IMPORT CONTROLS

Dominion, Volume 37, Issue 4, 30 September 1943, Page 6

IMPORT CONTROLS

Operation During - PostWar Period FACTORS REVIEWED

‘•While it is hoped that, on. cessation of hostilities, many of the controls and regulations under which we function will be repealed, one cannot see how an early release from control of imports can be brought about. Rather I would suggest it may become more permanent, particularly if there is a move toward levelling rates of exchange between countries. When the law of supply and demand in regard to funds available to pay for imports is suspended, some other method of control is necessary,” said Mr. C. .N, Cathie, retiring president of the Wellington Manufacturers’ Association, in his address at the annual meeting last night. “Of importance to manufacturers will be the method used here for the control of imports during the period of post-war economic reconstruction. The .major allied countries are now giving active attention to post-war reconstruction of trade, and in particular to the control of trade between countries. “The Australian Tariff Board has been required, for two years past, to investigate, among other matters, post-war reconstruction as related to secondary industries. In the United .States of America the Tariff Commission has been planning for post-war trade aud reconstruction of industry. “These two countries have well established, organizations handling tariff and trade control in relation to manufacturing industries. They ascertain the requirements of, and protection necessary for any industry at any time. They are permanent bodies engaged continuously on these questions, and in addition have investigated war organization of industry in conjunction with the various controlling bodies. This gives them a continuous view of the position of industry in their countries iu relation to war needs, civilian needs and future requirements. Policy of Departments.

“In New Zealand the two departments which administer import licensing were not created for that purpose, and for classification have a tariff'which is not selective enough for use in licensing, being primarily a fiscal schedule. The two separate departments are each concerned both with policy and administration.” Stressing that his comments were, not in criticism of the officers who administered import control and licensing, Air. Cathie added that while supplies required from outside of New Zealand were diliicult to obtain, there might not be any danger of conflict in policy as there should be sufficient overseas credits to take care of everything that could be procured. “Would it not be better, before the opposite state arrives, s and funds have to be apportioned, to create one authority to formulate policy to be implemented by the Government and have a specific department as a centralized administration ?

“General policy will be determined in regulating the volume and value of importations in accordance with overseas funds available for this purpose. « How these funds are divided or made available to different interests, for their raw materials is a matter of internal policy, based largely on the requirements of industry to meet consumer demands, since exchange no longer controls the volume of imports.

“At present we have no permanent organization to which the public or representative groups have access, making these decisions or studying the effect of these decisions so that policy may be kept flexible for rehabilitation and expansion of population.” Air. Cathie suggested the setting up of a trade control commission to study the working of the tariff and import control ; also to formulate policy in all matters affecting the maintenance and encouragement of primary, and manufacturing industries as influenced by tariff, and by import control through licensing and overseas funds control. The commission would determine the quantity of each type of goods to be imported, and the value in relation to the total funds available. There would be considerations rising put of the Atlantic Charter making it advisable to have such an authority to take care of the industrial activities which were so necessary to a balanced, economy, and to provide avenues of employment for an .increased population. Possible Josses on unsold stocks when prices receded, and the provision of funds for expansion and replacement of obsolete machinery were referred to by Mr. Cathie. Taxation was on, a basis which made it impossible to keep m industry the balances required as reserves for these purposes. Representations had been,, and would continue to be made in the matter. Air. Cathie added that technical developments in machinery resulting from war-time experimenting would be made available in industry, and these might change the whole outlook regarding. obsolete machinery. The election of officers resulted as follows: President. Air. 11. 0. I‘itteiidrigh; vice-presidents, Messrs. N. W. Thomas and F. Al. Lockwood; treasurer, Air. W. AlcLay; council, Messrs. J. Abel, G. S. Amos, A. Anderson. J. W. Andrews, C. M. Bowden, R. Cable, W. I. Cunningham, R. D. Greenwood, C. H. Griffin, J. B. Hatrick, J. A. Jacques, D. W. Jamieson,'J. G. Marshall. I. Al. Matheson, Nelson Jones, F. W. Page, C. Al. Paynter. D. P. Power, J. E. Salmon, B. G. Stephens, D. F. Sutton. H. R, Turner, D. O. Whyte. R. H. Williamson.