MAY CLOSE DOWN.

Auckland Star, Volume LXX, Issue 16, 20 January 1939, Page 8

MAY CLOSE DOWN.

IMPORTER'S DILEMMA. OLD-ESTABLISHED FIRM. AUSTRALIAN - AGREEMENT EFFECT. | "Unless our appeals arc allowed, this business of 20 years' standing will have to close down."'' stated tlie manager of a firm handling rubber goods this morning. He said tliat application* had been made for. licenses tr» import goods to t lie value of £4000 and only £350 had ' been allowed. lie pointed out that in tile first six ! j month* of lU:>7 his imports were £250(1. i £1751 being from Australia and only I j £4o from tlie I nited Kingdom. Tn the I j next six mouths the Australian imports i had increased to £5410 and those from ! the ("nited Kingdom to £100. The prin- | eipal item imported from Australia was j a form of raw rubber for retreading I lyres. Then Ihe Australian trade agree- | nient came into force, and tlie duty on I this line was increased from 2Jd to 0;d per lb. Overnight the Australian trade was swept away. The firm then set about rehabilitating itself by acquiring new agencies. For the first six months of 1938 the imports from Australia were only £Sls. from England nil and from other sources £7H4, the business showing a shrinkage of £4554 on the previous period. Agencies were secured in England and I in the second portion of last year the imports were: Australia £080. 'England £030. other sources £515. The English business was being developed and application was made this year for tlie import of £4000 worth of goods. The amount allowed. £350. was so small that unless the appeal made is allowed the firm will pease to operate. It has been in existence- for 20 years and lias a staff of six. some of whom have been employed for 15 years. Of tlie amount applied for 05 per cent is for British goods. Tt was stated that, owing to the reorganisation of the business in the first part of last year, there had been no imports from Great Britain. Most of the goods refused were ' of rubber and it was stated that if the ■ ease was tvpieal of other importers it would mean that New Zealand would i require to manufaetttre the entire j requirements of the Country, which was impossible at tin's stage. The same • applied to- bicycles and parts, which ] were not made in the Dominion.