homes, house furnishings, baby supplies, chil- dren's needs, and teen-age desires. The Australian market, even now, is richer than the population figures indi- cate. They boast a per capita income of $1,547 per year, one of the highest in the world. The people have the developed tastes and desires for consumer goods of an urban industrial society. .Seventy-five percent are homeowners. Savings are equal to 8% of personal expenditure. 'Treasurer's dream' In describing the prosperity of the Aus- tralian market, the Commonwealth Treas- urer said the current economic situation was almost "the answer to a treasurer's dream. The people have full employment and prosperity, our overseas reserves are at a record level, and our exports are at a record level (up 30% last year)." He might have gone on to cite another dozen glowing indicators. Gross national product was up 9% last year. Unemploy- ment is down to a mere 1.6% of the work force. Installment credit, which the Australians call "hire-purchase," is mov- ing up to U.S. proportions. Bank liquid- ity is high. Manufacturing production is confidently expected to double in the next 10 years. Tourist travel is up 15%. Capi- tal investment is 11.6% higher than the year before. Construction, both dwelling and nondwelling, is at a record high, with housing loans doubled over the previous year. Auto sales also are at a record high. Added to this burgeoning domestic market is an ever-increasing overseas market for exports made in Australia, often with U.S. components, on U.S. ma- chinery, using U.S. know-how. The mes- sage the Mission preached everywhere — a marriage of U.S. machinery and know- how with Australian enterprise and raw materials to manufacture in Australia products for the export drive — was head- lined and hailed. Particularly in Southeast Asia, Aus- tralia as a noncolonial power has an especially ready acceptance for its ex- ports. Australian companies are con- stantly expanding their sales in that area. They offer partnership possibilities for U.S. firms which can supply equipment and technology to make Australian manu- factures of higher quality and lower unit- cost, that is, competitive in overseas mar- kets. The Australian Government is stimu- lating exports with two big incentives: 200% expensing on income tax returns for overseas market development costs, and payroll tax rebates up to 100%. In addition, the Government exhibits at for- eign trade fairs, maintains 43 trade com- missioners around the globe to boost exports, gives awards for export achieve- ment, publishes a weekly, Overseas Trad- ing, and sends off trade missions (includ- ing one to Hong Kong, Philippines, and Thailand last October). Business matches the Government pro- gram. This month the Tradeship Centaur, sponsored by the Australian Chamber of Commerce, is touring Southeast Asia. This month also the Institute of Manage- ment has scheduled a series of seminars on the Japanese market and entry therein. As an incentive to modernize, cut costs, and be more competitive in overseas markets, Australian business has been presented with, a 20% investment tax credit by Parliament. Banks and business analysts speak con- fidently of higher peaks to come, but within the context of a sound economy. "Australia is on a rising tide of activity and this trend is expected to continue," reports Sir Warren McDonald, Chairman PORT KEMBLA STEEL WORKS: At No. 2 Open Hearth Shop a 300-ton capacity hot metal ladle is held over ingot moulds, at New South Wales plant. Metals, machinery lead Australian imports Imports U.S. Commodity Total imports from U.S. share (fiscal 1962-63; in $ thousands) % Metals, metal mfg's, machinery $952,455 $267,985 28.1 Oils, fats, pigments, paints 292,056 17,976 6.2 Yarns, textiles, apparel 261,296 27,657 10.6 Paper and stationery 156,374 29,917 19.1 Chemicals, fertilizers, drugs 155,723 46,182 29.7 Foodstuffs and liquors 98,318 6,115 6.2 Rubber, leather, wood, wicker 90,937 1 9,390 2 1 .3 Tobacco, vegetable substances, fibers.. . 82,042 31,949 38.9 Optical, surgical, scientific instruments. . . 41,917 12,045 28.7 Miscellaneous 291,072 56,087 19.3 Total $2,422,190 $515,303 21.3 Source: Commonwealth Bureau of Census and Statistics, Canberra. of the government-owned Commonwealth Banking Corp. "General confidence in the economy can be expected to improve further during 1963/64 and a continuing substantial growth in gross national pro- duction can thus be anticipated. . . . Evi- dence available suggests that domestic production could still expand significantly without giving rise to inflationary pres- sures or requiring heavy expenditures for development." The price rise last year was less than 1%. Not reserved for Americans This lush Australian market is by no means reserved for Americans. The Jap- anese are pressing into Australia with high-quality, low-cost, fast-delivery prod- ucts. Their imports increased 1 5% in the last year. They are backed up with an aggressive advertising and promotion campaign, including a permanent Trade Center in Sydney, and are taking full ad- vantage of the strong bargaining position they just attained this January when they passed the U.K. to become Australia's chief buyer. They buy more Australian wool than any other country, plus significant quan- tities of wheat, coal, and other products, and have sheep-farmers publicly backing their demands for a greater share of the Australian market to balance the trade ledger. West Europeans are also offering strong price competition. The Mission often heard of better service, quicker deliveries, lower prices offered by the Dutch or Swiss or West Germans. Italy has announced plans for a large display of machine tools, and printing and textile machinery at the Sydney Trade Fair in July. The U.K. is still Australia's largest- volume supplier. Import restrictions Most significant to U.S. businessmen are the import restrictions which still remain. They are frankly designed to keep out imports which would compete with domestic manufactures. The Presi- dent of the Chamber of Manufactures, in welcoming the Mission, made this quite clear. "We would be less than hu- man," he said, "if we reacted warmly when it becomes apparent that the target includes Australian industries which have been built up patiently over the years. We do not feel that we are reacting selfishly or narrowly when we take this attitude, for the growth of Australian manufacturing industry is our main tool in building a great nation here, another United States, and this we firmly intend to do." The Australian Tariff has three columns: A preferential rate for Britain and the Commonwealth, a higher most- favored-nation rate for most countries in- cluding the United States, and a general rate which is still higher for the few re- maining countries. For most machine tools and machinery the MFN rate applicable to the United States is 55% while the Commonwealth preferential rate is at least 1Vi% lower. Other than this there are no special disabilities for dollar coun- tries. Although almost all import licenses were removed in 1960, they were allowed to remain on certain products; currently these are used earthmoving equipment, used excavating equipment, used ma- terials handling equipment, ball and roller bearings, and aluminum. Applica- tions for entry of any of these products are submitted to the Department of Trade in Canberra, which decides each case on an ad hoc basis. If it is admitted, the license is issued by the Department of Customs and Excise, which likewise assesses a duty. By-law device For U.S. exporters to Australia the most important tariff provision is the By- law device. This provides for remission or reduction of the duty (usually 55% on machinery) "provided suitably equiv- alent goods which are the produce or man- ufacture of Australia are not reasonably available." If customs agrees the goods are not available in Australia or U.K., there will be no duty; if not available in Australia but available in U.K., the duty will be l l /i%. The Mission received numerous com- plaints about lack of aggressive selling on the part of U.S. manufacturers. The most common complaint was failure to answer letters. One of the largest Aus- tralian firms, a fully-owned U.K. sub- sidiary, was unable to get certain products from its U.K. parent. It wrote 25 U.S. firms offering the business; none replied. I heard criticisms of U.S. payment terms as too harsh. The letter of credit is evidently now out-of-date, with Euro- pean firms offering terms of 75% pay- ment on delivery and the balance after proven installation. Agents and others complained that they never saw the U.S. principals; one U.S. firm doing a good business in Australia visited once in 12 years. Many U.S. businessmen who do come, stay one day, and leave. Many deal only with Sydney, not realizing that Melbourne is a separate market of almost equal size, and that the other 4 state capitals are also quite independent and separate. Many quote f.o.b. an inland U.S. fac- tory, resulting in their bids ending up in the wastebasket. Quotes should be c.i.f. the Australian port. Some firms are wary of dealing with Australian companies that are affiliates or subsidiaries of British firms, or even of other U.S. firms. Usually however, the Australian firm is not fully bound on all products and is free and willing to negotiate with others to their mutual advantage. ADVICE AVAILABLE U.S. businessmen thinking of estab- lishing branches or investing in Aus- tralia may obtain information and advice on general economic conditions, pros- pects in particular industries and finan- cial aspects relating to the establishment of businesses from the major Australian commercial banks. COLD-WEATHER DRESS: These lambs, in factory of Thomas Borthwick & Sons, Portland, Victoria, are being jacketed in plant's freezing chambers. Food processing in Australia gains in importance; report on modern equipment needed More finished processing of farm and dairy output considered necessary; U.S. machinery well received By F. GILBERT LAMB Presidenf, Lamb-Weston, Inc. Portland, Oregon Australia's food processing industry is well advanced and the potential for ex- pansion is strong. There is an important market for food processipg equipment. Who will obtain this market depends on the answers to two questions: Will imported — particularly U.S. — equipment be able to compete over the Australian tariff barriers? Will U.S. equipment manufacturers show sufficient interest in the market and sell with sufficient imagi- nation and energy to obtain a sizable share of this business? There is hardly a raw product for food processing that is not produced in Australia. The range extends from sub- tropical fruits such as mangoes, bananas, and pineapples in the north to citrus crops further south (large producing areas exist between Sydney and Mel- bourne) to the world famous apples and pears in the south of the main continent and in Tasmania. The range of raw products includes vegetables of every kind, quantities of red meats and fish. Milling grains are efficiently produced. Sizable production of vegetable oil crops reportedly is just now being considered on an expanded scale. Australia produced in 1961-62 787,- 000 tons of beef and veal; 586,000 tons of mutton and lamb; 118,800 tons of pig meat; 247 million bushels of wheat; 55 million bushels of oats; 41 million bushels of barley. Apple production (in bushels) was more than 17 million; pears 6.5 million; bananas 4.9 million; pineapples 3.9 mil- lion; wine was more than 41.8 million gallons. Raw sugar production, 1962-63 was estimate J at 17.7 million tons. Food processing necessary Historically, Australia's economy has been maintained to a great extent by ex- port of these agricultural products, plus wool and dairy crops, in raw or semi- processed form. The country has attained one of the world'? highest standards of living; based largely on this agricultural economy; however, the upgrading of production, for a growing domestic mar- ket and for export, by more finished pro- cessing of agricultural products is considered necessary by both the Gov- ernment and the business community. Food machinery imports Government policy protects against import competition equipment already made in Australia for processing these foods; but many items still are not manu- factured there. In fiscal 1963 Australia CAN TREVATT APRICOTS: Choice fruit is placed in cans at Ardmona Fruit Products Co-operative Co. Ltd., plant at Mooroopna, a rich fruit-growing district located in the Goulfurn Valley in Victoria. imported the following food machinery and equipment: Import U.S. Type of equipment value share Biscuit making $ 467,861 $135,119 Cocoa and confection. . 606,768 36,459 Flour and cereal 338,814 28,850 Fruit and vegetable prep- aration and canning c 21 ,035 557,303 Sugar refining 263,869 102,931 Food products (general) 1,752,766 695,889 Packaging machines (ex- cept matchbox and cigarette) 2,664,000 771,750 Australia's tariff policy can work both for and against the U.S. manufacturer of food processing and related equip- ment. There is a high tariff, usually 55% ; however, if this equipment is greatly su- perior to or clearly different from that available from local suppliers, the duty may be reduced or eliminated under the By-Law system. Application for this con- cession must be made to the Government in advance of import. The aid of a Tariff Adviser in Australia is recommended; their names can. be obtained from the U.S. Embassy and Consulates. The Australian Government's drive to increase and modernize plant and equip- ment includes that for food processing. Capital expenditure by the food, drink and tobacco manufacturing industry of Australia was £.45.2 million ($101.7 million) in the 1962-63 year and the anticipated expenditure for the 6 months ending December 1963 was at a higher annual rate. The recent Investment Credit incen- tive allows the Australian businessman to take an extra 20% depreciation the first year. He gets a total of 120% de- preciation expense over the life of the equipment, the biggest benefits coming the first year. Some of the best known names are represented in the Australian food pro- cessing industry: Nestles, Kraft, Heinz. Campbell Soup, Unilever, International Meat Packers (Swift), and others. Their success indicates the favorable reception which Australia has shown for American- type products, foods included. Although many "mom and pop" stores still exist in Australia, new modern su- permarkets are coming into existence. One recent survey showed that 16% of the retail food outlets are doing 65% of the business. This combination of world known names among food processors plus the advent of the supermarkets and chain type retail stores is forcing the food processing industry into moderniza- tion for both domestic and export mar- kets. Fresh loaf A visit to a bakery indicated that this industry may be about to enter a period of modernization. Much of the equipment was old. One mixing unit, made in a local shop, had been copied from a used Champion ac- quired from the United States. A new bin was being installed for delivery of flour in bulk for the first time. Two older gas-fired hearth ovens and another of tiled hearth construction were baking a variety of cakes, tarts, rolls, jelly rolls, and French pastries in addition to bread. The Government has a price control on bread — about 20 cents on the sliced and wrapped. About 75% of this bakery's output was sliced and wrapped. Products other than bread loaves are not Govern- ment price controlled. Sales are through their own small shops, of which they have about 22, and through other small bakery retail shops. They also sell to "bob tailer" trucks with house-to-house delivery routes. The larger supermarkets and chain stores are starting to represent outlets of growing importance. Nobody apparently was producing frozen bread or pastry; however, one frozen food firm reported plans to begin production of both meat and fruit pies. A canning plant also was visited. The plant appeared to be operating efficiently though terribly overcrowded. Management stated that they were planning a larger, modern facility at a new out-of-town location. Sales were outstripping production ability. With roughly 10,000 square feet of pro- duction space, about half on each of two stories, the cannery turned out about 90,000 cans a day, year round, of a long list of items. This points to the need for flexible processing and packaging equip- ment to take short runs and frequent changes. Most of the equipment appeared old by U.S. standards. The management spent some time ask- ing questions regarding can unscramblers. One had been purchased from an Aus- tralian manufacturer with U.S. connec- tions. It did not work and the supplier had taken it back without making much effort to fix it. Six women were unloading the retort baskets by hand in front of a casing machine. The firm wanted to import an un- scrambler from the United States but was concerned about service. Frozen food market I also visited a recently constructed frozen food plant. The buildings were well designed. The management had traveled in the United States and was well informed on the U.S. frozen food in- dustry. The plant was not fully equipped and production in millions of pounds per year was small for the floor space. They asked me about the availability of cer- tain frozen vegetables from the United States which indicated that their market- ing ability exceeded that of their produc- tion. Another frozen food plant was run- ning string beans when I was there, and the operation was reasonably efficient but congested. The management drove me a few miles away and showed me a new, modern cold storage warehouse built in the last year on a 9-acre site. Construction of a new, much larger pro- cessing plant at this location is planned. At least eight food processing firms indicated they had plans for new plants or new major product lines. They were talking of frozen and dehydrated potato products, frozen orange juice con- centrate, citrus juice fully dehydrated to crystal form, frozen prepared meals, confections, apple and peach canning, and vegetable oil extracting and refining. Not only was interest shown in U.S. machinery and equipment, and engineer- ing, but in many instances a desire was expressed for some working arrangement with a U.S. firm which was in the busi- ness and had the know-how. One of the two frozen potato process- ing plants in Australia was recently built by a local firm with the help of a large U.S. company in that business. The refrigeration industry in Australia is well developed. Compressors, heat ex- changers, fans and controls are manu- factured locally over a wide range of sizes and styles. Much is under license from foreign firms including many U.S. concerns. An example of a working arrangement between a U.S. and an Australian firm is in the baby food business. A large U.S. baby food manufacturer has li- censed an Australian company to pack under his label and to his specifications. The Australian firm feels the continued paying of license fees is worthwhile be- cause he receives the benefit of the U.S. firm's research and development work. For the local market alone, the Aus- tralian firm would be unable to justify this expenditure. This same thinking was expressed by several of the largest Australian firms in the packaging supply and equipment business. In America so much research and development is being conducted in the packaging field that the Australian is eager to establish communication with Americans. Many times a new material or machine may be imported for an initial period and if it justifies local manufacture a licensing or similar agreement may be worked out between the two firms. Aus- tralian firms are interested in the good medium-sized or smaller U.S. firms' products because often the larger U.S. companies are already represented in Australia. Food equipment manufacturers should bear in mind that just because one of their U.S. competitors has a factory in Australia does not mean that he neces- sarily manufacturers the full line that he might in America. On the items that he does not manufacture in Australia, the door is open to competitors from the United States. Often there is only one supplier of certain locally made equip- ment. Some customers feel this results in poor service, so they are glad to pur- chase imported items just to get the bene- fit of having two suppliers. Australia is not as far away as we used to think. I found it a market worth ex- ploring for any U.S. manufacturer of food processing equipment, large or small. I urge U.S. firms to look into this opportunity for increased export sales. They will find the Australian welcome warm and the atmosphere friendly and hospitable to the American way of doing business. 