STALEMATE DEVELOPS.

Manawatu Standard, Volume LIX, Issue 195, 19 July 1939, Page 11

STALEMATE DEVELOPS.

A TRADING PROBLEM. PROVISION OF FINANCE. Per Press Association. AUCKLAND, Julv 18. Notification of a new development resulting from the import restrictions was received by an Auckland firm today from the agents for a British firm of felt and paint manufacturers. It was that no orders on hand or to ho made in the future would he shipped till advice was received that sterling exchange could he paid in London. Explaining the effect of such a decision, the principal of the Auckland firm concerned stated that the goods imported were bituminous roofing felts and similar products, which were imported into New Zealand at the rate of about £50.000 worth a vear. They were constantly in use bv builders, and were even necessary for Government houses. At present they wore not manufactured in New Zealand. His firm had obtained the necessary import licenses from tho Customs Department.

In the past the practice for payment was either on delivery in New Zealand or through the London buying house. Now, unless his own firm and others in the same line of business had credits of their own in London, the goods could not bo imported. It was not permissible to send money out of the country till the goods arrived in New Zealand, so no credits could be sent in advance from New Zealand, and. since the English firm would not export till sterling exchange was available in London, the position was stalemate.