NOT MONOPOLISTIC BASIS

Poverty Bay Herald, Volume LXV, Issue 19701, 5 August 1938, Page 5

NOT MONOPOLISTIC BASIS

STATE IN TYRE TRADE ASSURANCE BY MINISTER (per Press Association.) CHRISTCHURCH, this day. An assurance that the Government has made no decision to set up a motor-tyre manufacturing industry "on a monopolistic basis" was received by the executive of the South Island Motor Union last evening- from th? Hon. D. G. Sullivan, the Minister of Industries and Commerce. "The rumours which have been in circulation are based on conjecture only," the Minister wrote, "and are not in accordance with the facts of the situation. "I note that your union strenuously protests against a 'tyre industry monopoly' and that it desires an assurance that there will be no increase in the duty or any prohibition of imports," the lettev stated. "In reply I desire to inform you that no decision on a monopolistic basis has been made by the Government. The whole matter is a very involved one and it has not yet reached the point where final consideration can be given to applications for licenses which have been received. "Until research and technical investigations now being carried out have been completed ,the Government will not be in a position to .arrive at any decision."

The Minister added that the whole Question was still being carefully examined and the union could be assured that proper consideration was being given to the interests of the motorist.