Mr Shelton Defends New Import Schedules

Press, Volume CV, Issue 31028, 6 April 1966, Page 3

Mr Shelton Defends New Import Schedules

(New Zealand Press Association) WELLINGTON, April 5. The Minister of Customs (Mr Shelton) said today that the new import licensing schedule was not a “stab in the dark” but provided for a level of activity which would keep New Zealand prosperous within the limits of available overseas funds.

“New Zealand cannot be open-handed in letting in imports, because the balance of payments remains a challenge and will remain one just as long as the country continues to ; mature and develop,” he said.

Mr Shelton, addressing the I Wholesale Textile Federation. ■ said New Zealand's rate of ■ growth had been high—■higher than it could afford. “The rate of growth we can ■sustain must be kept within jthe means the country can i afford.” ’ The Government had no ! desire to exercise controls land restrictions unless they | were necessary, he said. | “The Government's policy of progressively releasing items from import control has ■ not changed and as soon as ■the overseas funds position J allows, it will release items > from control. “But at a time when ■ greater care is required in 'our spending, we also try to (exercise restraint without disturbing business or causing

damage to the economy.” Mr Shelton said the provisions in the 1966-67 schedule provided for a level of activity which would keep the country prosperous within the overseas funds available. “This is not stagnation—but a slight reduction in the rate of flow.” He said textile importers had received a “very fair share” of the overseas exchange available for New Zealand’s total import requirements. He said 12 per cent of the total imports for the first half of this licensing period was (spent on textiles. ■ “While the total import level may not be so high next peril- , it is likely the same share will go to textiles.” I The Government took pains

to ensure no sector would suffer more than < hers under the schedule, he said. “In the 1965 calendar year textile imports represented approximately 10 per cent of total imports. It is expected this level will continue this year.” Referring to the dispute over the schedule’s provision for light-weight woollen piecegoods. he said the Government had referred the subject back to the Tariff and Development Board. I “We have had to make provision for light-weight woollens meantime so the market can be supplied.” But the allocations made for woollen piecegoods were interim and subject to review in the light of the board’s recommendations.