RATES OF EXCHANGE.

New Zealand Herald, Volume LVI, Issue 17293, 17 October 1919, Page 6

RATES OF EXCHANGE.

BRITAIN AND AMERICA. AN UNDUE ADVANTAGE. [BY TELEGRAPH. SPECIAL REPORTER.] WELLINGTON, Thursday. In the. House of Representatives this afternoon Mr. Wilkinson (Egmont) asked a question regarding the rate of exchange between the United States and New Zealand and its effect in increasing the cost of living. He said the present way of ascertaining the value of goods for duty was the invoiced cost plus 10 per cent. If to this was added the difference in exchange it. would add considerably to the cost of living. The Hon. W. H. Herries (Minister for Customs) replied that consideration had already been given to the matter, and it was a question whether they should issue an order-in-council providing that invoice rates should be calculated for Customs purposes at the pre-war rate \of exchange. In this connection representation had Deen made in regard to shipments already on the water, and these would have to be exempted. Possibly the suggested order-in-council would not come into operation until February 1. As ■everyone knew, the enormous appreciation c< vie American dollar as against the English sovereign had led to the present situation, and if that were not taken into consideration the whole of our preference for English goods would fall to the ground, and Americans would get a great advantage over the English exporters on certain lines. Our policy had always been to give perference to English as against. American goods. If the rate of exchange was not taken into consideration, the Americans would get a preference which he did not think the House intended them to get. Mr. Wilkinson : There are certain lines of goods you. must get from America.