PARLIAMENT.

Timaru Herald, Volume CXXV, Issue 17775, 11 October 1927, Page 10

PARLIAMENT.

HOUSE OF REPRESENTATIVES. Uj* r !Vlo-»riiph --Prr'*s A r.l ntloa. WELLINGTON, October 10. The House met at 7.30 p.m. MEMBER, FOR RAGLAN. Mr Martin, the new member for Raglan, sponsored by Mr U. G. Sullivan and Mr \V. J. Jordan, was sworn in and took his seat. THE TARIFF. Replying to Mr 11. P. Hudson (Motueka), the Minister of Customs (lion. \Y. Downio Stewart) said there was not in the Customs tariff any duty on pig iron, such as existed in Australia, nor was it proposed to recommend such duty. Replying to Mr A. Bell (Bay of Islands), the Minister of Customs said he would bo pleased to furnish the House with a sHiedulo showing the effect on revenue of the incieasos and decreases made by the new Customs tariff, but he could not promise to separato those items affecting the farmer from those affecting othor sections of the community, because there was necessarily a great deal of overlapping. PUBLIC WORKS ACCIDENT. Replying to Mr P. Fiascr, the Hon. K. S. Williams (Minister of Public Works) said a searching incpiiry was being conducted into the recent accident on relief works at Hope Junction, 'Then two men were killed by a prennitui'c explosion. CUSTOMS BILL. The House then went into Committee on IHo Customs Amendment Bill, for tho purpose of further considering the tariff proposals. Oik Clause 11, the Minister stated that representations had been made to him by objectors to the clause. Personally, lie thought the clause was misunderstood and was really introduced for the benefit of importers. Tie proposed to make an explanation to Chambers of Commerce, after which lie anticipated the opposition would cease.

Clause 13, making special provisions for computing the measurement of sawn dressed timber, was, on the motion of tlie Minister, suspended till after the schedules had been considered. Clause 14, regulating excessive clearances of goods in anticipation of increased Customs duties, was, on the motion of the Minister struck out. The Minister explained that though the clause was fairly wide, the principle was not new. He had not anticipated using it himself, but had inserted it for tho benefit of some other Minister who might he revising the tariff at some future time.

The Leader of the Opposition (Mr,H. I E. Holland) and Mr T. M. Wilford shid lit was a pity the Minister had not come to this decision earlier, as by so doing, he would have saved members a great deal of trouble. On no portion of the tariff had they received so much correspondence. The Minister expressed regret that he had given members trouble, but the principle was not new. Mr Holland, Leader of the Opposition, moved the following new clause: — (1) “If, as a. result of tho coining into operation of this Act, there should be any increase in price of any item of goods subject to duty under tlie first schedule hereto, tho Minister shall be empowered to reduce the amount of duty on such item by an amount not exceeding the amount of increase in price of the said item. (2) In tlie event of Dominion producers failing adequately to supply the market with am - ; item.of goods included in the first schedule hereto, the Minister shall be empowered to reduce or abolish the duty on such item as lie deems fit, until such time as, in his opinion, tho market is adequately supplied.” The Minister said lie could not accept the amendment. There was a power in tho Board of Trade: Act to do all that was required. The Hon. 0. J. Ha when said the proposal savoured of Mussolini. It was merely an excuse on the part of the Labour party to enforce high protective duties, but it was unworkable. The Minister of Customs said the amendment meant that he would be expected to investigate the prices of every item in the schedule, and that he could not undertake to do. Mr Holland said that to all deputations that had waited on him asking for increased duties, he had told them he would require safeguards against; j monopoly prices, and that was all lie I was asking for now. Tho Prime Minister said the amend- | ment was framed so widely that the ; Leader of the Opposition was evidently j endeavouring to save himself whichever way things went. )l’ho Board of Trade Act of 1921 was wide enough to meet any emergency. The amendment amounted to fixation of prices, and would destroy all sense of stability in trade. Mr P. Fraser said the amendment was only taking manufacturers at their word ' that they would not increase prices. , , , ~ Mr M. J. Savage argued that there was no difference between the amendment and the existing law. The Minister of Customs said the (inference was that tlie amendment imposed on him obligations to satisfy himself that increases in prices were due to the operation of the tariff. It be had to prove that every time he would have no-chance at all. The Board of Trade Act did not impose any such obligation. t _.. Mr T. K. Sidcy said that if the Minister was afraid of tlie obligation "Lieu the amendment imposed upon him, tlm remedy was to appoint a Tariff Boaid to make recommendations. The second reading of the new clause was challenged, and on a division, it. was lost by 38 to 12. 1 The Committee then proceeded w.tli ' individual items in the schedule. In item 4, the Minister said ho would for postponement of “wheat,” ana in item 5 “flour,” as ho desired tn give them further consideration. It was a very difficult matter to adjust matters between the consumer, tin farmer, the miller, and the baker. Mr A. Hamilton (Awarua) said the

