RATIONING MAY BE REVISED

Southland Times, Issue 24235, 19 September 1940, Page 6

RATIONING MAY BE REVISED

GOVERNMENT PETROL POLICY REVIEW WHEN RESERVE IS SUFFICIENT (United Press Association) WELLINGTON, September 18. “On the attainment of a petrol reserve of .. certain quantity in New Zealand the petrol rationing policy will be completely reviewed,” said the Minister of Supply (the Hon. D. G. Sullivan) at the motor trade conference dinner tonight. He told the gathering the quantity of petrol in the country and the reserve that was the Government’s aim, but asked that the figures be not published. He assured his hearers that the sacrifices the rationing had caused the trade to make were necessary and to the advantage of New Zealand.

INROAD ON DOLLAR EXCHANGE

HIGH COMMISSIONER ON NEED FOR ECONOMY

(United Press Association)

WELLINGTON, September 18. “The more the people of New Zealand deny themselves the use of petrol the greater their contribution to the common war effort,” said Sir Harry Batterbee, United Kingdom High Commissioner in New Zealand, at the New Zealand Motor Trade Federation dinner tonight in explaining that the purchase of petrol in the Netherlands East Indies often involves an inroad on the dollar exchange. . , “I recognize—we all recognize—flow important petrol is tb trade and industry, and how hampering any restriction on its use must necessarily be,” said Sir Harry. “But, on the other hand, there is no need for me to emphasize the importance of conserving foreign exchange, especially dollars, when every dollar available is required to buy aeroplanes, guns and munitions of all kinds for the defence of those hard-beset people of Great Britain and, of course, the defence of Great Britain means the defence of New Zealand; but I often hear the question asked, can we not avoid the use of foreign exchange and obviate the need for such strict economy by buying from the Dutch East Indies? “I think there is some misconception about this. Because the Dutch are our gallant allies in the ,war, people have thought that Dutch currency is for practical purposes the same as sterling. This is not sn.

“We have, it is true, an agreement with the Dutch which fixes the rate of exchange, but the Netherlands East Indies cannot be regarded for purposes of exchange as part of the sterling area, and consequently any purchase in the Netherlands East Indies gives rise to claims on our foreign exchange resources.

“In particular, the purchase of petrol in the Netherlands East Indies may involve, and indeed often does involve, an inroad on the dollar exchange, so it all really comes to the same thing in the end. You cannot buy petrol without the danger of an inroad on the dollar exchange. “The co-opcration which is being given by New Zealand in the limitation of petrol imports is most warmly welcomed in the United Kingdom. An expression of the United Kingdom Government’s appreciation has been conveyed to the Dominion Government.”