Gain of 2000 cars a year by deal

Press, Volume CXI, Issue 32589, 24 April 1971, Page 3

Gain of 2000 cars a year by deal

(New- Zealand Press Association) Sk WELLINGTON, April 23. Tyvogaffiggsand additional completely»knocked* down Acsfrralran Holden motor-cars will be imported as a reggteofcardecision to concentrate the manufacture of appliances in New Zealand.

Thygeneral manager of General Zealand, Ltd (Mr R. M. at a press conference tlWy thnt the firm’s Petone plant will a s3m extension-and- I modification" programme.

The Australian plant building ExUgdaire apV ictorre, witi be used for nianufictuniig- motorMr said the Governments of the two countries had accepted the company’s proposal to move its household appliance manufacturing to New Zealand. Besides being built for the

New Zealand market, the household appliances will be exported to Australia, and the cars will come in under a reciprocal arrangement. Appliances involved are refrigerators, home freezers, electric ranges and wall ovehs, laundry appliances and dishwashers. Value of exports Mr Corby told reporters that exports of appliances were expected to reach about

s6m a year by 1973. This would be made up of over s4m to Australia and more than sl.sm to other markets. The extra cars imported would be worth about s2m. Mr Corby said that the Petone factory would provide employment for a further 200 people, a third of them women. No extension was considered necessary at this stage to the motor assembly plant at Trentham. Under the quota system the firm would be able to export only 20,000 appliances to Australia. At present it was selling about 60,000 appliances there. Although it was giving up part of the market, it was felt the move was in the over-all benefit of the countries and would benefit both sides. He said the company was aware of a substantial export market now available in the Pacific Basin and even in Britain and Africa.

Minister comments The export of refrigerators and ranges would be a considerable boost to New Zealand’s manufactured exports, the Minister of Overseas Trade (Mr Marshall) commented. The proposal was a unique one in many ways, Mr Marshall said. General Motors had the advantage of a market in which its trade name had already been promoted. The additional output that the market would make possible would in turn assist the company in the development of export markets outside the N.A.F.T.A. area. “An additional s6m a year in export earnings is a most important consideration," Mr Marshall added.