CANADA'S NEW TARIFF

Dominion, Volume 8, Issue 2404, 9 March 1915, Page 9

CANADA'S NEW TARIFF

DETRIMENTAL TO N,Z. TRADE.

(By Telegraph.—Press Association.) ' Auokland, March 8. The action of the Canadian Government in imposing_ extra duties on New Zealand produce imported .into Canada 5a likely to have a restrictive effect upon the volume of trade done between the two "Dominions. The matter was referred to by Mr. J. G. Harkness, of Wellington, manager and secretary of the National' Dairy Association, who returned by the Niagara from Vancouver and' San Francisco, after a, short business trip. The Canadian Government has recently revised the tariff, and has decided to put a surcharge, on New Zealand produce imported into Canada to the extent, of 5 per cent, ad valorem.' Under the preferential agreement with Canada, said Mr. Harkness, there was a fixed duty on New Zealand butter of 3 cents, equal to ljd : . per lb'. As New Zealand butter was to-day worth probably 30 cents c.i.f., or Is. 3d. per pound, the imposition of . a new ad valorem duty meant that the-total duty on butter was now 4} cents per lb';—an jncrease of 1£ cents. . "The duty is going to bo a big handicap, especially to New Zealand butter," said' Mr. Harkness, "and will in like measure affect other exports from New Zealand to Canada."

The imposition of the new tariff, Mr. Harkness added, meant that the Canadian producer was given additional protection. New Zealand producers might have to reduc© the_ pric» of their butter. "From inquiries made in various directions," Mr. Harkness continued, "I am inclined to the opinion that California will not be a good market for New Zealand butter. The possibilities in connection with the State are very great, and if the farmers and the settlers. turn their attention to dairying they will probably be able to produce sufficient for their own requirements for some years to como. Vancouver, in my opinion, is a different proposition. New Zealand butter has a first-class reputation there, and there should be a consistent demand for . a certain- quantity, which unfortunately the new duty may to a considerable extent restrict. The only possible way that any redress could be obtained in regard to the duty would be by the New Zealand Government making representations to Canada."

Mr. Harkness concluded by remarking that he thought the new ad valorem duty had been added to tbe fixed duties to meet expenditure in connection with the war; possibly it would not bo permanent. N