GOODS FROM AUSTRALIA.

Taranaki Daily News, 7 March 1922, Page 3

GOODS FROM AUSTRALIA.

THE QUESTION OF DUTIES. EFFECT OF AN AGREEMENT. The indecision regarding tariff reciprocity between New Zealand and Australia was> recently taken up by New Plymouth merchants, and after communicating with Mr. S. G. Smith, M.P., the Minister *or Customs was approached on the matter. The letter sent to the Minister on December 14, stated: “The present position of Australia being out in the third schedule and treated as a foreign country may be quite justified. It is indicated that this is only a temporary measure pending negotiations for a reciprocal agreement. In the meantime Australian goods are coming to hand and a.re urgently required. For example, at present the Customs want the %d lb. preferential on loaf sugar from Sydney. It all comes from Sydney, not being made in Auckland. Meantime it is being bonded pending a definite decision, and until decided the district must go without. If the present decision placing a duty on Australian goods is reversed, is it not only equitable to give rebates to those unfortunately caught between the two duties? I would ®e glad if you will have the position looked into, with a view of giving a decision now, that if the duty on Australian goods is reduced as a result of a treaty, that a rebate will be made to those who have paid the higher rate.”

The Minister of Customs replied on December 16 as follows: “With reference to your letter of the 14th inst., I have to inform you that if as the result of the negotiations now proceeding between the Governments of the Commonwealth and New Zealand an agreement is made by which duty payable on any goods imported from Australia is fixed at a rate less than that already paid on any such goods under authority of the fourth resolution of the 23rd ultimo, refunds will be granted to the excess, provided that the agreement is ratified by Parliament, and that the increased duty is paid within a period of six months before the date of the Order-in-Council necessary to give effect to the agreement.”

Mr. Smith has now received the following letter from the Minister dated March 2: “Adverting to my ’letter of December 16 last, I have to inform you that when that letter was written it was expected that a_ tariff agreement would have been concluded between the Governments of Australia and New Zealand before the conclusion of the last session of Parliament. If an agreement is made Jas a result of my conference with the Australian Government, it cannot take effect until July next at the earliest, as it must be ratified by Parliament. In the meantime, importers are paying duty under the general tariff on Australian goods, and passing them on to the consumer after including these duties in the selling prices of same. Under these circumstances, if refunds were granted over a lengthy period, the result, would be that considerable payments would be- made out of the public revenue to importers who had already recouped themselves from the general public. You will, therefore, understand that the Government cannot now guarantee to make refunds of duty paid on Australian goods prior to the coming into force of any agreement In excess of that provided for in such agreement. My letter of December 16 last must therefore be read subject to the foregoing. The whole question as to whether any adjustment of duty should' be made on such goods will be carefully considered in the light of the conditions obtaining when the agreement (if any) is made and ratified by Parliament.”