THE New Zealand Herald AND DAILY SOUTHERN CROSS. SATURDAY SEPTEMBER 8, 1894.

New Zealand Herald, Volume XXXI, Issue 9611, 8 September 1894, Page 4

THE New Zealand Herald AND DAILY SOUTHERN CROSS. SATURDAY SEPTEMBER 8, 1894.

What is to be done in respect to the tariff is still a secret. The Government threw up a kite to see how the wind blew in respect to duties on grain and coal, but the House unmistakably indicated that it was against the opinion of Ministers, and would not allow them to pursue the short-sighted policy that was in their minds. In regard to these articles they have had their warning, and will take it. But a Tariff Revision Committee has been sitting all the session, and the result of their labours has not yet come before the House. Before the session began, Ministers had in their hands many proposals for alterations in the tariff, and while the House has been sitting a number of suggestions have been forwarded to them. These have all been duly sent on to the Tariff Revision Committee, which has operated well as a device to save Ministers from taking one side or another. Touching with the tariff is rather a dangerous work for any Ministry. It is like letting loose the floodgates of pent-up waters, and we do not wonder that Ministers are afraid to do anything. It will be easy to avoid the task. Ministers have only to say that they regret that the report of the committee has been so long delayed that it is impossible this session to open up the large question of revision of the tariff before the House. Tariff reform may mean many things. The best reform would be such as is contemplated in New South Wales, that a host of duties, imposed for the purpose of protection, but which have failed in that respect, and which are of very little benefit to the revenue, should be swept, away, and that the Customs dues should be levied for revenue purposes only. There is another kind of reform, which would consist in removing from the tariff list a number of anomalies which at present exist, and which indeed are inseparable from any "high tariff." Sub committees of the Chamber of Commerce were appointed some time since to consider what improvements might be made in the tariff. It was out of the scope of the duties of these committees to deal with the question of the greatest and best of tariff reforms, that is, a sweeping away of many of the duties. But in their reports they pointed out a large number of absurd anomalies in the present tariff. To some extent anomalies will always exist with a high tariff, especially with a high tariff which co-exists with a pretence at encouraging certain industries. For instance, the colony has sacrificed a great deal to encourage our woollen manufactures. But then we are also desirous of. encouraging the making up trade, and we allow " short lengths" of woollen goods to be imported free. The woollen manufacturers now claim that if our encouragement of them is to be made complete, we should tax these short lengths 40 per cent. also. At present, 20 per cent, is charged on worsted and silk yarns for use in the manufacture of tweeds. It is claimed that these should be free, as aiding the woollen manufacture, as also loom furnishings. The tariff as applied to ironmongery goods is full of contradictions and anomalies. For instance, ploughs are free, while the materials for making ploughs are charged a heavy duty. But, although ploughs are free, horse rakes are charged 20 per cent. Axes and hatchets are free, but bill-hooks and slashers pay 20 per cent. Forks and adzes are free, but mattocks, grubbing hoes, and

manure-drags pay 20 per cent. And so on, through a long list. One Article is on the free list, while another, which is in the same class precisely, is heavily taxed. At present, potato sacks are free.' It was found that these were too large for dealing with new potatoes, of which there is a large production near Auckland, and a firm here imported sacks of less size, but of the same material, and for the same purpose. But the Customs insisted upon imposing 20 per cent. duty. In regard to artificers' tools, there are also many anomalies. A wood-worker's boring machine is free, but a wood-working lathe is oharged 20 per cent.; a coachbuilder's spoke-boring and tenoning machine is also liable to duty. Awl handles as parts of artificers' tools are free, but chisel, saw, etc., handles, imported separately as woodenware, are charged 15 per cent. Machinery for refrigerating and preserving meat is free, while machinery for making tins for the same purpose, if imported by tinsmiths, is charged 20 per cent. In the department of drugs and chemicals the tariff inconsistencies are most conspicuous. If made up in one way they are charged one rate of duty ; if made up in another they are charged in another way. The memorial from the Chamber asked that all containers, i.e, cases, casks, barrels, baskets, jars, drums, and bottles should be free. These as a rule are not merchantable articles, but as a rule the Customs insist on charging duty upon them as well as on their contents. There are 315 dutiable articles on the present tariff, and these have necessitated over 4000 decisions by the Commissioner, which have all the force of law. Importers in every department complain greatly of the varying decisions given at different ports. The landing waiter is the arbiter of the class under which the article shall be placed, so that virtually he determines the rate of duty. The memorial in reference to drugs says : —"Numerous instances can be quoted where dyers, mining agents, drapers, and others import drugs and druggists' sundries either duty free or at a different rate of duty than druggists, although identically the same, and used for the same purpose; the invariable practice of the Department is to use the utmost ingenuity in construing the tariff interpretation so as to secure always the higher rate, instead of what should be the ' fair rate' of interpretation."

It would not be difficult to obviate some of the glaring anomalies of the tariff, but anything worthy of being called a reform cannot be undertaken at the present time. Indeed, no real reform can be set about; till the rule is laid down that customs taxation shall be levied for revenue purposes only. The idea of our present tariff is inconsistent and impossible. It is a high tariff, and aims at excluding certain articles altogether, so as to create manufactures of different kinds. But then, in order to encourage agriculture, it admits some classes of articles free, and so renders it impossible that they can be made in the country. At the present time the Government propose to strain the credit of the colony in order to obtain money to lend again to farmers, while at the same time they. levy heavy duties on such articles as fencing wire, which farmers, and especially new settlers, use largely. No mere patching of the tariff, no mere removal of a few anomalies, can be of much benefit. There is a danger, indeed, that the attempt to remove anomalies may create as many as are obviated. Our high tariff has been a failure so far as the creation of manufactures is concerned. It has not answered expectations in the obtaining of revenue. But any reform is at present impossible, with the present Government, and the present House, and the present state of public opinion.