THE FEDERAL TARIFF.

New Zealand Herald, Volume XXXVIII, Issue 11781, 10 October 1901, Page 5

THE FEDERAL TARIFF.

PROTECTIVE DUTIES.

LARGE INCREASES IMPOSED.

HOW NEW ZEALAND IS

AFFECTED.

By Telegraph.—Press Association.—

MKT.nomvK, October 9. The Budget speech was made to a crowded House last night, the galleries being filled.

The Treasurer was received with cheers. He thanked he committee for their kindly reception. He never felt so much difficulty, and certainly never in the delivery of a State Budget, the reasons being the confusion of six different modes of keeping accounts in the States and the difficulty of getting precise information from the other States on the questions inquired into- They had to keep down the expenditure, so as not to denude the States too much, and as he sympathised entirely with the Treasurers this would be done so far as possible. At the same time the States had in some cases proposed heavy expenditure. They had had heavy demands made on them for improved services. Complaints had been made as to the delay in bringing down the Budget, but these were without foundation, considering the severe works which had to be done.

The Treasurer explained that the expenditure which he required for defence was £860,000; Parliament, £59.000; and elections, £53,000. The estimated Customs and excise revenue would yield £2 7s 9d per head in New South Wales, and £2 3s in Victoria. The expenditure of the Department of the Postmaster-General would be £2,300,000. He estimated that in a normal year the revenue from the tariff should be £8,900,000, and for the current year he expected to get a little over £8,000,000. He expressed the opinion that there would be a necessity for reviewing the defence expenditure, which was mounting up. He announced his intention of arranging that building and other works where possible should come from revenue instead of loans, but much of the defence expenditure, large works, and the telegraph and telephone expenditure might well be charged to loans. He intended to provide for going into the market for a million loan. The absence of figures was owing to the confusion arising from the fusion of six systems, which left the Treasurer in the position that figures could not yet be given.

The Treasurer left Mr. Kingston to explain the tariff, saying that as a consequence of the enlarged expenditure they must expect heavier duties in some directions. The Minister of Customs followed in a long speech, which contained little information to his hearers. He refused to produce the tariff, which contained the exact figures, till sitting down. After criticism at some length by Mr. Reid the debate was adjourned.

Amongst the points in the Budget are a proposal for a. one per cent, sinking fund, with a provision that the Government shall buy back its own stock.

South Australia gains £45,000 from the new duties, while Tasmania loses £136,000. Queensland also loses. "If Tasmania asks for assistance we are in honour bound to assist," declared the Treasurer, and such assistance should take the form of an advance without interest for a few years. Omitting narcotics and stimulants, the tariff averages 22.90 per cent., while with these articles included 34.99 is the average. A shilling to eigliteenpence a gallon is put on beer, and on spirits fourteen shillings a gallon; -wines twelve shillings; tobacco, three shillings and sixpence per pound; sugar, six to ten shillings per cwt; butter and cheese, threepence per lb; eggs, sixpence per dozen; fresh fish and oysters, two shillings per cwt; hops, sixpence per lb; meats, fish, poultry, game, one penny per lb; tin meats, twopence; onions, shilling per cwt; potatoes, shilling per cwt; mineral water, 20 per cent, ad valorem; tea, twopence and 20 per cent ad valorem; textile fabrics, 10 to 20 per cent, ad valorem ; linotypes and similar printing machines, exempted; timber, dressed, three shillings per 100 superficial feet; undressed, two shillings and sixpence; timber, undressed, in sizes of 12in by 6in, a shilling; in sizes 7 by 2£ and less than 12 by 6, one shilling and sixpence; New Zealand pine, undressed, of sizes 12 by 6 or over, is exempted bacon and hams, threepence lb; grain and pulse, n.e.i.e. per cental, one shilling and sixpence; ditto, prepared or manufactured, one penny lb; bran, pollard, sharps, one shilling per cental; unenumerated, two shillings and sixpence.

PRESS OPINIONS.

Sydney, October 9.

The Daily Telegraph states that Australia to-day staggers under the heaviest tariff it has ever been called on to bear. The tariff is higher than the average in the six States. This is the price which Australia has to pay in order to protect Victoria's exotic industries. Taken as a whole the tariff is burdensome, and will not yield so handsomely to the Treasury as is anticipated.

