IMPORTED GOODS

New Zealand Herald, Volume LXXIII, Issue 22444, 13 June 1936, Page 17

IMPORTED GOODS

LANDING CHAECxES

GROWTH OF TARIFFS EFFECT ON DOMINION PRICES Arising out of remarks by Mr. F. N. Ambler, a member of tho executive of the Auckland Manufacturers' AssociaI tion, 011 the question of tariff duties, Auckland importers yesterday expressed I the opinion that the best way to inj crease trade with Great Britain was | not to increase foreign duties, but to | lower the tariff for many classes of 1 British goods. ; " Beyond any shadow of doubt, Now i Zealand is one of the dearest countries i in tho world to live in at the present ! time, apart from foodstulls produced in tile Dominion," said Mr. C. H. Archer, an importer of soft goods. " Tho reason for this is the high cost of landing goods, due not only to tho actual tariffs, but to tho high exchange and other landing charges." Increases in Recent Years Mr. Archer pointed out that the tariff protection in force seven or eight years ago was generally thought to be ample, as at that time tariff was largely regarded as a source of revenue for tho State while at tho same time permitting of reasonable competition among the countries exporting to New Zealand. Since the imposition of the high exchange, which really could be regarded as a tariff, duties had gone far beyond the point originally intended, with tho result that the cheap type of clothing was generally imported, for example, because the New Zealand public could not afford to buy the good to tho medium grades. To land from England, lines of (vomen's and children's stockings and socks would cost all charges, about 70 per cent above the actual purchase price. It the tariffs and other charges in existence about six years ago were operating to-day, it should be possible for a pair of good silk stockings to be purchased retail in the Dominion at os lid to Cs 6d a pair. 150 Per Cent Above English

Dealing with men's and women's madeup garments, Mr. Archer said they cost anything from (35 to 70 per cent to land, according to the value of the article. Woollen and worsted piece-goods, according to quality, cost from 55 to 70 per cent to land. Just to show how landing charges, largely due to the exchange, had mounted, cotton piece-goods were free of duty from England, but nevertheless it cost 40 to 45 per cent to land them, whereas six years ago the landing charges would have been in the vicinity of 10 per cent. According to quality, charges on men's hats from Great Britain ranged from 60 to 75 per cent, and sometimes up to 90 per cent. Broadly speaking, by the tirno soft goods from England were purchased by the New Zealand public, the cost of them was approximately 150 per cent above the English price. The trouble in building a tariff wall was that factors were always being introduced that made the process progressive.

Mr. I). Lattimer, who is largely concerned in the importation of electrical goods, said that talk of extra protection to local industries was disquieting. Australian business men were very concerned at the idea extending preference on goods from Great Britain, for they anticipated a tariff on Australian manufactures in view of the fact that New Zealand was now buying about three times more goods from Australia than she exported to that country. There was no doubt that Australia was now manufacturing many lines just as cheaply as was England, while Australia had the advantage on the New Zealand market of low freights.Mounting Costs Mr. Lattimer expressed the view that the public did not appreciate how illusionarv the actual tariff was in basing costs in landing goods. For example, his firm imported dry batteries from Canada against which there was a 15 per cent duty. On top of that, however, there was a sur-tax of nine-fortieths, exchange and other charges which made the landed cost per cent. Where duty was 20 to 25 per cent, the landed cost usually went up to about 80 per cent. Generally speaking, if it were desired to increase trade with Great Britain, tariffs would have to be 1 lowered in respect of her goods, added j Mr. Lattimer. It was no use increasing foreign tariffs. But in any such revision , Australia was a factor that would have to be taken into serious consideration.