GERMANY AND TRADE

New Zealand Times, Volume XLIX, Issue 11248, 28 June 1922, Page 10

GERMANY AND TRADE

“PEACEFUL PENETRATION’ INTERESTING INFORMATION AS TO EXTORT TRADE. SOME GOOD ADVICE. . (To the Editor “N.Z. Times.") Sir,—ft is regretted by business men oi' this city that more prominence was not given in the daily Press to the matter of cheap German prices dealt with ill last week’s meeting of the Wellington Chamber of Commerce. On this occasion, Mr John Myers took great exception. anil with very good cause, to the destructive effect of such statements by the Press that SINK) German pianos lfad been awaiting shipment to Australia for the past two years, with the inference that these instruments would be sold at very low prices there alter August Ist. when trade with Germany opens in Australia. lie pointed out that such incomplete reports as these stopped the public from buying present stocks, and generally acted as a deterrent to local trade, furthermore, that, before publishing such erroneous quotations, they should be qualified by a report of the conditions surrounding their purchase and sale, and that steps should be taken by the Press to confirm these- statements by inquiriesamongst the trade. “UTTERLY IMPOSSIBLE/' Now. as oue who spent some time in Germany last year, and in pre-war years represented in this country an important Hamburg export house, and who has •studied all conditions governing future German trade, tho writer seeks the hospitality of vour columns for the purpose of putting before your readers more properl*,* what may be expected in the way of German prices in future. It will be utterly impossible to land in Australia Gorman pianos as cheaply as English or .4 u.stiaHaii-made instruments. The Industries Preservation Act and the re-cently-formed Tariff Board provide that f alr market values, according to Australian or English f.o.b. costs, will be the bases for assessing German goods for duty purposes. If a set af enamel or aluminium saucepans are invoiced from Germany at. say, 12s, and their English or Australian value is 16s, the 4s difference must be paid to tho Australian Customs, as well as the regular foreign rate of the 16s. The foreign rates ar« generally about 10 per cent, to 15 per cent, h’gher than the British preferential rate. The New Zealand Government is working along identical lines in regard to dumped noods. and the Act provides the Minister of -Customs with very extraordinarv powers to deal with foreign dumping, and goods coming from coun tries with depreciated currencies. To my knowledge, last week’s reports, which led the public to expect much cheaper goods from Germany in the near future, stopped sales of pianos in this city, and are undoubtedly the cause of the public's apathy to buy the heavy stocks at present held by otir merchants who have rigorously written them down to present-day landed costs. AS TO THE FUTURE. Regarding the future, we read that no effort will be spared by German houses to regain their loot trade In New Zealand >.nd Australia, and an example of a very badlr worded letter soliciting business was printed. This letter was so imperfeettv written, evidently by one with only a verv slight knowledge of English, as to appear farcical in the extreme Few merchants would be inspired io place any confidence in a business with such a correspondent, and the restoration of German trade will be a slow and tedious affair if left in the hands of these tire letter writers. To me, such correspondence confirms mv experience in Hamburg last year, when large three and six inch double column "wanted** advertisements, wore appearing in the daily papers calling for tynistes. shipping men, and employment was freely offered to those possessing any knowledge of the exnort trade. Mv friends there informed me that export merchants were springing up like mushrooms in Hamburg, where office space and experienced help were at a premium. Reliable advice was given me to avoid these new firms who knew nothing whatever about the Australasian:; trade, and whose finances were of the* mythical kind. Corresoondence was shown me regarding costly experiments made bv South African firms who had shipped to them by some of these new exporters goods utterly unsuitable for their market, and consequently unsaleable. As payment had been made under letters of credit, the entire losses fell upon the importing merchant. NEW ZEALAND TRADE. Most of the old established and wellkuown Hamburg export houses are either out of business altogether or busily engaged in. larger warxets than ours. My former connections have announced that they will not reopen in New Zealand on account of the high cost of conducting business, and the scattered, nature of the territory with its numerous ports and wholesale selling systems distributed over a comparatively small held. They state they are too busy shipping to other countries. Moreover, German merchandise is getting scarce, and in confirmation of this fact a letter was received recently from a friend in Benuos Aires. Referring to the big business that was being done with Germany by bouth Africa, my correspondent writes that great trouble was being experienced in obtaining delivery, and owing to fluctuations of exchaugo rate**, orders were cancelled where increases in prices were not granted by the buyers. These arc facta surrounding German export trade to-day and their future effect upon the relatively small requirements of the New Zealand market may lj© fairly accurately gauged therefrom. The prospects of our receiving in the near future low-priced goods, and especially pianos, are too nebulous to bo taken seriously, and definite statements and pronouncements at this stage are not only misleading, bat depressing to local trade, which at the present time, needs all the constructive intelligence that can bo concentrated upon it. By thus means we wall arrive much earlier at a happier commercial condition, and better times for all of us, engaged in building up this grand and wonderful country of ours. W. J. MATTHEWS. June 26th. SWOLLEN TONSILS. Neglect of a simple soro throat often leads to Tonsilitis or Laryngitis. A teaspoonful of “FluenzoU gargled daily will effectually prevent any such trouble (or diphtheria) developing. Children and adults unablo to gargle should (while lying on back) have warm Fluenzol dropped into the nostrils. I ;