GIFT COUPONS

Evening Star, Issue 20671, 19 December 1930, Page 9

GIFT COUPONS

j ISSUE TO END AFTER JUNE MINISTER'S ANNOUNCEMENT [Pek Uiniiß Pees* Association.] WELLINGTON, December 18. The Minister of Industries and Commerce (Hon. P. A. de la Perrelle) announced to-day that the Government had decided to prohibit the issue of all forms of'trading stamps and trading gift coupons after Juno 30, 1931. The necessary regulations would probably be gazetted next week. “ During the past few weeks,” said the Minister. “ innumerable representations have keen made to the Government by organisations of retailers, merchants, manufacturers, and traders throughout the dominion for the suppression of gift coupon schemes in their various forms, other than that system which involves the granting of a percentage discount based on cash or the usual credit terms. The Government has carefully considered these representations, and the investigations into the matter have shown that the operations of trading stamp companies in New Zealand and the use and extension of somewhat similar gift coupon schemes by other trading concerns are uneconomic; that, in general, they serve no essential purpose in the distribution of commodities; and that ultimately the cost of such schemes must be borne either wholly or in part by the consumer, thus adding to the cost of living. The Government considers it most undesirable, especially at the present difficult period, to continue. The ordinary discount granted for cash or the usual credit terms are not affected by the operation of the regulations about to be issued. ;

“ Provision is being made/' ceeded the Minister, “ for- the redemption of trading stamps and gift coupons up to July 31, 1931, which is one month after the issue of trading stamps and trading gift coupons must cease. The interests of the general public in this direction are thus being sateguarded as far as possible, time being granted to enable them to continue with the collection of the stamps or coupons entitling the holders to gifts of various kinds. At the same time the interests of the trading stamp companies and traders are also being conserved to a reasonable degref by reason of their being allowed sufficient time in which to dispose of their stocks of gifts.” The Minister added that so far back as 1908 a Trading Stamps Prohibition and Discount Stamps Issue Act was passed for the pufpose of prohibiting, in particular, schemes similar to the “ Universal ” coupipn scheme. A flaw had been revealed in that Act, and in order that action could bo taken without waiting until next session prohibitive regulations were being issued. An amendment ol the Act itself would be considered in connection with the Government’s legislative programme for next session