Manufactures Encouragement Act 1908

Legislation au C1908A00026 Not in force Act

Legislation content

 

MANUFACTURES ENCOURAGEMENT.

 

No. 26 of 1908.

An Act for the Encouragement of Manufactures in the Commonwealth.

[Assented to 14th December, 1908.]

Preamble.

BE it enacted by the Kings Most Excellent Majesty, the Senate, and the House of Representatives of the Commonwealth of Australia, for the purpose of appropriating the grant originated in the House of Representatives, as follows :—

Short title.

1. This Act may be cited as the Manufactures Encouragement Act 1908.

Commencement.

2. This Act shall commence on the first day of January One thousand nine hundred and nine.

Authority to pay bounties.

3. The Governor-General may authorize the payment, out of the Consolidated Revenue Fund, which is hereby appropriated for the purpose, of bounties on the manufacture in Australia, after the commencement of this Act, of the goods specified in the Schedule to this Act, according to the rates set out in the said Schedule.

Provided that no payment of bounties shall be authorized under this Act on any of the goods mentioned in the Schedule, manufactured after the issue of a Proclamation under any Customs Tariff bringing into operation any duties of Customs on such goods.

Provided further that no bounty shall be authorized to be paid on any goods manufactured or supplied or to be manufactured or supplied under a contract containing a term or condition permitting


or providing for the deduction of the amount of the bounty or any part thereof from the price or moneys payable for the goods to the manufacturers.

How value is to be ascertained.

4. Where the rate of bounty is fixed on the value of the goods, their value shall be taken to be the same as the value of imported goods of the like kind and quality as ascertained for the purposes of Customs duties.

Limit of total amount of bounties.

5.—(1.) The total amount of the bounties authorized to be paid in respect of any particular class of goods shall not exceed the amount set out in the third column of the Schedule opposite the description of that class of goods.

(2.) The maximum amount of bounty which may be paid in any one financial year in respect of goods specified in Class 1 in the Schedule shall not exceed Thirty thousand pounds.

Provided that, where the maximum amount has not been so paid in any year, the unpaid balance, or any part thereof, may be paid in any subsequent year, in addition to the maximum amount for that year.

When bounties to cease.

6. No bounty shall be authorized to be paid on—

(a) Pig iron, puddled bar iron, or steel, made after the thirtieth day of June One thousand nine hundred and fourteen ;

(b) Galvanized iron, wire netting, or wire, or iron or steel pipes or tubes, made after the thirtieth day of June One thousand nine hundred and twelve.

Proof of good quality and compliance with Act to be furnished.

7. No bounty shall be authorized to be paid to any person other than the manufacturer of the goods nor unless the manufacturer of the goods furnishes proof to the satisfaction of the Minister that the goods are of good and merchantable quality, and that the requirements of this Act and the Regulations have been complied with.

Assignment of manufacturing plant.

8. All bounties in respect of pig iron, puddled bar iron, or steel, shall be granted on the condition that the manufacturer shall, if required, transfer as provided in this Act the lands, buildings, plant, machinery, appliances, and material used in the manufacture of the goods.

Bond to be given by manufacturer.

9. The person claiming any bounty in respect of pig iron, puddled bar iron, or steel, shall give his bond to the Commonwealth, in a sum to be fixed by the Minister (in this Act called the secured amount) conditioned to be void if he transfers to the State in which the goods are manufactured all lands, buildings, premises, machinery, plant, and equipment of any kind used in or in connexion with the manufacture of the goods, if so required by the Governor of the State within twelve months after the date of expiry of the bounty with respect to that class of goods; such transfer to be in consideration of fair compensation for the property transferred, to be assessed in case of dispute by the President of the Commonwealth Court of Conciliation and Arbitration, whose determination shall be final and conclusive and without appeal.


Breach of conditions of bond.

10. In case of any breach of any of the conditions of the bond, the full secured amount shall be recoverable as liquidated damages.

Rate of wages.

