VENDORS' DIFFICULTIES.

New Zealand Herald, Volume LXIV, Issue 19792, 12 November 1927, Page 12

VENDORS' DIFFICULTIES.

DUTY-FREE STOCK CLEARED. LARGE QUANTITY IN BULK STORES Hie position of the smaller distributors of petrol is illustrated by the case of an Auckland importer who had to draw a cheque lor £2OOO m payment of duty 011 a shipment of 12,000 cases by the West Henshaw ou Tuesday. The distributor was compelled to increase his price to reseller* by the amount of the tax —4d a gallon or 2s 8d for cases of eight gallons. Competitors who have large slocks are still distributing case petrol at the old price, so that the large supply which arrived this week would, but foi the amendment made last night, have gone on tc the market under a handicap which is more than the motorist's preference for brand could be expected to swallow. The small importer of petrol has been deeply concerned at his position. In some cases "petrol was on the water when the Prime Minister's announcement was made. The wholesale dealers contend the Government should have taxed every gallon of spirit in the bulk-tanks on November 1. Alternatively, it .is suggested that supplies of cAsed fuel which nad been shipped when the tax became operative should be exempt. It is stated by the distributors who handle tho less popular brands of petrol that the two bulk distributors hold four months' supply. The retort of the bulk dealers is that they have invested over £1,00(3.000 each in providing bulk facilities in New Zea land By this organisation the motorist escaped an immediate increase in the price of petrol.