IMPORT LICENCE SYSTEM

Press, Volume LXXXIV, Issue 25435, 5 March 1948, Page 8

IMPORT LICENCE SYSTEM

NEED FOR OVERHAUL SUGGESTED

PURCHASE OF BRITISH GOODS

An overhaul of the import licensing system to ensure that any sterling available was used for the purchase of goods from Britain was urged by the importers’ section of the Canterbury Chamber of Commerce in a report to the council at its meeting last evening. Mr J. R. Dench, who presented the report, said that the tragic thing was that Britain wanted exports, but New Zealand’s policy as a Dominion, at the moment, seemed to be directed against this.

Cases in which licences had been refused for essential goods were mentioned by members during discussion on the report. They claimed also that there had been no discrimination in the class of licences granted. The council decided finally to suggest to the Associated Chambers of Commerce that a very firm approach should be made to the Government, with the Manufacturers’ Federation, to ask if it could co-operate with a sub-commit-tee to overhaul the licensing system. “It is timely to draw attention to the repeated refusals of licences, particularly for the United Kingdom,” said Mr Dench in the report. “It is to the point, I think, to insist that sqjneone in authority make a statement on the broad policy of the Government in reference to United Kingdom licences, and to state clearly what measure of this restriction is needed as part of the endeavour to give aid to Britain.

“It should be ascertained if these arbitrary decisions are being made as part of a well-defined policy by the authorities or are they made by the clerical staff, without the necessary knowledge, because vital supplies granted in past years are now being refused. Has this arrangement the full concurrence of the British Board

of Trade, or is it merely our interpretation of aid to Britain?

Whole Licences Refused “Importers with the proof of availability for United Kingdom goods are having whole licences turned down, and not even a percentage granted. We appear to be in the same position as in September last, when the Government had no clear picture of licences granted and used to that date, or the degree of availability of goods for the balance of licences. Strenuous efforts

were made by the Department of Industries and Commerce to obtain this

information from importers, and no doubt the recent inquiries through trading banks as to the stock position in given lines was a further attempt to secure the necessary information on which to base the policy for granting licences.

“The fact that licences for vital supplies are being refused indicates either a lack of understanding of the true position and an arbitrary refusal by the Minister, or the exhaustion of our 1948 sterling funds,” concluded Mr Dench.

Mr H. C. Hurst said that importers were very worried about the licensing system, which was very badly handled. It was run by the Minister of Customs

and while he was out of the country importers could not get anything done. Mr A. M. Hollander said that the great difficulty was that there was really no import licensing system. There should be some independent board to set out an import licensing policy.

Until there was some sign in the Government itself for an independent organisation which would act apart from the instructions of any Minister or the vagaries of officials in different parts of New Zealand, there was not likely to be/ any system of order in the importation system. “I don’t think the general public realises the seriousness of the position to-day,” said Mr H. S. Williams. “It is bad enough now. I don’t know what it will be like in six months or eight months.”

Mr Williams said that licences had been granted to persons who wer? not entitled to them. Genuine traders had been turned down and other persons allowed to import goods they had been refused. There had been no discrimination in the granting of licences, and applications for essentials had been refused. A

“It is time the system was overhauled, and a licensing board appointed, which would understand the position, and discriminate in the class of licences granted,” added Mr Williams.