Cf. 1905, No. 23, s. 9 ;

1907, No. 12, s. 6

11.—(1.) The person claiming any bounty under this Act shall, in making his claim, certify to the Minister the rate of wages paid by him to employees in connexion with the manufacture of the goods on which the bounty is claimed.

(2.) If the Minister finds that the rates of wages, or any of them, are—

(a) below the standard rates prescribed by any Commonwealth or State industrial authority, or

(b) in the absence of any such standard applicable to the case, are below the standard rates paid in the locality in which the goods are manufactured, or

(c) in the absence of any such standard rates respectively, are, on application by the Minister to the President of the Commonwealth Court of Conciliation and Arbitration, declared not to be fair and reasonable by him or by a Judge of the Supreme Court of a State or any person or persons who compose a State Industrial authority to whom he may refer the matter,

the Minister may withhold the whole or any part of the bounty payable.

(3.) All the provisions of the Excise Procedure Act 1907 and of any regulations made thereunder shall apply in relation to any application under paragraph (c) of the last preceding sub-section as if the application were an application as defined in that Act, and the application shall, for the purposes of that Act, be deemed to be an application under that Act:

Provided that section 4 of that Act shall be read as if the words claimant for bounty were substituted for the word applicant.

Offences against Act.

12. No person shall—

(a) obtain any bounty which is not payable;

(b) obtain payment of any bounty by means of any false or misleading statement; or

(c) present to any officer doing duty in relation to this Act or the regulations, any document, or make to any such officer any statement, which is false in any particular.

Penalty: One hundred pounds, or twelve months imprisonment.

Aiding and abetting offences.

13. Whoever aids, abets, counsels, or procures, or by act or omission is in any way directly or indirectly knowingly concerned in, the commission of any offence against this Act, shall be deemed to have committed that offence and shall be punishable accordingly.

Return to be laid before Parliament.

14. A return setting forth—

(a) the names of all persons to whom bounties were paid during the preceding financial year;

(b) the amounts of all such bounties;

(c) the goods in respect of which the bounties were paid;


(d) the names of the places and States in which the goods were manufactured;

(e) the number of persons employed in each of the works, wages paid, and hours observed in the production of the goods,

shall be prepared in the month of July in each year and shall be laid before both Houses of the Parliament within thirty days after its preparation if the Parliament is then sitting, and if not, then within thirty days after the next meeting thereof.

Regulations.

15. The Governor-General may make regulations, not inconsistent with this Act, prescribing all matters which by this Act are required or permitted to be prescribed or are necessary or convenient to be prescribed for giving effect to this Act, and in particular for any of the following purposes :—

(a) For prescribing the minimum quantity of goods to be manufactured to entitle the manufacturer to claim the bounty;

(b) For prescribing the proportion in which bounty shall be payable to claimants who have complied with the prescribed conditions, in cases where there is not sufficient money available to pay the full bounty in respect of all the claims;

(c) For providing for the inspection of the process of manufacture and the books of the manufacturer for the purpose of ascertaining and reporting on the cost of production and manufacture.

 

THE SCHEDULE.

Description of Goods.

Rate of Bounty.

Total Amount which may be authorized.

Date of Expiry of Bounty.

CLASS 1.

 

 

 

Pig iron made from Australian
ore

12s. per ton

 

 

Puddled bar iron made from Australian pig iron

12s. per ton

£150,000

30th June, 1914

Steel made from Australian pig iron

12s. per ton

 

 

CLASS 2.

 

 

 

Galvanized sheet or plate iron or steel (whether corrugated or not) made from Australian ore

10 per cent. on value

 

 

Wire netting, not being prison made and being made from Australian ore or from wire manufactured in the United Kingdom

10 per cent. on value

£30,000

30th June, 1912

Wire made from Australian ore

 

 

 

Iron and steel tubes or pipes (except riveted or cast), not more than six inches internal diameter, made from Australian pig iron or steel

10 per cent. on value

 

 

 

