IMPORT PERMITS

Gisborne Herald, Volume LXVI, Issue 20073, 20 October 1939, Page 8

IMPORT PERMITS

JANUARY TO JUNE

FURTHER REDUCTION RESTRICTIONS TIGHTENED 1938 PERIOD AS BASIS CONSERVING STERLING (IVr Pri'ss Association.) WELLINGTON, this day. Schedules were issued to-day setting out the basis on which impoi • licenses will be issued lor the thiicl period. January to June, 1940. Imports during the January-June period 1938 have again been taken as •he basis for the issue of licenses during tl'.e corresponding period next vear, and the same procedure generally in regard to applications and the issue of licenses during the corresponding period next year, and the same procedure generally in regard to implications and the issue ol licenses will apply. Mr. Nash states that in reaching a decision on the matter, the Govern; ment has given the fullest consideration to all issues with a view to determining whether any modification might, with advantage, be made to the procedure in operation during the present year for the purpose of controlling imports. A number of suggestions had been received in that connection and had been carefully examined, but it was considered that no procedure, other than that now in force, would give the measure of control necessary under the existing circumstances.

Relaxation Impossible

It had been hoped that the rcduc- ! tions applied to certain imports duri mg the present period would have had the effect of improving the relai tionship between imports and the | sterling funds available from exports and enabled some relaxation of .lie j restrictions to be made during the ! next period. Unfortunately, the cir--1 cumslances which had since arisen, hacl made any relaxation impossible meantime. On the contrary, it had been found necessary to effect a further reduction on imports which necessitated the tightening of life restrictions in some degree. The Minister said lie thought this position would have been generally anticipated. In determining the amount of exchange which would be available for the third period liei ernes, it was necessary to make proI vision not only for payments accruing ; overseas in respect of loans and other | charges, but. also for remittances due after December 31 in respect to the ; second-period licenses. The necessity to provide during the present period for imports of reserve stocks of certain goods essential to the maintenance of export industries in order to safeguard their position in : evert of circumstances arising which might prevent their obtaining such goods, had also had the effect of constituting an additional drain on i‘he i sterling funds. Notwithstanding this | position, arrangements were being I made to import sufficient goods to j meet the essential requirements of the i community. In point of fact, the total j volume of imports during 1939 would ] compare not unfavourably with that i of 1938 when they were at a relatively high level. i Licenses Valued at £56,000,000 The figures for the eight months ! ended August 31 each year were: i 1938, £30,783,000; 1939, ‘£30.440,000. j The value of licenses issued covering | imports for :.he full year, including l some carrying no commitment for | sterling funds, amounted to approxi- | mately £50,000,0(30. It was probable that goods covered by such licenses —to the value, perhaps, of several million pounds—j would not be imported until alter December 31 next. Any such carryover into the third period would, of i course, have the effect of supplementing to that extent the volume of goods I which would be imported under the

licenses granted for that period

Turning to the schedules of items, the Minister said a very wide range ■ j of goods—generally materials for in- ; dustry and other imports of an essen- ! tial nature —carried no restriction at : all, except a limitation in the mean- ' time to to the 1938 level. In regard to | items in respect of which no basic ; | allocation was being "made but. for j | which applications would be consid- j cred individually on their merits, the ■ Minister said that this new procedure was considered necessary in the cir- i cumstanecs in order that better control : may be exercised in granting licenses' according to the actual requirements ■ of the importer or manufacturer con- ] corned. Preference to Britain It might be necessary in such cases | for the applicant to furnish full details of stocks of such materials, and such other information as might be ] available to establish that the goods | were actually required. The policy of granting the maximum : measure- of preference to the United Kingdom was again evident, said the Minister. It had become necessary in : fact under the present circumstances, j which rendered the conservation of j sterling exchange a matter of major | importance, to purchase, as far as posi sible, our goods from the United Kingdom consistent with meeting essential requirements. To that om! restrictions had been applied to im- ! ports of certain classes of goods : which previously had been admitted j from all countries on the same basis !as those from the United Kingdom ! while, in other cases, the existing re- ; studious had been increased. I The position regarding import of motor vehicles was still under con- | sideration but it was expected that a decision would be reached in. the | ! '’curse of a few days when nr 1 ; announcement would be made