NEW DUTIES

Gisborne Times, Volume LXXIII, Issue 11767, 14 October 1932, Page 4

NEW DUTIES

' •- ■ EFFECT OF OTTAWA AGREE,MEN 1 SMALL LIST FROM .BRITAIN? MINOR GOODS FROM NON-SELF-GOVEENING COLONIES. CUSTOMS REVENGE WILL BE REDUCED ,BY £250,000 FOR . THIS YEAR. (P reus A association.) WELLINGTON, Oct. 13. Air. Coates announced in the House of Representatives that the agreed list of changes in duties levied on United Kingdom manufactures, is as follows: Confectionery: Reduced from .30 to 27 V per cent. Apparel and readymade clothing: Reduced from 32} per cent, to 27} per cent. Hosiery: Reduced from 32A per cent, to 27} per cent. Silk and artificial silk piece goods: Reduced from 10 per cent. Lo free. The Minister said it is not ail extensive list. Moreover, it is to be noted thajt bv legislation passed by Parliament in 1031, the duty on apparel and hosiery was already to be reduced to 27} per cent, as from April 1, 1932, and the duty on silk piece goods was to be abolished as from that date. As far as those items are concerned, therefore, the .result of the Ottawa agreement 'is merely to anticipate by a lew months tar ill' changes which have already been approved. It is proposed to reduce the general tariff on the la-A three classes of goods previously or-n----tioned to the level provided for in the 1931 legislation. 1,1 is also proposed to make a reduction in the general tariff on. confectionery. (ft was generally recognised at Ottawa that the rates of duty under the New Zealand general tariff were too high, and clause 10 of the agreement allows New Zealand the right to maintain the existing margins of preference where less than 20 per cent, ad valorem, and where these margins at present exceed 20 per cent., to reduce them to that figure. The relatively high duties now imposed on many lines of foreign goods do not confer any real benefit on the United Kingdom traders, and merely tend to keep up the cost oi living and .the cost of production here. A 1" STB ALT AX GOODS. “The resolutions are silent respecting Australia. This is due to-'the fact that the present duties on Australian, apparel, hosiery, silks and confectionery are under an existing agreement with the Commonwealth, not greater than the duties proposed to be levied on United Kingdom goods. J AIPO RTS T 1 tOM NOX-SELF-GO VERN INC COLONIES. In addition) to the foregoing reductions in our Customs tariff', insofar as the United Kingdom products are concerned. continued Mr. Coates changes are agreed to with respect to imports from non-self-governing colonies. The list is as follows, and the agreement here takes the form not of the prescribed maximum duties. but of a guaranteed margin of preference in favor of colonial products and. commodity. Asphalt: A margin of preference of 10 per cent, ad valorem. Cigars: per lb. Cocoa: 2d per lb. Colfoe: Id per lb. Rum : 4'- per proof gallon. Unground spices, viz., cinnamon, cloves, ginger, mace, nutmeg, pepper and vanilla, 10 per cent, ad valorem. At present, asphalt, cocoa, beans, raw coffee, the unground spices mentioned. and printing and writing paper in sheets are free of' duty under both the British preferential and the general tariff. CIGARS AND DUAL Preference on cigars is to be granted by a reduction of duty on British-made cigars by 1/- per lb., and an increase of duty on foreign cigars by the same amount. As practically :i.he only cigars of British origin now imported into New Zealand come, from United Kingdom, it is proposed to extend the concession to all British-made cigars. Preference on rum is to be arranged by an increase in the foreign rate by 4s per proof gallon. ABOLITION OF PRIMAGE. One of the resolutions provides for jhe abolition of the primage duty on Australian goods, except- the 3 per cent, ud valorem imposed last year on practically all classes of British or foreign goods which were otherwise free of duty. This action is taken because it is considered that under the tariff' agreement with the IConimonujcallli such primage duty cannot be charged on Australian goods when the surtax on similar United Kingdom goods is abolished. This will simplify the tariff so Lulls the primage duty is eon ward, which at present is in a very complicated state. With respect to the effect oi : G'.e proposed change in the . revenue of the Dominion, it is estimated Unit for the remainder of the financial year there, will be a reduction of about £250,000. ALTERATIONS NOW EFFECTIVE. (Press Association.) WELLINGTON, Oct. 13. ■ Following are the alterations effective to-morrow in the Customs Tariff consequent upon tho - Ottawa trade agreement made by resolutions passed by Parliament. Goods, produce or the manufacture of tho United Kingdom, Northern. Ireland and any other parr of the British Dominions except ( Canada, the Union of South Africa, the Irish Free State, Newfoundland, or India.— Surtax removed and duties on ready made apparel, hosiery and confectionery reduced to 27} per cent, and silk piece goods made; free. . ; . uc The following dnti.es are provided, for under the general tariff: Ready-niadd clothing, hosiery and confectionery, 50 per cent.

