CAR PRICES

Otago Daily Times, Issue 26559, 6 September 1947, Page 2

CAR PRICES

Sir,—Would someone explain to me the disproportionate difference in the retail prices of popular English light cars which is to be found in New Zealand? When one examines the English basic price of these cars it is hard to understand the difference in price in this country. Some distributor must be making a handsome profit. Below I give the retail prices of four popular English cars, the English price in sterling first, and then the corresponding price here in New Zealand currency:—(l) £2Bl, £532; (2) £330, £592; (3) £345, £745; (4) £347, £721.-1 am. etc.. > Motorist. I When tins letter was referred to an official of the New Zealand Retail Motor Trade Association, he stated that the retail prices of all motor vehicles in New Zealand were fixed by the Price Tribunal, to which full particulars of costs must be supplied. To the basic English prices quoted by the correspondent must be added the purchase tax of 33 l<-3 per cent., •Which operated in Great Britain. The difference between English and New Zealand prices was, however, largely explained by the addition of exchange freight, duty and the sales' tax of 20 per cent, when the cars reached this country. The prices of different makes of English cars imported into New Zealand were subject to variation because some reached this country assembled and others in a “ knocked-down ” condition.— Ed., O.DT.]