INCREASED DUTY

Hokitika Guardian, 18 December 1931, Page 5

INCREASED DUTY

ON WHEAT AND FLOUR.

FOR PROTECTION OF INDUSTRY.

[Dy Telegraph, Per Press Association.)

NEW PLYMOUTH, Dec. 17.

The decision of the Customs Department to increase the‘’duty on the wheat and flour imported from Australia by the amount of exchange premium on the f.o.b. price of the imports which would be obtainable at the rate current for the time being, irrespective of whether the importer rereim-s the benefit of the premium or not, was the subject of a deputation of business men to Mr Masters, ’Minister of Industries and Commerce. In asking that the decision of the Department, be not put. into effect, -Mr Cordon Fraser said that Australian flour was looked upon by the vast majority of the bakers as a necessity for blending purposes, and it was absolutely essential during the period when the new season’s wheat was being used by the local millers.

If the object was extra revenue would not a decrease in the duty .be better,’ as it would largely increase the imports? However, the sliding scale of the duties was framed, not for revenue purposes, but to .at least restrict to a minimum,' if not to abolish, the import of flour. This Ordtu’-in-Council of increasing the duly by roughly £1 per ton would, to a large extent, directly nullify the reduction in the duty that Parliament had decreed would operate nissft year. These small imports of Australian flour wore the only protection that the public had from the prices being inflated by the millers’ combination,

Hon. Mr Masters said, in reply, that the sliding .scale of dully was not intended by Parliament to be a producer of revenue. It was for the protection of the milling and the wheat industry of New Zealand, He would put the views expressed by the deputation before the Acting-Minister of Customs, Mr Forbes.