'By-law' procedure can be the bridge over Aussie tariff Mission members explain rules for 'reasonably available' goods The U.S. businessman's most important consideration in trade with Australia may well be the Australian "By-law" proced- ure for tariff exemptions, members of the Department of Commerce trade mission to Australia report. For example, these are the general terms covering import of U.S. machin- ery and machine tools: Australian law provides a 55% tariff on imports if "suitably equivalent" goods are available Down Under; a 7Vi % tariff on goods "reasonably available" in the United Kingdom. Beyond this, imports can be duty-free. Know how to do it Application for "By-law" tariff exemp- tions or cuts is made to the Department of Customs and Excise in Canberra. The importer must supply a full description of the goods, the quantity to be imported, its value, the specific purpose for which it will be used, the name and address of the overseas supplier, delivery terms, five copies of illustrations and specifications. He must supply evidence that equiva- lent goods are not reasonably available. Best evidence: Correspondence with all possible suppliers in Australia and U.K., stating they can not produce or procure the goods. The importer also must agree that, if requested by Customs within a year, he will permit an Australian manufacturer to examine the imported product to de- termine whether it can be produced in Australia in the future, subject to patent rights. Processing the application, Customs makes its own inquiry of Australian manufacturers who might be able to sup- ply the product. If none is found, inquiry is made to the Board of Trade in London, England, to determine whether a British manufacturer can supply it. It sounds complicated, perhaps, but members of the trade mission report that thousands of "By-law" applications are approved each year. Applications related to new production ventures are treated with special sympathy because of the government's policy of encouraging new industry, the members say. They also suggest that U.S. manufac- turers familiarize themselves with the "By-law" exemption procedure because all Australian importers are not exper- ienced in it. Many firms, they said, em- ploy tariff advisers whose services include submitting "By-law" applications. Mission members report several in- stances in which tariffs did not deter im- ports. Some U.S. products — bulk milk tank coolers and masking tape among them — sold in Australia for less than the home-made product, even after duties. In other cases, Australians demanded U.S. products even though import duty made them more expensive than the domestic product. Insulating brick was in this category. WRITE FOR IMPORT DUTIES Information on Australian import duties — as well as overall economic and commercial information on the country — may be obtained by writing to Bureau of International Commerce, Far Eastern PUBLICATIONS ON AUSTRALIA Additional information on Australia can be obtained from several U.S. De- partment of Commerce publications. Copies of these can be ordered from any Commerce Field Office or from the Superintendent of Documents, GPO, Washington, D.C. 20402. Establishing a Business in Australia. OBR 63-108. 16 pp. July 1963. 15 cents. Foreign Trade Regulations of Aus- tralia. OBR 63-129. 11 pp. October 1963. 15 cents. Living Conditions in Australia. OBR 63-11. 10 pp. January 1963. 15 cents. Basic Data on the Economy of Aus- tralia. OBR 63-38. 20 pp. March 1963. 15 cents. Electric Current Abroad, 1963. 75 pp. 30 cents. Trade lists available Trade lists containing the names and addresses of firms in Australia are available for $1 per commod- ity classification from the Commer- cial Intelligence Division, Bureau of International Commerce, Wash- ington, D.C. 20230, or from any of the Department's Field Offices. World Trade Directory Reports on individual firms are available from the same sources for $1 each. Machine tool, control equipment needs in Australia greater than ever before Population growth, export expansion drive step up need for modern production machinery; U.S. tool builders can compete By ELMER J. HANKES President, Tesfscor, Minneapolis Australia's machine tool and control equipment needs today are greater than ever before. Population growth and export expan- sion objectives have accelerated the need for replacing much of that country's pro- duction plant with modern equipment which can turn out the low-cost quality products needed to compete in world markets. In taking advantage of this large busi- ness potential, however, U.S. tool build- ers will be obliged to cope with the bar- riers of Australia's formidable but flex- ible tariff system. The basic tariff has three rates: A high general tariff, a lower favored-nation rate (which applies to the United States among other countries), and the British preferential rate which is the lowest. Rates are set at low levels to permit import of items needed but not produced in Aus- tralia, and at high levels to protect young and growing Australian industry. Ma- chinery exists for a speedy hearing of a case for increased protection sub- mitted by an Australian producer who believes he is threatened by foreign competition. The effect of this policy has been to limit the flow of machine tools and elec- trical equipment from the United States which face tariffs averaging 55%. The bulk of this business is in British hands because of the lower British preferential rate. Germany and Japan have been more successful than the United States in this- market because of their lower prices. Joint company formed The Japanese had considerable diffi- culty in entering the market but their manufacturers formed a joint company called the Japanese Machine Tools Aus- tralia Pty. Ltd. and set up a joint sales and display office in St. Leonards, North Sydney. They will place a machine in a customer's shop for a 3-month trial, and this technique has begun to be effective in selling their equipment. The J.M.T.A. is owned 70% by the various Japanese sponsors and 30% by the Australian principals. It is just this kind of selling that is needed to overcome the disadvantages we face in this market. U.S. firms should make sure that they are adequately repre- sented by technically trained people in salesminded organizations. If an export agent is used, he too should be techni- cally competent. Many Australian dis- tributors in machine tools, controls, in- struments, and other fields complain most about the inadequate way their technical questions are handled by export agents of U.S. firms. Some U.S. manufacturers of machine tools and electrical equipment have been successful in coping with this situation through establishing licensees or subsidi- aries for manufacture in Australia or in England. Some, by effective sales repre- sentation and vigorous effort, have been able to sell "quality and productivity" against price. It would appear, however, that many U.S. equipment producers have neglected the Australian market. In contrast to its own protectionist policy on imports, the Australian Govern- ment is pushing strongly for increased exports of manufactured items. Spurs modernization It is also encouraging modernization of plant facilities. To stimulate capital in- vestment in new machinery which will re- duce costs and thus improve their com- petitive position in world markets, an extra 20% depreciation is allowed. This can be taken in the first year, thus per- mitting a 30% allowance on a 10-year life; the total depreciation comes to 120% for approved facilities. The Australian flexible tariff may be used to reduce or eliminate barriers for imported equipment if the equivalent is not obtainable from Australian or U.K. sources in the desired form. For ex- ample, if your equipment has certain features or production capabilities not present in the Australian-made or U.K. products, your agent can apply for a "By-law" exception. The agent must be familiar with the procedure, prepare a good case, and persist in its presentation to the Department of Customs and Ex- cise. Much of the U.S. advanced equipment exported to Australia enters under this "By-law" provision free of duty or at 1V-i%, instead of the usual 55%. Statis- tics, showing a higher average unit price for U.S. machines over those from other countries, indicate that it is the larger, higher grade, more sophisticated and in- strumented U.S. machine tools which are selling best in Australia. For example, of 24 horizontal boring machines imported into Australia in fis- cal '63 at a total cost of $249,726, the United States supplied 2 machines cost- ing $59,767. Out of 830 lathes costing a total of $2,486,610, the United States supplied 27 costing $86,615. In "other combination machines," how- ever, the United States has the bulk sales, supplying 35 units at a cost of $3,355,064 out of a total for all countries of 48 cost- ing $3,511,213. Also, of 21 lift trucks of 10,000- to 15,000-pound lifting capacity imported at a total cost of $173,437, the United States supplied 13 costing $122,- 944; and of 21 with a 15,000-pound- and-over lifting capacity (cost $370,092), the United States supplied 16 costing $308,112. U.S. penetration Figures for broader categories of ma- chinery show substantial U.S. penetration into the Australian market. The statistics also show a growing import market de- spite increasing local production. This growth is expected to continue as Aus- tralia progresses in its industrialization. The best possibilities for U.S. equip- ment sales lie in the more sophisticated categories, particularly automatic tape- controlled equipment; lathes of larger types; millers, presses, turrets; grinders; heavy engineering specialties; and instru- ments and gages. U.S. manufacturers are already well represented in this market with subsidi- aries, licensees, or agents. To retain the market he may have developed, the U.S. businessman must, if at all possible, ar- range to have some part of his product manufactured in Australia and plan that the Australian-made content will increase year by year. If he does this he too can seek and obtain tariff protection for his infant business. Not all items can be economically manufactured in Australia because of the relatively small market and limited tech- nical or production capacities. This means that more complex technical equipment with limited sales potential will continue to be imported and points to a good market for some of our more precise and sophisticated machine tools, such as jig grinders and tape-controlled machinery centers, and for instruments of extreme ranges and greater reliability, such as 10 HAY-BALING RIG: Livestock feed is an important crop in land "down under" economy. World Bank lending in Australia has passed the $150 million mark high-frequency oscilloscopes, computers, and gas cromatographs. The greatest opportunities, however, seem to be in active U.S. participation in local manufacture. For instance, even the heaviest kinds of lift trucks, tractors, and presses of up to 2,000 tons are- suc- cessfully manufactured in Australia. Be- cause of the tariff structure, their presence in the local catalog virtually eliminates foreign competition. These items are all made by subsidiaries or licensees. It is in this area of license arrangement that the U.S. small business can do the best job. The larger Australian companies are eagerly seeking additions to their lines and they look to smaller U.S. companies for help. They are willing and indeed eager to pay for the proven products de- riving from the technical assistance that U.S. companies can furnish. In considering this market it must be kept in mind that this is an industrial economy. One in every 6 of the working force is connected with the automobile business; the auto ownership ratio is high. Telephones are widely used but there is a long waiting list of subscribers; the Gov- ernment-owned telephone system has a pay-as-you-go policy which prevents bor- rowing for capital equipment to improve service. TV is at a saturation point and production is steady at 300,000 sets a year. Booming businesses Air conditioning and refrigerat : on are booming businesses. House heating, a long neglected item in Australia, shows every sign of exceptional future growth, as do vending machines. In fact, it is hard to think of any kind of business ac- tivity in the United States which is not in Australia now or which will not have a proportionate degree of success in the Australian market. The Australian is defi- nitely U.S. -oriented, and is following our footsteps in its industrial develop- ment. In the scientific, medical, and atomic field, interest is keen and at a high tech- nical level. We had many inquiries for controls, recorders, colormeters, gas cromatographs, and medical apparatus both electrical and atomic. U.S. businessmen will find themselves at home with their Australian counter- parts who are experienced and knowl- edgeable in their fields. Their trade prac- tices closely approximate our own. They are sincere, know what they want, and say so clearly and plainly. You'll always know where you stand with them because they speak your language in more ways than one. This market is too vast to detail in a short report. Just assume that if a prod- uct is useful and marketable in the United States it will be so in Australia. Someone in your field may be there al- ready, however, and you must be pre- pared to compete for a share of the market. FARM EQUIPMENT Australian production of agricultural equipment has risen in the past 5 years, as follows (in millions of dollars): $57.6 in the 1956-57 fiscal year; 66.3 in 57-58; 67.9 in 58-59; 78.8 in 59-60; and 78.2 in 60-61. Exports from the United States to Aus- tralia have shown a gradual increase despite the establishment of several U.S. manufacturing plants there. Such exports totaled (in millions of dollars) $3.9 in 1958; 5.9 in 1959; 6 in 1960; 6.3 in 1961; and 7.8 in 1962. Tractors today are estimated at 285,000 units. 11 Textile industry's trend toward modernizing facilities sparks U.S. sales chances Spinning, winding, other machinery as well as dyestuffs, high-styled cotton piece goods, fancy synthetic yarns offer possibilities for larger share of Australian market By RUDOLPH GOLDSMITH President, French Fabrics Exports, Inc., New York City Australian textile production is mov- ing out of its earlier development into full and modern industrialization. It has become, together with garment and ap- parel manufacturing, the second largest employer of labor in the country. There are still vestiges of an under- developed industry in Australia's high protective tariffs, particularly for syn- thetic piece goods; but there is also a definite trend to modernize and to dis- card some obsolete weaving and spinning facilities. It is particularly in this field that we have a good chance to sell our products. The situation differs for the various natural and synthetic fibers and types of machinery; but in areas such as draft- ing, spinning and winding machinery, looms, finishing equipment, dyestuffs, fancy synthetic yarns, high styled cotton piece goods, furnishing fabrics, and some laces, lie fruitful possibilities for the U.S. exporter. Woclens Australia is an important wool-produc- ing country and the largest wool exporter in the world. Australia has been export- ing close to 85% of its crop in the form of greasy wool, but exports of wool tops are steadily increasing. There is now a concerted drive to export more of their wool in the form of worsted and woolens. Although the high prices of raw wool indicate demand all over the world, the local weaving industry is struggling. A number of woolen mills have fairly old equipment, usually British. It is gradu- ally being replaced with modern machin- ery such as shuttleless looms from Switzerland, warping equipment from Germany and Switzerland, and modern spinning and winding machinery from Europe and the United States. American drafting, spinning, and winding equip- ment is well regarded, and it is here that alert U.S. manufacturers could increase their sales. There is little chance for the United States to export woolen and worsted fabrics to Australia, but there is a definite interest on the part of Australian mills to exchange patterns and novelty weaves and blend ideas on a royalty basis. Cottons The cotton situation is quite different, as little cotton is grown in Australia at present. The cotton weaving and finishing industry is therefore in its early stages of development. Cotton consumption is about 90,000 bales a year, roughly one-fifth of which is grown in Australia, mostly in the northern part of New South Wales. There is also experimental cotton farming in North- western Australia, but marketing is handi- capped by the difficulty of communica- tions with the Eastern centers of industry, 2,000 miles away. Minimum prices are guaranteed by the Government, some- where above world market prices. Acre- age is not limited. Australia has been importing large quantities of cotton piece goods, 70% of which have come from Japan, Great Britain, and the EEC countries. Japan, as the biggest purchaser of Australian wool, is in a particularly strong position to press exports. Japan has become the chief supplier of cotton piece goods, because of quality standards, low prices, good deliv- eries, and shorter lines of communica- tions. There are approximately 5 ships every month from Kobe to Sydney, and the average sailing time is 11 days, so that the Australian customer can get de- liveries in 2 to 3 weeks. Deliveries from Great Britain usually take 5 to 6 weeks. One of our problems is that shipments to Australia may take from 8 to 12 weeks as U.S. steamers usually do not choose direct routes. Although Japanese prices are often considerably lower than ours, this price gap is slowly narrowing as a result of the continuing increase in Japanese wages. Moreover, U.S. firms can offer diversity and ideas. The United States increased cotton ex- ports to Australia between 1961 and 1963 from $6.3 to $7.3 million; however Aus- tralia's overall cotton textile imports amounted to $80 million. It would seem, therefore, that more effort and better service on the part of U.S. exporters can gain a greater share of this market. Duties are about IVi pence (2% cents) per square yard for cotton goods weighing up to 4V4 ounces; for weights over AVi ounces, the duty goes up steeply to about 48 cents. An application now be- fore the Tariff Board is designed to se- cure for Australian weavers not less than 25% of the market by imposing protec- tive duties on fabrics for bed sheets, pil- low cases, coated fabrics and others. For the weight range of AV2 to 7 ounces in fabrics for women's apparel and men's shirts and underwear, the duty would re- main unchanged; all other fabrics would be subject to sharp duty increases. Manmade fabrics Manmade fabrics production is sub- stantial and growing in Australia. Fibre- makers Ltd., a joint venture of I.C.I., Courtaulds, and Australian Investments, are producing their Bri-nylon 66, and are in the process of completing a Terylene (polyester) plant. Another plant to make monofilament nylon yarn, primarily for industrial use, is being constructed by Allied Chemical (Australia) Pty. Ltd., in Penrith, New South Wales. Courtaulds (Aust.) Ltd. has an acetate and viscose plant to produce high tenacity yarns. There is, however, no production of fine spun yarns such as polyester/cottons, polyester/viscose, tri-lobal acetates, or slub yarns and fancy yarns. Import duties on these products are nominal although the U.K. enjoys a IVi per cent advantage as compared with the United States. It is in this field that there are good sales pos- sibilities for U.S. spinners. About 2,000 looms in Australia weave synthetic fabrics. Most of these are basic staple and lining fabrics. The industry cannot afford to weave intricate novelties which require production runs too large to be supported by the Australian market. Looms are mostly older British models, which are now being rapidly replaced with modern Swiss and U.S. looms. Al- though the Swiss looms are a few hun- dred dollars cheaper than the correspond- ing U.S. makes, there is a good chance to increase the sale of U.S. machinery through more imaginative salesmanship 12 in those areas where U.S. machinery does a better job. U.S. firms would do well to have their principals visit Australia as frequently as the European firms do. U.S. technicians should recommend ma- chinery to fit the local situation. Mills are running from 2 to 3 shifts and deliveries are slow, from 6 to 9 months. DyestufTs, equipment Dyeing equipment in the woolen mills is for the greater part out-of-date, al- though there are some modern Austral- ian-made installations, and some modern pressure-dyeing equipment. The cotton industry is not large enough to introduce range dyeing, but the opportunity to sell some of our latest U.S. equipment should not be far off. Dyehouses are using substantial amounts of dyestuffs which are not pro- duced in Australia, but are 100% im- ported. It is surprising that this important market has been almost completely domi- nated by Swiss manufacturers, who often carry stock to make fast deliveries. U.S. manufacturers should explore these ex- cellent opportunities, particularly as the European dye manufacturers increased their prices across the board by 15% the middle of January. The printing industry is rather small. There are a few machine-screen plants in Tasmania and near Sydney; however, the market is not large enough to sustain the greater runs required in roller printing. This restricts the Australian consumers to a limited selection of printed synthetics, as a high protective tariff almost prevents import of high-fashion synthetic textiles. The duty is the result of pressure by a handful of synthetic mills which claim that their existence is being threatened by the influx of imports. Between 1960-61 and 1962-63 Australian production in- creased