PETROL PRICE INCREASE

Taranaki Daily News, 18 February 1933, Page 3 (Supplement)

PETROL PRICE INCREASE

EFFECT IN TARANAKI. GROWTH IN USED CAR TRADE. i

(By

“Spotlight”)

The increase of 4d a gallon of the price of motor spirit through the new exchange rate and Customs duties is certain to wield a marked influence on the year’s operations of Taranaki motorists and firms catering for their requirements. Certain classes of motor traffic in the province are unlikely to be affected through decreases in number. Commercial men will still have to run their cars, and tradesmen will be expected to deliver their goods as usual. Many private motorists who maintain a car principally for the opportunity it offers of conveying the family into the country for a drive during the week-end will probably think twice before they use an extra gallon of benzine. Marly owners will have already issued instructions that /the family car is to be no longer considered available for general use by children in search of pleasure. While it is unlikely that the additional cost of benzine will cause any serious depletion in the numbers of such cars, at least two New Plymouth men in close touch with the trade consider that the vehicles will not leave their garages as often as in the past.

Firms dealing in motor cars have their own peculiar problems. More than ever people will be going in for the light and economical car, and the second-hand price of these vehicles is likely to reflect the additional demand. Motorists seeking new cars will find it difficult to overlook small benzine consumption. But it is an ill-wind that blows no one any good. One motor dealer recently referred to the effect the increased exchange was likely to have in forcing up the price of high-powered cars which were, he said, difficult enough to sell in Taranaki last year. The price increase was almost certain to quell any activity in that line. However, people had to adapt themselves to new conditions, and a trend that had become noticeable towards the end of 1931 was likely to become pronounced—the used car trade would increase. Motor cycles were selling more easily than for some years, and he placed this to the necessity for economy in the way of benzine consumption. He knew of one firm that had disposed of 30 motor cycles since the beginning of the year. ' The motoring public considers itself over-taxed and it will be interesting to note developments in the ensuing year. People accustomed to a car will hardly dispose of it if they can possibly afford its upkeep, but additional taxation might, as it were, ■ add the last straw to the camel’s back. Comparative taxation returns from this source will show what effect the additional 4d has had, and in the mean-time the people, like their Government, can merely wonder.

Luxury in Spain. The Minister of Public Works in Madrid has 33 motor-cars at his disposal, hone of which is taxed. The Spanish Government possesses no fewer than 517 cars for State use, of which 50 are allotted to the Governors of provinces. All these cars are said to be new and cost from £lOOO to £l5OO each. Most of them are the latest luxury models, even being fitted with wireless. Like the Royal cars in England, none of these vehicles bears a number, none is registered and none is taxed. In former days only the cars of the King and Queen held this privilege.