171 



procured, the best locality for a factory, and what profit 

 may be expected." Such letters are important not so 

 much as showing enterprise but as displaying the extra- 

 ordinary and light-hearted ignorance of enquirers who, 

 quite genuinely, think that they could be instructed off- 

 hand by letter in a complicated manufacturing industry, 

 involving a large knowledge of applied chemistry, tech- 

 nology, and trade. Such inquiries, as well as facts 

 relating to the stagnation of industrial enterprise, show 

 the necessity for Government experimental and demon- 

 strational factories like those of this department where, 

 on behalf of such genuine inquirers, Government may, on 

 approved industries, legitimately spend State money 

 without expectation of commercial profit as a necessary 

 primary result, first in ascertaining facts, processes, mar- 

 kets, etc., and then in orivinor thorouoh instruction to 

 men prepared to spend capital and energy in starting 

 private factories with real knowledge of the work. This 

 is the basis of my reply to the Industrial Commission 

 who have asked whether Government factories should 

 be handed over to private enterprise when they had 

 " made their proofs"; I reply in the negative because 

 the first duty of the Government factories is experiment ; 

 the second is general demonstration, and the third 

 advice and full instruction. Even in the presence of 

 great factories, should such be established. Government 

 factories may long be needed in order to teach and 

 advise the smaller folk, to promote small enterprise 

 alongside of large, to prevent monopoly and secret ex- 

 clusiveness, and to provide skilled artizans and foremen, 

 instructors and inspectors. 



22. Soap works.* — Soap manufacture is reported on 

 here because it has been placed personally under myself, 

 and because in one br mch it uses the fish oil made 

 in our Tanur station and elsewhere. As explained in 

 last year's report, fish oil is only used for insecticidal 

 soaps used on plantations and estates, and forms no 

 part whatsoever of soaps used for household or toilet 

 purposes. 



23. jFis/i oil soaps. — Only 12 tons of this Tanur 

 product were made and sold in the year as against 25 



* From 1918 the report on this branch will be separate. 