from 31 to 42 million square yards, whereas imports increased only from 23 to 27 million square yards. The Special Advisory Authority, however, was persuaded to declare a "temporary"' or "emergency" duty pending final and thorough inquiry by the Tariff Board. This duty is based on a complicated sliding rate. On a piece of goods selling at 50 cents f.o.b. in the States, there would be a duty of roughly 35 to 40 cents. The merits of the case of the synthetic weavers are being argued in a number of hearings, the first of which took place in Melbourne on March 18 and 19. The final hearing was scheduled to be held in Can- berra the middle of April. Driven away At the first hearing, a group of im- KNITTING MACHINE: A circular knitting machine in operation at Dapco Pry. Ltd.'s knitting mill in East Brunswick, Victoria. The machine makes double knit, pique, fancy jacquard and relief patterns. porters showed that the lack of choice and the inordinately high cost to the con- sumers had driven the public away from synthetic woven fabrics into other fibers. In furnishing fabrics, for instance, people had gone into plastic coverings; in sleep wear they shifted from woven into knit- ted garments. It was further pointed out that 16 years of protection should have been enough for an industry to stand on its own feet. There is no doubt that this duty in- creases the costs of woven synthetic fab- rics to the Australian public, and de- prives the fashion-conscious women of a wider choice of sophisticated fabrics. Synthetic gray goods carry a low duty if they are used for printing in Australia. A Japanese producer just bought an in- terest in one of the few Australian print- ing plants. The knitting industry is highly devel- oped, and a number of circular and warp- and flat-bed-knitting mills produce fabrics and garments at popular prices. Some of the largest producers already have license arrangements with U.S. brands. There is a definite interest on the part of some medium-sized manufacturers of knitwear to enter similar license arrangements with U.S. firms. Again, at the dyehouses of various 13 knitters, no U.S. dyestuffs were being used. The machinery generally is modern German, which in some instances is 30 to 40% cheaper than comparable U.S. makes. U.S. machine performance was admired, but the machinery was consid- ered too large and too heavy for Aus- tralian production. Instructions help! One manufacturer who had bought some of the latest and most modern U.S. circular knitting machines complained that they were shipped completely with- out instructions, and that it had taken many weeks to assemble them. Some Swiss and German manufacturers not only had sent detailed instructions, but also their own mechanic to assemble the products. Similar complaints were heard frequently. It was also pointed out that lack of readily available spare parts made it difficult to work with U.S. machinery. Raschel and lever laces — for which the Europeans have introduced some more sophisticated ideas than their U.S. coun- terparts — are in demand. There is much room, however, for U.S. producers to in- crease their sales. Chain stores The Australian retail market is domi- nated by two department store chains — the Myer Emporium-Farmers Group, and the David Jones chain — which have stores in almost every major Australian city Both groups are influential in setting the tone for fashions, which forces almost every garment manufacturer to work with either or both of them on their terms. Both groups have large and well assorted yardgoods departments. This business still constitutes about 40% of consumption of woven piece goods, although this percent- age is decreasing with growth of the gar- ment manufacturing industry. There is no mail order business except for small catalogs issued by some of the department stores. This seems surprising in view of the immense distances. A frequent complaint was that U.S. suppliers do not keep delivery promises, and do not follow order specifications. Packaging of piece goods and yarns, the mission was told, was sometimes inferior — cartons too large and too weak to with- stand the long trip. U.S. terms of f.o.b. mill present a prob- lem as the customer never knows what the cost would be on a c.i.f. basis. U.S. manufacturers should quote prices de- livered in Australia or on an f.a.s. basR. In spite of these complaints and prob- lems, there is a tremendous amount of good will and friendship for the United States among Australian business men. On the threshold J. R WIGGINS By J. R. WIGGINS Editor of The Washington Post The nation of 1 1 million people which occupies the Australian continent is en- tering a new era — an era in which it seems certain to en- joy unprecedented economic growth and to exert rising political power in the Pacific. The pulse of the great continent-na- tion is plainly quick- ening and events are clearly shaping for it a role that could not have been fore- seen 25 years ago. There are evidences of a new economic thrust in the great urban centers in which more than half of the Australians live. And there are signs everywhere that the country is becoming conscious of its potential politi- cal status in the Southwest Pacific. A yeasty infusion A vital factor in the rate of economic growth is the infusion of new Australians. Since 1945, Australia has absorbed 1.8 million migrants — about half from Britain and half from 30 other countries. The federal government has a target of 125,000 a year. These newcomers are making a yeasty contribution to Australia — doing a lot of its heavy work, undertaking its skilled crafts and performing many menial serv- ices with the light hearts and cheerful countenances of people who are confident of better things when they get their stake. They are giving Australia the social coloration of the United States at the height of its immigration from Europe — vastly altering attitudes toward work and jobs, profoundly revising a historic con- servatism, richly diversifying the life of its urban centers. And it is one of the ironies of history that the first architects of this stepped-up immigration were the leaders of the Labor Party, historically in favor of restricting immigration. The reorientation of Australia to the Pacific is the other profound change. A country once destinguished by the visi- bility of its bonds to England, by a pride in its English connection and by trade, credit and military dependence upon England is moving into an era in which it is facing its Pacific neighbors in a new way. It is trading as much with Japan as with England; borrowing as much in the United States as in England. Almost over- night, its ties with its Pacific neighbors have multiplied while those with Britain — sentiment and affection apart — have slackened a bit. And it is another of the ironies of history that the architects of this new acceptance of the facts of geography are the leaders of the Liberal Party and the Country Party who have always stressed the historic ties to the mother country. A lever of power The sheer facts of life in the Pacific have transcended sentimental and roman- tic inclinations and have turned the emerging continent toward a destiny made inevitable by a strategic location fitting it to become a great lever of power in the Southwest Pacific. It may not be less loyal to Britain — no Australian would admit that it was — but it has be- come more identified with the culture and economy that are rising around the Pacific rim. It is not saying less of its old destiny in the British Empire to say that Aus- tralia stands on the threshold of a new destiny in the Pacific. The pull of this Pacific future can be felt throughout the country. It already has revitalized a once slug- gish economy until it may set growth rate records in the free world. It has given government and politics a new excite- ment. It has given life in Australia a piquancy, a touch of high expectation, a fever of excitement appropriate to a land standing confidently on the threshold of a new destiny. Acknowledgment J. R. Wiggins, distinguished editor of the Washington Post, Washing- ton, D. C, was not a member of the U.S. Trade Mission to Australia. The accompanying article appeared in the April 12th issue of the Post in a special section devoted to "Aus- tralia: Rising Pacific Power." Mr. Wiggins has described so well the present situation in Australia, that permission was requested (and granted) to include the article in this report. 14 BIG CHURN-OVER: Workers are shown tackling the mammoth job of taking butter from the churns of this plant of Colac Dairy Co., Colac, Victoria. Better packaging techniques called significant need of Australia's dairy industry Consultant's return visit after 12 years shows economy has made great strides, but some fields seem neglected By ELMER KLAPMEIER Consultant, Blaw-Knox Co. 8uffa/o, N.Y. Since my first visit in 1952, I find Australia has made great strides in modernizing and mechanizing its agricul- tural and dairy processing industry. It has reduced costs by introducing labor-sav- ing equipment. It has, through modern processing devices, increased product versatility. The fact remains that there are some very substantial opportunities for the sale of American processing equipment. Packaging, distribution and marketing of agricultural products have not kept pace with the rest of the Australian economy. One promising field is the marketing of fluid milk products. The transforma- tion from small glass bottles to paper cartons of greater capacity has not taken place. Virtually all home-consumed milk is delivered in glass bottles of 1 imperial pint capacity (1.2 U.S. pints). It is esti- mated that the cities of Sydney and Mel- bourne alone represent a market of around 75 million pint-units monthly. In these and other major Australian cities, supermarkets are multiplying. In most cases, these retail outlets do not merchandise fluid milk because they don't want to handle bottle returns. While the Australian housewife is accustomed to the daily call of the milk delivery man with his multitude of bottles, it is felt that persistent selling effort would induce her to change her buying habits to con- form with more efficient milk distribu- tion systems. In developing this poten- tial, U.S. equipment makers have a powerful argument on their side: By mod- ern carton-packaging, the sale of fluid milk in Australia could be greatly in- creased, to help absorb profitably some of the milk overproduction. Homogenized milk Another avenue for equipment sales is the introduction of homogenized fresh milk for home and commercial use. Homogenized milk is not offered through normal markets in Australia. One milk- treatment plant in the Sydney area pre- pares 780,000 units per day consisting of 580,000 pints, 30,000 half-pints and 170,- 000 one-third pints. Only 9,000 pints of this large volume are homogenized, prin- cipally for distribution to schools. Fresh milk, to be dispensed in public eating places and in milk bars, is de- livered in cans. A smaller container is filled from the supply can and stored in some convenient cooler. The individual glass served to the customer is filled with a dipper. Penetration into this market 15 Market profile— Australia Geography: Area of 2,971,081 square miles, roughly size of United States excluding Alaska. Valuable deposits of coal, lead, zinc, copper, gold, silver, tin, tungsten, uranium, antimony, wolfram, bauxite, zircon, man- ganese, cobalt, and cadmium. Population: 10.8 million (plus 40,000 aboriginals) at end of 1962. More than one-half of the people reside in State capitals of Sydney, Melbourne, Brisbane, Adelaide, Perth, Hobart, and Canberra. Gross national product: $17.6 billion in 1963. Agriculture: World's foremost wool producing country, it is also a leading producer of meats and dairy products and a principal wheat export- ing country. Other grains, vegetables, and fruits also are grown. Industry: Manufacturing employs about one-third of work force and produces about one-third of national income. Industries include iron and steel, motor vehicles, diesel-electric locomotives, earthmoving equipment, roller bearings, textiles and synthetic fibers, electronic equipment, plastics, cement, petroleum products and petrochemicals, household electrical appliances and other consumer goods, and food processing. Transportation: More than 33,000 miles of railway tracks, which carry a yearly average of nearly 500 million passengers. Australia is de- pendent on shipping, the bulk carried in British ships. Australia has one of the biggest domestic aviation networks in the world. Air Service between Australia and overseas is provided by the Government-owned Qantas Empire Airways Ltd. and ten other international carriers. Communication: Radio and television facilities consist of national services, programs for which are provided by the Australian Broadcasting Commission, and commercial services. As of June 30, 1963, there were 2,239,000 broadcast listeners' licenses and 1,655,000 television viewers' licenses in effect. Exports: For the year ended June 30, 1963, exports totaled $2,410 million — with $450 million to the United Kingdom, $388 million to Japan, and $298 million to the United States. Principal exports are wool, meats, dairy products, wheat, barley, sugar, fruit, hides and skins, coal, ores and concentrates, iron and steel, lead, zinc and copper. Imports: For the year ended June 30, 1963, imports totaled $2,422 million — $737 million from the United Kingdom, $515 million from the United States, and $145 million from Japan. Principal imports are petroleum, paper, stationery and books, timber, drugs and chemicals, motor ve- hicles parts and accessories, motive power machinery, metalworking equipment, electrical machinery and appliances, rubber and manu- factures, piece goods and yarn, tea, and tobacco. with refrigerated bulk dispensers should offer immediate sales possibilities. The conversion from can milk pick-up at the dairy farm to bulk tanks has made some progress. An estimated 10% of the dairy farms in Victoria have installed bulk tanks, but in New South Wales only about 2% have converted. Dairy plants in some areas where cans are still in use maintain twice-a-day pick-up. With rela- tively high and increasing costs of truck- ing, the market for refrigerated and water-cooled farm bulk tanks should be considerable. U.S. know-how and experi- ence in this field can be exploited through equipment export and by license arrange- ments. On one farm I discovered that a tank imported from the U.S. cost slightly less than a unit of local manufacture. Treatment plants The milk treatment plants, where milk is processed and bottled, are generally well equipped. They are under the con- trol of the individual state milk market- ing boards. The actual milk supply is purchased by these boards and allocated to the various plants for treatment and bottling. The distribution is accomplished through several depots which deliver the bottled milk to final users. Under this system, aproval of equipment by the board must be considered. All prices from farm to consumer are fixed. U.S.-designed equipment seems to be scarce and greater sales effort is mandatory if we are to hold even our present position. Apparatus in this category which seems to have the best sales possibilities includes equipment for bottle-washing and filling, refrigeration compressors, case-filling and stacking and carton-filling. Australia is producing about 27 million pounds of milk powder and 35 million pounds of casein annually. During the past several years, production of casein has increased considerably under favor- able export market conditions. The United States purchases 15 million pounds an- nually, Japan 1 1 million, and the balance is exported to European countries. Casein can be produced with relatively small expenditures for capital equipment as compared to dry milk. For this reason, overproduction of casein can easily occur, resulting in unfavorable prices. Most of the dry-milk processing equipment seems to be reasonably modern, but efficiency and versatility are lacking. To keep oper- ating costs down and meet world market prices and quality, the newest evapora- tors and spray-dryers produced in the United States are needed and would seem to have a substantial market. Little-known equipment There seem to be special opportunities for the sale of equipment related to the production and packaging of dairy items that are not broadly known in Australia — whipped cream in aerosol dispenser con- tainers, dried cream for hot drinks, con- centrated whole milk for coffee, better "instant" products. There is a vast amount of cheese whey that can be converted into specialty foods. In many instances, equipment for these purposes could be effectively sold in combination with know- how and trademark licenses. In our interviews with Australian busi- nessmen, the need for better packaging and merchandising of local cultural prod- ucts was frequently asserted. Require- ments of domestic and export markets invite new packaging techniques and modern machinery. Manufacturers, im- porters, merchants all showed keen inter- est in U.S. proposals in these fields. American equipment makers are likely to face solid competition from Japanese and European sources. However, respect for our long experience and know-how can give the U.S. a competitive edge. SPORTS-MINDED Australians are a sports-loving people. The favorable climate permits participa- tion in sports throughout the year. Ten- nis, golf, football, cricket and swimming are among the more popular athletic activities. 16 'Now' is the time to join the more than 1,400 U.S. firms already established in Australia Gaps in existing industry open way to U.S. participation; Government invites all investment conducive to growth By EUGENE M. LANG President, Resources and Facilities Corp., New York City More than 1,400 U.S. companies are now established in the Australian market through subsidiaries, license arrangements or joint-venture associations. Neverthe- less, some 250 proposals for new produc- tion projects arising from Trade Mission interviews during its 3-week stay in Aus- tralia indicate that the appetite of local industry for U.S. manufacturing know- how and related equipment is strong and vigorous. The scope of opportunity in Australia varies greatly among industries and spe- cific product lines. Based on informal Government statements to the Mission, there are diverse "gaps in industry" that offer particularly favorable possibilities for foreign companies to join Australians in establishing industries or extending ex- isting activities. These areas include: veterinary and agricultural chemicals; food machinery; industrial fans and blowers; process plant equipment (including grinding, mixing and blending machinery, crushing and screening plant, filters and separators, centrifuges and dryers, dust collectors); central heating equipment; special pump- ing units for corrosive, high-temperature and viscous materials; prepared and spe- cialty food products; industrial controls; laundry equipment; packaging machinery; leisure time products (such as boats, guns, fishing reels) ; and smooth floor coverings. Promising areas Interviewed Australian businessmen outlined attractive opportunities in proj- ects for the manufacture of air tools, construction equipment, variable speed drives, embossing foil and specialty laminates, aluminum and specialty build- ing products, heavy-engineering process plants, industrial control valves and sole- noids, plastic products, electrical switch- gear, shot blasting equipment, pressed metal products, pumps for petroleum and chemicals, business machines and small Government representation The Australian Government maintains an Embassy at 1700 Mas- sachusetts Avenue NW., Washing- ton, D.C., and Consulates General at 636 Fifth Ave., New York, N.Y., and 350 Post St., San Francisco, Calif. The Australian Trade Commis- sioner Service has the following representation in the United States: Commercial Counselor at 3148 Cleveland Ave., NW., Washington, D.C.; Senior Trade Commissioner at 630 Fifth Ave., New York, N.Y., and Trade Commissioners at 350 Post St., San Francisco, Calif.; and Suite 1510, 3600 Wilshire Blvd., Los Angeles, Calif. The United States is represented in Australia by an Embassy at Can- berra, Consulates General at Syd- ney and Melbourne, and Consulates at Perth, Brisbane, and Adelaide. computers (especially now that Australia is converting to a decimal currency), tape recorders, finishing materials and specialty paints, packaging equipment, vending machines, materials handling devices and scores of other items. In presenting these indicated opportuni- ties to the U.S. business community, the Mission emphasizes the "now" factor. The Australian Government is actively encouraging industry to expand. In a free enterprise climate, it welcomes, without discrimination, all foreign know-how and investment that can contribute to eco- nomic growth. Australian businessmen generally de- sire, and in many cases are actively solicit- ing, U.S. associates who can supply know- how and equipment. However, they will not wait and possibly forfeit the perma- nent advantages that may be gained from Australia's present industrial surge. Australia is eager to absorb its under- developed areas more effectively into its national economy. This requires a large population increase