Non-Profit Company To Import Cement

Chronicle (Levin), 20 August 1949, Page 7

Non-Profit Company To Import Cement

' - WELLINGTON, August 19. To meet the diffic'ulties that have been experienced through the shortage of cemeht the Government has arranged for the three New 'Zealand cement companies to establish a non-profit-making company to be called Cement Importers (N.Z.) Limited for the purpbse of importing cement. This .-vvas announced tonight by the Minister of Industries •and Commerce (Mr. Nordmeyer). -- The Minister added that the Government would determine the quantity to be imported- and import licence* Would be issued only to the new company. - ' . "It is - considered that this is the most practicable way of arranging Lm portations in view of the faciiities the companies possess for distributing cement, " said Mr. Nordmeyer. The arrangement Would not apply to coloured an'd special cements. "The landed cost of imported cement is much higher than the jprice of the local product, ' ' the Minister continued. "To avoid the difficulties vvhich would otherwise arise it is proposed to pool the priee of the local and imported cement and to sell both at the same priee in the same locality. T'his will involve a surcha'rge in the case o± the local product of 25s per ton which is equivalent to 6d per bag on cement sold in paper bags and 18d on cement in jute bags.;' The Minister said the first shipment of cement to reach New Zealand was being landed, and it was proposed that the new pool priee would take effect on August 22. . "I understand that the three cement companies .are contemplating the installation of additional plant to meet the company 's greatlv enhanced de mand for cement," said the Minister. "Due to the inevitable" delays in securing machinery of this type from overseas'it will be at least two years before the first exuension goes inio production. Until the new plant is installed importation will be continued in order to meet the Dominion 's requirements. Adjustments in the pool priee may need to be made from time to time according to the quantities imported and the landed cost."