TRADE STATISTICS

New Zealand Times, Volume XXXI, Issue 6870, 14 July 1909, Page 5

TRADE STATISTICS

MISLEADING TO MERCHANTS AND OTHERS. THE REASON WHY. It seems to be the firm opinion of a large number of commercial men in the Dominion that the same claim cannot be made for New Zealand’s trade statistics as used to be advanced by a certain well-known German consul to this country. He was wont to say with full assurance that “sun, moon, and stars may go wrong, but German statistics never;” whereas our own statistics seem to be in a somewhat different position. Complaints as to their unreliability have been .made in different parts ol the Dominion on numerous occasions, and yesterday the position was put clearly to a-“ New Zealand Times” reporter by Mr S. Carroll, secretary of the Wellington Chamber of Commerce, and a recognised authority on such matters. . “It is generally felt in the commercial community,” he declared, “that our trade statistics are, unhappily, so compiled as to be useless as a guide;, in fact, to be absolutely misleading to those who are operating in any of our products, and to whom the volume of exports is'a matter of prime importance in conducting business. If a man is looking to the statistics for reliable information as to the state of affairs, for hints as to when to ship and when to hold, his calculations will all be entirely up sec. The statistics relating ,to the export of grain constitute a very glaring example of the inaccuracy resulting from the present system, or, as I should perhaps say,.want of system.” BIG DISCREPANCIES. Proceeding to prove the correctness of his assertions, Mr Carroll turned to a leaflet issued by the Department of Industries and Commerce, which purported to show the exports of the chief products of the country during the June quarter. The leaflet, ho said, stated that the quantity of wheat sent away during that period was 557,938 bushels, whereas his records, which are carefully compiled from reliable sources, indicated an export of 910,203 bushels, a very much larger quantity. The number ■ of sackfuls actually sent away was 273,061. For the March quarter, though In comparison the amounts handled were very much smaller, the discrepancy was proportionately a great deal larger. The Government publication gave the wheat export as amounting to only 1780 bushels, whereas he made it 19,633 bushels. Then in.oats during the June quarter there was also a considerable conflict, the leaflet indicating an export of 1,620,000 bushels, while his record clearly snowed a total shipment of 1,950,000 bushels. How did he account for this ? It was all owing to the laxity allowed ,by. the Customhouse officials in passing entries, and the carelessness engendered among shippers by the want of strictness' on- the side of the department. Ho did not hold the Department of Industries and Commerce responsible for it at all, but the Customhouse people were very much to blame indeed. His figures were perfectly reliable, as they were obtained direct from the ships’ manifests," and related to shipments actually going away during the quarter, whereas those on the Government leaflet were compiled from the entries passed by shippers - just whenever they chose to put them in. The real difference was that ho went by the date on which ships left, while the department was satisfied to consider, only the date on which entries were • passed. REGULATIONS ABUSED. The regulation on this point said that, export entries were to be passed within six days of the departure of the ship, but, as a matter of fact, asserted Mr Carroll, the regulation had been so much abused and neglected that instead of six days, shippers often; took six weeks before they passed their entries. Under such conditions it was quite possible for -one-third; or even one-half of a quarter’s shipments to be held over and credited to the following quarter. Now, whatever was the , good of statistics , compiled in such a way as that? The recent Conference of Chambers of Commerce had drawn attention to this obvious defect, and had. urged the Customs Department to exercise much.,greater .strictness in. relation to the passing of export entries. The suggestion made was that: shippers should be, compelled to pass their entries -within twentyfour hours after the ‘ departure of the ship. The "wheat, market now was very much troubled over the volume of exports, the facts brought to light providing a great illustration .of the very misleading result® produced by the" prevailing laxity. The Collector of Customs. atWellington was evidently quite conscious'of the state'of affairs, and was understood to be doing his best to bring things more up to; date,,, but to be of any practical use it was quite necessary for the officials at other ports to take similar action. It was also essential that they should be fully supported by the head-office. AN UNWILLING MINISTER. The attention of the Customs Department had been drawn to all the facts in the possession of the conference, but the only reply received from the then Minister, Mr A. W. Hogg, was that he was unwilling to be the first to inflict a penalty on exporting merchants." ' To bring a better state of affairs to pass, concluded Mr Carroll, all that was required was for the Customs Department to make it a rule that all entries should be passed within twenty-four hours—.which . experts had agreed could very well bo done — and to enforce the rule, if necessary, by the infliction of two or three penalties.

THE OFFICIAL VIEW “AS: CORRECT AS COULD BE expected;” ' “Wo admit that the statistics are somewhat unreliable, but say that they arc as nearly correct as could be expected under the present system,” said the Secretary for Customs, Mr R. Carter, when asked if he had any opinion to; express upon the matter. Tlie official statistics, he explained, were compiled in the Customs Department from the entries put in by shippers during the quarter, so it was quite possible that they did not accurately reflect the volume of exports in that period. Sometimes difficulty was experienced in getting returns in with reasonable promptitude, and under such conditions it was almost unavoidable that shipments going away close on the end of the quarter should be included in the statistics for the following period. In this respect some

of the Chamber of Commerce people were just as lax as other merchants. But it was very difficult to see how this could bo avoided. The department did not want to make people criminals if it could be helped. It would bo a most unpleasant business to hale reputable firms before the Magistrate’s Court, and, in short, it was a thing in which some latitude had to be allowed. The Collectors of Customs were doing their best to get entries passed with promptitude, and had sometimes gone so far as to threaten proceedings, but hitherto no prosecutions had been instituted. There was no fraudulent intent in the matter on the part of the merchants, but just a little carelessness, and so the six days allowed were very often ex* cceded. Mr C. It. C. Robiesou, of the. Industries and; Commerce Department, which issues the leaflets referred to, informed the; reporter that the department had nothing to do with the compilation of the figures. For these the Customs Department was responsible. He had made inquiries of the latter, and had been informed that the figures they supplied were, quite correct so far as ihe returns'to them were concerned.