which must be. sup- ported mainly by job-opportunities of an expanded industry. Over the 10 year pe- riod ending in fiscal 1962, there was an approximate 23% increase in Australia's population and 70% rise in its manufac- turing output. A second factor in the dynamics of Australia's growth is a drive to increase industrial efficiency so local products can meet the competition of world markets. The Australian economy used to be sub- stantially integrated with Commonwealth interest in terms of investment, equip- ment supply, products manufactured and markets served. Industry, for the most part tooled to serve limited domestic needs, was rela- tively inefficient and expensive. It was also shielded by high tariff walls. Nevertheless, combined with rich min- eral and commodity resources, and with strict foreign exchange and import con- trols, it permitted Australia to develop one of the world's highest living stand- ards. Known all along However, Australia has known for years that the Commonwealth system could not be relied on indefinitely to pro- mote industrial growth and maintain eco- nomic equilibrium. Since the end of World War II, the Government has en- couraged new industry to start and ex- isting industry to expand. It has selec- tively stimulated a population influx that brought production skills, management talent and entrepreneurial ambitions. Manufacturers were urged to modern- ized and increase "local content" of out- put by measures designed to attract for- eign technical know-how and capital. Ex- change controls were relaxed so that Australian and foreign businessmen could freely set up license and joint venture projects involving investment and inter- est of royalty remittances. Beginning with 1962, Australian manu- facturers were permitted to charge a 20% "bonus" deduction of the cost of new production equipment against taxable income in addition to usual depreciation. Virtually all import restrictions and import licensing procedures were also abandoned. At the same time, many new tariff barriers were instituted to cushion local industries against competition of foreign suppliers. The Australian Government also en- couraged industry to develop its export potential by introducing 2 incentives. First, manufacturers were permitted to deduct 200% of all expenses incurred to promote overseas sales from taxable in- 17 1 ASSEMBLING RADIO CONTROLS: Workers at the Hendon Works, South Australia, of Philips Elec- trical Industries Pty. Ltd., work on the assembly line. come. Such expenses cover a broad range of items, including overseas travel, ad- vertising, consultation fees, samples, quo- tations and the like. Second, for each 1% increase of ex- port sales above a certain base period (one half of exports from July 1, 1958 to June 30, 1960) Australian companies became entitled each year to a \2Vi% rebate of the 2Vi % payroll taxes for the year. The rebate is also applicable to sup- pliers of components for exported prod- ucts. Export conscious Responding to Government stimuli, Australian manufacturers have become highly export-conscious and have broad- ened overseas markets, especially in the Far East and Southwest Pacific areas. In fiscal 1963, about 35% of Australian exports went to Asian countries which ab- sorbed only 1 1 % before World War II. Commonwealth countries took only 39% of exports against over 50% in fiscal 1959. Manufactured products, as a compo- nent of Australia's exports in fiscal 1963, rose 7.5% over the comparable ratio for fiscal 1959, despite sharply increased ex- ports of wool and foodstuffs. These conditions have proved attractive to U.S. as well as Australian businessmen. Many feel that license and joint-venture relationships with Australian companies can enable them to tap oriental markets more effectively. Indications are that the substantial flow of U.S. investment has continued. U.S. direct investments in Aus- tralia are already well over $1 billion. The Mission believes that the greatest opportunities offered by Australia's bur- geoning industry for license and joint- venture collaboration still lie ahead. De- spite accelerated retooling in recent years, much Australian production remains hob- bled by admittedly old and obsolete equip- ment and by inefficient manufacturing techniques. The psychology of the Aus- tralian business community is outstand- ingly "go." It has the capital, initiative and Government support to translate this mood into action. Both Federal and State Governments of Australia publish and freely distribute excellent and detailed facts related to existing industry and development needs. Trade Commissioner offices, located in New York, Washington, Chicago and San Francisco, actively seek U.S. associates for constituents back home. These offices are prepared to give corresponding at- tention to specific proposals from U.S firms. The mechanics of negotiating an in- vestment, license or joint venture impose no unusual problems. U.S. companies will readily find good rapport and solid re- sponse from their Australian counter- parts in any worthwhile undertaking. Despite generally pro-American atti- tudes, the Australian market for capital and license ventures is open equally to all foreigners. Australian businessmen are quite alert to the comparative values of technology and equipment, and they may be expected to respond to competitive in- fluences. Thus, in recent years numerous license and joint-venture activities were estab- lished with foreign associates in Ger- many, Sweden, Switzerland, Italy, Hol- land and Japan. The latter, having be- come Australia's largest export customer, is likely to play an increasing role in the growth of Australian industry. Australian control or, at most 50-50 ownership, is much preferred. However, foreign ownership or control, on a sub- sidiary or any other basis, may freely be accomplished. Neither the Government nor the Exchange Control authorities of the Reserve Bank interpose obstacles. Nevertheless, the sentiment for local own- ership participation and control deserves respect. Unlimited Australians also do not want to be unduly limited in the franchises granted to them under licenses, or which are to be served by joint-ventures. Traditionally, the Commonwealth system has restricted the flow of Australian-made goods to the local market and, occasionally New Zea- land. However, export incentives and the need for broader markets to maintain an efficient industry no longer permit many Australian enterprises to accept narrow trading areas. Local preferences are divided between licensing and the joint-venture approach to the use of foreign technology. The larger Australian company, which is us- ually publicly owned, seems well disposed to accept licenses. The smaller company may prefer a joint-venture, partly to con- serve or augment capital but, more often because there is comfort in having the foreign associate "in the same boat," as a minority or equal partner. Most new manufacturing projects in Australia must reckon with tariff regula- tions. If the project is designed to intro- duce a product not made in Australia and which is being imported with little or no duty, the possibility of obtaining specific tariff protection is open. It is Australia's policy to afford "reasonable and ade- quate" protection against import compe- tition to "economic and efficient" indus- tries. The procedure for seeking such pro- tection starts with an application to the Department of Trade and Industry in Canberra. If the Department feels that a prima-facie case supports the request, the question is referred to the Tariff Board. The latter publicizes the request and con- ducts a public inquiry, at which all inter- ested parties may testify. Tariff Board recommendations as to if and, how much protection should be given rest largely on whether it deems the new activity to be "economic and efficient." It also must take into account Australia's obligations under GATT and its trade agreement with England. In determining "economy," the Tariff Board considers broad questions such as market size, possibility of expansion, use of local resources, effect on consumer costs and whether the new venture will assist other industries to develop. To esti- mate "efficiency," comparison is made between local and imported costs and prices, and between the activity concerned and other similar activities. Waiting period The decision making process takes about 12 months. The applicant must convince the Tariff Board that the re- quest justifies favorable action. The amount of tariff protection that the Tariff Board, if favorably disposed, is likely to recommend may be estimated from duties applied to comparable types of products already produced in Australia. These fall mostly between 30% and 60%. An application for tariff protection us- ually is considered only after a new ven- ture is in operation. Regulations permit advance consideration if the Government regards it as in the national interest. 18 However, no recent instance of such ad- vance action is known. To guard a local enterprise while its application for tariff protection is being considered, procedures for temporary tar- iff protection have been established. Upon application, the Department of Trade and Industry promptly seeks and evaluates information submitted by interested par- ties (local industry, importers, or repre- sentatives of supplying countries). Should the request be endorsed, it is passed along to a Special Advisory Authority which must make its recommendations within 30 days. If favorable, temporary protec- tion goes into effect while the Tariff Board is considering the permanent rate. Unless an earlier termination has been specified, the temporary rate ceases to operate not later than 3 months after the Tariff Board's final report. Relatively few requests for temporary tariff protection are now being filed and most applica- tions are rejected. Although tariff protection is a strong incentive for overseas firms to invest in Australia, it is risky to create a new enter- prise on the assumption that tariff pro- tection will be granted. The risk tends to diminish if it can be conclusively estab- lished that the enterprise is filling an admitted "gap in industry" with an "effi- cient and economic" operation; that it will use only local resources or compo- nents, and will replace imported products while providing demonstrable export po- tential. Few measure up The Mission saw no license and joint- venture opportunities that fully met all of these qualifications. By the same token, the facts sunt unding most protective tariff decisions also fall short of these combined conditions. Perhaps more important than protec- tive tariff procedures to new manufac- turing ventures is the "By-law" system of Australian tariff regulations. This system provides for the admission, free of duty or at concessional rates, of goods nor- mally subject to protective levies, pro- vided "suitably equivalent goods" are not produced or cannot be made "reasonably available" in Australia through local pro- duction. This system can substantially determine the attraction of a new manufacturing activity. Without a "By-law" concession the cost of capital equipment may be in- creased by the 55% tariff usually applied. Product costs can be similarly affected if essential components must be imported. The Australian tariff structure, and its "By-law" provisions should be studied in relation to any contemplated venture. For this purpose, it may be well to consult with ^ \;*- , Wi VOLKSWAGEN PLANT: An assembly line in Melbourne, Victoria. Australia is a supply point for Volks- wagen (Australia) Pty. Ltd. for the entire Far East and South East area, as it is for many other firms. a qualified Australian customs agent who regularly deals with tariff and "By-law" problems of many clients. The Mission spoke with a number of these specialists and was impressed with their "feel" of administrative attitudes of Customs offi- cials and with the experienced aid they offer in dealing with specific tariff ques- tions. Tariff considerations do not seem in- fluenced by the desirability of alternative supply sources or by the extent of com- petition within an industry. In fact, Aus- tralia has no meaningful anti-trust legis- lation. Monopolistic or semi-monopolistic conditions prevail in many product lines without evoking serious public concern. A Restrictive Trade Practices Bill is currently being proposed by the Govern- ment. However, opinions expressed to the Mission indicated that, if enacted, the law would not significantly modify Aus- tralia's policy of protecting established enterprise. As one official put it, "We're glad to have you Yanks come under our protectionist 'umbrella' and stir up com- petition with your modern equipment and techniques/' The Australian Government offers no special inducements to attract new in- dustry, but each of the 6 states has a program to promote industrialization. The departments directing these programs collect facts concerning local economic and business conditions. They usually have competent technicians who can furnish expert survey and planning as- sistance, and one has an office in the U.S. They may also undertake to finance or build new factory facilities, offer freight and power concessions on state- owned services, or provide housing for personnel. They may pay training sub- sidies for labor and subsidize the cost of transporting capital equipment and making special installations. U.S. manufacturers interested in com- ing to Australia should consult with all the major state industrial development offices. Special incentives To encourage broader economic and population distribution, most state de- velopment authorities offer special incen- tives for the establishment of new industries outside the main urban centers. The special opportunities and advantages that so-called "country centre" factory locations can obtain have been worked out in useful detail. Some states have prepared particularly comprehensive brochures describing their regional development and decentraliza- tion programs. These are readily avail- able. The question of transportation can be quite important. The country's markets are separated by wide distances, and there are virtually no navigable rivers. Regular coastal shipping is non-existent, even though the major cities are seaports. The road network is reasonably good but in many areas reflects the limited needs of sparse population. Road-build- ing has been primarily a state concern, but the Federal Government encourages 19 highway construction through a financial support program. Trucking facilities are readily avail- able although loads are restricted by highway and other conditions. Air trans- port has grown rapidly and Australia's basic logistical difficulties are reflected by its world leadership in freight-ton miles flown per capita. Railroad development has suffered from differences of rail gauges utilized by the various state-owned systems. It is only about 2 years since the first uni- form-gauge rail link was established between the 2 prime markets of Mel- bourne and Sydney. Factory rail sidings are few and are not readily available to new industry. These transportation factors make distribution costs in Australia relatively high. Cargo often requires extra handling and reloading. Time in getting goods to some markets can be excessive. Thus, freight and transport aids that regional development officials may offer new in- dustry can be extremely valuable. Labor is generally skilled, but cur- rently in short supply. The standard work- week is 40 hours but overtime is frequent and often a factor in attracting workers. Turnover of factory personnel, especially in urban centers, is high and is estimated by some to average more than 50% an- nually. About two-thirds of Australia's 4 million-plus work force is unionized. Basic wage rates for different skills and job classifications are set by State or Federal industrial tribunals and are nor- mally reviewed each year. These rates are supplemented by over-award payments, special allowances and overtime. The in- come of the average Australian worker is slightly more than half the U.S. level. In addition, he receives relatively liberal social service and vacation benefits. Needs no approval A license or joint-venture agreement may be freely signed by the parties and requires no Government approval. How- ever, it must be submitted to the Ex- change Control Section of the Reserve Bank of Australia for ratification of terms involving foreign capital investment, and interest and royalty remittances. Since 1 960, the policy has been to grant prompt approval. Remittances of royalties and interest or dividends, or the repatriation of capi- tal, are taken as a matter of course, but before each remittance it is necessary to submit an application to the Reserve Bank. Approval is normally immediate and routine. It has, reportedly, never been refused. The application procedure is main- tained merely to have the mechanics of exchange control if Australia's financial position should ever become critical. However, in past "critical" circumstances the flow of remittances under then exist- ing agreements was never interrupted; only the foreign exchange aspects of new investment and license undertakings became subject to careful scrutiny. Australian corporate or "limited" forms are either "proprietary" or "pub- lic" companies. The former restricts the right to transfer its shares, limits the number of shareholders and prohibits any invitation to the public to subscribe for shares or debentures, or to deposit funds. A "public" company is any "limited" company which is not proprie- tary. It can solicit capital funds from the public. Companies may be incorporated in any State or Federal territory of Aus- tralia. All states and Territories follow a substantially uniform company law. Com- panies must register in each state in which they do business but there is no compell- ing reason for incorporating in one jurisdiction or another. Companies in- corporated in the Capital Territory of Canberra avoid some of the stamp and corporate charges that States are entitled to levy. Developed markets Capital markets for public companies in Australia seem well developed. There are active stock exchanges in all major cities. The process of raising capital through public offering is effective. Un- derwriting is generally less complicated and is carried out at lower cost than in the U.S. Australian commercial banks through various forms, reportedly offer capital funds and credit facilities on a relatively long term basis. Income taxes in Australia are imposed only at the Federal level. Proprietary companies pay a 25% tax on the first $1 1.200 of taxable income and 35% on any taxable income in excess. There is a further 50% tax on retained profits which are deemed excessive. Resident public companies are taxed 35% of the first $1 1,200 of taxable income and 40% on excess profits. Public companies are not subject to undistributed profits assessment. The purchase of companies with loss carry- forwards is commonly done in Australia as a means of reducing income tax lia- bilities. Employers also pay a 2Vi % payroll tax on the gross amount of compensation paid out in excess of $23,296 per year. In recent years this tax has been recouper- able as an export incentive. Dividends paid by Australian com- panies to U.S. tax-paying residents, cor- porate or individual, are subject to a maximum of 15% withholding tax, pro- vided they maintain no permanent estab- lishment in Australia. Royalty remittances under license agreements are, generally speaking, subject to income tax withhold- ing at corporate tax rates. However, tax laws permit a division of royalties between technical services and royalties, which can permit tax sav- ings. Interest remittances are subject to 40% income tax withholding. There is no tax on capital gains. Tax convention A convention for the avoidance of double taxation is in operation between Australia and the U.S. and each grants a credit for income tax paid in the other country. The tax data given above is intended only to indicate the relative im- pact of Australian tax regulations on points of general interest. Tax regula- tions, and provisions of the tax conven- tion with the U.S., are comprehensive in detail and should be studied in the context of any contemplated enterprise. Patent and trademark regulations of Australia are well-defined and recognize the International Convention for the pro- tection of industrial property rights. They are patterned after British law and pro- cedures. Patent applications are subject to examination. If allowed, they have a 16 year life from filing date. U.S. manufacturers often fail to realize that Australia and New Zealand are separate and individual nations. Ac- cordingly, patent and trademark protec- tion must be sought independently in each country. The technical sophistica- tion of Australian industry is also note- worthy. Unless know-how involved in the production of a product is particu- larly complex, established patent values are quite important in negotiating manu- facturing licenses. Perhaps the most attractive areas of opportunity, which may involve the few- est complications, relate to license and joint-venture associations built around existing enterprises seeking to extend their activities or to make current opera- tions more efficient. There are many small and even large Australian manu- facturers who are eagerly seeking this sort of foreign association. At all levels of private business and Government, the Mission was made to feel that the "welcome mat" is out for U.S. enterprise, know-how and equip- ment. U.S. STYLES Although Australia is nearly self-suffi- cient in the manufacture of clothing, there remains a strong demand on the part of retailers for apparel from over- seas. U.S. clothing is greatly admired. 