PETROL STOCKS

Waikato Times, Volume 127, Issue 21222, 19 September 1940, Page 10

PETROL STOCKS

TRADE TOLD THE AIM SACRIFICES NECESSARY INTIMATION ABOUT RELIEF (By Telcgrapn.—Press Association) WELLINGTON, Wednesday “ On the attainment of a petrol reserve of a 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 conj ference dinner tonight. He told the gathering the quantity of petrol in I the country and the reserve that was Ithe Government’s aim, but asked that the figures be not published. The Minister assured his hearers | the sacrifices rationing had caused i the trade to make were necessary, J and to the advantage of New Zealand. DRAIN ON EXCHANGE BUYING FROM EAST INDIES NOT IN STERLING AREA (By Telegrapn.—Press Association) WELLINGTON, Wednesday “ The more the people of New Zealand deny themselves the use of petrol, the greater their contribution to the common war effort,” said the High Commissioner for the United Kingdom, Sir Harry Batterbee, at the New Zealand Motor Trade Federation dinner tonight, in explaining that the purchase of petrol in the Netherlands East Indies often involves inroads on dollar exchange. “ 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?’ ” said Sir Harry. “ I think there is some misconception about this. Because the Dutch are our gallant allies in the war, people have the thought that , Dutch currency is, for practical pur- j poses, the same as sterling. This is not so. We have, it is true, an agree- j ment with the Dutch which fixes the rate of exchange, but the Netherlands East Indies cannot be regarded ! for the 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. “ The purchase of petrol in the I Netherlands East Indies may involve, and indeed often does involve, inroads on dollar exchange, so it all really comes to the same thing in the end: You cannot buy petrol without the danger of inroads on dollar exchange. “ The co-operation which is being given by New Zealand in the limitation of petrol imports is most warmly welcomed in the United Kingdom,” concluded Sir Harry. “An expression of the nUited Kingdom Government's appreciation has been conveyed to the Dominion Government.”