DUTIES ON BEER

Otago Daily Times, Issue 22353, 29 August 1934, Page 10

DUTIES ON BEER

STRONG PROTEST BY MRS M'COMBS PASSAGE-AT-ARMS WITH MINISTER (From Oub Parliamentary Reporter.) WELLINGTON, August 28. A strong protest against the reduction of the excise and import duties on beer was made by Mrs M'Combs (Lab. member for Lyttelton) in the House of Representatives to-night, when speaking on the second reading of the Customs Acts Amendment Bill. Mrs M'Combs was interrupted several times by the Minister of Customs, Mr Coates, who at one stage warned her to be careful of what she was saying. Mrs M'Combs said she wanted to make a strong protest against the reduction in the duties on beer. Mr Coates: On what?

Mrs M'Combs: On something the hon. member does not know anything about. If he doesn’t know anything about it now he will after he has listened to me. She added that the Tariff Commission had not suggested that there should be any remission of the beer duties and no public announcement had been made about it.

Mr Coates: Tho brewers did not make any representations at all. Mrs M'Combs: The Minister says that the brewers made no representations. I want to say—

Mr Coates: Be careful what you say. Mrs M'Combs: I will. Nothing I can say could bo too strong in condemning the proposal. The whole thing has been done without any adequate reason being given. The paltry excuse that has been offered—it would bajludicrous if it were not so serious—is that the export of hops would be assisted. Between 1932 and 1933 the export of hops has increased by three times in volume and value. The proposal means a straight-out gift to the brewing industry. Mr F. Langstone (Lab. member for Waimarino): They must have been good boys. Mrs M'Combs: They must haye done something to provoke such generosity. If this remission is made it will mean that a greater number of our people will be placed on the No. 5 scheme. Mr Coates; It will bo made. Mrs M'Combs: I have no doubt that, when the. Minister says it will be made, it will be made. He knows who his friends are, and we can expect him to stand by them. Continuing, Mrs M'Combs said that a gift was being made to the breweries to help an industry that represented about one-thousandth of 1 per cent, of the total exports of the Dominion. The effect of the Government’s proposal already had been to ingreaso the price of brewery shares. The concessions protected no one. Money that would otherwise bo spent along wholesome channels would be diverted to the liquor traffic, and the liquor trade employed fewer men for the value of its output than any other industry in New Zealand. Mr H. T. Armstrong (Lab. member for Christchurch East) : How many are employed in the drinking of it? Mrs M'Combs: I have not assessed the number, but there are far too many. A gift is being made to the most selfish and lawless trade in the community, and one that flourishes on the vices and weaknesses of the people. There is no trade that deserves it less. It is going to increase insanity and crime and mean an increase in misery. Mrs M'Combs concluded by saying that the paltry excuse that had been offered was not going to justify the action of the Government in the eyes of a large number of people who were interested in this question. “So far as I am concerned, I have no interest in any brewing concern, and have not Lad for the last 15 years, so I can speak on the subject of beer duties as one pot primarily interested,” said Mr &. E. Jull (Govt, member for Waipawa). “Before the war the excise duty on beer was 3d a gallon, but during the war it was increased to Is 6d, or six times the original duty. This reduction of 3d still makes the duty five times the pre-war figure. The suggestion that the brewery people will retain the whole of the amount is absurd.”

Mr W. E. Barnard (Lab. member for Napier): Then who will get the benefit? Mr Jull: The benefit will accrue to the consumer.

Mr Barnard: Oh, nonsense—on a pint of beer?

Mr Jull: There are precious few pints sold these days. Mr J. A. Lee (Lab. member for Grey Lynn): The benefit can hardly be given on a “ pony.” Mr Jull: It is a small concession compared with what was given in the British Budget last year. The Chancellor of the Exchequer reduced the duty by 8d a gallon with a view to giving a penny a pint to the consumer.