20 Background: Australia-agriculture vs. booming industry Industry in down-under land comes of age to vie with prospering agricultural area Diversified output brings country closer to seSf-sulfnciency in some sectors; mineral industry continues important role Australia — long regarded by the world as a producer of wool, food, and other primary materials — has also emerged as a manufacturing nation. The manufacturing industries now pro- vide the largest share of the national income, but for its prosperity Australia continues to rely on the products of pas- tures, farms, and mines. Not only have these products provided the raw materials for its processing industries but, as lead- ing export items, they have been the main source of funds from abroad. Australia's gross national product and national income are both advancing rap- idly. From $6.1 billion in 1950, GNP grew to $11.9 billion in 1956 and then soared to $17.6 billion in 1963. National income has had a corresponding growth. Australia's manufacturing industry is small by world standards but well estab- lished and diverse in output. By 1961, the manufacturing output had climbed to £5,217 million from 57,782 factories employing more than 1.1 million work- ers — whereas in 1939, output was worth £A500 million from 27,000 factories and 573,000 workers. Seventy percent of the factories, con- sisting mainly of small plants engaged in servicing and repairs, employ less than 11 persons but of the total manufactur- ing work force, about one-half are em- ployed in factories having more than 100 workers. Shift to heavy industry In recent years emphasis has shifted from subsistence industries making food, clothing, and other consumer goods to heavy industries making products needed by an increasingly mechanized and com- plex economy. Industries making heavy machinery, including electrical equip- ment, machinery, and transport equip- ment, now provide work for one-third of all factory employees compared with about one-fourth in prewar years. The chemical industry and the fuel, lubricant, and power groups also experi- enced greater rises since prewar than the average gain of 65 percent made by the manufacturing industries. Wide range The motor vehicle industry — a striking example of the industrial advance in Australia since World War II — now man- ufactures and assembles complete motor- cars. Currently more than half the de- mand is met by Australian production. Local factories also produce diesel-elec- tric locomotives, jet engines, cathode-ray tubes, rayon acetate yarn, and penicillin. Australian manufactured goods now satisfy most of the consumer demand; Australia is self-sufficient in building ma- terials, plastics, radios, most foods, bev- erages, textiles and clothing, certain do- mestic electrical appliances, and many common chemicals. Most of the Dominion's requirements for metal manufactures, farm machinery except tractors, communication equip- ment, furniture, and leather goods are met by domestic production. In addition, Australia now produces two-thirds of the locomotives and rolling stock required, one-fourth of the wheel tractors used, and a large proportion of its requirements of electric motors, heavy power-generat- ing equipment, drugs and chemicals, paper goods, and rubber manufactures. U.S. firms active Many Australian manufacturing con- cerns have close financial and technical connections with leading manufacturers overseas, particularly in the United States and the United Kingdom. More than 200 U.S. firms have investments in sub- sidiaries, and some 1,000 others have patent or other licensing arrangements or distribution facilities in Australia. These range from large enterprises to small firms turning out one or two spe- cialty products. On the whole, foreign PETROCHEMICALS EMERGING: Industrial complex at Altona, near Melbourne, booms as new center producing polyethylene, liquid butadiene and the country's first output of synthetic rubber. 21 22 investments in Australia have proved highly satisfactory. The manufacturing industry is under- going an unprecedented period of expan- sion. It nevertheless faces many prob- lems, such as a small market ( 1 1 million people), and relatively high production costs because of limited output, high costs of transportation and of certain essential imported materials, and low productivity arising from labor problems. Australia continues to import approxi- mately one-fourth of the manufactured goods it requires. Rich in minerals The mineral industry of Australia has always played an important part in the economy — from the leading producer of wealth in the gold rush period of the 1850's to a major export earner in the 1950's. The net value of minerals pro- duced in the year 1959 amounted to 1.7 percent of the gross national product. The significance of mining as a pro- ducer of exports has been out of propor- tion to its relatively minor importance to the economy as a whole. Total exports of ores, concentrates, and metals, includ- ing gold but excluding iron and steel (exported almost exclusively in manufac- tured or semimanufactured forms) ex- ceeded £A58.5 million, or 7.2 percent of total exports in 1959. Most of the known minerals and metals have been found in Australia, and more than 60 types of commercial metals and minerals have been produced in commercial quantity. A number of met- als and minerals are produced primarily for export, including gold, lead, rutile, silver, tungsten, and zinc. Australia is self-sufficient in coal, iron ore, and talc, but domestic production of mineral pigments, salt, and tin have to be supplemented by imports. Recently, Australia achieved important successes in uranium, and newly prospected extensive reserves of bauxite may provide the foundation for an important aluminum industry. Some important metals and minerals are not found in Australia or are pro- duced in such negligible quantities that practically all requirements must be im- ported. Among these, the principal ones are phosphate rock and sulfur. Australia is also short of certain strategic minerals, such as nickel, chrome, and mercury. Important metal and mineral deposits are found in all six Australian States and in the Northern Territory, and each State has substantial coal deposits. Lead, zinc, and silver are found principally in New South Wales, Queensland, and Tasmania; iron ore in South Australia and Western Australia; and copper in Queensland and Tasmania. Gold now comes mainly from Western Australia as Victoria's gold de- posits have been largely exhausted. Coal power Australia, with its relatively small hy- droelectric power production and, so far, only small producing petroleum deposits, has traditionally relied on coal to provide the fuel and power her economy requires. Coal mining is the country's leading mining activity, and in 1958 its gross production was valued at £A57.1 mil- lion, or 41.5 percent of the year's total mining output. Production of silver, lead, and zinc, which are generally found combined in the same ore deposits, rank as the second most important branch of the mining industry. Production of these metals in the year 1958 exceeded £A34.4 million, or about one-fourth of the country's total mining output. Gold ranked third in total output, most of which was retrieved from sources other than ore. Copper mining, with a 1958 output valued at £A14.8 million, was the fourth leading branch of the mining industry. Rutile concentrates, a new and developing export earner, was fifth with a value of production of £A4.5 million. Iron ore, although only in sixth place among the minerals with a value of £A4.4 million, is the basis of the coun- try's whole iron and steel industry. It is of greater economic importance than the nominal value of its output would indi- cate. Other metals and minerals each with annual production values exceeding £A1 million are tin, tungsten, pyrite ores, brick clay, limestone, and asbestos. Uranium and coal are produced by both private companies and Governmen- tal bodies. Practically all other Aus- tralian minerals and metals are owned, mined, and smelted by private enterprise. Emphasis on wool The wide open spaces of Australia are ideal for pastoral production. Even areas with low and erratic rainfall are used to advantage. Wool production is the coun- try's leading industry, and Australia's flocks, comprising approximately one- sixth of the world's sheep, produce more than one-quarter of the world's wool (30 percent in 1960) and about 55 percent the total fine quality merino wool. Besides being the world's foremost wool-growing country, Australia is also one of the leading producers of meats and dairy products. Queensland and the Northern Territory are the main beef- cattle breeding grounds and most of the meatworks are at or near ports. Dairying WOOL RESEARCH: Electron microscope is em- ployed in one of many projects at Australia's Commonwealth Scientific and Industrial Research Organisation to unlock fiber secrets. is concentrated in the better watered and more temperate areas. Most of Aus- tralia's dairy cattle are in the coastal areas of Queensland, New South Wales, and Victoria. Although the pastoral industry is of first importance, agriculture has also been widely developed. Besides wheat and other grains, all the popular vegetables and fruits, including tropical and citrus fruits, are being cultivated. Grapes are grown for the table, for winemaking, and for drying. Sugar farming supplies the local mar- ket and yields a large surplus for export. Rice, peanuts, tobacco, cotton, and hops are successfully grown, and continual efforts are made to discover new crops that can be cultivated economically. Three-fifths of the total area of Aus- tralia, or about 1,148 million acres is utilized to raise agricultural produce or livestock and livestock products. Over 95 percent of the land is used for grazing or is permitted to lie idle, and, on the remaining 5 percent, crops are grown. The country's high level of productiv- ity is largely the result of farm mechani- zation. The number of tractors on rural holdings has increased from 42,000 in 1939 to 285,000 in 1963. The extensive use of fertilizers, including the treatment of land by aircraft, also contributes to high productivity. HEALTHY PEOPLE Australia is rated as one of the healthi- est countries in the world. Medical standards are high and both Government and private hospitals are available in city and country districts. 23 MORE POWER, MORE WATER: The vast Snowy Mountains Scheme in the Southern Australian Alps is a 25-year project which will furnish over 2.5 million kw. of electricity, together with water supplies to irrigate 1,000 square miles of potentially fertile dry land. (World Bank photo.) Aussies purchase more U.S. goods Machinery, instruments, drugs and fertilizer are among leading American exports As Australia grows industrially and economically, so does its demand for U.S. products. The value of American goods purchased in 1963 showed a strik- ing 28% increase over the previous year. Foreign trade plays a major role in the Australian economy. The combined value of exports and imports in the year ended June 1963 totaled $4.8 billion out of a gross national product of $17.6 bil- lion. U.K. role diminished The traditional role of the United Kingdom as Australia's principal trading partner continued. Between 1959 and 1961 the bond was weakened, as was the link between Australia and the other Commonwealth countries. In 1959, the United Kingdom took 32 percent of Aus- tralia's exports and supplied 39 percent of its imports. By 1963, however, the United King- dom received only 19 percent of its ex- ports and supplied 30 percent of its im- ports. Trade with the Commonwealth countries as a whole has declined and is now less than 50 percent of the Aus- tralian total. The United States continues to be the second major source of Australia's im- ports and between 1959 and 1963, the U.S. share of total Australian imports increased from 14 percent to 21.3 per- cent due principally to the large-scale relaxation of import restrictions in 1959- 60. Japan and West Germany, each with about 6 percent of the import market in 1961, maintained their positions as third and fourth most important suppliers. Canada was the fifth source for imports while New Zealand was ninth. On the export side, Japan strength- ened its second-place position, taking 16 percent of Australia's exports in 1963 (compared with 13 percent in 1959). The U.S., as the third largest market, increased its share to 12 percent. Neigh- boring New Zealand was ranked fourth, followed by France, Italy, and West Germany. The major portion of Australian ex- ports consist of agricultural products and certain minerals and ores. Imports usu- ally include a wide range of manufac- tures and semi-manufactures and certain raw materials and foodstuffs not avail- able domestically. U.S. goods popular Leading U.S. items exported to Aus- tralia have been various types of indus- trial equipment. For fiscal 1962-63, Aus- tralian imports of U.S. machinery and metals were valued at $267.9 million, for 28.1% of Australian imports in this cate- gory. U.S. optical, surgical and scientific instruments captured ~:8.7% of the Aus- tralian market; while chemicals, ferti- lizers and drugs (valued at $46.2 million) took 29.7% of the import market. Another 38.9% of the market was taken by U.S. tobacco, vegetable substances and fibers for a $31.9 million total. Meat and wool imports combined nor- mally account for approximately three- fifths of U.S. imports of Australian goods. Nonferrous metals, of which lead is the imost important, are in third place. Leading exports to the United King- dom include wool, frozen meats, butter, sugar cane, and fruit. Major imports from the United Kingdom are manufac- tured items such as motor vehicles, both electrical and nonelectrical machinery, chemicals and drugs. The United Kingdom is particularly favored as a supply source because its goods enter Australia under preferential rates of duty and it traditionally has been a large market for foodstuffs from Aus- tralia. £ TO $ IN 1966 The present Australian monetary sys- tem is based on the British system; the unit is the pound (£) divided into 20 shillings (s.) each of 12 pence (d.). The current rate of exchange of the Aus- tralian pound is $2.24; the shilling, $0,112; and the penny, $0.0093. Australia will introduce a decimal cur- rency unit in 1966. The new major unit will be called the dollar. A smaller unit will be called the cent. RESIDENT AMERICANS U.S. nationals who plan permanent residence in Australia are free to keep their U.S. citizenship or make application for Australian citizenship following a 5- year residential qualification. Resident Americans are entitled to all rights applicable to Australian citizens, including land ownership and the estab- lishment of commercial enterprises. The Income Tax (International Agree- ment) Act of 1953 provided for relief from double taxation of income earned in Australia by U.S. citizens. 24 Varied marketing outlets can aid U.S. exporters Merchandising, advertising, service techniques follow patterns of U.S. business Sales of U.S. products are generally conducted through resident agents who usually have offices in either Sydney or Melbourne. There are numerous local firms that act as manufacturers' agents or exclusive distributors. A few retailers and wholesalers import directly. Aus- tralian wholesalers usually are located in the capital cities and sell directly or through branch offices to retailers in their locality and throughout the country. Retail establishments in heavily settled areas are similar to those in the United States. Department stores, some of which conduct a mail-order business for persons in small towns, are common in the larger cities, and there are many small shops that specialize in particular lines of mer- chandise, such as shoes, hats, men's wear, and women's wear. Supermarkets flourish American-style suburban supermarkets have also become popular in recent years as have the practices of telephone shop- ping and delivery service. A further manifestation of the U.S. influence was evidenced when the first American-type drive-in restaurant opened near Mel- bourne. Mail-order retailing accounts for an insignificant portion of the total retail trade but is becoming more important, especially on orders from New Guinea and the Pacific Islands. Discount houses in Australia have not yet met with public acceptance and, in addition, are under constant attack by established retailers and their trade or- ganizations. Major factors inhibiting the growth of discount houses are the size of the market and the regulated trading hours. With an Australian population of around 1 1 million, a discounter has difficulty in achieving sufficient volume to operate profitably on small margins. Also, trading hours are regulated so that weekend and night selling, on which dis- count houses usually depend, is illegal, further reducing the potential market. TV advertising up Advertising methods are similar to those employed in the United States. Most of the advertising is now done through the press and radio, with televi- sion assuming a much more important role. There are many general advertising agencies in Australia. The majority of these are in Sydney or Melbourne, but the larger firms have offices in other cities as well. In addition, numerous spe- cialists are engaged in press, radio, theatrical, and other forms of advertis- ing. The major advertising agencies render a high standard of service. Some provide facilities for making surveys, formulating and developing sales policies and provid- ing other specialized services. Reliable commercial credit agencies in the principal cities cover all the main centers in Australia as well as many smaller towns. Firms furnishing credit information may be found in the capital cities, and the services of collection agen- cies are also available. A well-known U.S. credit reporting organization has branches in Sydney and Melbourne. Government imposes sales tax on wide range of goods A sales tax is imposed by the Aus- tralian Government. The tax on imports subject to the sales tax is collected by customs at the port of entry and is based on the duty-paid value increased by one- fifth. Passenger cars are taxed at 22Vi%, commercial vehicles and motorcycles bear 12'/2% tax. The latter rate applies also to parts, accessories and tires for both passenger and commercial vehicles. A 25% rate applies to a number of classes of goods — jewelry, toilet prepara- tions and requisites, fountain pens and propelling pencils, photographic appara- tus and materials, phonographs and rec- ords, radio and television sets, and fur garments. A 2V£% rate applies to speci- fied household goods — furniture, equip- ment and appliances. The general rate of \2Vx% applies to all goods not exempt and not covered in the foregoing material. Many goods are exempt from the sales tax, including agricultural machinery, mining machinery and equipment, pri- mary products, tobacco, foodstuffs, drugs and medicines, books of a nonadvertising character, surgical equipment, and build- ing materials. MILD WINTERS The outstanding characteristics of Aus- tralia's climate are warm temperatures with mild winters, frequent fine weather with light to moderate winds, little cloud- iness, and abundant sunshine. COMPULSORY EDUCATION Education in Australia is compulsory from the ages of 6 through 14, and in some states to 16. It is provided free in schools controlled by each State Govern- ment or by the Commonwealth Govern- ment for the Northern and Capital Terri- tories. ELECTRIC CURRENT Voltage in Australia ranges from 200 to 250 volts and is mostly 50-cycle, 3- phase alternating current. TV sets of U.S. manufacture must be converted to 240-260 volts, 50 cycles, with a picture of 625 lines per inch in order to operate well. AT THE CONTROtS: Operator at tissue paper mill of Apcel, Ltd., in Millicent, South Australia, checks speed and volume of production. (Photo from Australian News & Information Bureau.) 