THE NEW TARIFF

Hokitika Guardian, 14 May 1930, Page 2

THE NEW TARIFF

CONDITIONS IN AUSTRALIA

A DRASTIC CHANGE

WELLINGTON, May 9

“People over there are only just beginning to realise faintly the effect oi the new Seullin tariff in Aastralia,” said a Sydney business man to-day. .“1 can assure you it came like a bolt front' the blue, and has upset the arrangements of thousands of people. One does not expect a Prime Minister to tell the country what he intends to do when a change in the Customs tariff is being made, but this one was so drastic that L doubt if it lias had any precedent on this side of the world. At all events indent agents of foreign goods, especially luxury goods, have been knocked out, altogether, and there are some thousands of them in Sydney, Melbourne, Brisbane, and Adelaide. Goods are continuing to arrive which people will not accept, owing to the added duty. You cannot blame the retailer for not taking up the drafts, as the goods were ordered under certain existing conditions. Mr Seullin has seen fit to vary those conditions, so urileSl the goods can be unloaded they dry either being held or sent back at 'the shippers’ risk. 1 !M ’ l! “I believe an attempt is being made to unload certain goods refused in Australia On to' New Zealand, at aU most any price.

IMPORTING HOUSES HIT,

/’All tho big importing houses have' be'en badly hit.? H heard of .one in--1 stance 1 iflhere • ia machine of foreign manufacture ' uded-"'by 80 per . cent, bf the kineina houses had been put clean out of the market, because there is an Australian one capable of doing the same work, yet to-day that foreign machine would cost less in New Zealand than the Australian-made one under these conditions.

“Things are pretty bad in Sydney. The number of men who have held fairly good positions in the city, and who have been summarily dismissed, ••as; a downright’. necessity, ■is Irpt-Mr appalling. Soihei ‘ofqthem are sd down and out : that they fare : hot above : asking .their friends‘for * the loam l of : r a; pound or. two to > isee- nthem along for a couple bf days..)!.The * Railw&tv • i’Department;.recently? 1 !, dismissed 59*00 men at a time.; Whatiicis to rto them 2 No one : can MsayLl [Building operations have slumped incredibly. •The sources of 1 firidneb have' 'suddenly dried up.

WORSE IN THE COUNTRY;' 1 '

“They simply ciannot continue, as there is nothing to pay out with at the end of the week, and. (bad us it is in Sydney and Melbourne, tho conditions in the country towns are worse, as there they are. face, to face, with low, prices fqr,. all products, from the land., I heard •,of. .one mqn in,i .ft small, to>v.n in f NewSopfh>, Wtd.es ,s}&. was finding it difficult to,. make. ends, meet, .a@, j he cqujd , ; npt lM| get tljip, money owing to Inn*. . wo?,-#.,;ga£-. age proprietor and rg-n ,q,,bow.sor,;,,Ln desperation he ppjb **p ( ,.q,,.notice: .‘petrol 2s fld a, gallon,, cas »;3sj.]#>qke | E- , i Thinking this wqidfl produpe ;)l iy,hat. was desired, to Ips./surprise his, ejignfe continued to topic,,,,, .... “The big. store,s ? in,Sydney.;.fai^4‘ep]ring the pinch, like order to economise they have made arrangements for staffs to go off one week in five, in sections, to save what wages for that week would cost. It is either that or dismissal.

WARNING TO NEW ZEALAND,

“You are fortunate in New Zealand. You may not think it with wool and butter down, but by comparison with Australia you are in clover, All the same your Government would be wise to go very slowly in the matter of expenditure for a time. Over-spending .. .nationally, in conjunction with low prices tor wool, meat, and wheat, has brought Australia up with a round turn,. It is not a very’ pleasant experience for anyone.. To many it is tragic. Some who left on holiday and business trips to Europe in February and March have had to curtail them and rush back home, to save what they can from the wreckage.

ONE GREAT HOPE,

“The one great hope is that the Seullin coup will lead to a greater degree of activity in local industries.

“Already overseas firms are taking steps to establish factories in Australia in order to avoid the duties imposed. One widely known firm of silk stocking makers has announced plans to that end, and I heard that a big Swedish firm of watch manufacturers was setting up a factory in the Commonwealth. If a few hundred of them came along, and, for preference, set up in some of the provincial towns instead of the cities, it would help Australia immensely at the present juncture.” ®