IMPORT LICENSING SCHEDULE FOR 1949 HAS NEW BASIS

Grey River Argus, 19 October 1948, Page 7

IMPORT LICENSING SCHEDULE FOR 1949 HAS NEW BASIS

An important departure from the import licensing' procedure hitherto adopted was announced by the Minister of Customs, Rt. Hon. AV. Nash, in a statement to the press. Up to the present, allocations of licences have been made on the basis of importations in 1938, supplemented by special licences. In the 1949 import licensing schedule, however, a fticw basic period will be used and the, year 1938 as a basis has been abandoned. It is now proposed to use as a basis for 1949 allocations, all licences granted in the new base period —whether such licences were basic or otherwise.

However, licenses in the new base period which were granted under extraordinary . circumstances (such as replacement of licences from an earlier period; no remittance licences; special licences covering orders for a particular contract, etc.) will not be included as part of the base-year licences to which current allocations are related. Where practicable, 1948 has been taken as the base year, but in some cases it has been necessary to take 1946 or 1947.

“The advantages of the new arrangements will be obvious,’’said Mr Nash. “The use of a more recent period as a. basis allows for the changes in import requirements and in importing concerns which have occurred since 1938, without the necessity of considering in each case the special factors which have altered the position'since that year. The work of both the administration and the importer will be considerably reduced. For these reasons, the new proposals will be generally welcomed,’’ Mr Nash continued. “The fixing of allocations on the new basis will mean that importers must keep within their allocations. Instead of placing orders merely because licences are available, importers will now be able to spread their requirements over the full period.” CONSERVING OVERSEAS FUNDS Mr Nash added that, from New Zealand’s point of view as well as Britain’s, the need to conserve overseas funds was still great, and that the importing policy must continue to be conditioned by this fact. Increased exports, the greater reliance on domestic production for local consumption needs would ease the exchange position considerably. If it were found that commodities were being imported where similar products were being made locally in sufficient quantities and at reasonable prices and quality for the New Zealand market, then it might be necessary to exercise greater control over the commodities concerned. “The Government wants to provide adequate exchange for essential requirements,” Mr Nash stated. “Importers can greatly assist by using their lilicences with discretion.” EFFECT OF PAR EXCHANGE As a result of the recent exchange rate adjustment, the value of the licences which were granted in the new base period will, in determining the allocation for 1949, be reduced by one-fifth. DOLLAR IMPORTS In view of the need to limit dollar expenditure, special considerations will apply in the case of imports from the dollar 1 areas, or from countries where the expenditure of dollars is involved. Allocations will not be related to any base period, but will be made on the merits of individual applications, so far as this class of imports is concerned. A similar procedure will apply to imports from other sources, when it is not possible to fix basic allocations.

In other respects, the general procedure which has been followed in earlier periods will be continued. A new form of application for licences, which should expedite the consideration of applications and the issue of licences, will now be used. TOKEN IMPORTS A further important feature in connection with imports for 1949 is the provision for token imports of certain specified articles from the United Kingdom, as set out in the accompanying list. No allocation for these imports is made in the licensing schedule. This provision is designed particularly to enable old established business connections to be maintained. The Government, under this procedure, will give favourable consideration to applications which seek permission for entry of goods (limited to those set out in the list) up to 20 per cent, of the value of similar goods supplied in 1938 to the applicant by a manufacturer in the United Kingdom. In each case it will be necessary for the applicant to furnish, in support of this application, a certificate from the manufacturer to the effect that in 1938 he supplied the applicant with goods, as specified, to a stated f.o.b. value, for each class mentioned in the certificate Unless this certificate is supplied, applications will not be considered.

As previously announced, 1949 licences will relate to the period from Ist January, 1949, to 31st December, 1949, but will be available also for the entry of goods imported not later than 28th February, 1950. They will not, however, be available for imports prior to Ist January, 1949. UNFAIR PRACTICE "It wish to call attention to the practice of some business firms who place orders for imports before they receive the necessary import licences,” said Mr Nash. "Recent experience amply demonstrates that many firms have ordered goods in anticipation of the licences being made available subsequently. A serious view is taken of this practice, as it constitutes a breach of the Customs Act.” "To countenance such practices would be unfair to the majority of importers who are careful to comply with the Import Control Regulations,” Mr Nash added. "I take the opportunity of warning any_ firms who may practise such _ anticipatory ordering of the risk which they are tunning should be goods be shipped and no import, licences be available for their entry. Under Section 46 of ihe Customs Act, 1913, any person importing into New Zealand . any goods, the importation of which is prohibited by that Section or by any Order-in-Council made thereunder, is liable to a penalty of two hundred pounds and to forfeiture of the goods.” "It is proposed in future,” Mr Nash concluded, “to take suitable steps to eliminate this practice, and I would suggest to importers that they should not place orders overseas until they are in possession of the import licence, dr an assurance in writing from the Customs Department that the licence will be granted.” HELP FOR BRITAIN The schedules are now available at all ports. Importers can obtain supplies of the new form from all Collectors.

"Second only to satisfying the ’essential needs of the Dominion,” said Mr Nash, "the schedules are so arranged as to give the maximum as-

sistance to the United Kingdom, whose recovery is so important for our own welfare. In issuing the schedules and in the new procedure, the policy of the Government has been to ensure that the essential requirements of all classes of the com- '. munity—consumers and primary producers. manufacturers and retailers — fare provided for to the maximum exI tent of the funds available.”