25 <~*mmmmm SIGNALS FROM SPACE: Radio telescope near Parkes in New South Wales stands as high as an 18-story building and has a dish 210 feet in diameter. Instrument will be able to track satel- lites past a distance of 20 million miles. Sea, air traffic play major role in trade patterns Rail and bus transport also utilized on island continent As an island continent, Australia tra- ditionally has relied upon ocean shipping both for overseas as well as much of its domestic trade. More recently, air cargo shipments have played an increasingly important role. The postwar expansion of secondary industries in Australia served to increase the demand for shipping. Most overseas shipping is handled by the ports of the capital cities of the six States, with Sydney and Melbourne accounting for about half of the total. Sydney and Hobart can readily accommodate ships of 36-foot draft. Port Melbourne can handle such ships by extensive dredging, but at Fremantle, Adelaide, and Brisbane ships must anchor well outside the har- bors. The main ports have ample wharfage and modern cargo-handling equipment. Storage facilities for general cargo and frozen products are normally available. There are no free ports or zones. Pub- lic and bonded warehouses are operated by private enterprise and by State and Federal Governments. Australia leads the world in freight-ton miles flown per capita and is second only to the United States in passenger miles per capita. There is an excellent system of about 10 internal airlines, linking all capital cities and serving a large number of both the more important and the more isolated centers of the Commonwealth. In addition, Australian domestic airways provide passenger and freight service to all parts of the world by connection with leading international airline routes. The Government-owned Trans-Aus- tralian Airlines, operated by the Aus- tralian National Airlines Commission, provides domestic air service, in conjunc- tion with those of the nine private lines. The sole Australian airline active over- seas is Qantas Empire Airways, Ltd., owned and operated by the Common- wealth Government. Qantas, in associa- tion with British Overseas Airways Corp. (BOAC), operates several times weekly from Sydney to London via Darwin, Djakarta, Singapore, and other intermedi- ate points and from Sydney to San Fran- cisco. Foreign airlines operating from Aus- tralia include Pan American World Air- ways, BOAC, Canadian Pacific Airlines, Royal Dutch (KLM), Air France, and Tasman Empire Airlines (TEAL), for- merly owned jointly by the Australian and New Zealand Governments but now owned solely by the New Zealand Gov- ernment. Kingsford-Smith Airport at Sydney has two runways, one 7,898 feet long and another 5,500 feet in length. Darwin air- port, important as a point of entry and departure to the United Kingdom and Europe, has one runway 10,000 feet long. Airports at Melbourne, Brisbane, and Perth are designated international air- ports, and numerous airports throughout Australia provide services for domestic operators. A five-year airport development pro- gram to cost over $67 million was an- nounced in 1962. Part of the funds will be used to set up an international jet air- port in Victoria. Standardizing rail gauges Australian railways are almost entirely owned and operated by the governments of the different States and the Common- wealth. The railway system connects the capital cities of each of the mainland States, thoroughly covers the more thickly settled areas of the country, and extends into the sparsely settled areas lying some distance inland. Thinly populated northern Australia has scant rail services, and the northwest fourth of the continent has almost none. The railways are generally of 3 gauges, namely, 42 inches, 56V2 inches, and 63 inches. The State and Commonwealth Government authorities realize that the difference in gauges has been the major obstacle to efficient railway operation in Australia. Active steps are being taken to provide a uniform railway gauge, permitting through shipments of goods from State to State in the near future. The first standard gauge line between Melbourne and Sydney, Australia's two largest cities, was opened to general service in April 1962. More recently, plans have been developed to standardize the rail link be- tween Broken Hill in New South Wales and Port Pirie in South Australia. Road networks Motor transport is an important ad- junct to the railways. Many communities owe their existence to the automobile and motortruck, for the traffic offered did not warrant the provision of railways. Roads have been expanded and im- proved steadily, and networks of good roads now link the more settled parts of Australia. Australia had some 535,000 miles of roads, of which about 195,000 miles con- sisted of paved roads of various surfaces, as of June 30. 1960. The bulk of this paved mileage was concentrated in the populous coastal strips of southern Queensland, New South Wales, Victoria, and South Australia. A substantial amount of paved road mileage could also be found in Western Australia, Tas- mania, and northern Queensland. Australian roads vary greatly in qual- ity. They range from mere bush tracks to modern divided highways. Relatively few roads in .Australia, however, com- pare favorably with modern American highways. SUMMER IN DECEMBER The seasons in Australia are the re- verse of those of the Northern Hemi- sphere with summer in December, Janu- ary and February and winter in June, July and August. Summers are warm to hot, particularly in the far northwest, and temperatures remain warm in winter throughout the north. SMALL HEATING UNITS Central heating of the type Americans are accustomed to is not generally avail- able in Australia. Most urban residents use small gas, electric or kerosene heaters in cold weather. 26 Overseas traders, listed below, want to do business with American firms. Commodities they wish to buy or sell are "identified by description and by Standard Industrial Classification (SIC) Manual number. Other symbols used: * — Additional information on the trade opportunity may be obtained by writing Commodity Export Promotion Staff, BDSA-111, Department of Commerce, Washington, D.C., 20230. NCIA — No commercial information available on the overseas firm. WTD — World Trade Directory report available. WTD reports give a de- scription of the firm, its sales territory, size of business, sales volume, trade and financial reputation and other data. Copies can be bought for $1 each from the Commercial Intelligence Division, Bureau of Inter- national Commerce, U.S. Department of Commerce, Washington, D.C., 20230. Numbers following the WTD symbol show the date the report was issued. I.R. — Interview Report, identified by following number, is available on the trader. These reports are compiled by the Trade Mission. Copies can be obtained from Trade Mission Division, Bureau of International Commerce, U.S. Department of Commerce, Washington, D.C., 20230. Leads for Exporters 01 1 Field Crop Farms Importer seeks agencies for raw cotton for spinning, carding. Chemtex Pty. Ltd., 52 Clar- ence St., Sydney, N.S.W. I.R. 54. 200 Food Interested in importing any convenience foods in large volumes such as instant onion, instant potato. Davenport & Heine Bros, of Australia Pty. Ltd., 473 Bourke St., Melbourne, Vic. I.R. 256-A. Food processor seeks raw cranberries in bar- rels, R.S.P. frozen or canned cherries, canned fish. Masterfoods Pty. Ltd., 27 Smith St., Matraville, N.S.W. I.R. 112. 204 Grain Mill Products Manufacturer seeks supplier of soya bean meal. Food Oils Pty. Ltd., 203 Thomas St., Sydney, N.S.W. WTD 2/25/64. I.R. 161. 209 Food Preparations Interested in emulsifiers and stabilizers for ice cream. H. G. Langdon & Co. Pty. Ltd., 351- 355 King St., Melbourne, Vic. I.R. 297. Need sources of dehydrated onion powder, ribbled onions dehydrated to 5 or 6% mois- ture, granulated dehydrated garlic, potato starch for thickener in foods. Lee McKeand & Son Pty. Ltd., 55 Commercial Rd., South Yarra, Vic. WTD 3/3/62. I.R. 373. Interested in getting supply of powdered ingredients, adaptable for use in vending machines such as instant powdered milk, tea, soups, chocolate. Machine Made Sales Pty. Ltd., 97 Union St., North Sydney, N.S.W. I.R. 201.* Interested in importing into Australia all types of pulses such as dried beans, including lentils, red beans, cannchini, barlotti, black- eye, lima, all in bulk. Also long grain rice polished; orders would probably be in quanti- ties of 20 tons or more at a time 4 times a year. Want 75% in No. 1 retail final pkgs, balance in bulk. Also need supplier for cashew nuts, hazelnuts, almonds in bulk. Terra Pty. Ltd., 42 Elizabeth St., Melbourne, Vic. I.R. 312. Importers of curry powder looking for com- panion food lines to distribute. Fisher Swan Pty. Ltd., 365 Elizabeth St., Melbourne. I.R. 330. 221 Broad Woven Fabric Mills, Cotton Importer desires exclusive agency for printed ticking cotton from 56 to 78'; will consider buying stock later. Alex McDonald & Sons, 75 Pitt St., Sydney, N.S.W. I.R. 52. 222 Broad Woven Fabric Mills, Manmade Fiber, Silk Textile manufacturer interested in estab- lishing contact with U.S. weaver of worsted blends for mens'-ladies' suiting 8/10 oz. for exchange of patterns and new blend ideas on royalty basis. David Coombe Pty. Ltd., 67 Church St., Lidcombe, N.S.W. I.R. 216. 224 Narrow Fabrics, Other Smallwares Mills Importer wants high-fashion synthetic tex- tiles for ladies' dresses. Tallerman & Co., Ltd., 60 York St., Sydney. WTD 2/25/64. I.R. 1. Wholesaler seeks exclusive agency for cot- ton, synthetic piecegoods, plain, printed, popu- lar to medium price for men's and women's wear, furnishings. Kreglinger (Aust. ) P/L, 10 Loftus St., Sydney. I.R. 151. Looking for agency of U.S. manufacturer of embossed cottons and printed nylons 5x48" mainly for bedspread and quilting trade, also mens' cotton shirtings. Eggerton & Co., 8 Reiby St., Sydney, N.S.W. I.R. 219. NCIA. Material for ladies' suits, cotton or rayon with surface interest, washability not essential, for casual and sportswear, popular price. David Nankin Mfg. Co. Pty. Ltd., 274 Bruns- wick St., Fitzroy, Vic. I.R. 350. Looking for agency for synthetic tops and yarns: new acrilics, spun fibers. William C. Kacjson & Co., 134 Flinders St., Melbourne, Vic. I.R. 396. 229 Textile Goods Manufacturer seeks 76" cloth for roller blinds 20 x 20 yarns, with Vs" woven stripes in red, grey, black. Henderson Shaw Pty. Ltd., Philpot St. & Addison Rd., Marrickville, N.S.W. I.R. 107. Agents for textile machinery interested in representing spinner of slub, fancy yarns, ny- lon 6. C. Huppert & Co., Melbourne. I.R. 324. Interested in obtaining agency for cotton shirtings, printed cottons for furnishing trade, woven plain cottons and synthetics for under- wear trade. L. A. Schlesinger Imports Ltd., 323 Bourke St., Melbourne. I.R. 349. Interested in representing U.S. firm in syn- thetics, cottons for ladies' fashions. H. Lamm, 15 Hefernan Lane, Melbourne, Vic. I.R. 279. Looking for agency of U.S. manufacturer of raschel, lever laces, all prices. Also manufac- turers of ladies' underwear fabrics, men's shirtings, cotton, cottonblends. Eric J. Herrn- stadt, 41 Spring St., Melbourne. WTD 11/ 8/63. I.R. 270. Furnishing fabrics, also ladies' clothing, preferably cottons; also for nylon-pile fabrics, imitation furs. P. R. Pratt & Co., 232 Flinders Lane, Melbourne. I.R. 259. Specialty yarns (slubs, etc.) Frank Lee & Co. Pty. Ltd., 116 Bouverie St., Carlton, Vic. I.R. 365. 239 Fabricated Textile Products Wholesaler selling to small retailers seeks pillow cases, tea towels, bath towels, table sets. Kennard & Kennard, 84-86 Greek St., Glebe, N.S.W. WTD 3/6/64. I.R. 56. 260 Paper Products Interested in buying high-grade, fancy sta- tionery. Spicer's Ltd., 377 Lonsdale St., Mel- bourne, Vic. I.R. 397. 265 Paperboard Containers, Boxes Wholesaler wants packaging materials for food. A.N.V. Bence Pty. Ltd.. 6 Emily St., Rozelle, N.S.W. WTD 3/6/64. I.R. 64-B. 281 Industrial Chemicals Importer seeks chemical lines to add to existing representations; calcium molybdate for steel alloys and commercial adipic acid. Elliott Beckett & Co., G.P.O. Box 3415, Sydney, N.S.W. I.R. 127. Manufacturer seeks source of supply of tall oils (Ioticica) for paint. Food Oils Pty. Ltd., 203 Thomas St., Sydney, N.S.W. WTD 2/25/64. I.R. 161. Manufacturer seeks agencies and/or license for chemicals and specialty chemicals for paint, rubber, plastics industries; wants shipments in 55 gallon drums, bulk quotations. Swift & Co. Pty. Ltd., 149-155 Milton St., Ahsfield, N.S.W. I.R. 96.* 282 Synthetic Materials Firm seeks gum resin. Prices quoted must be cif. Kreglinger Pty. Ltd., 10 Loftus St., Sydney, N.S.W. I.R. 169.* Wholesaler wants packaging materials for food. A.N.V. Bence Pty. Ltd., 6 Emily St., Rozelle, N.S.W. WTD 3/6/64. I.R. 64-B. 27 289 Chemical Products Fina seeks to import or manufacture under license materials similar to sodium alginate. Alginates Pty. Ltd., P.O. Box 4, Marrickville, N.S.W. NCIA. I.R. 132. 307 Plastic Products Textile agents and importers of mats and matting interested in buying acrilic or plastic matting 27" and 36" and doormats sizes to 9. Clifton H. Joseph & Sons Pty. Ltd.. 89 Flinders Lane, Melbourne. WTD 10/31/62. I.R. 325. Wants source of "jpply for vinyl tile. Hubert Stokes & Co.. 32 Whiting St., Artarmon, Syd- ney, N.S.W. WTD 12/8/54. I.R. 205-A. 326 Pottery Wholesaler desires agency for crockery, glassware, chinaware, carpets. Kreglinger P/L, 10 Loftus St., Sydney, N.S.W. I.R. 151. 329 Abrasive, Asbestos, Nonmetallic Mineral Products Distributor of industrial equipment seeks abrasives. James Munday & Co., Lord St., Botany, N.S.W. WTD 2/24/64. I.R. 87. 340 Fabricated Metal Products Wholesaler of agriculture machinery wants steel furniture for gardens. Grazcos Co-op. Ltd., 46 Young St., Sydney, N.S.W. I.R. 206-A. 342 Cutlery, Hand Tools, General Hardware Wants source of supply for builders hard- ware items. Hubert Stokes & Co., 32 Whiting St., Artarmon, Sydney, N.S.W. WTD 12/8/54. I.R. 205-A. Small manufacturing agent, representing lo- cal manfacturers of builder and plumbing sup- plies covering Victoria state only, interested in acquiring agencies for U.S. hardware and sup- plies. Donald R. Fraser Pty. Ltd., 1 Karwitha St., Vermont, Vic. I.R. 244-A. Sales company seeks lines of air tools, air control equipment, particularly air operated stapling, nailing machines. Air Power Service, 540 Pacific Highway, St. Leonards, N.S.W. NCIA. I.R. 119. Distributor of industrial equipment seeks lines of hand, portable power tools. James Munday & Co., Lord St., Botany, N.S.W. WTD 2/24/64. I.R. 87. 343 Heating Apparatus, Plumbing Fixtures Manufacturer seeks line of window and door screening. J.F. Barter Mfg., George St., Bex- ley, N.S.W. I.R. 157. Wants source of supply for plumbing sup- plies. Hubert Stokes & Co., 32 Whiting St., Artarmon, Sydney, N.S.W. WTD 12/8/54. I.R. 205-A. Manufacturer of heating units and steam boilers wants heat exchanger: water to water — steam to water. Presha Engineering Pty. Ltd., Ferntree Gully Rd., Notting Hill, Vic. I.R. 275. 344 Fabricated Structural Metal Products Manufacturers of overhead trolly material handling equipment would like a U.S. source of supply for trolley wheels; ball bearings, hardened steel, straight flange, also geared flange, capacities (per set of 4 wheels) Vis T to 2 T. Estimated dia. of wheels besides flange 3" to 6" approx. ; dustproof, self aligning, pres- sure lubrication. Hoisting Services Pty. Ltd., 301 Albert St., Brunswick, Vic. I.R. 362. 348 Fabricated Wire Products Manufacturer seeks line of oil fired home furnaces. J.F. Barter Mfg., George St., Bexley, N.S.W. I.R. 157. 352 Farm Machinery Wholesaler desires to purchase electrostatic flocking machines. Apex Display Co.. 4 Talford St., Glebe, Sydney, N.S.W. I.R. 140. Wholesalers of agriculture machinery want weed control equipment, supplies, misting. Grazcos Co-op. Ltd., 46 Young St., Sydney, N.S.W. I.R. 206-A. Manufacturer of agricultural and veterinary chemicals interested in power sprayers for ap- plication of fertilizers and weed killing chemi- cals to grain crops, pasture land. New Farm Rural Products Pty. Ltd., 100 McBryde St., Fawkner, Vic. I.R. 399. Wants irrigation equipment: pumps, sprink- lers, pressure regulators, couplings. Roberts Stewart & Co. Ltd., 2 Collins St., Hobart, TAS. NCIA. I.R. 296. Wants irrigation equipment for farms or golf courses such as P.V.C. tubes, complugs, or aluminum; tractors, light agricultural ma- chinery for attachment to light tractors. El- liotts M.F. Services, 47 Lonsdale St., Dande- nong, Vic. I.R. 266. Interested in farm gates and agricultural fabricated products of various types. William C. Lynch Pty. Ltd.., 190-196 Burke Rd., Alex- andria, N.S.W. I.R. 210. Wants to import fertilizer spreaders for su- perphosphate, truck and trailer type; later license for local manufacturer. Delarue Ptv. Ltd., 202-218 North St., Albury, N.S.W. I.R. 358. 353 Construction Machinery One of the largest import firms in Australia would like to add U.S. lines in the road con- struction machinery field. Davenport & Heine Bros, of Australia Pty. Ltd., 473 Bourke St., Melbourne, Vic. I.R. 256-A. Substantial civil engineering company with equipment rental subsidiary interested in buy- ing some special U.S. construction equipment, also collaboration with U.S. firm in develop- ing equipment loaning activities or heavy en- gineering equipment field. Prentice Builders Pty. Ltd., 210 Riversda!e Road, Hawthorn, Vic. I.R. 360. Manufacturer of diamond drills and tools and importers of oil field equipment for sale in Australia interested in importing specialty equipment for mining, mineral exploration, mineral extraction and processing leading to license or joint venture. Mindrill Ltd.. 64-74 Bell St., Preston, Vic. WTD 9/10/62. I.R. 251. Wholesaler-retailer seeks material handling equipment on agency basis. Norman N. Benson Pty. Ltd., 520 Gardeners Rd., Mascot, N.S.W. WTD 3/12/64. I.R. 94. Importer seeks source of supply for repair parts for crawler tractors. New South Wales Tractor Supplies, 2 Onchandleigh St., Yen- nora, N.S.W. I.R. 144. Distributor of industrial equipment desires lines of materials handling equipment. James Munday & Co., Lord St., Botany, N.S.W. WTD 2/24/64. I.R. 87. Wholesaler seeks diesel powered portable air compressor of 100 to 1,200 cfm; mine or quarry mobile drilling equipment lines not represented in Australia. Blackwood & Hodge Pty. Ltd., Ferndel St., Granville, N.S.W. WTD 9/20/63. I.R. 141. Manufacturer seeks to purchase designs for portable conveyors, elevators, light duty pack- age unit belt conveyors for specific models; will import other models to round out line. K. G. Coles & Co. Pty. Ltd., 17 Bourke Rd., Alexandria, N.S.W. WTD 3/3/64. I.R. 164. Manufacturer needs materials handling equipment for new plant. Amalgamated Wire- less Australasia Ltd., 47 York St., Sydney. I.R. 17. Importer seeks materials handling equipment for distribution in Australia. L. Williams Bros., 245 Oxford St., Bondi Junction, Sydney. I.R. 36. Importer seeks agency for plant and mater- ials handling equipment. George Cohen Sons & Co., 15 Derby St., Lidcombe, N.S.W. WTD 6/27/62. I.R. 3.* 354 Metalworking Machinery Distributor desires agency for surface grind- ers, universal grinders, vertical milling machin- ery, vertical lathe, horizontal boring mills; specialty numerical control machine tools. Brown & Dureau Ltd.. 428 George St., Sydney, N.S.W. WTD 7/30/63. I.R. 99. Importer desires to represent lines of indus- trial equipment including single spindle auto- matics, large radial drills, bolt making ma- chines, specialty machine tools. William Adams & Co., G.P.O. 3995, Sydney, N.S.W. I.R. 142.* Importer seeks agency for machine tools. George Cohen Sons & Co. Pty. Ltd., 15 Derby St., Lidcombe, N.S.W. WTD 6/27/62. I.R. 3.* Wholesaler seeks welding equipment. Messrs. Kennilly Industries, P.O. Box 30, Baulkham Hills, Sydney, N.S.W. NCIA. I.R. 85. Wholesaler-retailer seeks new lines of ma- chine tools on agency basis. Norman N. Benson Ptv. Ltd.. 520 Gardeners Rd., Mascot, N.S.W. WTD 3/12/64. I.R. 94. Distributor of industrial equipment seeks chucks and other work holders; cutting tools. James Munday & Co.. Lord St.. Botany, N.S.W. WTD 2/24/64. I.R. 87. Manufacturer seeks lines of specialty ma- chine tools for distribution in Australia. Mod- ern Tools Pty. Ltd.. 414 Botany Rd., Alexan- dria, N.S.W. I.R. 149. Importer seeks agency or distributorship for machine tools. Special interest in surface grind- ers with horizontal spindle; bar-cutting ma- chines with dia. capacity of 6-14"; cold sawing equipment with insertable circular blade; tan- gential die-type screwing machine up to 8" dia. Gibson Battle & Co. Ltd., 535 Kent St., Svdney. I.R. 63. Importer seeks specialty equipment for wire processing. Fraser Hrones & Co., 110 Willough- by Rd., Crows Nest, N.S.W. I.R. 24. One of the largest import firms in Australia would like steel machinery and equipment for non-ferrous industry, also machine tools. Dav- enport & Heine Bros, of Australia Ptv. Ltd., 473 Bourke St., Melbourne, Vic. I.R. 256-A. Wants to buy machine tools for manufacture of agricultural pumps. Mr. W. S. Lowe & John P. Young & Associates, 2 Glen St., Hawthorn, Vic. I.R. 372. Large surface grinders, 6-8 ft. horizontal. Rockley Engineering Co., 642 Harris St., Ul- timo, N.S.W. I.R. 198. Wants agency for tape control machine tools. Stanger & Co. Ltd. 194 Miller St., West Pres- ton. Vic. I.R. 394. Wants product or tools involving forgings or pressings. Cyclone Forging Ply. Ltd., Harper St., Abbotsford. Vic. I.R. 383. 28 Manufacturer of textile and packaging ma- chinery wants to open machine tool division for distributions of high production heavy ma- chine tools, have technical trained personnel, would stock equipment parts for eomnlete servicing. The Reading Ptv. Ltd., 1 Holmes St.. East Brunswick, Vic. I.R. 232. Want to be agents for heavy lathes; vertical boring mills; production type gear and hob- bers, checkers; cooy lathes; large surface grinders; large horizontal boring mills. Her- bert OsbornePty. Ltd.. 19-27 Ireland St., West Melbourne, Vic. I.R. 380. 