TARIFF INQUIRY

Evening Post, Volume 97, Issue 97, 21 October 1933, Page 12

TARIFF INQUIRY

BRITISH INDUSTRIES

VARIOUS REQUESTS

Several cases were presented to tne Tariff Commission yesterday afternoon by Mr. A. W. Hawley on behalf of British industries. Representing the Pressed Steel Company of Great Britain, Ltd, Mr Hawley asked for the abdlition or substantial reduction of the existing duties on electric refrigerators from the United Kingdom. The rates of duty on British refrigerators were as follows:—Cabinet, 25 per cent.; compressor, 10 per cent; motor, 3 per cent.; tank and coils, 20 per cent. At the present time, he said no refrigerators were made in Ivew Zealand, and the competition for the New Zealand market was between Groat Britain and foreign countries. Even it a New Zealand industry for the manufacture of refrigerators were established it was submitted that exchange would be sufficient protection for the local manufacturer. OILSKIN GARMENTS. A reduction of the duty of 27^ per cent on British oilskin garments was sought by the Oilskin Manufacturers Association of Great Britain. It was stated that until 1912 a .considerable export trade was done with New Zealand, but in recent years it had become quit! insignificant.' A preferential duty of 10 per cent, to 15 per cent, was regarded as ample to protect the New Zealand manufacturers. ' On behalf of the Aberdeen Combworks Co., Ltd., Scotland, application was made for reduction of the British preferential duty of 25 per cent, on combs to 10 per cent., the general rate of 50 per cent, to remain unaltered. Mr. Hawley said that the Japanese and Germans, and possibly other foreign manufacturers, were able to send combs into New Zealand cheaper than the applicant company was able to do, even when they had to pay 25 per cent, more duty. As there were-' no comb factories in New Zealand, no New Zealand industry, as such, would suffer from increased preference being granted to British-made combs. OPTICAL INDUSTRY. An increase in the margin of preference at present given to British lenses of all kinds, unmounted and without attachments, was sought on behalf of the Association of Wholesale and Manufacturing Opticians of the United Kingdom. Mr. Hawley said that British lenses were admitted free while the general tariff was 20 per cent, ad valorem plus a surtax of nine-fortieths. The manufacture of ophthalmic lenses was an industry that was practically non-existent in the United Kingdom before the Great War. That was a state of affairs that the British Government felt it dangerous to permit from a national, and indeed, from an Imperial, point of view, and consequently it was decided to treat the optical industry as a "key" industry. A protective duty of 33 1-3 ad valorem on foreignmade lenses imported into the United Kingdom was therefore imposed, and this duty was subsequently increased to TO per cent. With the help of the protective duty the industry had become well established at Home, continued Mr. Hawley, and was now capable of meeting without difficulty all demands likely to be made upon it both at Home and throughout the Empire. In spite of that fact, however, foreign lenses were being sold in the United Kingdom at prices below pre-war levels, although manufacturing costs had increased since tho Great AVar. It was submitted that the reasons which'had led tho British Government to docide to treat the industry as a "key" industry might be of as great validity in other parts of the Empire as they were in the United Kingdom, and accordingly a modification of the existing margin of preference was desired so that it might bo made equivalent to the 50 per cent, duty payable on foreign lenses imported into the United Kingdom. TO AID EMPLOYMENT. Mr. Hawley pointed out that increased preference would injure no industry in New Zealand, and the prices to New Zealand buyers of United Kingdom lenses would not be increased as a result of a change' in the general tariff. It was suggested that in the interests of employment in New Zealand a higher rate of duty might be imposed on lenses which were imported already edged than on those which wero imported unedged. Referring to tho mention of the optical industry as a "key" industry Professor B. E. Murphy, a ■ member of the Commission, said that the goods had been put into the "key" class in order that Great Britain might not bo again in the position of being short of lenses for fieldglasses and gun sights. Spectacles for private people were never intended to be included. A reduction of the duty on Andrews Liver Salt was sought by Mr. B. L. Palmer, director of Salmond and Spraggon, Ltd., Wellington. Mr. Palmer said that when the liver salt was first marketed in New Zealand prices were fixed without making allowance for the whole of the ad valorem duty of 20 per cent., in the hope that some reduction in it would be forthcoming by the time the turnover reached reasonable figures. Actually the opposite had been the case. Some time later the exchange rate rose to 25 per cent. "We do submit that an abatement of the present tariff rates, which would permit, in our ease, tho maintenance of the present price to the New Zealand public, might ultimately lead to an actual increase of revenue," Mr. Palmer said.