Mr Boord Reviews Import Controls

Press, Volume XCVII, Issue 28629, 4 July 1958, Page 10

Mr Boord Reviews Import Controls

(New Zealand Press Association)

WELLINGTON, July 3. The control of overseas exchange was now in the hands of importers, and the bulk of the licences —93,000 to date—had been issued, said the Minister of Customs (Mr Boord) in the House of Representatives tonight. Speaking in the Budget debate, Mr Boord reviewed the working of import control and exchange allocation since its introduction on January 1 this year. He also warned the public generally, and local authorities in particular, to ensure that orders placed with importers were “tagged” to the effect that the importer could guarantee supply. Some importers, he said, were “sitting” on their basic licences and encouraging local authorities and others to lodge special licences.

Mr Boord also said that most of the business community were playing the game, but a few were not He warned them that Customs Department personnel were trained in the detection of contraband, and that attempts to defeat the objects of the system would be found out.

“One firm with an import pattern of £40,000 annually, ordered goods valued at £BOO.OOO. in November and December last,” taid Mr Boord. “They have not

received a licence. Until these people talk in terms of their normal ordering I will not talk to them.” Mr Boord added that an Auckland firm had caused trouble to the department by falsely claiming that it had been able to overimport. If the claim had been true, action would have been taken. But it was not. The firm was merely indulging in sales talk. “Position Still Serious” “Despite loans overseas, and despite import control, the position of our overseas exchange is still very serious.” said Mr Boord. Goods imported under excess licences which had arrived in New Zealand or were on board ship with bills of lading on February 20 had been released. This accounted for £l2 million of £2B million worth of excess licences. An attempt would be made to redeem the remainder, but the Government, at present, could not release the necessary exchange.

Arrangements had also been made for manufacturers’ materials, held on special licences, to be released on special application. Special provision had been made for professional photographers, who had been affected by import cuts. Additional funds had been made available to them recently. Survival Licences

Survival licences had also been authorised for long-established importers whose businesses were threatened with extinction. Many people thought this an opportunity to get more licences and many who were not importers applied. A total of 179, or 21 per cent., of the applications had been granted. Mr Boord said importers were accepting orders from local authorities and then applying for special licences. “I suggest to all local authorities that they do not place orders unless their man has the licence or exchange,” he said. “To issue special licences on these applications would be to defeat the objects of control.” Some import firms already holding licences were also circulating clients asking them to apply for special licences through the importer. These tactics would not succeed. Mr Boord said the issue of licences would depend on the overall supply situation. He knew importers had been hard hit by the restrictions, but the only alternative was internal deflation and a reduced demand for imports. Under full employment there would be a ready sale for goods that could be produced here and imported goods. Mr Boord said he regretted having to restrict imports but