CUSTOMS RECIPROCITY.

Auckland Star, Volume LIII, Issue 246, 17 October 1922, Page 7

CUSTOMS RECIPROCITY.

DUTY ON OATS. JBy Telegraph.—Special to "Star.") WELLINGTON, Monday. An explanation of the outcome of the negotiations with Australia in regard to the duty on oats was given by tbu Minister of Customs in the House tonight following a question by Mr. .Tones (Kaiapoi). The Hon. W. "D. Stewart eaid he had been seeking to get NewZealand oats into Australia at a lower duty than 1/0 per cental without lowering'the duty in X«\v Zealand, for some Southern farmers feared Australian competition in the North Island if the local duty were lessened. He had unsuccessful. The Australian Customs Department had found a difficulty owing to the opposition of oatgrowers there, who would consent to a reduction only if it operated in New Zealand as well. A deadlock had therefore arisen. He had consulted all those people who were supposed to know, and as a result it had not seemed worth whilw giving away the item of dried fruit. It would have been unwise to give away this item for a reduction in the oat duty, which represented no great advantage to New Zealand. The reduction in oat duty from 1/0 to 1/ per cental really meant a reduction of about twopence per bushel. Australians had been handicapped in discussing thy matter because they could act only with the sanction of Parliament, and as Parliament was rising last Saturday they could not discuss it at length. "Something might be done next year. It had been proposed that the variation should not come into force until next year, and therefore, as there was no export of oats between January and June, not much time would be lost if the matter were arranged satisfactorily then. The cablegram which had appeared in the Press was not quite correct in its reference to dried fruits, off which it was stated New Zealand had refused to take the duty. There was no duty on dried fruits, and the suggestion was that N«w Zealand should impose a duty on foreign dried fruits. Nen- Zealand was prepared to do so if it got sufficient inducement. Mr. Malcolm (Clutha) wielied to know whether the Otago Farmers' Union (through its secretary) had been consulted in regard to the oat -question. Mr. .Stewart replied that he would have been glad if the Otago Farmers' Union had made known its views before he had gone to Australia. The only representations he received were from people who did not wish the arrangement made. He understood many would he willing to face a reduction if they could get into Australia at a lower duty. Mr. Malcolm: Hear, hear.

"The ival motive which prompted mc in declining it, , ' added the -Minister, "was that I was not prepared to impose a dried fruit duty for so email a concession."