IMPORT CONTROL

New Zealand Herald, Volume LXXVI, Issue 23319, 12 April 1939, Page 15

IMPORT CONTROL

SECOND PERIOD TRADERS AWAIT TERMS FEAR OF RIGOROUS CUTS LICENCE DELAYS INEVITABLE Importers are now anxiously awaiting the policy statement by the Minister of Customs, the Hon. W. Nash, regarding the terms of the issue of licences for the second half of the year which begins in May: ThereSs a strong feeling that it is now overdue and that delavs in the issue of. licences which marked the first period are now inevitable for the second term. Anxieties are strengthened by an impression that cuts will be even more rigorous than in the current period, a condition "that would make it even more desirable to adapt trading policies well ahead,

Sterling Balances The delay in the issue of the terms of licences is regarded as significant of the financial situation overserffc where, although sterling balances have improved. their state is disappointing when it is considered that a substantial portion of the season's export production lias gone overseas, Recent figures indicating a decrease in the value of exports have not been reassuring to importers whose interests are dependent on a, restoration >of sterling balances.

Since the original cuts were imposed on the currant period's imports, there has been some relaxation in favour of raw materials. It is the Governments expressed policy to supply sufficient raw materials to develop industry, but one thing made clear through the imposition of cuts is the substantial proportion of normal imports used by industry. Materials for Industry

It is estimated by manufacturing interests who have given close study to t the position, that quite 80 per cent of normal imports are used by industry in some form or other in New Zealand. The term "raw materials," when applied to the needs of industry generally has a very wide application, embracing a multitude of classes ol finished manufactures.

So far 1796 second term licences have been issued by the; Customs Department for goods deemed to be of an urgent nature. There is- comment among importers at the big proportion of rejections of second term applications, but the department was empowered to grant licences for certain items only, and many rejections apparently do not come within the category. In such instances the importer will still have the right to apply for licences when general applications are invited. There is still a fairly steady issue of licences for the current period, those mostlv being for plant and goods that come within the wide definition of raw materials.

MANY APPLICATIONS POSITION IN WELLINGTON SCHEDULE NOT YET KNOWN £by telegraph —OWN correspondent] WELLINGTON, Tuesday Applications for licences to import goods for the second half of the current licensing year are boing; received daily at the Wellington office of the Customs Department, but the collector, Mr. R. J. Grey, stated to-day that he understood many merchants were holding back their applications pending an official statement dealing with the second period. "We are still issuing licences for the first half of the year," Mr. Grey said. "Many licences have been issued for the second half for seasonal goods enumerated in the list published about two months ago, but we have received a number of applications for goods we have yet 110 authority to license. Wo are still waiting for a schedule for the second period." Mr. Grey said the department had been faced with a big task when the licensing system was introduced, but it had done the best it could to cope with the large volume of work. The department had been built up to deal with licences, but the work was strange to many of the newcomers, and it would require some time before the new section of the department would attain full efficiency. He realised, too. that the licensing system had involved many importers in a tremendous amount of additional clerical work in preparing their applications and taking out the necessary figures.