IMPORT REGULATION

Wairarapa Times-Age, 6 January 1939, Page 5

IMPORT REGULATION

CONTINUED COMPLAINTS BY BUSINESS MEN

NEED OF FULL INFORMATION EMPHASISED. CONCERTED ACTION PROPOSED. (By Telegraph—Press Association.) WELLINGTON, This Day. Many firms are expecting replies today to applications under the import regulations. Meantime importers complain that their business is being held up by what they describe as the “secretive attitude” of the Government. They urge that an immediate, frank announcement should be made about what goods are to be allowed into and what are to be kept out of the country. Till that is done they are unable to make plans. The most serious hold-up, it is stated, concerns the July-December period. No licences have yet been issued for this period, but orders should be placed with overseas manufacturers now and arrangements made for handling the goods when they arrive in New Zealand.

Where licences have been issued dissatisfaction seems fairly general. Even where imports are permitted on the same basis as in the corresponding period last year, it is complained that no allowance is made for increases in trade which have taken place or for the development of new lines of business.

Importers whose applications have been reduced indicated yesterday that they did not regard the department’s decision as final and intended appealing for reconsideration. It is understood that concerted action may be taken by the commercial community in asking the Government to listen to its difficulties and amend the regulations where they are most irksome.

RAW MATERIALS VIEWS OF MANUFACTURERS. HOPES OF GETTING ESSENTIAL GOODS. WELLINGTON, This Day. Many manufacturers in Wellington who import raw materials, particularly from Great Britain, for the production of New Zealand goods, had not yet received permits under the new imports licensing scheme when they were interviewed yesterday. One manufacturer who received his licence before Christmas, however, was concerned at what he described as drastic reductions in his application. Another, whose application was approved in full, expressed satisfaction with the treatment he had received. A number of business men said they were completely in the dark as to what the Government intended doing. “We have had no word so far, and would very much like to know what is happening,” said one. “Goods arrived by overseas steamer the other day and we can't lift them till we get a licence,” “We were cut down very drastically,” said another manufacturer, who imports woollen piece goods from Great Britain. “The question will need some revision, otherwise the object of helping New Zealand manufacturers will be defeated."

A firm importing metal sheets, brass, pipings and stamping for metal work, had its application granted in full, and the manager said he was well satisfied. “We received our permits before the holidays and there were no restrictions,’’ he added. The manager of another firm importing goods , for manufacturing purposes, said he had acted on the assumption that essential goods and ingredients would not be restricted, and though a permit had not yet been received, further supplies had been ordered. “We were acting on Mr Nash’s assurance to tne Manufacturers’ Federation that there would be no trouble about essential goods,’’ he added.

“No- licence has been issued to us so far,” said one business man whose firm manufactures clothing. "We are just waiting, that’s all we can do. There is no certainty about anything just now, and I don’t think they know themselves what they are doing.” Another clothing manufacturer who imports a considerable quantity of raw materials said other importers had told him that in expectation of their orders being reduced they had applied for as much as twice their normal requirements. Action of this kind, he said, was merely making a fool of the regulations, which had obviously been necessary in the circumstances. Though his own permits had not yet come to hand, he did not* think the Government contemplated any restriction that would embarrass the clothing trade. Several months ago a confidential inquiry was instituted and manufacturers were asked what additional supplies of raw materials they would require to meet any shortage resulting from restriction of imports.

A further clothing manufacturer said he had not received a reply to his application for permits and could not comment at this stage. His firm imported linings, sewings and buttons, none of which could be obtained in New Zealand. He expressed the opinion that if entry into the Dominion of any of those goods was restricted, the output of New Zealand factories would be reduced. SERIOUS PROBLEM MEETING OF IMPORTERS CALLED. ACTION OF WELLINGTON CHAMBER. (By Telegraph—Press Association.) WELLINGTON, This Day. The opinion that there was not yet enough information available regarding the licences already issued to enable one to appraise even approximately the effect of these regulations was expressed by the president of the Wellington Chamber of Commerce, Mr P. E Pattrick, in an interview last night. Admittedly at the time the regulations were gazetted a situation had de-

veloped which made it urgent for the Government to deal with the diminution of New Zealand’s net overseas assets,' said Mr Pattrick. That problem, however, did not arise overnight; it had been looming up for very many months. The Associated Chambers of Commerce had offered to co-operate with the Government in seeking the best correctives, but unfortunately this offer was not accepted. A substantial cause of the country’s present predicament was that there had been inordinately high expenditure on non-reproductive public works during the past three years, diverting capital and labour from productive industries. There had been heavy importations of materials and wages bills for public expenditure which were out of all proportion to the country’s production of the necessaries of life and marketable exports. “Be that as it may, there is no doubt that New Zealand is now faced with a serious economic problem,” said Mr Pattrick, “indeed, in some respects a crisis from which, on present indications, we are unlikely to emerge without an aggravation of unemployment and a further increase in the cost of living.

“The Wellington Chamber of Commerce, realising the seriousness of the situation, is convening a full meeting of its importers’ committee on Monday to .collate information and consider what representations should be made.” STATEMENT SOUGHT TELEGRAM TO MR NASH. (By Telegraph—Press Association.) AUCKLAND, January 5. The following telegram was sent today to the Minister of Customs, Mr Nash, by the Auckland Importers’ Association: “Importers are nonplussed at the system governing import licences. We strongly urge you to make a statement clarifying the position and enabling immediate conduct of business.” FRANKNESS DESIRED. CRITICISM OF SECRECY. (By Telegraph—Press Association.) DUNEDIN, January 5. A leading importer, interviewed this morning, stated that his firm had no trouble in getting licences for urgent raw material, but importers felt that Mr Nash had not been frank. It was known that Customs officers had definite instructions which, if published, would let importers know their position. That was the main complaint, for the measure itself would prevent not infrequent “booming and busting.” Secrecy, however, made the whole thing look like a panic measure, and it would restore confidence if Mr Nash’s “hush” policy was abandoned. It was understood that the intention was to apply quotas which would cut back imports to the extent of 20 to 25 millions; why not say so?

POLICY JUSTIFIED IN OPINION OF TASMANIAN MINISTER. THE UNFAVOURABLE BALANCE OF TRADE. (By Telegraph—Press Association.) AUCKLAND, January 5. If a general view is taken, the action of the New Zealand Government in licensing imports from Australia is perfectly justified. This view was expressed in an interview today by Mr Edmund Dwyer-Gray. State Treasurer in the Tasmanian Government, who accompanied by his private secretary. Mr J. R. Quinn, and' Mr J. McDonald, M.L.C.. Honorary Minister, is visiting the Dominion on a special mission to investigate the New Zealand Government’s financial system.

Mr Dwyer-Gray pointed to the present unfavourable balance of trade'relations between the Dominion and Australia. When released, the 19.37-38 import and export figures would show that New Zealand bought nearly £5,000.000 worth more goods from Australia than Australian imported from this country. A surprising amount of this total represented manufactured goods, he added. If the New Zealand Government kept its London funds in mind it .was necessary to control imports, particularly from countries like Australia which at present had much the better of the trade bargain.

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