TRADE WITH CANADA.

New Zealand Herald, Volume LXVIII, Issue 20902, 18 June 1931, Page 13

TRADE WITH CANADA.

EFFECT OF HIGHER TARIFF.

LOCAL FIRMS SUFFERING

APPEAL TO ■ PRIME MINISTER

Further efforts to ease the' position of those importers; who have been affected bv the present tariff difficulties between New Zealand and Canada are beirip made by the recently-formed Canadian British Traders' Association. Representations have been made-to the Prime -Minister. Rt. Hon. G. W.' Forbes, in this connection. but so fgr without success, notwithstanding the flict that New Zealand firms are, suffering as a result of the .tariff arrangement designed to operate against Canadian interests. ' ' • •

Some days ago the association sent a telegram .to the "Prime Minister stating that merchant:,-and importers throughout New Zealand were'-'greatly embarrassed owing to having placed signed contacts prior to June 2' for. goods for shipment from Canada, in June and July. These were mostly seasonal goods and were required here in .August and' September. These contracts .could not bo repudiated and in many instances .the.goocl.s had already been manufactured. The Prime Minister was urg;d 'to consider 'the' exemption of these goods from : the effect of the tariff subject to production of definite proof as to the date of contract. In reply to this the Prime-Minister said that he could , not agree to the suggestion.

Since, the despatch of that telegram many further cases of hardship liaye been brought to the notice of the association and the Prime Minister has been further approached. In the' telegram despatched it was stated that, attempts had- been made- by New Zealand firms* to cancel existing contracts; but due to certain goods being specially manufactured to comply with New Zealand Health Department regulations. Public Works regulations, New Zealand Food Acts and many other conditions outside the control of the Canadian suppliers, they ob viously coulc. not expect the Canadians to cancel the contracts as the goods were useless for ether markets.

It was pointed out .that" as the Government's action would only penalise New Zealanders, it was suggested that the Prime Minister reconsider the request made in th>s earlier telegram, or failing that attempt to compromise with the Canadian Government on the basis sug gested by the association. No reply to this telegram had been received yesterday afternoon.