The Hawaiian gazette., 1914-09-15

Australasia Is suffering from imam
cial and industrial depression, brought
on by the European war, that will
take that country many years to reeov.
er from, Is the news brought by James
A. Kennedy, president Of the Inter-Is
land Steamship Company, who has re.
turned from business trip to the An.
tipodes .
"The war in Europe has brought
business TO practically standstill, "
said Mr.. Kennedy. tThis vast coun-
try, wonderfully rich in agriculture
and mineral products, finds itself cut
of from the rest Of the world, with no
market for its wool crop, no factories
Of its own to handle even small per
centage Of its wool output and the
markets Of Germany, France and Eng.
land, upon which she depended for her
supplies, cut off from her.
arrived in sydney, August Z, and
although the war had been In progress
but few days the people seemed to
be stunned as they began to realize
the position that their country was
placed in.
Suffering Becomes Serious
"Some of the largest mercantile
firms were obliged TO discharge nearly
two thirds Of their help and the suffer
ing among the people when left, the
latter part of the month, was begin.
ming TO be serious. Still with all this,
the patriotism Of the people is marvel
Gus. Everywhere in Australia young
men, the flower Of the country, are
volunteering, and in every square and
park companies Of recruits are being
drilled. Troops are being dispatched
from day to day, but no one, not even
the soldiers themselves, know what
their destination is.
81 met agents for several large
sheep stations and they told me that
they were Offering wool for any price
they could get and found no buyers
One case in particular comes to my
mind, where certain wool factor in
Sydney had consignment which was
valued before the war at 100000. He
was offering il for sale at $4,000 and
could find no market. This Is only one
of many similar Instances that have
heard of.
Conditions Affect Honolulu
Strange as il may seem, these con
ditions will have some effect upon Ho-
nolulu. went to Australia to con
tract for several coal eargoes for the
Inter-Island Company. The vessels
that bring coal here from Australia
load lumber first on Puget Sound for
the Antipodes and on their return trip
bring coal here. In this manner vessels
practically AVE full cargo for the
round trip. Under the present condi'
tions in Australia, however, vessels ar.
irving there with lumber have d1fiicul-
ty in disposing of their eargoes. All
building operations have been suspend,
ed and lumber is going begging. The
result is that we are not able to con.
tract for any length of time ahead for
bottoms to carry coal here To sum IL
up in few words Australia is just
beginning to realize the folly Of free
trade and Of not encouraging local in.
dustries by protective legislation. The
condition OF the country from an eco.
nomic and financial standpoint is q Sc
rious one and how soon any relief will
come is a question that is hard to an
Vital Blow Is Dealt
An expression along the same lines
as those Of Mr.. Kennedy from an
American who has spent sixteen years
in Australia Is of much interest:
A vital blow has been struck at
Australasia 3 financial and Industrial
progress by the present European war,
and q stagnation that shows evidence
of being the worst that country ever
has experienced is threatening"
Thus did Richard Brasch, a passenger
from the Antipodes on the steamer Ven
tura, declare himself. For sixteen years
Mr.. Braseh was resident OF Syuney,
and was a heavy stOekholder as well
as the business manager of the sydney
Bulletin, a weekly publication that has
a wide circulation throughout England
and the British colonies. g..
Mr.. Brasch said that when news was
first received in Australia Of war be-
ing declared, business was almost para
lyzed. When the full meaning of the
situation dawned upon the people bust
ness conditions became such that q
number of large firms failed. Mr..
Brasch has sold all of his interests in
Australia and will start life anew in
America. l,. - - - ..
Australia Is Paraiyzed
- No one except those who we're
there can realize what this European
conflict has done and what II means for
the future Of Australia, said Mr.,
Brasch. Although rich agrieulturally,
Australia has practically no manufac-
A a. H.. ,au