Employment fears

Press, Volume CXII, Issue 32885, 7 April 1972, Page 2

Employment fears

(N.Z. Press Association) WELLINGTON, April 6. The new import schedule was quite incompatible with the Government’s expressed intention of injecting more life and confidence into the manufacturing industries, said the national president of the Manufacturers’ Federation (Mr H. H. Saunders) today. It would allow an increased volume of consumer goods when the market could absorb them without damage to New Zealand industry. Mr Saunders said that the adverse effects on employment which must inevitably follow would be much more severe than if imports were liberalised in a period of buoyant trading. “A distressing feature is that a number of items which have been referred to the

Tariff and Development Board for review have been selected for extension of licences up to 150 per cent of last year’s allocation. “By liberalising licences before receiving recommendations from the board, the Government is prejudging the protective needs of those industries,” Mr Saunders said. WOOL EXPORTS “While there is evidence in the new licensing schedule of the progress the Government is making towards further relaxation, there is still a depressingly long list of items where there are nolicence entitlements, and where imports will be permitted only in most exceptional circumstances,” said Mr L. B. Crompton, director of the British Trade Association. “We are, of course, deeply disappointed that woollen textiles have been subjected to a very severe cut in allocation. “With Britain buying an avefege of 400,000 bales of New Zealand wool every year

it would have been a sensible gesture, particularly undfer present circumstances, if the Government had provided reasonable opportunity for some reciprocal trade,” said Mr Crompton. “NOT ENOUGH” The 10 per cent increase in import allocations would mean less imports in some cases, said the national president of the Bureau of Importers (Mr J. A. H. Horrocks). The general 10 per cent increase would hardly keep up with the overseas increase in costs and freight charges. “It should have been at least 15 per cent,” he said. “We have had more than 10 per cent inflation in this country alone.” The Government should have exempted more items. “What justification is there for retaining import licences on pineapple and bananas, for example?” he asked. “Neither item is grown' Ideally;”