Dominion’s Customs Tariff To Be Completely Revised

Press, Volume XCIII, Issue 27914, 10 March 1956, Page 4

Dominion’s Customs Tariff To Be Completely Revised

(New Zealand Press Association)

WELLINGTON, March 9. The Minister of Customs (Mr D. J. Eyre) announced today that the Government had decided on an early and complete examination of the customs tariff. The opportunity would be taken to modernise the classifications and nomenclature of the tariff, and rates of duty would be examined, he said. The Board of Trade, in association with Mr J. P. D. Johnsen, Comptroller of Customs, would conduct the examination. A report would be made to the Government by December 31 this year. Mr Eyre said the last complete examination of the tariff was made as long ago as 1933. “Apart from modifications in rates of duty for certain items made in connexion with trade agreements, there has been no extensive examination since that time of the tariff as a whole, although the Board of Trade has over recent years investigated a number of items,” Mr Eyre said. For some time, representative sections of the commercial community had requested that the Government should consider a reclassification and modernisation of the tariff, he said, and he was sure the board would receive the utmost co-operation from all interested parties. “Having regard to the changes in economic conditions and to the great

developments m industrial techniques and production which have taken place over the last 20 years, both in New Zealand and overseas, it has been found that our tariff is now in certain respects out of date, and requires a general overhaul.” said Mr Eyre. “So far. the Board of Trade has done very valuable work on the items with which it has dealt, but experience has shown that many items are interrelated. Consequently, it now appears desirable to have a "general examination within a short period, rather than an examination of particular items spread over a longer period. “The terms of reference, which are generally similar to those of the 1933 commission, will be:— “To inquire into the customs tariff of New Zealand, and to recommend for consideration of the Government any alterations therein, having regard to existing trade agreements to which New Zealand is a party; to the general financial, economic, and industrial conditions in, and requirements of, New Zealand; and to the interests of the primary and manufacturing industries, and of consumers. “Although the board is required to report by December 31, 1956, some or all of the board’s recommendations may involve consultations under the Ottawa Agreement, the General Agreement on Tariffs and Trade, or under other international trade agreements,” said Mr Eyre, “and it is therefore unlikely that effect can be given to all the recommendations until some time after the report has been submitted. Easing of Controls

“The Government adheres to its announced general policy of moving from import licensing control to import duties when that can be done as a means of protecting sound local industries on a stable basis.” Mr Eyre said. “Nevertheless, the Government recognises that there may be cases where import licensing may be the only satisfactory means of assisting some New Zealand industries during the next few years. “Except in such special cases, it is the Government’s policy to remove import licensing control when the new tariff is implemented,” said Mr Eyre. “As the several tariff inquiries at present scheduled by the Board of Trade for hearing will be covered by the general examination, these separate inquiries are being cancelled. However, during the period of the tariff examination, urgent cases will be investigated by the departments concerned for the Board of Trade as directed by the Minister. “Before the general detailed examination of the- tariff, an opportunity will be given by the board to persons (including organisations) interested in the customs tariff to submit statements regarding the general principles which, such persons consider, should apply to the revision of the tariff. The Board of Trade will sit in public to hear such statements and to examine the witnesses.

“The Board of Trade will make an early announcement on the procedure for both the initial hearing on general principles and the detailed examination of the tariff,” Mr Eyre concluded.