1 used Vi" national boltmaker 5 stations in good condition. McPherson's Ltd.. 546 Col- lins St., Melbourne, Vic. I.R. 381. WTD 1/22/ 63. Wants machine to make continuous helicoid for screw conveyors. Kimbell Adeney Mfg. Co., 24 Main St., P.O. Box 3, Lilydale. Vic. I.R. 392. 355 Special Industry Machinery Importer seeks agency for ultrasonic sealer used for packaging. Gilbert Lodge & Co., Ltd., 13 Parramotta Rd., Lidcombe. I.R. 30. Manufacturer desires machinery for produc- tion of safflower, cottonseed, other vegetable oils. Marrickville Margerine Pty. Ltd., 74 Edin- burgh Rd., Marrickville, N.S.W. WTD 12/5/61. I.R. 40. Manufacturer seeks food packaging machin- ery to sell and service. Brown & Kidd Pty. Ltd., 147 Canterbury Rd., Petersham, Sydney. I.R. 5.* Importer seeks agencies for second-hand looms for wools, worsteds, cottons, synthetics; also new knitting machines, circular and warp knit. Chemtex Pty. Ltd., 52 Clarence St., Syd- ney, N.S.W. I.R. 54. Importer desires confectionery packaging machinery and food processing machinery not produced in Australia. J. L. Lennard, 27 Reiby Place, Sydney. WTD 4/8/63. I.R. 6. Manufacturer seeks machinery and equip- ment to broaden polythene packaging line. Gilles-Morton Pty. Ltd., South St., Rydalmere, N.S.W. I.R. 103. Manufacturer seeks agency or license for paper converting and packaging machinery. Tanmeco Engineering Pty. Ltd., 94 Queen Victoria St., Bexley, N.S.W. I.R. 92.* Manufacturer seeks ultrasonic drill that will drill odd shaped holes in materials including glass. E. M. Utick Pty. Ltd., Harp & Elizabeth Streets, Sydney, N.S.W. WTD 10/15/63. I.R. 108. Publisher seeks 5,000 machines to wrap in- dividual newspapers of tabloid size, up to 160 pages. Wants water resistant cover. Consoli- dated Press-Daily Telegraph, 168 Castlereagh St., Sydney, N.S.W. I.R. 126> Manufacturer seeks agency for domestic and industrial water treatment equipment. J. S. Richardson & Co., 576 Princes Highway, St. Peters, N.S.W. I.R. 133. Importer desires to represent producers of packaging machinery used for hard materials, vacuum packing, card display packing. Wil- liam Adams & Co. Ltd., 175 Clarence St., Syd- ney, N.S.W. I.R. 139*. Manufacturer seeks agency for packaging machinery. Australian Sisalkraft Pty. Ltd., Ar- thur St., Homebush, N.S.W. WTD 4/5/64. I.R. 147. Firm seeks machine to pack unrisen bread dough into heat resistant cellophane tubes 272" dia. 15" long; high speed dough mixers. Brown & Dureau, 428 George St., Sydney, N.S.W. I.R. 162.* Machinery for full fashioned outerwear, false twist for bulking of synthetic yarns. Frank Lee & Co. Pty. Ltd., 116 Bouverie St., Carlton, Vic. I.R. 365. Manufacturer of textiles and packaging ma- chinery wishes to represent U.S. manufacturers of circular outerwear machinery, yarn process- ing, textile piece goods processing and dying, heatsetting (auto claves), sizing and pack- amatic machines. Also seeks agency/distribu- torship arrangement for packaging machinery such as carton forming, packing and sealing (other than glue seal type); filling machines for powders and liquids; over wrapping ma- chines that will handle plastic films (PVC. polyethylene). The Reading Pty. Ltd.. 1 Holmes St., Brunswick, Vic. I.R. 232. Interested in potato puff-forming equipment, small fryer for companion line to their french fries. General Foods Corp., King St., Oakleigh, Vic. I.R. 243-A. Manufacturer of packaging equipment wishes to establish contact with U.S. packaging equip- ment manufacturer not now represented in Aus- tralia. Australian Consolidated Industries Ltd., 500 Bourke St., Melbourne, Vic. WTD 10/ 8/62. I.R. 242. Interested in agencies for all types of print- ing and graphic arts equipment that would supplement existing lines; would also consider manufacturing license for such equipment; also packaging machinery. Seligson & Clare Pty. Ltd., 183^Bouverie St., Carlton, Vic. I.R. 236. Large import distributors of steel and en- gineering equipment and largest producers of forgings for automotive industry interested in acquiring new agencies for engineering equip- ment and packaging machines; also acquiring license rights to new products, particularly specialized equipment for process industries having high unit value. A.N.I. Perkins Indus- tries Pty. Ltd., Burnie Ave., Lydcombe, N.S.W., Sydney. I.R. 229. Manufacturer and importers of foods, food processing, equipment, supplies wants addi- tional lines of packaging machinery for dis- tribution. Cibernetics Pty. Ltd., 212 King St., Melbourne. Vic. WTD 1/17/64. I.R. 283. Wants 6 automatic injection molding ma- chines up to % oz., direct purchase leading to license. Kelvin Dale Products, 596 Pennant Hills Rd., W. Pennant Hills, N.S.W. I.R. 163. Wants to make rectangular frames of steel wire from 10 gauge up to %" dia., sizes from 6" on one side to 24" on other, up to 24x24" for stove or refrigerator trays. Needs complete unit to manufacture frames, including coil holder, straightener, cut off, bender. Machine can be equipped with welder to complete frame but not required. Kenco Wire Fence & Gate Pty. Ltd., 149 Williams Rd., Prahran, Vic. I.R. 393. Wishes to purchase evaporator, input ca- pacity 50,000 lb. hr., spray dryer, canacity 4,500 lb. powder hr. Murray Goulburn Co-op. Co. Ltd., Cobram. Vic. I.R. 306. Wants to purchase 1 form-fill-seal pkg. ma- chine to package dry grocery items from 1 oz. to 1 lb. in quantity. Imre Brust, 291 Alma Rd., North Caulfield, Vic. NCIA. I.R. 313. Manufacturers of mens' hosiery looking for machinery for pre-boarding and post-boarding mens' hosiery. John Hopkins & Co. Pty. Ltd., 17 Shierlaw Ave., Canterbury, Vic. I.R. 280. Manufacturers of ladies' & children's swim- wear, slacks, hosiery looking for machine to package hosiery in P.V.C. or P.E. film. Gene- vieve Sportswear Pty. Ltd., Cecil St., Fitzroy, Vic. I.R. 276. Looking for agency for weaving and combing equipment. William C. Kacjson & Co., 134 Flinders St., Melbourne, Vic. I.R. 396. Looking for machine for winding bindings on cardboard and wrapping in PVC film in one process. Bias & Binding, Hollywood Drive, Cabramatta, N.S.W. I.R. 220. Wishes to act as representative for U.S. manufacturer of plastics extrusion machinery leading to license (on latter would want know- how and specialty parts for local assembly). Can provide service and would stock parts. Presently manufacturing injection moulding equipemnt, has good contact with plastics in- dustry. W. J. Handel & Co. Pty. Ltd., 705-707 Parramatta Rd., Leichhardt, N.S.W. I.R. 211. Manufacturers of bread wrapping, other packaging machines wants agency and/or li- cense arrangement for wide line of packaging machinery, all types. American Machine & Foundry Co. Pty. Ltd., 32 Bridge St., Sydney, N.S.W. I.R. 204. Seafood processor wants to buy form-and-fill poly bag machine, min. of 60 p.p.m. to max. 100 p.p.m., 9"x5y 2 " is 1 lb., 7"x5" is 8 oz. bag. Food Brokers of Australia Pty. Ltd., 8 Maribyrnong St., Footscray, Vic. I.R. 311. Wants roller coating for continuous strip and application of PVC to steel, also electromag- netic lift for coiled steel sheets. Hills Indus- tries Ltd., 181 Burwood Rd., Hawthorn, Vic. I.R. 347. Interested in acquiring lines for import-dis- tribution or licensed manufacturer of products and equipment in wool scouring, carding field, textile field generally, weaving equipment par- ticularly. Silentbloc Pty. Ltd., Cnr. Chapman/ Joseph St., Blackburn, Vic. WTD 2/24/64. I.R. 329. Looking for agency of complete range of tex- tile machines for cottons: spinning, carding, weaving, dying, finishing, also warp-knitting. Descourt Machine Industries Pty. Ltd., 914 Swanston St., Carlton, Vic. I.R. 326. Interested in acting as representative or dis- tributor of U.S. manufacturers of specialty fruit handling equipment, general paper pack- aging machines, equipment if not already rep- resented or manufactured in Australia. Aus- tralian Pacer Manufacturers Ltd., South Gate, South Melbourne, Vic. I.R. 378. Wants concrete pipe making plant, complete, for regular and pre-stressed concrete pipe of 12" to 60"; one machine to cover wide range because of relatively low production. Mephan Ferguson Pty. Ltd., Gordon St., Footscray, Vic. I.R. 391. Interested in buying circular knitting ma- chines, automatic packaging machines for tex- tile garments. Lilliput Mfg. Co., 579 Mt. Alex- ander Rd., Moonee Ponds, Vic. WTD 9/25/62. I.R. 367-A. Building materials manufacturer wants con- crete pipe making machinery. Stewart & Lloyds, Newcastle, N.S.W. I.R. 247. Agents for textile machinery interested in agency for circular knitting and flat-bed knit- ting machines. Has engineering shop, experi- enced technicians, will be able to install, as- semble, test, service machinery, will carry spare parts. C. Huppert & Co., Melbourne, Vic. I.R. 324. Interested in representing U.S. manufac- turers of guillotines, saws, proof presses which would go in "composing room"; equipment such as printing ink, line up tables, ascorlux printing lights. Interested in any firm that manufactures in the fields of "composing room equipment" who are not already represented in Australia. Monotype Co. of Australia Pty. Ltd., 142 Pelham St., Carlton, Vic. I.R. 245. Looking for agency for high speed roto- gravure printing equipment; also interested in U.S. license and know-how or joint venture with good U.S. firms for manufacturing of pack- aging machinery, materials, who do not have Australian subsidiary or close affiliates. For models that do not lend themselves to local 29 manufacturing, interested in agency. Swift & Co., 149 Milton St., Ashfield, N.S.W. WTD 2/64. I.R. 214. Looking for machinery to fill spaghetti and tomato sauce, without breaking length of spaghetti, into 301x411 and 401x411 can sizes; machine to fill baked beans and tomato sauce into 301x411 and 401x411 size cans; volumetric fill: later check weight, speeds 100-120 cans per minute; machine to core and peel tomatos for solid pack 4 tons per hour capacity, same ma- chine to also peel red beets for canning at different time of year; equipment to peel po- tatos and carrots; bottle labeling macliine, 400 bottles per min., for tomato catchup-shaped bottles, two labels per bottle including a neck label; slicing and blanching equipment for solid pack sliced apple. Fowlers Vacola Mfg. Co. Ltd., 257 Burwood Rd.. Hawthorn, Vic. WTD 12/13/63. I.R. 355-A. Polypropelene machine to side-seam bags with electric eye for pre-printed material, .001 to .004, 7"x4" to 24"xl8"; if not in same ma- chine, 2nd piece of equipment to make bottom seal and cut off; at least 60 bags per minute capacity. Apaco Pty. Ltd., P.O. Box 39, Bur- wood, Vic. I.R. 261. Interested in shrink films and packaging equipment for foods, apple size grading and packing equipment, washing and waxing equip- ment. Traders & Transport Pty. Ltd., 215a Thomas St., Sydney, N.S.W. I.R. 202. Wants tubing bender for furniture manufac- ture. Intercommerce Pty. Ltd., 24 Market St., Melbourne, Vic. WTD 7/30/63. I.R. 285. 356 General Industrial Machinery Wholesaler desires exclusive representation of manufacturers of air tools, variable speed drives, couplings (except those using eddy cur- rent or electro-magnetic principle), air valves, pressure regulators. Westeels Industries Ltd., 31-33 Parramatta Rd., Lidcombe. WTD 12/ 3/62. I.R. 7.* Distributor of industrial equipment seeks ball and roller bearings, mechanical power transmission equipment. James Munday & Co., Lord St., Botany, N.S.W. WTD 2/24/64. I.R. 87. Wants diaphram-type compressor for CO- free air, high pressure compressor for charging CO; cylinder. Industrial Protective Co., 17G Ferrars St.. South Melbourne, Vic. I.R. 385. Wants hand pump, semi rotary or reciprocat- ing for oils and gasoline for farm use. Spe- cialized Equipment Supply Co., Suite 18, 428 St. Kilda Rd., Melbourne, Vic. I.R. 332. Wants needle roller, taper roller bearings for use in ball bearing assembly plant. Anti Friction Bearings Ltd., 11 Wellington St., Windsor, Vic. WTD 3/6/62. I.R. 269. Manufacturer of cooling towers wants line of speed reducers up to 50 h.p. to run fan blade for cooling towers. Lakeside Equipment Pty. Ltd., 228 Clarendon St.. East Melbourne. WTD 12/6/63. I.R. 343. Wholesaler of agricultural machinery wants fire fighting equipment, pumps. Grazcos Co- op. Ltd., 46 Young St., Sydney, N.S.W. I.R. 206-A. Importer of meters and controls would like source of chemical feed pumps, capacity up to 50 imperial gal. hr. for water treatment indus- try. Chlori Meter & Control Co., 458 Waverley Rd., East Malvern, Vic. I.R. 309. 357 Office, Computing, Accounting Machines Wants portable steam cleaning unit for cars. Intercommerce Pty. Ltd., 24 Market St., Mel- bourne, Vic. WTD 7/30/63. I.R. 285. 358 Service Industry Machines Firm desires agency for shop scales, cali- brated, prices. Able Scale Co., 29 Rosebank Cresc, Hurstville, N.S.W. I.R. 19. Distributor wishes to act as agent for com- mercial refrigeration, air conditioning equip- ment. Warburton Franki Industries Pty. Ltd., 107 Kent St., Sydney. WTD 10/21/63. I.R. 31. Interested in representing lines in refriger- ation and air conditioning supplies, high vacuum pumps to 10 microns for evacuating systems prior to filling with refrigerant. J. F. Reidy Pty. Ltd., 170-180 King St., Melbourne. Vic. I.R. 234. Interested in "hot drink" equipment, auto- matic or semi-automatic. Machine Made Sales Pty. Ltd., 97 Union St., North Sydney, N.S.W. I.R. 201.* Manufacturers of heating, refrigeration, air conditioning equipment wish to broaden line as agents or under license. Dunn Air-Con- ditioning Pty. Ltd., 291 Moray St., South Melbourne, Vic. I.R. 227. Wants lines in educational aids. J. J. Masem & Co. Pty. Ltd., 500 City Rd., South Mel- bourne, Vic. I.R. 353. 359 Machinery Manufacturer seeks numerical control units for machinery and tools. E.M.I. Ltd., 301 Castlereagh St., Sydney. WTD 10/16/63. I.R. 86-B. 360 Electrical Machinery, Equipment, Supplies Desires to import and distribute specially lines of electrical equipment (except instru- ments) from U.S. W. G. Watson & Co. Pty. Ltd., 279 Clarence St., Sydney, N.S.W. I.R. 187. 361 Electric Transmission, Distribution Equipment Wants agency for industrial switch gear, load center equipment; will consider license; also switching electrical distribution equip- ment, plug in ducts. Stanger & Co. Ltd., 194 Miller St., West Preston, Vic. I.R. 394. 362 Electrical Industrial Apparatus Distributor of industrial equipment seeks lines of electric motors. James Munday & Co., Lord St., Botany, N.S.W. WTD 2/24/64. I.R. 87. Manufacturer would like to import line of ultrasonic cleaners. Associated Controls P/L, 18 Hill St., Campsie N.S.W. WTD 3/11/64. I.R. 32. Wants agencies from U.S. manufacturers of equipment for radio frequency sealing of plastics and electronic registration of print- ing. National Television Engineering Pty. Ltd., 144 Bouverie St., Carlton, Vic. I.R. 375-A. Wants to represent U.S. manufacturers of electrical recording instruments, electronic meters. Brown & Dureau Ltd., Cnr. Kavanagh/ Ireland St., South Melbourne, Vic. WTD 6/ 30/63. I.R. 379-A. Wish to act as sole Australian agents for U.S. manufacturers of specialized electrical, other engineering equipment. Alan H. & G. Reid, 347 Darebin Rd., Thornbury, Vic. I.R. 387. Wants to represent U.S. manufacturers of small portable electric generator units. D. R. Johnston & Co. Pty. Ltd., Suite 14, Stanhill, 33 Queens Rd., Melbourne, Vic. WTD 10/4/ 63. I.R. 336. 366 Communication Equipment Manufacturer of traffic lights and signs and traffic safety control equipment interested in acquiring agencies and/or manufacturing un- der license traffic signals, control safety equip- ment. De Neefe Signs Pty. Ltd., 229 Lennox St., Richmond, Vic. I.R. 388. 367 Electric Components, Accessories Manufacturer desires to expand lines of elec- trical wiring devices: knobs, markers, terminal blocks, strips, stripping devices. Aircraft Prod- ucts P/L, 37 Carnarvon St., Auburn. N.S.W. NCIA. I.R. 26. Automotive electronics: transistorized ig- nition systems, light dimmers, garage door openers. National Television Engineering Pty. Ltd., 144 Bouverie St., Carlton, Vic. I.R. 375-A. 371 Motor Vehicles, Motor Vehicle Equipment Manufacturer desires to import brake parts, electrical parts, universal joint parts, lamps. Is interested in agency offers. J. H. Gardener Pty. Ltd., 83 Regent St., Redfern, N.S.W. I.R. 155.* Company manufacturing equipment for mo- bile transport vehicles desires agency for tan- dem drive equipment to round out existing lines. Westcott Hazell & Co. Ltd., 102 McEvoy St., Alexandria, N.S.W. WTD 9/5/60. I.R. 207.* 381 Engineering, Laboratory, Scientific, Research Instruments Wholesaler desires to expand line of sci- entific and laboratory apparatus; seeks gas chomatograph, balances, rotary vacuum pumps. Laboratory Supply & Chemical Co., 48 Sydenham Rd., Marrickville, N.S.W. WTD 7/ 19/63. I.R. 122. Manufacturer wants X-ray diffraction and absorption apparatus. Drug Houses of Aus- tralia Ltd., 73 Parramatta Rd., Camperdown, N.S.W. WTD 12/7/62. I.R. 159. Firm desires instrumentation for nuclear installations and work involving isotopes. Long Industrial Equipment Pty. Ltd., 4 Foster St., Sydney, N.S.W. WTD 3/21/63. I.R. 137. Manufacturer seeks to add to lines of scien- tific instruments. Andrew Thorn Ltd., 261 Broadway, Sydney. I.R. 25. Manufacturer interested in equipment, special pumps, manipulators, protective lenses, used in atomic energy installation. Messrs. Swift & Co., 149 Milton St., Ashfield, N.S.W WTD 2/15/63. I.R. 114.* Manufacturer wishes agencies for PH, vis- cosity, recording flow meters. Duff & Mcin- tosh Pty. Ltd., 69 Chandos St., Crows Nest, Sydney. WTD 6/10/63. I.R. 11. Wants educational demonstration classroom equipment. H. Rowe & Co. Pty. Ltd., 7 Flinders Court, Melbourne, Vic. WTD 10/22/63. I.R. 371-A. Importers of instruments and controls want distributorships in general laboratory electrical measurement equipment, servo instrumenta- tion, computers, data processing equipment, nu- cleonic instruments, industrial process control, transducers, physical measuring instruments. Ronald J. T. Payne Pty. Ltd., 385 Bridge Rd., Richmond, Vic. WTD 4/19/63. I.R. 240. Wants to purchase ultrasonic cleaners. Ed- win Wood Ptv. Ltd., 555 Collins Street, Mel- bourne, Vic. WTD 7/11/63. I.R. 389. Wants equipment in non-destructive testing field for metals. Rockley Engineering Co., 642 30 Harris St. ? Ultimo, N.S.W. I.R. 198. Wants clean benches, Whitfield type, elec- tronic particle counter for measuring air pollu- tion, for use in newly constructed "clean labs." National Instruments Pty. Ltd., Melbourne Air- port, Essendon, Vic. WTD 9/20/63. I.R. 357. Wishes to act as agent for U.S. manufac- turers of data logging equipment and periph- eral equipment such as plotters, short wave, high frequency telecommunications equipment, smoke density equipment for air pollution con- trol, clean work benches, Whitfield type, super- heating equipment: spray nozzles, associated control equipment. Pantechna Pty. Ltd., 8-12 Eastern Rd., South Melbourne, Vic. WTD 4/ 4/62. I.R. 271. 382 Instruments for Measuring, Controlling, Indicating Physical Characteristics Distributor of industrial equipment seeks measuring tools. James Munday & Co., Lord St., Botany, N.S.W. WTD 2/24/64. I.R. 87. Firm seeks agencies for instrumentation in- cluding recorders, controllers. William Mc- Naught & Co., P.O. Box 45, Arncliffe, N.S.W. I.R. 168. Manufacturer seeks to import or manufac- ture under license new lines of electrical in- struments, meters. Master Instruments Pty. Ltd., Sloane & Saywell St., Marrickville, N.S.W. I.R. 98.* Manufacturer seeks agencies and distribu- torships for new lines of X-ray equipment, heat control equipment, hospital equipment, scientific testing and analysis equipment, con- trols, recorders and indicators for industrial applications. Watson Victor Pty. Ltd., 9 Bligh St., Sydney, N.S.W. I.R. 115. Importer seeks measuring instruments, mi- crometer, super mikes, air gauges. William Adams & Co. Ltd., 175 Clarence St., Sydney, N.S.W. I.R. 139.* Firm desires to import on own account auto- matic controls for heating cooling, pressure, temperature, humidity and flow; indicating and recording instruments; engineering com- ponents; refrigeration, air. conditioning con- trols, components, accessories. Industrial Con- trols P/L, P.O. 94, Petersham, N.S.W. I.R. 89. Wants metering equipment for oil tanker delivery units. Specialized Equipment Supply Co., Suite 18, 428 St. Kilda Rd., Melbourne, Vic. I.R. 332. Wants agencies from U.S. manufacturers of general electronic units, instruments controls. National Television Engineering Pty. Ltd., 144 Bouverie St., Carlton, Vic. I.R. 375-A. Interested in obtaining representation for in- strument and control companies with the idea of developing sales and eventually manufactur- ing in Australia for S.E. Asian market. E.A.I. Electronic Associates Pty. Ltd., 34 Queens Rd., Melbourne, Vic. NCIA. I.R. 233. Wants to represent U.S. manufacturers of printing counter with 5 digits. D.R. Johnston & Co. Pty. Ltd., Suite 14, Stanhiit, 33 Queens Rd., Melbourne. Vic. WTD 10/4/64. I.R. 336. Wants^ agencies for controls, associated parts for refrigeration units, integrated circuitry such as micro-miniature electronics, range of digital instruments such as voltmeters. Elec- tronic Industries Imports Pty. Ltd., 622 Nichol- son St., North Fitzroy, Vic. WTD 9/6/63. I.R. 370. Wants diaphragm control valve. Automatic Accessories, 218 Belmore Rd., Balwyn, Vic. I.R. 338. 