THE NEW TARIFF

Timaru Herald, Volume CXXV, Issue 18627, 24 July 1930, Page 6

THE NEW TARIFF

TAXES WILL BE PASSED ON. By Telegraph—Press Association. AUCKLAND, July 23. The general opinion among petrol retailers is that the wholesale companies are unlikely to absorb the increased tax. Retailers have not increased prices, but are awaiting action by the wholesalers. Tobacconists express the opinion that even if cigarettes are raised by only Id a packet, they will be selling at a loss. This applies both to local and imported cigarettes. The unanimous opinion is expressed that the new duty should not apply to cigarettes of New Zealand manufacture. Increased rates on cigars would kill the cheap cigar trade. Will Help Local Industry. Mr G. Finn, the New Zealand President of the Manufacturers’ Association, said the new tariff would not increase the cost of goods. It would probably emphasise the preference for Do-minion-made articles. He commended the clause providing that if manufacturers did raise prices, the Government might reduce protection. Obviously the tariff would benefit local manufacturers, some being singled out for preferential treatment, but he thought the choice just. The weakness of the measure was that if preference was given to local manufacturers, the quantity of imports would be less, and there was a possibility of there being a vicious circle. This latter view was expressed also by Mr M. Stewart, President of the Chamber of Commerce, who said if imports fell the measures might defeat their own ends. Mr J. A. C. Allum, chairman of the Transport Board, commenting on the preference to British goods, said there was more necessity than ever to be absolutely certain that they really were British and not foreign goods, supplied through British channels. That could only be done by the Government insisting that the percentage of British labour and material in such goods was at least 75 per cent., instead of 50 per cent, as at present. Mr Allum added that it seemed to him that the new tariff would seriously affect foreign imports, from which a large amount of Customs revenue was derived, and in the case of foreign goods which were essential an undue burden would be placed on users. THE PETROL TAX. By Telegraph—Press Association. WELLINGTON, July 23. “It may be a little premature to comment on the increased petrol tax,” said Mr Batt, chairman of the Wellington Automobile Club, when asked for his opinion on the effect of the tariff on motorists, “in view of the fact that the matter has just come before the House, and apparently there is going to be a certain amount of opposition to it. But in view of the fact that the gross motor taxation in New Zealand to-day is already £3,094,965, as compared with the total income tax of £3,310,887, a good deal might be said. Motorists as a class are contributing in special taxation almost the same amount as the total income tax collected.” There was every reason to believe that commercial motor owners and the motor trade would join forces in opposing what could only be regarded as a most unsuitable tax.

OLD AND NEW SCHEDULES. Below will be found an interesting comparison of the Customs duties under the old schedule and under the new:— New. Old. Tobacco (cut), per lb .. 2/8 1/8

on the basis of proof strength but the definition has been added to the liquid gallon throughout. The increase is estimated at approximately 12s per case. The class for motor spirits “in vessels have a capacity of less than one gallon” appears to be a new classification. The classification of “doors” under the “timber and furniture” heading is also a new item in the schedule. Previously doors paid 25 per cent ad val. under the British preference and 45 percent. under the general tariff. Regarding the surtax it is estimated that on plug tobacco the charge will be 5 per cent, on a duty of 4s per lb. The old rate was 4s per lb duty, plus primage of 2 per cent, of the value of the goods. On other tobaccos a surtax of 5 per cent, will replace the 2 per cent, primage charge. The same charge, apparently, will be made in the case of motor spirits, rough sawn timbers, sawn dressed timber and wooden doors. In all other cases the 2 per cent, primage, formerly a charge on the value of the goods, will be replaced by a surtax of 22i per cent, on the total of the other duties payable on the goods. On silk and cotton piece goods the duty on foreign material is raised from 15 per cent, to 20 per cent., with the addition of the surtax of 22 i per cent. This increases materially the preference to British manufacturers.

Tobacco for cigarettes .. 10/9 6/3 Other Tobacco . .. 2. 6 1/6 Cigars and snuff . . 8 - 4/Cigarettes (mach. made) 11 6 5/6 Cigarettes (hand made) 9/6 4/Beer Duty. Up to 1047 specific grayity (per gallon .. i, lUd British Preferential General Tariff. Tariff. New. Old. 'Jew. Old. Onions (per ton) £1 £1 £4 £1/10 Cocoa Coffee 3d 3d 6d 5d (roasted) 3d 3d 6d 5d Fruits, apricots cherries grapes, medlars, nectarines, passion fruit, peaches plums, quinces, tomatoes 2d Id 2d Id Jams, marmalade. etc. (per lb) .. .. 2d 2d 5d 4d 1 Nuts and preparations 3d 3d 6d 5d Pickles (per (gallon) 6/4/6 Sauces, etc. Cigarettes (per 6/1000) .. .. 33/9 25/6 33/9 25/6 Cigarettes exceeding 2ilb per 1000 .. .. 3/9 10/6 13/9 10/6 Cigars 15/12/- ; Snuff Tobacco (fine 12/cut) Tobacco for L3/3 10/13/3 10/manufacture 1/2/- * Spirits 36/36. - 36/Medicinal drugs Apparel and u1/ 2/1/6 ready - made and hosiery (per cent.) 27 £ 950 45 | Furs (p.c.) Precious stones 274 25 50 45 (per cent.) 5 — 5 — Watches (p.c.) Paper and stationery— Handbills, etc. 20 20 45 20 (per lb.) .. .. Metals and machinery— Electric lamp 6d 6d 1/6 1/bulbs — 8 watts Id Id 2id 2d 8-80 watts .. 3d 3d 7 Id 6d 80-180 watts 6d 6d 1/3 1 - 180-360 watts Each add. 100 6d 6d 1/3 watts .. .. 3d 3d 7Jd 6d Vehicles— Motors (p.c. ad valorem) .. .. 10 10 40 35 Body duty .. Exceeding £200 111 10 16.1 15 (first £200) .. 114 10 161 15 On remainder of value Greases, oils. 61 5 84 7 h etc. (per g.) — Motor spirits .. 7d 4d 7d 4d On, mineral lubricating .. .. 6d 6d 1/8d Oils, mixed Timber, etc.— Rough Sawn 6d 6d 1/8d (per 100 sup.) 5/6 3/5/6 3/N.E.I 7, 6 5/7/6 5/Sawn dressed Furniture and 11/6 7/6 11/6 7/6 cabinet ware etc., p.c. acl valorem .. .. 25 25 50 45 Doors (p.c. ac valorem .. . 30 Or per door 4/7/6 * Preyiously the duty on spirits was