Overview

The Manufactures Encouragement Act 1908 was enacted to provide financial incentives for the establishment and growth of manufacturing industries within Australia. The Act was passed by the Commonwealth Parliament and received royal assent on 14th December 1908, with the aim of fostering local manufacturing by providing bounties for the production of certain goods. The Act allows the Governor-General to authorise payments from the Consolidated Revenue Fund for bounties on specified manufactured goods, subject to various conditions, including quality standards and adherence to wage rates. The bounties were intended to support the manufacturing sector until the industries could become self-sufficient, with certain bounties set to cease after specific dates. The Act also mandates the reporting of bounty payments to Parliament and provides for penalties against those who obtain bounties illegally or engage in related offences. The policy objective of the Manufactures Encouragement Act 1908 was to stimulate the development of domestic manufacturing capabilities by offering financial support, thereby reducing reliance on imported goods and contributing to economic growth and employment. The Act established a structured approach to providing bounties, ensuring that the benefits were directed towards compliant and productive manufacturing operations.

Scope and Application

The Manufactures Encouragement Act 1908 applies to the manufacture of specific goods within the Commonwealth of Australia. It authorises the Governor-General to pay bounties on the manufacture of specified goods in Australia after the Act's commencement, provided certain conditions are met. The Act applies to manufacturers of goods listed in the schedule, including pig iron, puddled bar iron, steel, galvanized iron, wire netting, wire, and iron or steel pipes or tubes, all made from Australian ore or Australian pig iron. The bounty payments are subject to a limit per financial year and cease for certain goods after specific dates. The Act also imposes requirements on the quality of goods and compliance with its provisions and any regulations. The bounty payments are conditional on manufacturers providing proof of good quality and compliance with the Act and any regulations. Additionally, the Act includes provisions for the assignment of manufacturing plant, the giving of bonds by manufacturers, and penalties for breaches of the conditions of these bonds. The Act further mandates the certification of wage rates by manufacturers and allows for the withholding of bounties if wages fall below prescribed standards. It also prohibits the obtaining of bounties by false or misleading means and imposes penalties for such offences. The Governor-General is empowered to make regulations for the administration of the Act.

Key Provisions

The Manufactures Encouragement Act 1908 (the "Act") sets out the framework for the payment of bounties on the manufacture of certain goods within Australia. Under section 3, the Governor-General has the authority to pay bounties on specified goods listed in the Schedule, provided that certain conditions are met. The bounties are paid out of the Consolidated Revenue Fund, as appropriated for this purpose. Notably, bounties may not be paid on goods manufactured after the implementation of certain customs duties, as specified in the Act, and the bounty cannot be deducted from the price or moneys payable for the goods to the manufacturer, as per the provided provisions. The Act imposes several obligations on the manufacturers and entities it governs. For instance, manufacturers must provide proof of the goods' quality and compliance with the Act's requirements, as outlined in section 7. Additionally, manufacturers must comply with the wage standards stipulated in section 11, and failure to do so may result in the withholding of the bounty. The assignment of manufacturing plant and equipment is also regulated under section 8, where manufacturers may be required to transfer their plant and equipment if requested by the Governor-General. Moreover, manufacturers must give a bond to the Commonwealth as per section 9, which imposes conditions for the transfer of manufacturing assets. Breaches of the Act's provisions can lead to civil and criminal consequences. Section 12 outlines offences such as obtaining a bounty that is not payable, making false statements to obtain a bounty, and presenting false documents or statements to an officer. The penalty for such offences is a fine of up to one hundred pounds or imprisonment for up to twelve months, as stated in the Act. Section 13 further stipulates that aiding and abetting the commission of any offence against the Act is also punishable, with the offender deemed to have committed the offence themselves. In summary, the Manufactures Encouragement Act 1908 provides for the payment of bounties on specified manufactured goods, subject to certain conditions and limitations. The Act imposes obligations on manufacturers regarding the quality and compliance of their goods, wage standards, and the assignment of manufacturing assets. Breaches of the Act's provisions can result in fines and imprisonment, with additional penalties for aiding and abetting offences.

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Commercial Law
Industrial Law
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Act
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Commencement Provisions
Offence Provisions
Reporting & Disclosure Obligations
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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.