Overhaul Of Import Control Would Be A Menace, Says .Mr. Nash

Wanganui Chronicle, 1 July 1948, Page 6

Overhaul Of Import Control Would Be A Menace, Says .Mr. Nash

Mr. Nash said Opposition speakers had attempted to produce evidence for an overnaul of import control and if that was done, for an independent Board of Trade. “Overhaul of import control would be one of the most menacing and dangerous things that could be done to this country,” he said. Last year the value of import licences issued was £160,000,000, which was nothing like the total value of licences applied for. Of the £160.000.000 £115,000,000 worth of goods was imported, and even though licences were issued for £160,000,000 merchants and importers were not able to pay for goods which did come into the country. The Reserve Bank did the right thing by telling the trading banks to extend merchants' overdrafts so that the goods could be paio for. The value of goods imported in 1938, expressed as a figure of 100. was exceeded by 15 per cent in 1947. The Minister said too much was imported in 1947 and at the end of the year there was a sum of £28,000.000 “on the wrong side.” “For the current year we have decided to fit in with the request of the United Kingdom Government that New Zealand should keep imports within her income,” added Mr. Nash.

The figure worked on was £95,000.000 and it was felt that a sum of £5,000,000 would not be exercised in the tariff year. “With the £90,000,000 we reckoned we were balanced at the end of the year with perhaps £3,000.000 on the right side, but in addition to that there were licences which had to be

issued for essential goods, which brought the total to £110,000,000, and at that point we were £20,000,000 in excess of what we thought would be a balance," he said. However, in March it was estimated that £156,000,000 would be the value of all exports this year, and it was planned to issue import licences to the value of £121,500,000, or probably £124.000,000 by the end of this year. "Licences are still being issued for essential commodities for this year,” continued the Minister, “and the department is at present working on the 1949 schedules." Most attention would be given to licences for building, engineering, and similar trades, clothing, food, and medicines. Licences would not be issued for any more luxury or non-essential commodities, because we ought not to embarrass Britain any more than we were compelled to by tne circumstances. Mr. G. H. Mackley (Opp., Wairarapa) : How short will you be of sterling funds. We believe you discussed sterling funds in Australia? Mr. Nash: No I did not discuss sterling funds. I might have discussed dollars, which is a different thing altogether. Mr. Nash then said there would be advantages in co-operating—and it was proposed to do so—with the manufacturing, primary, and building industries ,and industry in general, to find out what improvements could be made in import selection and control. “Discussions are already taking place on these matters,” he said. The House, at 5.29 pm., adjourned 1 for tea.