OTTAWA BUSINESS

Hokitika Guardian, 14 October 1932, Page 5

OTTAWA BUSINESS

BRITISH SUMMARY CLASSES FOR DOMINION EXPORTS (British Official T T‘ r eless.)

RUGBY, October 12,

A summary of the Ottawa agreements has been- released. The agreements provide a basis for legislation, which has been drafted for sftibmissi’on to the House of Commons immediately after it reassembles on Tuesday next. 'The agreement’ with all of the Dominions follow the same general form. The imports from the Empire countries Into Britain fall into three classes First tome tiros© all accorded .entry duty free, they being subject to a revision three years hence. Secondly there are those which are granted a preference, through the impos ; tion of specific duties on foreign goods. Thirdly there are those imports receiving preference in virt ie of the ten per cent, ad valorem duty that was imposed on foreign goods under the Import Duties Act

The Mirst category includes eggs, poultry, butter, cheese, and other milk products from Canada, New Zealand, South Africa, Newfoundland, and Southern Rhodesia, The foreign goods in the second category include the following; Wheat in grain, 2s per quarter ; butter Ifo ,per quarter; cheese, fifteen 'per cent ad valorem

Parliament will be asked to impose thes© duties as sej. out in the schedule of til© Agreements.

The New Zealand Agreement makes .no addition to the above list. An understanding is being given by the British Government not to reduce the ex)isting general ad valorem duty of ten per cent, imposed under the Import Duties Act on a .large class of foreign goods, which are al-o enumerated in special schedules to the Agreements with the Dominions interested. In regard to the modification of the import duties in the Dominions on British articles, the Canadian modifications apply to some £ls items, while the agreement with Australia provides that, subject to the Australian Tariff Board’s recommendations, the United Kingdom goods will enjoy the minimum preference graded according to th e duties chargeable upon them under its Agreement. Australia will limit her export ol frozen mutton and frozen .lamb to Britain in 1933 to an amount equivalent to that so imported during the year ending June 30th last. Britain already enjoys a large proportion of New Zealand’s trade, and in the new Agreement, the Dominion undertakes not to increase' her primage duty, but to lower still further her existing duties. She undertakes al-o fo abolish her surtax oil British goods, and to modify certain of lw basic import duties on British goods.

South Africa wftll grant to Britain an increased margin of preference.

Newfoundland and India are also to give Britain a preference in their imports. In the schedule to the Canadian Agreement, the goods specified include apples, pears, canned apples, dried fruits, eggs, and condensed milk. Under the corresponding schedule of the Australian agreement there are included, in addition to the above, powdered milk, honey, raw oranges, and grape fruit. The New Zealand Agreement makes no additions to this list, hut the schedules attached to the South African Agreement include a number of specific duties to be imposed on the foreign imports of various other fruits, ran and canned, also a ten per cent, art valorem duty throughout the year on maize.

The only items specified in the corresponding schedule of the Newfoundland Agreement are a duty on foreign codlivor oil of Is 4cl a, gallon, and on chilled or frozen salmon of ljd per pound.

Under the United Kingdom-Indian Agreement, which is subject to ratification in India, provision is made for the imposition of dut'es on foreign imports of wheat, rice, castor oil, magnesium, chloride and linseed. In regard to the modification of import duties in the Dominions on articles imported from Britain, full particulars are given of the new rates imposed.

In regard to Canada these modifications apply to some 215 items) of which, in 132 cases, the duties on the United Kingdom gods are to be reduced, while in 79 cases such goods rr e for the first time to enjoy freedom from Customs duty on the basis of last year’s trade. Over 40 per cent. 61 the imports from the United Kingdom into Canada will enjoy '.immediately th e advantage of lower Customs duties than those previously in force, goods to the value of over eight million dollars being admitted free of Customs duty.

The agreement with Australia provides that, subject t° the An traUan Tariff Board's recommendations, ,the United Kingdom’s goods wit! enjoy certain minimum preferences graded ■according to duties chargeable upon them. The minimum margin of preference will range from 15 per cent, ad valorem whin tie duty on United Kingdom goods \s up to 19 per cent, ad valorem, to a 29 per cent, preference wher e the duty is 29 per cert. ; hut the maximum duty rate must not exceed 75 per cent. The preferences exceeding tho; > resulting trom the application of f formula remain at the existing lev 1, subject to certain minor reservations. Certain prohibitions on British imports are withdrawn and the removal of surcharges andi primage