TARIFFS REVISED

Taranaki Daily News, 7 November 1930, Page 7

TARIFFS REVISED

INCREASES JN AUSTRALIA ■v • _ TEA AND TOBACCO AFFECTED kerosene no longer free higher price improbable WIDESPREAD OBJECTION ■By Telegraph—Press Assn.—CopyrightCanberra, Nov. '« Resolutions of an immediate increased tariff on certain goods were submitted to the House of Representatives last night. • x The Customs* duty on tobacco- is to be increased to 2s 2d per lb, and the excise duty to 2s per lb. Tea will have to bear a Customs duty of 4d per b when imported in bulk, and 6d per lb in packets not exceeding -01 b ne weight. Kerosene/ formerly free, now * bears a duty, of Id per gallon. Coffee, chicory, rubber, cutlery, carpets, filament lamps and a variety of other, goods are affected. The primage duty is to be increased from 24 to 4 per cent. Mr. F. M. Forde, the Assistant Min-

ister of Customs, in tabling the tariff increase resolutions said there would be no justification for asking the public to pay the whole of the tea tax. The same applied to rubber and the Government was confident that the oil companies would carry the penny a gallon duty on kerosene and' lubricating oils. A Sydney representative of a large importing firm is of the opinion that there will be no immediate increase in tea and coffee prices following the new duties, which he considered is a form of taxation preferable to income tax, and more cheaply, collected. MUCH ADVERSE COMMENT “OLD DELUSION PERPETUATED.” i—/ vV-t DEFAULT IN; PAYMENTS FEARED. Rec. 10 p.m. Sydney, Nov. 6. The new tobacco duties are. causing much adverse comment. Sir Mark Sheldon says they will diminish production and cause further unemployment. Some retailers predict.that the small men will have to go out' of business as tobacco prices must .rise 20 p6r cent. Mr. J. G. Latham, Leader of the Federal Opposition, expresses the opinion that the new duties and taxation will still further diminish revenue and therefore d/feat the Government’s object. The fact that the Government does not intend to balance the Budget this year has given rise to the idea that the Government may default in its payments either in Australia or overseas with dis-astrous-consequences to the country. Dr. Earle Page, Leader of the Country Party, said: “The old delusion that we could tax ourselves back into prosperity is being perpetuated. This revised Budget will scarcely bring back confidence in our methods of extricating ourselves from our difficulties.” The ex-Premier, Mr. T. R. Bavin, has issued a statement severely criticising the' Federal Ministry for failing to honour. its promise given at /the Premier’s conference in August to balance the Budget, effect substantial economies and refrain from further taxation. He describes it as the worst example of political cowardice. It amounted to repudiation and Australia would be further discredited in the eyes of the world. Mr. Bavin added that had it been thought the Federal Ministry would not keep faith with the State Premiers and its own solemn undertaking there would net have been the slightest chance of an agreement being arrived at in, August. ‘ 1

A. reaction occurred on the Stock Exchange to-day consequent on the revised Budget proposals involving fresh taxation. Banking securities, however, firmed and more confidence was displayed. .Bank of New Zealand shares recorded a rise of -3s 9d. Bonds were easier. Three issues were lower hut the weakness'was not marked. The turnover was very restricted all round. SHIP’S RACE AGAINST TIME £16,000 DUTY ON TEA AVOIDED. .STEAMER SPEEDS TO BRISBANE. Brisbane, Nov. 6. The steamer Barra'bool arrived at Brisbane yesterday from India and Ceylon. When the news of the impending tea tax spread a wireless message was sent to the ship, which carried 1,000,000 lb of tea for various States. 'The Barra'bool speeded and in an exciting race against the clock leached port in time to enable the cargo to be cleared before the Customs office closed. The tea thus entered duty free, and the Government lost over £lO,OOO.