BRITISH TARIFF

Hokitika Guardian, 8 March 1932, Page 3

BRITISH TARIFF

HOW NEW ZEALAND FARES. CONCESSIONS COMPARED. It is estimated reliably that under tlie new British import duties, which became operative on Tuesday, New Zealand will enjoy an advantage of approximately £2,100,000. This, however, will not offset the heavy concessions which New Zealand allows British goods imported at preseift. The 10 per cent, duty' imposed ii'ponforeign goods imported into r.-Great) Britain, with the. notable exceptions? of wool, meat, hides and skins, will? react to the benefit of this Dominion) is several, ways, one of . the most npte-j worthy of which is perhaps its. exportj of butter. j

EFFECT ON BUTTER MARKET . j ... | Authorities state that .it cannot; beestimated to what exent the 10 per cent, duty on Danish butter will turn the British consumers toward New Zealand, butter, because they are already paying a higher price for the Danish product, which according to a recent cablegram, was selling at about 30s a.cwt. above the price for New Zealand produce. The duty will place approxitately 15s a cwt. on to the Danish' product, and until the market has beert tested, the effect .of price cannot be estimated-gt this ‘'end. As far (1 ..as C wpolj ;.nipat, .■'hidesw.and? skins -ate. • concerned.,; Uhis'.-,country is ‘ on a basis similar to others ,and there--, fore-derives no .lienefit froni-thp, Do-j minions, being exempt-..from Britain’s tariff schedule. But our other exports such as , butter, .< cheese, eggscondensed and dried milk, fresh fruit, flax, and grass-seed, will reach the, English market under advantageous conditions. NORMAL TRADE CONCESSIONS.

In normal times New Zealand grants trade concession to British goods, to a value of between £3,000,000' and £4,000,000, but on account of a slackening off in the volume ol imports, this amount will probably be lower- in the financial year just closing. Probably only about half that sum will represent the trade gain to Ne.v Zealand under the British tariff schedule, computed upon the basis of the duty that would be payable if New Zealand goods were on the foreign list.

In. the year 1930 New Zealand exported to Great Britain goods to the value of approximately £36,000,000. Of this sum £17,000,000 in round figures was absorbed by wool, frozen meat, skins and hides, the exempted items It is on the remaining £19,000,000 that the advantage over foreign goods would accrue.

WHAT DOMINION ESCAPES. ' As tli’S * tariff is 'computed" lipoTi the value of the - goods 'in England, and not’-.in New Zealand, the £19,000,000 would be nearer £21,000,000 by the time the produce was landed and freight paid. A 10 per cent, penalty upon this would be £2,100,000, which is the duty N.Z. would have had to pay if the Dominions were not exempted. Briefly, computed upon the fough-est-estimate N.Z. will enjoy an advantage uf approximately £2,100,000 under Britain’s tariff, while Britain already enjoys definite Concessions oi between £3,000,000 and £4,000,000 in her trade wth this, country. '