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Hokitika Guardian, 15 October 1927, Page 2

The reply Mr Seddon elicited from the .Minister of Customs regarding the duty j on gold-dreilging machinery when tlio item was before the House, indicates a material change in the'general position. From the telegraphic report of the particulars in reply to Mr Seddon’s enquiry, it seems that a reduced duty is to he charged under certain conditions. This, however, places the matter in the hands of the Minister or his Department. We do not know that this is entirely satisfactory for undue power is given in a personal way, when in reality the question is really one for common prudence—the matter of maintaining an important industry in tho Dominion. The effect of the concession as made by tho Minister is that dredging material is moved from outclass to another under certain stipulations. The conditions governing the change which carries also a reduction of the customs' duty to free for British imports and 20 per cent, ail valorem for foreign, is that 'the Minister may refuse to approve the entry of any article under this item if he is satisfied that the same could have been made economically in New Zealand. Then, further, if tho Minister find* tho machinery cannot he made economically in New Zealand and Britain, it comes in free from America. In the past the rate of duty was 15 polecat. if the machinery can he made in New Zealand and is still to ho imported, the duty is to be 40 per cent. If it cannot lie made in but can he made in Britain, the duty is to he 20 per cent. Then, thirdly, if the machinery cannot be made economically in either New Zealand or Britain, then it is to come in duty free. The position is hedged round with many conditions, which on tho face of it seem quite unnecessary. Regarding the matter in its true light here is a class of machinery intended to improve the productive capacity of tho country at the same time affording general employment at no mean rates of payment. To seek for revenue from this class of import tended to block its purchase anil so stagnates the industry. It lias remained for tho powerful dredges from elsewhere to cope with tho New Zealand drifts economically. Tho local dredges and material have proved inadequate for the task after wasting thousands of pounds of private capital locally provided. The class of dredging undertaken hero and demonstrated to bo practicable was with high powered plants built of peculiarly strong material. The cost of this plant much more expensive than any dredges previously built locally was all defrayed by outside capital so that something very material was brought into New Zealand to assist develop ono of its primary' industries. It seems wrong on the face of it to seek to check enterprise of the nature referred to. Here where the value of the enterprise can be guaged by the public at largo they can speculate on the difference between dredging as it is carried on, and not any dredging at all. A very lucrative adjunct to local trading would lie lost, and a blow to the district would be felt which would be farreaching. Mr Seddon lias been able to bring influence enough to bear to create a very pleasing diversion of what at the outset was a desperate blow at the industry, and it is to bo hoped Ministerial decisions in regard to tlie production of tlie machinery will be satisfactory enough to 'enable such useful productive plant to escape, a penalty which would check the industry in this district.