IMPORTS BY POST.

New Zealand Herald, Volume LXVI, Issue 20174, 7 February 1929, Page 10

IMPORTS BY POST.

CASH-ON-D ELI VERY SYSTEM.

BUSINESS MEN'S OPPOSITION.

BRITISH MANUFACTURERS' VIEW.

[BY TELEGRAPH.—OWN CORRESPONDENT.] WELLINGTON, Wednesday. Interesting views regarding the cash-on-delivcry system were expressed by business men to-day. On behalf of Albert A. Corrigan and Company, Limited, the following statement wa3 made as representing the views of the British Manufacturers' Association of New Zealand: — " Wo are interested in quite a range of English products, and have had a long experience, directly and indirectly, of the effect of c.o.d. trading in competition with the locally-established businesses. The c.o.d. trading is undoubtedly a factor, and a growing factor, in business competition. It fosters a less desirable system of trading, by which the purchaser, when all points are considered, reaps no real advantage. It may be seeking more than can be realised m asking for the abolition of the system, but Ir* traders who make it their business to trade in that manner for profit should pay for the service, and the customer should also pay for what he considers a convenience in his method of buying. "The imposition of a 15 per cent, to M per cent, ad valorem loading, in addition to duty, harbour dues, etc., would ensure a reasonable payment to the public departments made use of, and would place c.o.d. traders 'on side' with the general trader who carries on his business on what may be termed legitimate lines, in .which he contrbutes to rates, taxes, etc., affords local employment on staffs and in workshop and factory. In a statement issued on behalf of the Wellington Chamber of Commerce the secretary, Mr. H. S. Fairchild, said the New Zealand chambers of commerce had protested several times against the facilities given by the Government for the admission of c.o.d. parcels into New Zealand. "The chambers of commerce have especially stressed the disability suffered by local traders," Mr. 1' airchild said. "Business goes past them that otherwise would be of assistance to them in meeting ovorhead charges. These traders emphasise the loss to the country by way of income-tax, land tax, loss of repostages within the Dominion and in other ways that must result in a considerable loss to the country, much beyond that received by the Post Office by way of small commissions collected by handling this business. The traders, again, often emphasise the opportunities for the admission of shoddy goods into the country by this system, which are not permitted in the case oi legitimate traders, owing to the rigid inspections and restrictions imposed by customs authorities.

"Business men object to the system, on the ground that the Government acts as a guarantor to the firms using the system, guaranteeing them either payment or return of the goods In order to avoid the dangers associated with the credit system, successive annual conferences of the Associated Chambers of Commerce of New Zealand have adopted remits protesting against this system, and deputations which have waited upon the Prime Minister and the Postmaster-General have included representatives of the drapers, boot retailers, booksellers, jewellers, warehousemen and others."