Silk Piece goods, lo per cent. Cocoa beans, one halfpenny per A Raw coffee, one penny per pound. Rum 44/- per proof gallon. i Printing and writing -•■- paper • in < laree sheets, unground spie.es (namely cloves, ginger, rnaee, nutmeg, pepper, vanilla) also asphalt and bitumen, all 10 per cent. Cigars, now 14s, British preferential and 10s per pound general tariff. All the above arc subject to section 143 of the Customs Act, 1913. The primage duty of 1 per cent, and 2 per cent, is abolished on Australian goods imported after the 13th inst. _ The Customs resolutions were adopted by Hie House at 12.30. Mr Forbfrg then moved the formal motion ratifying 4be agreement between the United Kingdom and New Zealand. The Leader of .tbo Opposition moved an adjournment of tbe debate, which was set down as an order of the day for Tuesday next and the House rose. HOUSE DISCUSSES AGREEMENTS LABOR LEADER’S OPPOSITION ALLEGED DANGER TO SECONDARY INDUSTRIES N.Z. MARKET WOULD BE OPEN TO JAPAN (Pi ’eso Association.! WELLINGTON*. Oct. 13. After Mr Coates had the agreement between the United Kingdom and New Zealand, the Prime Minister moved that urgency be accorded the; Customs resolutions, and to a formal motion for the ratification of the agreement. The idea wus_ to enable a full discussion on tbe conference results to lake place on TuesAfr Holland inquired whether tbe method proposed would no-, curtail the debate, but was assured by Mr Forbes that that was not his intention. The plan was to provide an opportunitv for a full debate on Tuesday,' as “the Imprest Supply Bui had to be considered to-morrow. The urgenev motion was agreed to. On ’ tbe first stage or the ■ resolutions, Air Holland said that the tariff changes sought to be made were only prelirninarv to what would follow in view of the article empowering tno New Zealand Government to undertake an inquiry into the existing protective duties, and reduce them as .speediiv a-s possible to a level placing the ' United Kingdom producer in the position of a domestic competitor. In that portion of the report were contained elements or danger to seconeary industries. British and foreign confectionery would be more. advanrageouslv placed in competition v ith local manufactures, although the confectionery trade in 'New Zealand is in a deplorable condition to-day. The apparel industry was natural to New Zealand, and the same argument applied to' hosiery. The time had arrived to give up'“tariff tinkering’' and for New Zealand to say tjiat if goqdcould not' be produced in the Dominion r.liev should come in duty _rrtt. and if they could be produced here, importations of that nature were not required. The effect or the resolutions would be to open the New Zealand market to Japan.. The removal of the surtax would strike another blow a, loeal manufacturers. There is no doubt that the Japanese were invading tho New Zealand market at the present time.

Dealing with meat. Air Holianu said that, sooner or later. Argentine meat would c-orue into eoullict with New Zealand interests. suggested that tho time had arrived _ when straight-out- agreements should be made with Britain and other countries.. The only solution of the present' difficulties was to improve the purchasing power of the people. AIR. FORBES’S VIEWPOINT. SATISFIED WITH THE AGREEMENT. WARNING TO INDUSTRIES ON UNSOUND BASIS. Air. Forbes expressed complete satisfaction with the agreement made at- Ottawa. He said that the arrangements made marked a forward step in inter-Empire economic relations and New Zealand would receive substantial benefit. The return asked from New Zealand in response to the concessions made by tbe Alotlier Country was comparatively small and showed a generous attitude by Britain to the Dominion. Very substantial preferences bad been given New Zealand produce and there was no doubt it was most important- to tin'country that she should conserve the British markets as far as possible. Continuing, Air. Forbes said tl: secondary industries which had beer established qn an unsound basis eon ■ not expect to be maintained at the expense of the consumer. He - was confident that those industries in the forefront —there were a large number of splendid industries in New Zealand—would be able to maintain their position and that they could compete oil reasonable terms with outside competition. Aianufact-urers had no right to expect the retention of projection in the form of a surtax, because both the surtax and the primage duty had been imposed purely for revenuo purposes. >•