IMPORTS OF NEW CARS

Press, Volume LXXXIX, Issue 27040, 15 May 1953, Page 8

IMPORTS OF NEW CARS

“ Distressingly Small Increase ” GOVERNMENT POLICY CRITICISED "The recent announcement of tbe Minister of Industries and Commerce (Mr J. T, Watts) about an additional grant of import licence* for unassembled motor-vehicles at first glance gives the impression of substantial assistance in filling the Dominion’s leng-starved new vehicle demand,” said Mr R. Al E. Brett, acting-president of the Canterbury branch of the New Zealand Retail Motor Trade Association, in a statement to “The Press’’ yesterday. Mr Brett is chairman of the branch's new vehicle section. “A closer examination and subsequent inquiries reveal that this is not the case,” he said. •'The announced increases are distressingly small, and will not materially relieve the present long-standing acute shortage of new cars. ‘"The .Minister’s statement was delightfully vague, in that it mentioned neither a percentage, unit of vehicle, nor monetary increase. It was accompanied by figures, which even to members of the motor trade, required time and close examination to elucidate. ,

In replying to recent criticism of the Government’s decision, the Minister has somewhat petulantly stated: If any of the anonymous importers who have made statements about the matter are dissatisfied, they can return their licences immediately, and their amounts will be allocated to others who are quite prepared to accept the extra amounts.’ What the cr . c \_ are “king is not for such a reply from a Ministerial level, as they *2 sacrifice their pittance, smMI though it is, but that they be granted substantially more than indicated. Replacement Rate Rter I s . t l ates that the grant of the additional licences ‘is a strong answer to the argument that the New Zealand motor fleet is obsolescent,’ ” Mr Brett said. “Published reports are that ths increase is so small ‘that no motor dealer in New Zealand would m ? r ®than three additional cars for sale this year.’ We sincerely hope this is not to be the case. .. Minjst * r must surely be aware that there are still more than 45,000 cars over 20 years old,” he said. “On wb ° f /“Port licensing, ra? hardly hope that they will be retired for at least another 15 years expected importation of 20,000 units for 1953 is less than the average m; 11 ? 8 ? IKn P°rtations. The Minister estimates the total importations in 1951-63 at about 107,000 unite the equivalent of about 3} years’ averonly slightly above the pre-war annual replacement average, and makes no allowance for the healthy populaincrease, or normal trade expananTstil? u’l aJ ’ s ray s asked, and still asks, that it be granted imhjencesequ valent to the percenit g eninvA^ e i Dominion ’ 8 ex P° rt income it enjoyed in pre-war years,” said Mr The Minister made no statement regarding licences to imnort front dollar sources, and th* outlook is r bfMk JbUt ° r ’ 6-0111 thh area “Former experience has shown these vehicles have earned a place in

the Dominion’s transport economy**’’ man wanting to buy a used cWffiJ reasonable price is also affected. W** there is a steady flow of new ter used cars will continue to fetch prices, and be out of the re«te»" many prospective purchasers. M “To say the least, the retail trade is disappointed with the. Off ernment’s decision," Mr Brett Ite “The decision will offer negligibw *r lief to the Dominion’s demand cars, which, in spite of the contrary, continues to rather than diminish, as the Minjte»' statement would seem to suggefa ~