PETROL RESTRICTIONS

Manawatu Standard, Volume LX, Issue 216, 10 August 1940, Page 6

PETROL RESTRICTIONS

MOTOR TRADE’S POSITION. DISRUPTION CiYUSED. Uncertainty as to the position of petrol rations in the near future, this resulting to a large extent from the manner in which the statement made by Hon. W. Nash announcing the further cut of one-third in tire coupon issue to operate from July 1 was made, was blamed by several garage proprietors, when interviewed by the ‘‘Manawatu Standard” to-day, for the serious economic position in which the motor trade finds itself. “The public know and appreciate the fact that the Government cannot know what is going to happen oyer a long period,” said one proprietor, “but what the man in the street does not know is to what extent the restrictions on the use of petrol in New Zealand are going to be dictated by shipping or other tactical causes, or to what extent they are going to be dictated by political and financial considerations.

“When the cut of one-tliird in coupons was made on July 1 the state of mind of many of the public was illustrated by the remarks of one man who aaid he would not go on paying lor Ins car; they had been cut by a third and the next thing would be no petrol at all; what was the good of paying for a car that one would not be able to use ?”

Not only had travelling been severely curtailed, it was pointed out, but the confidence of the owners of motor-cars in the future had been shaken. Used American cars formed a large proportion of the vehicles in New Zealand, and if the last cut of a third of the coupons had not been imposed a great number of used cars now forming frozen capital would be saleable. This was in the face of the position that possibly 50 per cent, of the nien who had already gone into camp had been car owners and who, on leaving their homes, had in many cases been wishful of quitting their cars at almost any price. STAFFING PROBLEMS.

The position of staffing was instanced by the statement in one quarter that though it had a staff of 37 it was doubtful if the concern had sufficient work to maintain a total of 15. However, the Air Force and mechanised units of the Army were taking staff, and further men would be going into camp under the Territorial training scheme. Faced with these difficulties, the garage proprietors were maintaining their mechanical staffs at the highest possible level against the iiossibility that if they lost the services of skilled men they might not be able to replace them. As matters stood at present, it was explained, the used car trade was dead and, further, the equity which many people had held in motor-ear investments had been most severely reduced. In addition, from the motor trade’s point of view, the new car market was practically non existent, even though cars for which an import license had previously been obtained were coming forward from the assembly plants. The last cut had been the “straw” which proved so far-reaching in its effect. The effect on the petrol stations was explained to he varying in its degree, according to whether the operator had as his customers many users or not who were operating under petrol licenses as against thpse who used solely coupons. The latter class of service station was situated in the main on the outskirts of towns and they had been most severely reduced in their, turnover, although all petrol stations had shown a reduction of a third or over. . As against the question of car sales and petrol sales, it was explained that the current uncertainty had led to a reduction of servicing consequent on the lessened, amount of use cars received Greasing, oiling and repair work had all shown consequent -reductions. !

A statement by the mo+pr trade organisation on the above subject appears on page 9. :