384 Surgical, Medical, Dental Instruments Manufacturer desires electromedical equip- ment; heart investigation equipment, pacers, cardiographs. Phillips Stanford, 136 Chalmer St., Sydney, N.S.W. NCIA. I.R. 48. Retailer interested in general industrial safety equipment such as goggles, rainwear, gloves, respirators, hoods, boots, shoes, weld- ing helmets, headshields. Armour Trading Co., 297 Canterbury Rd., Revesby, N.S.W. WTD 3/9/64. I.R. 95. Manufacturer-distributor seeks surgical-an- atomical models, teaching aids for labora- tory and classroom demonstration units. Drug Houses of Australia Ltd., 73 Parramatta Rd., Camperdown, N.S.W. WTD 12/7/62. I.R. 159. Wants line of safety spectacles: welding glasses; face shields. Industrial Protective Co., 178 Ferrars St., South Melbourne, Vic. I.R. 385. Wants jig grinders, gas chromatograph. Rockley Engineering Co., 642 Harris St., Ul- timo, N.S.W. I.R. 198. Desires agencies for orthopedic, surgical products. Orthopedic Appliances, 230 Collins St., Melbourne, Vic. I.R. 395-A. Small new company marketing imported safety equipment desires additional lines of safety equipment. Reliance Safety Equipment Pty. Ltd., 720 Nicholson St., North Fitzroy, Vic. I.R. 331. 391 Jewelry, Silverware, Plated Ware Manufacturer would like to import small coffee makers, tea services, novelties in food serving, copper stampings, nickel silver stamp- ings to be finished in Australia. Hacker's Silver Plate Mfg. Co. Pty., Ltd., 180 Commonwealth St., Sydney. I.R. 4. Manufacturer seeks novelty give-away items. Hacker's Silver Plate Mfg. Co. Pty., Ltd., 180 Commonwealth St., Sydney. I.R. 4. Wholesaler seeks agency for scissors, cutting equipment, sewing threads, dacron filter cloth for wheat and powder, shower and bathing caps, synthetic and blended knitting yarns, plastic playing cards, trimmings and laces for dresses. Anchor Importing Co., 28 Martin Place, Sydney, N.S.W. I.R. 50. 394 Toys, Amusements, Sporting Goods Wants sporting goods line other than guns and ammo. F. W. Green & Co. Pty. Ltd., 100 Queen St., Melbourne, Vic. WTD 7/31/62. I.R. 292-A. Large importer-distributor of sporting goods interested in acquiring agencies for U.S. made sporting goods, all types. R. Wallace Mitchell Pty. Ltd., 30 Abbotsford St., North Melbourne, Vic. WTD 7/11/63. I.R. 356. 399 Manufacturing Industries Distributor of industrial equipment seeks equipment and materials for building industry. James Munday & Co., Lord St., Botany, N.S.W. WTD 2/24/64. I.R. 87. Reading machines, teaching aids, visual dis- play equipment classroom, administration equipment. Industrial Protective Co., 178 Fer- rars Street, South Melbourne, Vic. I.R. 385. 739 Business Services Large firm seeks to obtain local civil en- gineering contract in association with U.S. firms. Will co-operate with II. S. engineering firms in preparing bids for local construction and engineering projects. Has good local con- tacts that can be helpful. Roche Bros. Pty. Ltd. 22 Dynon Rd., South Kensington, Vic. I.R. 268. Leads for Importers 201 Meat Products Food processor wishes to sell edible and in- edible dehydrated meat extract. V. G. Bourne & Co., 151 Elizabeth St., Sydney, N.S.W. WTD 7/10/62. I.R. 62.* 314 Footwear Manufacturer of orthopedic footwear — only producer in Australia — desires to sell shoes in U.S., seeking agent on East Coast. Rampling & Hall Pty. Ltd., 376 Hoddle St., Clifton Hill, Vic. WTD 6/24/47. I.R. 274. 315 Leather Gloves Manufacturer of industrial gloves seeks agent or will supply direct to user. Garfield Glove Pty. Ltd., 208 Pitt St., Merrylands, N.S.W. I.R. 21. 329 Abrasive, Asbestos, and Miscellaneous Nonmetallic Mineral Products 500 tons monazite. Dreyfus & Co. Ltd., 533 Collins St., Melbourne, Vic. I.R. 320. 342 Cutlery, Hand Tools, General Hardware Exporter seeks regional distributors for East Coast and Midwest areas for saws for cutting holes in all machinable materials. Norita (Australia) Pty., Ltd., 212 New South Head Rd., Edgecliff NSW. I.R. 60.* Interested agents in U.S. who can sell lo- cally made diamond tools. Mindrill Ltd., 64-74 Bell St., Preston, Vic WTD 9/10/62. I.R. 251. 352 Farm Machinery Manufacturer seeks agent for sheep spraying equipment. Email Ltd., Joynton Ave., Waterloo, Sydney. WTD 1/17/64. I.R. 8.* 353 Construction Machinery Concrete extrusion machine to lay curb, gut- ters. Kerbmaker Ltd-., Moorabool St., Geelong, Vic. I.R. 235.* Earth boring and hydraulic equipment. Pro- line Sales Interstate Ltd., 41 Boomerang Rd., Croydon Park, S.A. I.R. 284> 356 General Industrial Machinery Wants distributor in U.S. for piston pumps for crop spraying — simple design, low cost, low maintenance. Mr. W. S. Lowe & John P. Young & Associates, 2 Glen St., Hawthorn, Vic. I.R. 372. Manufacturer wants distributor for agricul- 31 tural and industrial hand grease equipment. McNaught Overseas Ptv. Ltd., Henderson St., Turrella, N.S.W. I.R. 38.* 367 Electric Components Manufacturer seeks agents for controls for automatic washers. Goven Control Co., 29 Mari- gold St., Revesby, N.S.W. WTD 3/6/64. I.R. 9.* 381 Engineering, Laboratory, Scientific, Research Instruments Firm desires representatives for nuclear level gauges and nuclear deep therapy cobalt units. Long Industrial Equipment, Ptv. Ltd., 4 Foster St., Sydney. WTD 3/21/63. I.R. 137. 394 Toys, Amusement, Sporting Goods Manufacturer wishes to appoint distributor for specialized stuffed toys made of kangaroo skin and furs. Morella Pty. Ltd., 342 Princes Highway, St. Peters, N.S.W. WTD 2/20/61. I.R. 135.* 391 Jewelry, Silverware, Plated Ware Manufacturer seeks to export silver plated tea and coffee services. Hacker's Silver Plate Mfg. Co., Pty. Ltd.. 180 Commonwealth St., Sydney. I.R. 4. 739 Business Services Property consultant and real estate agent offer services to firms seeking to lease real estate and office space. Jones, Lang, Wotton & Sons, 2 O'Connell St.. Sydney. WTD 2/7/64. I.R. 150.* Investment Opportunities New booklet on GATT A booklet on "GATT, Gen- eral Agreement on Tariffs and Trade" has just been published by the Bureau of International Commerce, U.S.' Department of Commerce. It is a reprint of an article published in INTERNA- TIONAL COMMERCE, Decem- ber 2nd, 1963, with additional tables and charts. It is for sale by the Superintendent of Pub- lic Documents, Washington, D. C, 20402, for 25 cents. Five Australian manufacturers are in- terested in having U.S. firms make their products under license for the U.S. mar- kets. Other down under manufacturers are seeking licenses and joint ventures to make American goods in the food, tex- tile, industrial machinery, electrical equipment and other industries. Licenses offered Additional information, where avail- able, and the name and address of the following firms offering licenses to U.S. manufacturers may be obtained from the Bureau of International Commerce, Office of International Investment, De- partment of Commerce, Washington, D. C, 20230, by referring to the appro- priate file number following each oppor- tunity described below. License offered for U.S. production of multi-purpose machine tool designed to re- place normal lathes, turning, shaping, and copying; drilling machines; cutting and saw- ing machines, precision grinding machines, cylindrical, surface, internal, external, taper. It is automatic in its operation, as well as being most simple to set up. The licensor claims that unskilled labor can quickly be trained to operate the machine. This multi- machine tool is reported to cost below that of any precision grinding machine of a 24" x 12" size and able to equal in output and accuracy machines priced at five times its anticipated market price. File 1231. U.S. licensees sought to produce a hot water system control valve that is a single unit incorporating three functions — pressure reducing, pressure relief, vacuum relief. It is constructed so that the main diaphragm and the vacuum relief diaphragm can be changed without altering or interferring with the pressure setting. The vacuum re- lief valve is diaphragm operated, which is another one of many advantages of this valve according to its manufacture. Three U.S. patents have been issued. File 1232. License offered for U.S. manufacture of a insulator to attach to buildings for electrical service entrance. Invention uses principal of the cable turned or wrapped IVi times over insulator grooved and lock device. Has sold over 100,000 in Australia in last two years. File 1233. Manufacturer is interested in licensing a I*.S. firm to produce its rotary piston pump for irrigation purposes. Pump has a slow speed with high capacity. File 1234. A leveling device covered by a U.S. patent is offered for manufacture in this country under license. The firm reports that this is an amazing instrument operating on an entirely different principal from anything else in common use. It virtually eliminates all bugbears, and inconveniences of level- ing such as errors and inaccuracies, com- plicated setting, inadequacy in dull light, the need for skilled operators, high purchase costs, expensive repairs. File 1235. License, joint venture sought 162 Construction Contracting civil engineering firm seeks joint venture with U.S. firm to obtain know- how for construction projects in New Zea- land. Fitzpatrick Industries, 12 Kitchener Parade, Bankstown. 203 Fruit canning Packer of fresh fruit seeks license or joint venture to establish fruit canning busi- ness. Goffrey Thompson Growers Co-Op, Ltd., 40 Queen St., Melbourne, Victoria. Food products manufacturer wants license or joint venture to start orange juice process- ing. General Foods Corp., King St., Oak- leigh, Victoria. 207 Chocolate candies Seeks U.S. chocolate firm to enter into joint venture and to match capital invest- ment of $30,000 to $40,000. Continental Confectionery & Wafer Co.. 13 Param PL, Glen Iris, Victoria. 209 Instant coffee Joint venture sought to provide techni- cal know-how to establish complete instant coffee plant. Davenport & Heine Bros, of Australia, Pty., Ltd., 473 Bourke St.. Mel- bourne, Victoria. 222 Synthetic textiles License or joint venture wanted for pro- duction of synthetic textiles for ladies' dress fabrics. Brown & Dureau, Ltd., Cnr. Kava- nagh/Ireland Sts., S. Melbourne, Victoria. 225 Men's hosiery Men's hosiery manufacturer seeks U.S. capital to expand business on a joint ven- ture basis. Fitwear, Ltd., 1056 Lygon St., N. Carlton, Victoria. 227 Scatter rugs Wholesaler of floor coverings interested in joint venture or licensing arrangements for the production of acorlan, nylon, 100% cotton scatter rugs. E. R. Charman & Co., Pty., Ltd., 567 Spencer St., Melbourne. Vic- toria. 232 Underwear Manufacturer seeks license to make woven, textiled underwear in the popular price range. Lilliput Manufacturing Co., 579 Mt. Alexander Rd., Moonee Ponds, Victoria. 251 Office furniture Furniture equipment manufacturer seeks license to produce office desks, chairs. Func- tional Products, 233-247 Princes Highway, St. Peters, N.S.W. 285 Paints Manufacturer of paints seeks license or joint venture for production of specialty paints, other surface-treating products. In- ternational Majorca Paints, Pty., Ltd., Phil- lip St., Concord, Sydney. 307 Plastics Manufacture of hardware, plastic prod- ucts seeks license to make specialty plastic housewares. R. J. Rew and Co., 118 Wake- field St., Wellington. Laminater seeks license from U.S. pro- ducer of embossing foil, fusing laminating system for consumer products. Korbund In- dustries, Pty., Ltd., Lorraine St., Peakhurst. Manufacturer of industrial gloves wants to produce PVC gloves under license. Gar- 32 field Glove, Pty., Ltd., 208 Pitt St., Merry- lands. Manufacturer of plastic products seeks license to make specialty products for com- mercial and industrial markets. Moulded Products, Ltd., Nepean Highway, Mentone, Victoria. 342 Aluminum ladders Aluminum ladder manufacturer seeks li- cense to make line of U.S. aluminum lad- ders. Harper Davidson Industries, Ltd., An- tione St., Rydalmere, N.S.W. 343 Hot air furnace Industrial fan equipment manufacturer seeks license to make oil burner hot air furnaces. D. Richardson & Sons, 21 White- hall St., Footscray, Victoria. 344 Structural steel products Manufacturer of construction equipment, such as cranes, interested in joint venture to produce structural steel equipment. A. & A. Constructions, Pty., Ltd., 24-32 Belmore Rd., Punchbowl. Fabricator of heavy steel engineering equipment seeks license to manufacture large engineering equipment for industrial and public works applications. Bernard- Smith & Co., 15 Maddox St., Alexandria. 346 Kitchen utensils Sheetmetal and hardware manufacturer wants license to produce kitchen utensils, housewares. Fowlers Vacola Mfg. Co., Ltd., 257 Durwood Rd., Hawthorn, Victoria. 349 Refrigeration containers Manufacturer of containers for refrigera- tion interested in joint venture or licensing arrangements to produce U.S. refrigerating containers for use in the transportation in- dustry. Uniflow Air Conditioning Co., 10 Ricketty St., Mascot. 352 Cotton spraying equipment Agricultural spraying equipment producer seeks license to make cotton spraying equip- ment. C. E. Purvis & Co., 10 Radcliffe St., S. Kensington, Victoria. 353 Construction equipment Manufacturer of overhead, under-ground conveyor equipment for use in mines, seeks license to make specialty conveyor equip- ment. Elrington Engineering Co., Lake Rd., Kearsley 3N., N.S.W. Building products manufacturer wants li- cense- to make new types of construction equipment, particularly large specialty equip- ment. G. K. N. Lysaght, 410 Mitchell Rd., Alexandria. 355 Shot-blasting equipment Machine tools manufacturer seeks license to produce shot-blasting equipment. Modern Tools, Pty., Ltd., 414 Botany Rd., Alexan- dria. 356 General industrial equipment Ball and roller bearings manufacturer seek license to produce non-precision bear- ings. Anthony Bearings, Pty., Ltd., 172 Perry St., Fairfield, Victoria. Company specializing in air-conditioning equipment and duct hardware seeks license to produce air difusion, associated equip- ment. I & M Suppliers, Pty., Ltd., 772 Hawthorn Rd., E. Brighton, Victoria. Manufacturer of variable speed drives seeks joint venture partner to provide capi- tal to expand facilities. Singer Manufactur- ing, 156 Waverley Rd., E. Malvern, Vic- toria. 358 Service industry machines Vending machine manufacturer seeks li- cense to produce U.S. designed machines. Continental Instrument Co., Pty., Ltd., 308 Bay Rd., Cheltenham, Victoria. License sought for the manufacture of fluidized bed freezers, dehydrators. Hamil- ton Moore & Associates, 2 Queens Rd., Melbourne, Victoria. Manufacturer of various electrical ma- chinery, equipment seeks license to make post mix soft drink dispenser. Ainsworth Consolidated Industries, 108 Dunning Ave., Roseberry, N.S.W. 361 Electrical components Manufacturer of electrical parts seeks li- cense to make small switches, T.V. tuners, relays, thermostats, similar items. Ring- Grip Australasia, Pty., Ltd., 40-68 Mollison St., Abbotsford, Victoria. 362 Controls Manufacturer of valves, electronic con- trols seeks license to produce line of U.S. electronic valves, controls. Chatleff Sales P/L, 2 Norfolk Rd., Greenacre. Television manufacturer wants license to produce industrial controls, instruments, spe- cial valves. E. M. I., (Aust), Ltd., 301 Castle- reagh St., Sydney, N.S.W. 363 Household appliances Radio, TV, appliance manufacturer seeks license to make small U.S. appliances such as toasters, hair dryers, ironers. Pye Indus- tries, Ltd., (Pye Ltd.-U.K.), Carrington Rd., Marrickville, N.S.W. 364 Lighting fixtures License wanted to make U.S. designed commercial, industrial lighting fixtures. F.W. Green & Co., Pty., Ltd., 100 Queen St., Melbourne, Victoria. 365 Tape recorders Small appliance manufacturer seeks li- cense to make tape recorders. Hanimex Pty., Ltd., Old Pittwater Rd., Brookvale, N.S.W. 366 Communication equipment Manufacturer of electronic instruments wants joint venture for production of com- munication signal generators, transceivers for aircraft. Jacoby, Mitchell & Co., Pty., Ltd., 469-475 Kent St., Sydney. 367 Electronic components Electronic components manufacturer wants license to make sophisticated controls, con- nectors, terminals, antennae. Belling & Lee, (Aust.), Pty., Ltd., Cnr. Canterbury & Colchester Rds., Kilsyth, Victoria. 371 Automotive electrical equipment Electrical equipment manufacturer inter- ested in being licensed to make small auto- motive electrical equipment. National Tele- vision Engineering, Pty., Ltd., 144 Bouverie St., Carlton, Victoria. 382 Water meters License sought to make water meters for homes by manufacturer of switchgear, dis- tribution systems, time switches. H. Rowe & Co., Pty., Ltd., 7 Flinders Ct., Mel- bourne. 384 Orthopedic appliances Orthopedic appliances manufacturer seeks joint venture to make U.S. designed appli- ances. Orthopedic Appliances, 230 Collins St., Melbourne, Victoria. Varied products Manufacturer of automotive parts seeks license for production of geared speed re- ducers, gear wrench for removing nuts from trucks. Newvale Engineering Co., Pty., Ltd., Clarke St., Crow's Nest. Licensing arrangement sought for the manufacture of anything allied to paint trade such as glues, abrasives, paint brushes, rollers, water proofing materials. B. G. Plummer & Co., Pty., Ltd., 74-78 Brandling St., Alexandria. License sought for the manufacture of warm air furnaces, hot water boilers, space heaters, refrigeration equipment for trans- portation industry, environmental test cham- bers. Dane Air Conditioning, Pty., Ltd., 210 Silverwater Rd., Lidcombe, N.S.W. Bowling equipment manufacturer seeks license or joint venture for the production of building materials, electronic equipment, business machines, small computers, small farm vehicles, off-highway vehicles. Black- lock Industries, P.O. box 77, Lane Cove, N.S.W. 1965 AID programs The Agency for International Development has released detailed information on proposed AID pro- grams on a regional and country basis. Copies, priced at 70 cents, can be purchased from the Superin- tendent of Documents, Government Printing Office, Washington, D.C. The information comes from a summary presentation of this year's request for $3.4 billion in new ap- propriations to conduct economic and military assistance programs during fiscal year 1965. This is the first unclassified pres- entation to provide detailed infor- mation about proposed AID pro- grams on a regional and country basis. About three-fourths of the 210-page volume is devoted to regional and country-by-country accounts of development projects and of AID activities and proposed programs. 33 the semi-annual Checklist Publication for International Traders This checklist is issued semi-annually— in July and Jan- uary—by the Bureau of International Commerce. A single copy will be mailed without charge upon request. Use the coupon below. PUBLICATIONS DIVISION, BIC U.S. DEPARTMENT OF COMMERCE WASHINGTON, DC, 20230 Gentlemen: Please put my name on your mailing list to receive the Checklist of International Business Publications when it is issued. Typing must be confined to length indicated according to style of typewriters used. Siart Elite Pica Exec. I \ f f Firm Person's name Street address City, zone and state : | C HpniirtmAnt r»f PAtnmprnp— > Field Office ' U. O* JL/CLIilJ. HII ALBUQUERQUE, N. MEX., 87101 DENVER, COLORADO, 80202 X 1C1U V/ A. 1. .1 V/ C/ 9 NEW YORK, NEW YORK, 10001 U. S. Courthouse 1 42 New Custom House 61st Fl. Empire State Building 19th & Stout Street 350 Fifth Avenue ANCHORAGE, ALASKA, 99501 DETROIT, MICHIGAN, 48226 PHILADELPHIA, PA., 19107 Room 306 Loussac-Sogn Building 445 Federal Building Jefferson Building 1015 Chestnut Street ATLANTA, CEORCIA, 30303 CREENSBORO, N. C, 27402 Room 407 U.S. Post Office Building PHOENIX, ARIZONA, 85025 4th Fl., Home Savings Bldg. 75 Forsyth Street, NW. New Federal Building HARTFORD, CONN., 06103 230 N. 1st Avenue BIRMINGHAM, ALABAMA, 35203 1 8 Asylum Street PITTSBURGH, PA., 15222 Title Building HONOLULU, HAWAII, 96813 2030 Third Avenue 1030 Park Building 202 International Savings Building 355 Fifth Avenue 1022 Bethel Street BOSTON, MASS., 021 10 PORTLAND, OREGON, 97204 Room 230 HOUSTON, TEXAS, 77002 80 Federal Street 5102 Federal Building 5 1 5 Rusk Avenue 217 Old U.S. Courthouse 520 SW. Morrison Street BUFFALO, NEW YORK, 14203 RENO, NEVADA, 89502 504 Federal Building JACKSONVILLE, FLORIDA, 32202 1479 Wells Avenue 1 17 Ellicott Street 512 Greenleaf Building 204 Laura Street CHARLESTON, S. C, 29401 RICHMOND, VIRGINIA, 23240 No. 4 North Atlantic Wharf KANSAS CITY, MISSOURI, 64106 2105 Federal Building CHARLESTON, W. Va., 25301 Room 2011, 911 Walnut Street 400 North 8th Street 3002 New Federal Office Building 500 Quarrier Street LOS ANGELES, CALIF., 90015 ST. LOUIS, MISSOURI, 63103 CHEYENNE, WYOMING, 82001 Room 450 Western Pacific Building 251 1 Federal Building 1031 S. Broadway 1 520 Market Street 207 Majestic Building 16th & Capitol Avenue MEMPHIS, TENNESSEE, 38103 SALT LAKE CITY, UTAH, 84111 345 Federal Office Building 3235 Federal Building CHICAGO, ILLINOIS, 60606 167 N. Main Street 125 South State Street Room 1 302 SAN FRANCISCO, CALIF., 94102 226 West Jackson Boulevard MIAMI, FLORIDA, 33132 Federal Building 408 Ainsley Building 450 Golden Gate Avenue CINCINNATI. 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