VEIL OF SECRECY

Otago Daily Times, Issue 23705, 12 January 1939, Page 10

VEIL OF SECRECY

IMPORT LICENSING SYSTEM POLICY CONSIDERED UNWISE FARMERS FEAR POSSIBLE REPERCUSSIONS (Per United Press Association) CHRISTCHURCH, Jan. 11. The view that the secrecy maintained by the Government about its import control regulations was particularly unwise because of possible repercussions in England was expressed by the Dominion president of the New Zealand Farmers' Union (Mr W. W. Mulholland) to-day.

Taking part in a discussion at the monthly meeting of the North Canterbury Executive of the union Mr Mulholland declared that the danger of possible restrictions on New Zealand's primary exports to England had never been greater. For that reason care should be taken not to lose the only safeguard that New Zealand had against Buch action —the friendship of industrialists in England. DANGER OF SECRECY WRONG IMPRESSION ABROAD MR MULHOLLAND'S VIEWS (Special to Daily Times) CHRISTCHURCH, Jan. 11. The discussion in which Mr Mulholland took part to-day started at the meeting about a particular complaint, a report that the importation of seaming twine was banned, but it extended into a general discussion of the new import licensing laws. " I think that the Government is acting in a very foolish manner in not stating what its policy is," Mr Mulholland said. "Its action is tending to create a serious position. You will have noticed in the newspapers that it is being stated 1 by British manufacturers and others that the new regulations are being used in a way contrary to the Ottawa Agreement. That may or may not be so, and we are certainly not justified in saying so at the moment, but if the Government stated its policy there would be no need for anyone to make unfounded statements.

"At the moment the danger of some restriction of our exports to Britain is closer than it has ever been," he continued. The only safeguard against that that New Zealand farmers had was the British industrialists who sold goods in this country, and the supDort of these men could be lost not only by this country's actions, but even from impressions of its actions they might gain because of the veil of secrecy about the actual policy. Repercussions Feared Apart from the inconvenience caused business people in this country, there was the danger of serious repercussions from "this exceedingly unwise secrecy," said Mr Mulholland. The nosition warranted a very definite protest from the farmers. He was very much perturbed at the impression of its policy the Government was allowing to get abroad. He could see no reason for any refusal to allow the broad policy followed to be made public, even if there might be a number of cases which would have to be treated individually. The present arrangement was even harmful to public morality, Mr Mulholland went on. The suggestion might be made that certain favoured individuals might be getting what they should not. and, unless public access was given to the Government's policy, such stories would gain credence. Lifting the present veil of secrecy would scotch such stories before they were born. Mr T. Mould, a Banks Peninsula delegate, said that, although he agreed with what Mr Mulholland had said about secrecy, he thought that control of imports should have been instituted years ago. If the farmer overspent his revenue, the mortgagee would be stepping in at the end of the year. Private individuals had to -keep their accounts balanced. If the present scheme was brought in to ensure that interest commitments could be met or to stop the entry of foreign goods in preference to those from Britain, which bought our exports, then it was sound; but, if it was for some other reason, such perhaps as to force people to buy New Zealand-made goods when it was economically unsound, then the plan was wrong. Drawback to Plan Mr R. G. Bishop said that the secrecy kept was a drawback to the plan. If it was to discourage imports from foreign countries and to encourage British goods, then there was no reason for such secrecy. He believed that that in fact was the motive of the restrictions, but the secrecy was causing much unrest among people in England. No motion was carried about the general licensing of imports, but the meeting decided to write to the Minister of Customs (Mi- W. Nash) about the reported banning of seaming twine. It was possible, it was stated, that a mistake had been made in confusing binder and seaming twine. Seaming twine was absolutely essential. Mr J. E. H. McGrath drew a smile when he said he had it on the very best authority that the banning of twine was only a prelude to the compulsory equipping of all sacks with zipp fasteners. ONE HUNDRED WORKERS ADDITIONAL HANDS FOR RADIO FIRM EXPECTED EXPANSION (Special to Daily Times) WELLINGTON, Jan. 11. Confidence that if the import control regulations remained in force he would within 12 months be able to enlarge his factory to employ at least 100 additional hands was expressed by the head of a radio manufacturing firm in Wellington to-day. "Up till now," he said, "New Zealand manufacturers have had 45 per cent, of the radio market, and if the import rePulations are not merely a temporary expedient, it seems safe to assume that they will in future have a mifch larger share." The local manufacturers had for some time felt that they were in the position of a Cinderella among the secondary industries, because they had to compete for the market against English radios coming into the country duty free. Nevertheless, they had been able to survive, and this they felt showed that the industry was sound. They honestly believed that locally-made sets were more suited for New Zealand conditions than any imported ones. The greatest difficulty with which they had to contend was not the production of a good article at the right price, but public prejudice. "It will probably be about six months before the effect of the restriction of imports is felt by the manufacturers, but within 12 months I expect that our firm alone will be able to enlarge its factory to employ at least 100 additional hands," he said. "At present we employ 140 hands in our factory, where practically all radio parts are made. It is not merely a matter of assembling imported parts." The speaker added that, with the extension of the business, the public would reap the benefit of reduced prices. There was ample protection against exploitation in that there were 20 different manufacturers competing against each other in New Zealand.

IMPORTERS TO MEET DOMINION CONFERENCE MINISTER ARGREES TO ATTEND (Per United Press Association) CHRISTCHURCH, Jan. 11. The calling of a Dominion conference to discuss the problems involved in new import regulations has received the approval of the Minister of Finance (Mr Nash) says a statement issued by the Canterbury Chamber of Commerce after a meeting of the importers' section. The statement issued by the chamber is as follows: — "A meeting of the importers' section of the Canterbury Chamber of Commerce was held this afternoon. The hall was crowded with a very large attendance of Christchurch importers. The meeting discussed the import regulations, the granting of licences and the grave difficulties confronting importers. It was unanimously decided to approach the Associated Chambers of Commerce of New Zealand in conjunction with the New Zealand Importers' Federation with a view to the calling of a Dominion conference at the earliest possible date. It is intended that such conference should be attended by importers from all parts of New Zealand. The difficulties and problems are so marked that it is felt that something more than a conference of representatives or delegates is called for and an opportunity is therefore being given to all importers interested to attend. "Before the meeting the Minister of Customs (Mr Nash) had been communicated with by the president of the Canterbury Chamber of Commerce. The Minister stated that he welcomed the suggestion of such a conference and readily agreed to attend the conference to hear the representations and to deal with the questions to be raised covering the difficulties which have arisen in the operation of the import regulations. The proposal that such a conference should be held was enthusiastically endorsed by the meeting and the arrangements are now being completed."