BRITISH “EXPORT” CARS

Press, Volume LXXXIV, Issue 25610, 27 September 1948, Page 8

BRITISH “EXPORT” CARS

BAN ON USE IN UNITED KINGDOM

"In an effort to put a stop to certain abuses whereby 'export’ cars are obtained for use in Great Britain, the motor manufacturers and the Ministry of Supply have reached a Gentlemen’s Agreement,” reports the “Financial Times,” London. Currency is freely transferable within the sterling area and there is nothing to prevent a person resident in the United kingdom acquiring South African currency. Because of this, the Ministry of Supply requested the motor manufacturers, through the Society of Motor Manufacturers and Traders, not to release cars produced for the export market to permanent residents holding such . currency. The motor industry has agreed to cooperate. This agreement does not involve legal sanction. That is to say, there is no legislation in force to prevent the sale of an "export” car on the home market, but in view of the new agreement, it will now be virtually impossible. The agreement applies particularly to South Africa, because it was to the Union that a few months ago a good deal of “hot money” found its way from England. Some of these funds were later used for the purchase in Britain of cars which, being paid for in South African pounds, came out of the export quota and. as such, were delivered almost immediately. In these cases, purchase tax was payable in sterling. It should be emphasised that visitors from overseas who purchase a new car with the intention of taking the vehicle abroad at the end of their stay may still do so. Indeed, purchases by visitors of cars for eventual export are welcomed by Government and makers alike.

MINING

Snowy River Dredge Return.—Snowy River Gold dredge return for fortnight ended' on Friday was 235 ounces of gold from 52,000 yards in 241 hours.