Alinister should impose a duty on oats if they fell below 3s per bushel, otherwise Canada could send their oats to New Zealand,

The Alinister said this point should have been raised before the Tariff Commission, hut until now no complaint had been raised. The item was passed. The Leader of the Opposition referred to cocoa, and said the relative juices on Cadbury's cocoa and Van .Houten’s made it appear as if British preference to the former was resulting in people being exploited. The Alinister said cocoa was being manufactured in Christchurch, but lie would get further information on the subject.

Tlie item was passed. , Considerable discussion took place cn tlie item “chocolate confectionery,” a desire being expressed to protect local industry so long as there was assurance that local prices were not raised. Tho item was agreed to. On the item “lemons,” the Alinister suid lie had previously suggested, is order to meet objections from the South Island, to lower the duty rt the' period when local lemons were rot available. He had made inquiries, and it had been suggested that if duty was fixed at 2d per lb, except during tlie months from November to Alareli, the position would lie met. He had seen telegrams which indicated that- Californian lemon growers intended to induce their prices by the amount of duty, but whether that was true or nothe could not say.

Mr T. AV. Rhodes: “Would not that be dumping?” 'The Minister said he did not think so, but lie wanted to secure the South Island against a lemon famine. Mr T. H. Wilford said the real c.ifficuity of local fruit growers was the transport charges they had to meet. Auckland members generally opposed tho amendment of the Minister. Mr !). G. Sullivan said the fact was Auckland lemon-growers had not made any effort to gain the good opinion of the people in the south, by sending a few lemons down. If they had done so, they would have shown the Soli th Island that it could be adequately supplied with New Zealand grown fruit. Tho Minister's proposal was certainly better than the tariff, as originally brought down. Mr H. L.Taplev said it was premature to enforce a high tariff to aid an industry which had not yet proved itself. He favoured giving the people lemons as cheaply as possible. Mr ‘R. F laser said he thought the Minister was well advised in the course lie was taking. The item was agreed to. On tho item “trees and plants,” Mr J A. Lee (Auckland F-ast) said nurserymen importing trees and plants for rtud stock should he able to do so duty free. . .. . The Minister of Agriculture said the duty imposed would be importers’ protection. , ~ _ TT Mr R. P. Hudson and Air G. _H. Mason (Eden) supnorted Air Lee’s view. The latter said that evidently a local burhaiik was not wanted. The Alinister said ho was not opposed to local burbanks. It was all a, question of practical administration. The item was passed. On “egg pulp,” the Alinister. in reply to the Leader 1 of the Opposition said' he understood that since he. had met a- deputation of poultry people, ,ie had satisfied them that tlrnv were protected at all events. He had not heard any further objections. The item was passed. Progress was then reported, the committee having passed Class I. consisting of animals, agricultural products, tood and groceries. The House rose at 11.40 p.m. till 2.30 to-morrow.