The Herald says that despite the Premier's talk of a revenue-producing tariff rather than a partly protective one, the opinion will prevail that it is of a Protectionist character. The Government has carefully given a measure of protection to dairy farmers and agriculturists (which cannot be of much value for some time) mainly as against New Zealand produce. Objection is also taken to the composite nature of the tariff, which will not give satisfaction to this State.

Melbourne, October 9.

The Age says that while the tariff contains many admirable features it will scarcely make good the ardent Protectionist claims of the Government.

(Received October 9, 11.18 p.m.)

Melbourne, October 9.

The Argus says the tariff will absolutely please nobody. The high tariffist's dream has vanished, while on the other hand far too many absolutely protective duties are left to be applied in other parts of Australia hitherto free.

NEW ZEALAND AND THE TARIFF.

(Received October 9, 11.6 p.m.) Sydney, October 9.

A leading business man on being interviewed regarding the tariff said : "It is interesting to note how severe it will be on New Zealand. No doubt the duties will tremendously curtail trade between New Zealand and Australian ports. It must be admitted that higher duties is the price we are paying for going into federation, and the loss of her principal outside market is the price which New .Zealand is going to pay for stopping out."

A WELLINGTON OPINION. [BY telegraph.— CORRESPONDENT.] Wellington, Wednesday. Although the information is very meagre the news of the Federal tariff has been very unfavourably received here. I saw Mr. Seddon on the subject this evening, but he

refused to commit himself one way or tfad other. Mr. H. Beaucliamp, r. member.of the well-known firm of Bannatyne and Co., when interviewed by a local paper, unhesitatingly declared that the tariff was a direct' aim at New Zealand, especially in relation to such items jh butter, cheese, eggs, and timber. All things considered it appeared to him a very short-sighted policy, for the reason that it seemed almost certain that Australia would have to come to this colony for large quantities of its products from time tc time when adverse climatic conditions prevailed in lie Commonwealth States. As regards the effect of the tariff on this colony,, Mr. Beaucliamp points out that there are only one or two of the Australian States that can produce, in any quantity, similar goods, with the exception of wheat, to what; we produce in this colony. The climatic conditions are against them. They are bound, at certain intervals, to come tc us for supplies, and the additional tax will, therefore, fall upon their own shoulders. They have, for instance. 110 timber that can replace our kauri. White pine they haw been wise enough to let. alone, but tawa, another soft wood, they take in large quantities. As for hams and bacon, now proposed to bo made subject to an additional impost of 3d per lb. Mr. Beauchamp is o> opinion that for quality there is no part of Australia that can produce an equal to the New Zealand product. There is a big demand tor hams and bacon from this colony in all the Australian markets. "It means. 1 ' said Mr. Beaucliamp. "an immediate check on our trade, whether the tariff passes or not, but I can't believe that it will be confirmed in its present condition." The item* 20 per cent, ad valorem duty on mineral water, seems to him rather a paltry smack at our Te Arolia and Puriri waters, for the protection of the one mineral water obtained in Queensland. The effect of the new tariff, as a whole, Mr. Beauchamp thinks, will be to produce a howl from our farmers, but he does not anticipate that this colony will bo affected to the extent that many people will imagine at first sight, for he points out that our export trade with Australia, excluding specie, only represents 10 per cent, of the whole of our exports. Ninety per cent, goes to other places. Undoubtedly, Australia acts as a distributing centre for a great deal of our produce, but the new duty will not affect that trade. Goods will simply bo shipped under bond for re-export to the East and elsewhere. New South Wales is the chief Australian consumer of our produce, and has also been used as a dumping ground for large quantities of produce consigned for sale. Victoria will benefit by the tariff, as it will encourage her to go ahead and increase her productions. As to the question whether, in view of the new tariff, this colony ought to seek a remedy by federating, Mr. Beauehamp remarked that' what we have to consider is whether the advantage of having the trade with Australia,-, even up to the extent of 15 per cent, of our total exports, is worth the sacrifice of our political independence. Mr. Beauehamp, it may be added, was a member of the New Zealand Federal Commission.