TOKEN ALLOCATIONS Items in respect of which consideration will be given to the granting of licences on . a token allocation basis for imports from the United Kingdom are: Barley flour; oats; grain and pulse! aerated waters and beverages; biscuits; confectionery; jams, jellies, marmalade and preserves; jellies; malt extract; meats, potted or preserved; pickles; sauces; soups (excluding Bovril and Oxo); custard, egg and blanc-mange powder; soap; spices, ground; starch.

Cigars; ale, beer of all sorts, porter, cider and perry; perfumed spirits; vinegar; disinfectants; essences; gases (liquor or compressed); glycerine; rennet; boot and similar laces, other than leather; labels and hangers for clothing and other textile articles; furs and other similar skins; cordage, rope and twine; crown seals; gelatine, blue and size. Carpet sweepers; brushes, brushware ‘and brooms; corrugated strawboard; adhesive pastes in vessels; insulating building board; roofing com- , pounds, bituminous; paints, colours, , varnishes and similar materials; putty and wood-tillers; kalsomine, distempers and similar preparations; furniture and cabinetware; rubber bathing caps; hats and caps in any stage of manufacture; woodenware and turnery; handles of bone, celluloid or base metal for shaving or tooth brushes; millinery of all kinds; wadding; chamois leather: sole leather; leather manufactures; portmanteux, trunks, bags of leather; handkerchiefs, slippers; grindery; rubber manufactures; saddlery; jars and bottles; drainage pipes and tiles; feeding bottles; chimney pots of earthenware, concrete or similar materials; glass, beveled, silvered. Granite or other stone; camera covers and cases; cards (playing); fancy goods and toys; paper; ink; envelopes; bags; crayons; cardboard articles; combs, stationery; jewellery; mouldings in the piece; phonographs; gramophones; toilet preparations and perfumery; show cards and calendars; ribbons for cash registers, typewriters and adding and accounting machines. Cultivators; harrows; ploughs; drills: seed and fertiliser sowers or distributors combined or separate; lime sowers; seed or grain cleaners, and cellular seed or grain separators (excluding spare parts; and harrows, disc and flexible type; cultivators and other implements specially designed for use solely with particular tvpes of tractors); hayrakes, not hand; Tiay, straw and wool presses; chaff, turnip and similar cutters; potato diggers and sorters; hand-rakes; garden hoes; hand cultivators; garden trowels; milking machine parts of rubber; pasteurizers, milk coolers, milking machines and churns.

Power distribution transformers; batteries or cells; storage batteries; transformers, chokes, radio frequency coils, radio frequency units, valve shields, coil cans, chassis, dial mechanism, dial scales, complete dials and loud-speakers; wireless sets; electric irons; insulators; gas meters; general lighting service lamps, lit) volts and 220-240 volt from 15 to 200 watts Inclusive; press tooils for metal stamping; hand operated guillotines; bending rollers; power presses; bench type belt sanders; gas cookers; electric cooking and electric heating appliances; concrete mixers; oil engines; boilers, food water heaters, fuel economizers, mechanical stokers, steam super-heaters; pumps; winches, cranes, capstans, windlasses and hoists; washing machines; shovels; bed fittings or iron; plugs and washers for baths, basins, sinks, and tubs; mops; wheel barrows; aluminium hollow-ware; plastic watch straps; furniture domes; and plastic tables. Staples, fencing; nails or tacks; iron wire; pipes, piping, tubes and tubing (except coil pipes); centri-fugally-cast iron pipes, piping, tubes and tubing; knees, bends, elbows, junction or. inspection boxes; tinware and tin manufactures; leather* dressing, belt dressing and harness composition.

Purchase of Taupiri Mines t AUCKLAND, Oct. 16 Fhe terms of the Government’s oiler tu purchase all the shares ol Mines, Ltd., at the price nLi S IM sl , lare lor ordinary shares ana xi ius lor preference shares, were consioered to be reasonably fair to shareholders, state the directors, in a circular letter to shareholders recoDimending acceptance ol the offer. A iter the start of negotiations-with the Government, in June, 194/ directors decided n was m the’ best interests of shareholders to negotiate lor. a basis upon which the sale of their shares could be recommended to shareholders, states the letter. Such negotiations, if successful, would avoid the possible necessity for longarbitration proceedings, and sale on a share basis would avoid the necessity lor the liquidation of the company, with its consequent heavy expense and taxation difficulties, both to the company and shareholders personally. The Government’s proposals will be placed before shareholders at an extra-ordinary general meeting at Auckland on Wednesday, October 20. Huge Cost of Airliner

The latest estimated all-in cost of the giant Brabazon air-liner is £12,000,000, including £6,000,000 for the construction of the runway and flight shed, said the Minister of Supply (Mr G. R, Strauss) when he inspected the Brabazon at Bristol today. “I am convinced that the aeroplane will be a success, justifying the labour and resources spent on it,” he said. „ , He added that the Brabazon I was merely experimental. A start on the production of the Brabazon II had already been made. Mr Strauss said that the Brabazon’s maiden flight had been repeatedly postponed, but he thought the machine would take the air “very early next year.”