IMPORT RESTRICTIONS

Greymouth Evening Star, 8 December 1939, Page 5

IMPORT RESTRICTIONS

MANUFACTURERS’ ANXIETY. [PER PRESS ASSOCIATION.] WELLINGTON, December 7. Au offer of the fullest co-operation with the Government and whole-heart-ed support of the Mother Country, in rhe prosecution of the war .was reaffirmed at the annual conference of the New Zealand Manufacturers’ Federation, which opened in Wellington yesterday and concluded to-day. Mr. H. W. Shove (Auckland) was elected president of the Federation. Mr.- J. Abel was re-elected treasurer. Import control and its administration and sterling allocations were discussed. and the following motion was carried: “That this conference represents to the Government the grave anxiety of manufacturers regarding- immediate supplies of materials necessary to keep their factories in production- and their workers in employment; that it represents also the necessity,for reserving for manufacturing industries the utmost pbssible amount of sterling exchange available, so that the best use may be made thereof in the interests of the Dominion as a whole.

“Relying on the assurance of the Government that import licences would be available as required, many manufacturers have expanded their plants considerably, only to find that import licences for materials for the first half of next year are to be based on the amounts imported for the corresponding period in 1938, which was a time when manufacturing in New Zealand was not at full production. The difficulties thus created are accentuated by the fact that, as licences are granted on value, and not on quantities, an increase in oversea prices will further restrict the volume of materials actually available to manufacturers. To some extent this may be offset by supplementary allocations which; it is understood, are to be made out of additional sterlinv funds now estimated to be available. Nevertheless, this conference desires to impress on the Government that, in view of the increased production required from manufactured goods, it is obvious that the volume of materials necessary to enable manufacturers to fulfil these requirements must be substantially greater than the volume used in 1938. “With regard to sterling allocations, this conference wishes to impress on the Government the necessity for arranging that sterling exchange shall he made automatically available when required in respect of licenses grantled so as to restore the overseas credit of the manufacturing industries of the Dominion, and enable manufacturers to take advantage of the most favourable market conditions when purchasing their requirements.” A motion urging the Government to curtail expenditure was carried in the following terras: — “That in view of the shortage of overseas funds necessary for the supply of materials for use of-the manufacturers, the conference views with concern the continuation of the Government’s policy of heavy public works, buildings, and other expenditure involving a serious drain of sterling funds, and considers that immediate steps should be taken to curtail oxnenditure.”