LONG TASK COMPLETED

Wanganui Chronicle, Volume LXXXIII, Issue 19973, 17 October 1927, Page 7

LONG TASK COMPLETED

CUSTOMS AMENDMENT BILL PASSED REVISION OF TARIFF FINAL DISCUSSION IN HOUSE OF REPS.

(Per Press Association ) WELLINGTON, Oct. 15. The Customs Aniendm nt Bill warread a third time and passed by the House of Representatives early this morning. When the House resumed las! evening XIII. of the Class Bill was put through without discussion, but with the following amendment moved by the Minister: I “Clause 13 sub-clause (1): To omit I this sub-clause and substitute the folI lowing: For the purposes of the tariff the Minister may direct that sawn, dressed timber of any class of such tim ber shall be measured as if the actual thickness thereof was increased by such amount as he mny prescribe in that be half. The maximum amount that may bo so added in any cas/» shall, as the Minister may determine, be either threesixteenths of an inch or 20 per centum of the actual thickness. Every direction under this section bo given by notice published in the Gazette, and may at any time be in like manner revoked.’’ On the final item being agreed to the Minister of Customs received a hearty round of applause. | Under an amendment introduced by ithe Minister, sewing machines will bo admitted free from all countries. The (tariff originally provided for free entry .from the British Empire, but 10 per cent, if of foreign origin. The Opposition’s Attitude. On the third reading the Leader of the Opposition (Air H. E. Holland) said ■he desired to place on record that the (policy of the Labour Party was that those articles which could not be produced in the Dominion should bo admitted free of duty, but those industries which were natural to the country should receive some measure of protection. With respect tv mat he favoured encouragement to growers by means of a bonus rather than duties, and it was unfortunate that the Labour Party’s amendment in that direction was ruled out of order. He anticipated that the tariff would be revenue producing rather than protective. The timber industry was not, he thought, sufficiently protected. He regretted that there were efforts to get greater protection for boots and iron, and it was especially regrettable that nothing had been done to help the coal mining industry. New Zealand industries were being kept going on imported coal and that, he thought, was not consistent with the cry of “Uso New Zealand Goods.” The Opposition was not responsible for the tariff as it stood. They had endeavoured to amend it to the best of their strength, and he anticipated that next year it would have to be altered to meet the requirements of the country. Their position could not be challenged, since their objective was to protect the Dominion’s natural industries, coal, iron, boots, and woollens. The Government’s Policy. The Prime Minister (the Kt. Hon. J. G. Coates) expressed satisfaction at the moderate tone of the criticism offered to their proposals. He thought that the first duty of the Government was to encourage the primary industries, and for that reason they had to use power to negotiate with countries which did little trade with New Zealand. The Dominion’s production in dairy produce was increasing, and with competition in Britain they might have to look for new markets. They had done something to protect the timber industry, but he did not think that the whole solution of that industry’s troubles was to be found in increased duties. That industry must reorganise itself to meet its customers’ i requirements, and this it was now doing as the result of the Government’s representations, so that its product was ; being supplied in such a way as to be i able to compete with imported timber. In the same way he believed that the. , boot industry could be reorganised. He ( did not believe that an increased tariff would always result in diminished ! prices. Thai at least had been the ex- I periencc of Australia, where except in the case of a few well-organised industries prices have not fallen as tariffs rose. Industrial success depended more on organisation and efficiency than on an increase in duties. So far as the Government was concerned it would lend all the assistance and information it. could through the Department of I

SciN'nlific Research, but he wished impress upon all that each industry should take stock of itself and put its own house in order. It had been said that the tariff was revenue-piiidueing. At present he believed they were giving away £160,000, and when agreements were made with other countries—and such agreements were made—then there would be a gift to the taxpayer of a sum £300,000. Mr. (’nates stressed the importance of assisting the wheatgrowing industry. They were all agreed about that, but there were differences of opinion as to how this should be done. The Government thought that by a sliding scale of duties it had devised a method which would give the farmer protection and yet not increase the price of bread. The wheat growers should get together and find a solution of their troubles within their own ranks, and not look to the Government to do everything for them. They should market their wheat on the basis of quality, not by haphazard methods. He paid a tribute to the Minister for the masterly way in which he had handled the tariff. Ln like manner he thanked the Leaders of the Opposition and National Parties for the dignified manor in which they had carried on the discussion. Sir Joseph I CVard’s Vitws. Sir Joseph Ward (Invercargill) said that there hail been three increases in the tariff since 1921, and he could not discover anything that dealt seriously with the secondary industries. This tariff was a revenue-producing one, and for that the Government was responsible. He did not believe in a high protective tariff, but there was a great increase in the young people of the Dominion, and unless the country provided them with avenues of employment in secondary industries there would be trouble. He believed in negotiation with other countries on trade, but what countries were they going to negotiate 'with and how were they going to sacri- | lice preference in favour of Britain! I Unless they did so there could be no | agreements, because there would be no one-sided arrangements arrived at with countries just as keen as New Zealand was. He welcomed the assistance given to timber, but regretted tho lack of protection to the iron industry. Mr. D. Jones (Ellesmere) said Sir Joseph Ward had complained that the tariff did nothing for the benefit of secondary industries, but, as a matter of fact, among the items placed on the free list were many of the principal raw materials required for certain manufactures, while lines of goods that were manufactured in New Zealand had received additional protection. Boots and clothing had been given protectionand the result would undoubtedly lead to the price of these goods being increased to the consumers. In the matter of boots, there were too many factories engaged in manufacture. The Government should be entitled to investigate what these factories were doing, and see that they were producing economically. If they were not doing so they were not entitled to protection. “Wait and See.” On the subject of wheat and floui, Mr. Jones said that the consumer was .ptotected against high prices under the Bill, which would prove of great benefit to the wheat farmers of the South Island. The Minister (the Hon. W. Downie Stewart), denied that tho Government was in any way influenced by British manufacturers, but said it was seeking to help Britain to regain her industrial supremacy, so long as it did not injure New Zealand. The Opposition, however, had assumed that every preference given to Britain was injurious to New Zealand, which was pure fallacy. Replying to the Opposition’s criticism, he read from the Melbourne Ago the report of the Australian Tariff Commission, which showed that many Australian industries were on the verge of disaster, notwithstanding the increased duties that had been imposed to stimulate those industries. He warned the House that New Zealand must walk warily, and that it was better to wait urxl see what was going to happen in Australia before 4hey embarked on a policy of high protection. The Bill was then read a third time, and passed, and the House rose at 1.50 a.m. till Monday evening.