CUSTOMS TARIFF.

Auckland Star, Volume LXIV, Issue 30, 6 February 1933, Page 5

CUSTOMS TARIFF.

CHANGE IMMINENT? TO OFFSET EXCHANGE RATE. CABINET'S SECRECY. (By Telegraph. —Pnrliameßeporter.) WELLINGTON", this day. • p oes the Government intend to make some amendments to the Customs tariff, 5 n advance of the contemplated general revision of the schedules which is to be undertaken by a small, expert body immediately after the conclusion of the session? This question, which was asked in commercial circles within a few days of the arbitrary raising of the exchange rate has "been revived in political circles bv the insistent report that Customs resolutions will be submitted to the House to-morrow night. There was lively expectation throughout Friday that the Minister of Customs,'Mr Coates, would bring down the resolutions that evening but, as that move did not eventuate observers are now predicting that the proposals will make their appearance to-morrow. It was at first thought that the introduction of the sales tax legislation would pi ecede any altei ation of the tariff, but the impression is growing that Sir. Coates, at all events, is prepared to make some adjustments to the Customs tariff at once, to offset the effect the raising of the exchange rate will have on exportations to New Zealand by British manufacturers. • Although there is no official confirmation of either speculation, it is said also that the lowering or adjustment of the Customs duties on imports from the United Kingdom appeals to the Minister as a means of maintaining the revenue from the Customs duties, upon which the national income in recent years has com© 'to rely so largely. Notwithstanding the unsettling effects that speculations and rumours are bavin" on the business community, Cabinet continues to preserve a wooden silence. The curtains of secrecy are still closely drawn round every movement, to such an extent, indeed, that half the Ministry was not aware on Friday night that the Prime Minister had left for the South, and would not return until tomorrow. Mr. Coates Against "Tinkering." When interviewed this afternoon, Mr. Coates said he was not prepared to confirm or deny the report that Customs resolutions would be introduced this week. He made it clear, however, that his view was that there should be no tinkering with the tariff, in view of the general revison, which, as lie had already announced, was to take place this session. He reiterated liis statement that the tariffs and the increase in the exchange rate were entirely different questions. Exchange was not a tariff, although it might have the same effect temporarily. In reply to a question, Mr. Coates said he. thought some of the Government's taxation proposals, which, were already in the law draftsman's hands, would .be presented to the House this week.i". ' ■