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2.(/) Goods the produce or manufacture of New Zealand, on importation into Switzerland, shall enjoy in all matters concerning Customs duties, or fees, taxes, or other charges payable in respect of imported goods and in all matters concerning Customs formalities, treatment not less favourable than that accorded to like goods the produce or manufacture of any other foreign country. 3. If, after the conclusion of this Arrangement, questions arise affecting the operation of any of the provisions thereof such questions shall be determined by negotiation between the respective Governments or their officially designated representatives. 4. In the event of the economic benefits anticipated by both contracting parties on concluding the present Arrangement not being attained or in the event of either of the contracting parties considering itself at a disadvantage through developments unfavourable to its interests or through the adoption by the other party of measures of an economic nature, either of the contracting parties may request that negotiations be commenced without delay with a view to effecting a mutually satisfactory adjustment of the matter. If such negotiations should not lead to a satisfactory settlement within three months from the date of receipt of the request, the party which considers itself at a disadvantage shall have the right to terminate the present Arrangement six weeks from the date of the receipt by the other party of notification of termination. 5. Subject to the provisions of paragraph 4 this Arrangement shall be binding for a period of one year from the date of its coming into force. If neither Government shall have notified the other, three months before the expiration of that period, of its intention to terminate the Arrangement it shall remain in force thereafter until the expiration of three months from the date on which either Government shall have given to the other notice of its intention to terminate the Arrangement. In the event of the above proposals proving acceptable to your Government it is suggested that this letter and your reply thereto conveying an acceptance on the part of your Government be regarded as constituting a Trade Arrangement between New Zealand and Switzerland and that such Arrangement take effect on the date of your reply. Yours faithfully, The Acting Consul of Switzerland, (Sgd.) Walter Sciimid, Vice Consul. The Hon. Walter Nash, Minister of Customs, Wellington.

SCHEDULE.

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Item No. of the . Customs Tariff Tariff Items. of -New Zealand. Ex 121 (1) Medicinal preparations (except wines) containing 50 per cent, of proof spirit or less; medicinal preparations, drugs, druggists' sundries, and apothecaries' wares, n.e.i. ; also aerated-water makers', cordial- makers', and brewers' drugs, chemicals, and other sundries, n.e.i. ; chemicals, and chemical preparations, n.e.i. 143 Braids, and bindings, all kinds, n.e.i. ; cords, n.e.i., of wool, cotton, silk, imitation silk, artificial silk, or of combinations of these materials with one another or with any other material. 203 Leather manufactures n.e.i. 237 Clocks, time-registers, and time-detectors. Ex 247 Musical instruments, and parts, viz. (4) Pianos, player pianos, organs n.e.i., harmoniums, and similar instruments. (5) Musical instruments n.e.i. 254 Photographic cameras. 255 Photographic goods n.e.i. Ex 338 Machinery or appliances, electrical, viz. : — (1) (a) Machinerv or applicances n.e.i. peculiar to the generation of electricity, to the transformation of pressures of electric currents, or to the conversion of one type of electric current to another ; electric motors ; slide rails for electric generators or electric motors. (b) Batteries or cells not including storage batteries. (c) Storage batteries (including parts thereof). (2) Switchboards, fuse boards, and distribution boards or boxes for electric circuits ; shunt or voltage regulators ; starters or controllers for electric motors ; rheostats, and resistances n.e.i. including reactance or choking coils, for the reduction or control of electric currents, condensers, relays, electro-magnets, switches, wall-plugs and shoes or sockets therefor, circuit breakers, circuit makers, cut-outs, fuses, wire or cable connectors and similar articles, and terminals ; lightning arresters for the protection of electrical apparatus. (3) Carbons or electrodes for arc lamps, for electric furnaces, or for electric welding. (4) Electric applicanes n.e.i. peculiar to electro-plating, electro-chemistry, electro-metallurgy, surgery, telegraphy, telephony (not including cabinets or parts of cabinets for wireless broad cast receiving sets) ; X-ray tubes and electrical vacuum tubes not suitable for purposes of illumination. (5) Electric locomotives ; trolly-poles or collectors for electric tram-cars or electric locomotives ; frogs, crossings, and line-ears, for overhead conductors for electric railways or tramways; rail bonds with terminals attached. (6) Metal poles or towers, specially suited for use in electrical transmission-lines. (7) Insulated cable and wire ; carbon in block, sheet, or rod ; mica, vulcanite, insulating-tape, and other insulating materials n.e.i., not including insulating-piping or tubing, or insulating fittings for pipes. (8) Sparking-plugs for oil engines. (10) (a) Electric irons. (b) N.e.i.