Govt. “Frustrating” Fishing Scheme

Press, Volume CVI, Issue 31366, 11 May 1967, Page 1

Govt. “Frustrating” Fishing Scheme

A Japanese-New Zealand fishing enterprise is being frustrated by lack of Government' sanction, according to the managing director of the enterprise (Mr A. B. Dennis, of Christchurch).

“I am disgusted with the Government’s attitude,” he said yesterday. “If we don’t get tie necessary permission in the next two or three days, several years of planning and preparatory work will have gone for nothing.” The company, Taimoana Fisheries, Ltd., planned to use expert Japanese techniques in fishing and processing, Mr Dennis said. "The Japanese assure us that after the initial five-year period, we could be selling £1,500,000 worth of New Zealand fish a year on the Japanese market,” he said. “And this would increase.” But the venture was at a standstill because the company was waiting for Treasury approval for the Japanese equity capital in the company, and Customs Department approval of an import licence, plus duty-free entry, for a 280-ton trawler the company plans to buy from Japan.

Mr Dennis said the Minister of Marine (Mr Scott) had been most helpful, as had officers of the department. The decisions now rested with the Cabinet

“I have made 53 trips to Wellington trying to get satisfaction,” Mr Dennis said: “We were promised an early decision, and one of our directors is at present in Tokyo waiting with a contract that only requires signing.

“What chance have New Zealanders got of setting up an industry with the help of technical knowledge we don’t possess, if the Government takes this attitude?” He questioned the purpose of a 60 per cent tariff on an imported Japanese trawler. New Zealand shipbuilders would have to spend £15,000 more on overseas components and equipment than the company would pay for a completed vessel, with all the latest electronic aids, in Japan.

Even assuming shipbuilders here could build a ship to the required specifications, which was doubtful, it would take two years and a half to three years to build. “We can buy the latest Japanese vessel for £92,000 in Japan,” Mr Dennis said. “To have one made in New Zealand would cost £260,000.” Surely this was a case in which duty should be waived to encourage an industry based on New Zealand exports.

“And if we don't fish the waters around our coast the Japanese and the Russians will,” Mr Dennis said.

It was also reasonable to allow Japanese capital in. The Japanese wanted some return for their technical knowledge, and a secure market, which could take increasing amounts of New Zealand fish.