GOLD EXPORT TAX

New Zealand Herald, Volume LXXII, Issue 22191, 19 August 1935, Page 5

GOLD EXPORT TAX

REMOVAL NOT LIKELY BENEFITS FROM EXCHANGE STATEMENT BY MINISTER Expressing his opinion tliat the gold tax ivas not harmful to the mining inlustry, the Minister of Mines, the Hon. 0. E. Macmillan, stated in Christchurch last week that tlie Government had no intention of removing the tax which was it present in force. Mining propositions ivhich were said to be affected by the tax, said the Minister, were merely working on the premium created by the exchange, and would all be bankrupt if the exchange were taken off. The industry, in spite of all that was said about the effects of the tax, was developing rapidly. Tho Government, by collecting tho tax, was merely asking the mining industry to pay back .1 part of what the Government gate it when it raised tho exchange rate a further 15 per cent, Mr. Macmillan contended. The exchange rate was put up to assist depressed primary industries which had experienced a depression in prices to an extent of more than 50 per cent. Prices in tho gold industry had appreciated more than 100 per cent over pre-war levels. The Government had received 110 specific request from the mining industry as a whole, but only from some individual companies. The effect of the tax, which amounted to 12s 6d an ounce, was that the producers still enjoyed a premium on gold valued at £7 an ounce. The full premium amounted to £1 an ounce, so that with the tax off there was still a premium of 7s 6d in addition to the market rate. There was,' the Minister said, no justification to assist an industry whose prices had doubled in value; but ho added that the legislation provided that as the exchange came down, the tax 011 gold would be reduced in proportion. WOOL INDUSTRY BRADFORD MILLS BUSY ENCOURAGING OUTLOOK (Received Aueust 18. 5.5 p.m.) LONDON, Ansr. 17 Healthy conditions in the wool industry are reported from Bradford. The Economist states that usually quietness rules from Whitsuntide to the end of August, but this year the mills have continued to run most encouragingly and only this month has a general quietlioss been felt. Another Bradford correspondent says top-makers are showing considerable reluctance to sell for delivery three oxfour months ahead and new business is to immediate requirements. This attitude is due to the belief that there will be a strong opening of the Australian season and the early sales are expected to establish values at a' level higher than the present Bradford parity. Consequently any offers of business for forward delivery under current rates are being rejected. JAPANESE DUMPING SHIRTS AND COLLARS COMPLAINTS IN ENGLAND (Re.ceived August 18. 5.5 p.m.) LOXDON. Aus. 17 The latest complaints of Japanese dumping come from shirt makers, who state that heavy consignments of Japanese shirts are entering Britain at prices with which British manufacturers can never hope to compete. Imports of Japanese shirts, collars and similar articles in 1934 were valued at £120,000 and imports of almost equal value were received in the first five months of 1935. The matter has been brought under the notice of the Minister of Labour, as these importations undoubtedly are affecting employment in England. Possibly an application will be mado to the Government for an increase in the present 20 per cent import duty. WHOLESALE EGG PRICES DECREASE OF 2D A DQZEN Owing to the seasonal increase in supplies, wholesale prices of hen and duck eggs will be reduced by 2d a dozen today. Values will be as follows:—First grade, Is o{d a dozen; B grade, lljd; C grade, 9Jd. TRADE WITH EMPIRE INCREASE IN BRITAIN British Wireless. RUGBY, Aug. 16 An analysis of Britain's overseas trade for the first half of 1935 shows a growth in the Empire's share. Imports from Empire countries were 40 per cent of the total, compared with 38.8 per cent for tho same period of 1934, while exports to British countries amounted to 46.5 per cent of the total, as against 45.1 per cent last year. Of re-exports, 82 per cent went to foreign countries, compared with 81.2 per cent for 1934.

AUSTRALIAN EGGS FAVOURABLE PROSPECTS (Received August 18, 5.5 p.m.) LONDON, Aug. 17 The Australian ocg season will open with the arrival of the liarrnbool's shipment, which will bo marketed next week. Prospects appear to bo fairly favourable, according to the report of one of the large importing firms. No doubt right through this year steady consumption left very little unsold surplus. _ Consequently there has been less inducement to retain eggs for speculative purposes. Australian eggs already have been sold forward at higher prices than at the beginning .of last season. COTTON, RUBBER, JUTE, ETC. (Received August 18, 5.5 p.m.) LONDON, Aug. 17 (Quotations on August 10 in parentheses) Cotton.—Spot, 6.56 d (6.48 d) a lb.; September delivery, 6.10 d (6.03 d). Rubber.—Para, 4Jd (42cl> a lb.; plantation and smoked, ojd (ojd). Jute. August-September shipments. £l7 15s (£lB 2s 6d) a ton. Copra. August-September shipments, Sou-th Sea, sun-dried, £9 10s to London and Rotterdam (£9 10s) a ton; South Sea, smoked, £9 10s to Marseilles and Genoa (£9 10s); plantation, Rabaul, hot air dried, £lO 15s to London and Rotterdam (£lO 10s) • Linseed 0i1.—£24 5s (£24 10s) a ton.' Turpentine.—l4s 6d (43s 9d) a cwt.