NEW ZEALAND COINAGE

Taranaki Daily News, 18 July 1933, Page 5

NEW ZEALAND COINAGE

REPLY TO MANUFACTURERS. STATEMENT BY TREASURY. , The - statement of the New Zealand Manufacturers’ Federation, ~ published in Thursday’s Dominion, in which the federation sought further information regarding the circumstances which influenced the Coinage Committee to recommend that new supplies of New Zealand coinage should be obtained from toe Royal Mint, was the subject of a reply issued from the Treasury yesterday. The Treasury statement is as follows: — “The Coinage Committee were not .empowered to call for tenders from New Zealand.firms, but in the Order of Reference were asked: ‘Whether it would be economical to have any of all of toe coins manufactured in New Zealand.’ “All firms which were sufficiently interested to make inquiries in regard to the matter were requested to supply information as to the estimated cost of manufacture in New Zealand. The whole question was, however, settled beyond all doubt by the definite offer received from the Royal Mint to make no manufacturing charge and allow the Dominion the whole cf the profit arising out of the recoinage, including the proceeds from the sale of surplus bullion. “In this respect it is quite correct that ‘the Royal Mint will be out of pocket to the full amount of the manufacturing costs involved.’ The probable reason why it has offered to ■undertake the work on these terms is explained in the committee’s report as follows: ‘ln respect of the Imperial coin at present in circulation the Royal Mint has always admitted a liability to replace it when it became worn, and this may have been a factor in the offer received from the Mint to undertake the recoinage free of charge, and may account in part for the disparity in the costs quoted above.’ “Under the offer of the Royal Mint the only recoinage costs are freight (estimated at £30,000), artists’ fees £6OO, and minor incidental expenses. From the information received by the committee it was clearly not possible for any New Zealand firm to make a competitive tender. That fact, coupled with the necessity for urgency of delivery, led to the unanimous recommendation of the committee that the offer of the Mint be accepted.” . - •