MORE FREEDOM IN COTTON GOODS

Chronicle (Levin), 17 September 1946, Page 8

MORE FREEDOM IN COTTON GOODS

— Pres 8 Association

NEW ARRANGEMENT EXPLAINED

By Telegraph-

WELLINGTON, Sept. 16. More freedom is to be given the trade m the importation of cotton textiles, said the Minister of Supply tonight, but while he hoped all sectiops o.f the comniunity would be catered for, essential needs met adequateiy, and that emphasis would not be placed on the importation of luxury lines, he emphasised that New Zealand was not to receive any greater quantity of cotton than in I he past. Mr. Sullivan said that for almost four

years it ha^j. been necessary for his departnient to maintain the sponsorship lor essential tyjies of cotton pieee goods from the United Kingdom because of the wartime shortage. New Zealand was allotted a quota in tons of cotton which was tlie overall quantity which could be exported here, and included piece goods, yams and threads. Some porlion was at all times available from tlie overall quota, for free action by impofters and tliis was known as the tradersJ quota which United Kingdom authorities have indicated could be inereased at the expeiise of the sponsorable quota, and which would assist the cotton control to return freedom of action to cotton manufacturers. The Minister said the Government had now decided that the traders' quota be substantially increased and that sponsorship be limited to six types oi cloth for which there was special need — silesias and linings, bothand show linings, furnishings (coverings only), sliirtings, diaper cloth/ calico (bagging only) and certain otlier lines purely of an industrial nature. All other types of pure cotton goods were relieved from sponsorship and importers 'should make efforts to obtain supplies through normal commereial channels, added the ilinister. "It is to be understood that there is no automatic increase in ihe overall quantity of cotton available to New Zealand otlier than the United Kingdom production surpius to iixed alloeations made to various countries, " said. the Minister. "Under the open export scheme exporters receive a relatively small quantity of cotton which they inav export to any market with which United Kingdom has payment arrangements and New Zealand sliares to so'me extent in this additional production."