AUSTRALIA'S TARIFF WALLS

Evening Post, Volume CII, Issue 37, 12 August 1921, Page 6

AUSTRALIA'S TARIFF WALLS

HIGH AGAINST NEW ZEALAND

SPECIAL LEATHER FOR GLOVES.

Comparisons of Customs tariffs published recently have shown that Australia has apparently more fear of New Zealand's competition than New Zealand has of Australia's. Gene Ally, the Commonwealth's tariff walls against New Zealand are higher than New Zealand's against Australia. For some years the line "made in Australia" has been kept conspicuously before the. public there, and the result is a strong protection policy for local industries. The head of a large New Zealand firm has submitted correspondence to tho New Zealand Department of Industries and Commerce to support this belief that in some directions the Australian, tariff defeats the purpose of its makers by Checking certain enterprises for which the imported raw material would be subject to a very burdensome duty. The New Zealand company was in a positioir to manufacture ladies' kid gloves on ; a scale to meet the needs of New Zealand and Australia*;; As the Commonwealth's tariff was an effective- barrier against such imports from New Zealand, it was hoped to establish a factory in Australia to which suitable chamois' leather could be sent from New Zealand. However, the tariff is apparently against such an enterprise,'which would promote employment for many hands in Australia. ' " '. •

"I understand," wrote the head of th« New Zealand firm to the Federal Coinp-, troller of Customs, "that chamois leather from New Zeaalnd comes" under th« 20 per cent, tariff. This will effectively prevent us from starting the glove factory. . . . New Zealaind skins are peculiarly suited for splitting j the Australian skins are not suitable owing to the climatic conditions affecting the growth of the pelt. Even in New Zealand a very careful selection of skins has to be made, and then, after splitting, only a small proportion grades up intb glove leather, the remainder having to go into washed leathers or ordinary domestic chamois.'-' The writer gives his opinion emphatically that a free entry of such leather would be^ a benefit to Australia, but even if the Commonwealth agrees to admit this glove material under the preferential tariff of 10 per cent., his company would undertake to start a glove factory by Ist July next year. , Various articles have been suggested as a basis for reciprocity with Australia. One line mentioned by the Department's correspondent is manufactures of rubber (motor tires and other goods) in which much Australian capital is invested. The idea is that some preference could be given to Australia, as against America in return for commensurate concessions for certain/Sew Zealand materials or manufactures. . . , ' '■' '