CANNED FRUITS

Evening Post, Volume CX, Issue 104, 29 October 1925, Page 16

CANNED FRUITS

AUSTRALIAN COMPETITION

A letter was recently received by the Wellington Chamber of Commerce from Messrs. 11. Jones and Co., Ltd., of Hobarfc, urging that a lower rate of duty be imposed on Australian canned fruits. The Imports and Customs Committee of the chamber submitted the following; report on the question to a meeting of', the council yesterday : — "Australian canned fruits enjoy a 5 per cent, advantage below- that of the general tariff, and furthermore, Australian manufacturers have been able to secure rebates on sugar used in exported goods, which has made the cost to them of this commodity nearly £3 per ton less than the Now Zealand manufacturer ha.s had to pay, and the Australian Govcrntncob has also been granting a substantial bonus on canned fruits exported, which has resulted in the New Zealand canners being placed at a considerable disadvantage, and this has seriously affected them. "The placing of Australian goods in the general tariff in December, 1921, immediately resulted in a decrease in imports of canned fruits from that source,, and, when the reciprocal trade- agreement was negotiated with Australia to operate from Ist September, 1922, Australian canned fruits were agreed to be admitted at 35. per cent., as against 40 per cent, under general tariff. The effect of this, along with Australian Government subsidies and bonuses, has been to give the bulk of the trade to Australia, and the New Zealand canners have found it difficult, if not impossible, to compete with them. "The Customs figures show that in 1923, 55 per cent, of tho total canned fruits, etc., imported, came from Australia, and in 1924, 91 per cent. "Regarding tho request that representations be made to the New Zealand Government for a further concession in duty to increase- tho importation of canned fruits from Australia, your committee recommends that no action be taken. Wo would observe, however, that the Australian Government could favour New Zealand in many items in its tariff more than at present that would encourage a freer interchange of trade. At present the balance of trade is greatly aga,insfc New Zealand." The adverse balance in 1924 was stated to be £3,141,705.. and for the expired eight months of this year £1,938,357.