STATE-HELD GOODS

Evening Post, Volume CXXXVII, Issue 15, 19 January 1944, Page 6

STATE-HELD GOODS

TRADE CIRCLES CONCERNED

Although large stocks of' certain classes of merchant goods are believed to have been purchased and brought to the Dominion, no success, so far, has attended the efforts of importing interests to obtain from the Government some definition of the present stock position, states the "New Zealand Herald." Importers stated that the refusal of the Government to take the manufac- j turers, merchants, and importers of the country into its confidence is creating serious problems for efficient businesses which wish to plan ahead, and renewed representations are to be made to the Government in an endeavour to have the position clarified. The conditions of which manufacturers have complained—haying one line in over-supply, another line comi pletely bare, and yet a third in the [ wrong size or style through errors in Government purchasing—were confirmed b.y importing houses. It was stated that ,the Ministry of Supply held large stocks of a wide "range of imported goods purchased partly by Govment to Government buying, partly under lend-lease arrangements, and partly through bulk buying organised by the Ministry of Supply. Meanwhile, certain classes of these goods were in short supply so far as the public were concerned, and wholesalers who had handled them for many years found it difficult to-obtain supplies for. distribution to storekeepers. This position existed in spite of admissions by the Minister that large stocks were held, and a refusal, in the circumstances, to issue individual import licences. , Considerable quantities of the goods involved, another importer stated, had been imported from the United.States at prices far above those at which normal imports from the United Kingdom and other original sources could be secured. If the war should come to a sudden end a steady and substantial fall in prices could be reasonably expected. The Ministry of Supply had the opportunity of selling these- goods now on a bare market at prices bearing some relation to landed costs, but if further delay was persisted in the country could be involved in quite substantial losses on realisation. The serious increase which has taken | place in imports is indicated by the trade figures. For 1942, exports exceeded imports by £27,000,000. For the eleven months of 1943 to the end of November imports exceeded exports by £'23,000,000, a deterioration in the trade position by £50,000,000 in under two years. Importers declare that this huge increase has not. been brought about by importations through the normal channels, but chiefly through the operations of the Government. What importers want to know is to what extent the increase involves trade merchandise, but so far they have been unable to obtain the answer.