TARIFF INQUIRY DECISIONS

Press, Volume XCIII, Issue 27912, 8 March 1956, Page 14

TARIFF INQUIRY DECISIONS

“ DELAYS GROSSLY " EXCESSIVE ” RETAILERS STATE IMPORT POLICY (From Our Own Reporter) HANMER SPRINGS, March 7. “More tariff inquiry decisions were announced last year than in any previous year since the advent of the Board of Trade, though the delay m getting these decisions is still considered to be grossly excessive,” the import committee of the New Zealand Retailers’ Federation said in its reoort to the annual conference today. The federation’s import policy was: “The objective is the ultimate removal of all import licensing control and the protection of New Zealand industries bv adequate import duties; but this policv is to be interpreted in the light of the particular circumstances of each case.” The main changes in policy earlier adopted were the addition of the word “ultimate” regarding the removal of licensing and the discretion allowed by the final proviso. As there was. constant propaganda in some quarters for the reimposition of import licensing in one form or another, the affirmation and restatement of the federation’s attitude to the Government’s Board of Trade were most important and timely, said the committee. The decisions made by the council were:

1. That full support continue to be given to the review by the Board of Trade of the protection for New Zealand industries by import licensing and import duties, and that the federation continue to present evidence at all tariff inquiries into products sold in substantial quantities by its members; and 2. That, in general, the federa-

tion will accept tariff inquiry decisions which adopt recommendations of the Board of Trade and considers that, if in any case the Government does not adopt the recommendations, it should publish

the reasons for its decisions. “The federation is uncompromising in its hostility to Government controls over importing and considers that the experience of past years provides ample evidence of the attendant evils of arbitrary limitation of imports.” said Mr A. L. George (Wellington), chairman of the import committee, in his report. “We consider that it must be constantly emphasised that the quicker the review of the tariff ‘ can be completed and manufacturers and importers can plan the future on the basis of tariff duties without direct controls the better for the country and all concerned.”

The 1956 licensing schedule was very much akin to those of recent years but it was a disappointment to the trade that two of the “otherwise deferred” items which had only a year or two before being the subject of licences after many years’ prohibition were reduced by one-fifth as a result of pressure by manufacturers for less imports. Licences for another clothing item were also reduced by one-fifth The federation was not directly consulted bv the board before the cuts were announced and the committee had asked to be heard on the 1957 schedule if similar cuts were contemplated. Makers’ Requests Rejected “However it appears that manv of the manufacturers* requests for reduced licences were rejected or were

met only in small part.” said the report, “and the value of the Board of Trade as an independent authority to examine such requests is evidenced in the decisions which were made. By and large, the import licensing schedule was acceptable to retailers ” Tariff decisions announced during the year appeared, in most cases, to be satisfactory to retailers and, generally-,- the Government adopted the Board of Trade’s recommendations. In the case of two major items—footwear and men's and boys’ outer-clothing—-the Government did not adopt the recommendation for decontrol, but had arranged for limited import licences in the meantime. Although not in line with the federation’s submissions, the decisions were accepted for the time being in the knowledge that the Government was desirous of proceeding cautiously when major industries were affected and there was some understandable uncertainty as to the course of imports.

“I think that the flow of trade is now much more clearly normal than at any time since 1938.” concluded Mr George, “and licences now being granted in most cases enable a satisfactory range of goods to be made available to the consumers and provide a reasonable degree of competition for locally manufactured goods. This position has been achieved largely because of very strong representations by this federation and other similar organisations. However, there is still a considerable amount to be achieved, and more progress is hoped for in the coming year.”