THE NEW TARIFF.

Gisborne Times, Volume XXVI, Issue 2095, 22 January 1908, Page 1

THE NEW TARIFF.

LIAS THE CONSUMER GAINED? INTERCEPTED BENEFITS. RISE IN DRAPERIES AVOIDED. One of tlio achievements of the present Administration last session was to secure the adoption of a now Customs tariff providing remissions upon necessaries of lil'o and material for New Zealand manufacturers totalling £-109,000. The heaviest reductions in duty were upon such articles of general consumption as sugar, molasses and treacle, dried fruits, and cotton and (linen pieeo goods. On those items alone, it was estimated that their admission free of duty would cause a less in revenue amounting to £31,200, and the important question is whether tho consumer—whom it was intended to benfit—is really securing fully the advantage conceded by the now tariff. A “Times” reporter niado inquiries among Wellington tradesmen, wholesale and retail, this week and tho genera] conclusion as that while tho public is undoubtedly benefiting fully from tho removal of duties upon sugar and dried fruits, a good deal of tho remainder of the £409,000 lost ts. tlio rovonuo disappears into the capacious pockets of either indent agents, wholesale merchants, or tho retailers. POCKETED IN ENGLAND. In on case, which seems a very glaring example of a combine, tho whole of tlio remission will bo absorbed even beforo the articles arrive in New Zealand. Under the old tariff, maize.ua (an American production) and corn Hour paid a duty of id per lb, hut dn accordance with its policy of endeavoring to make food cheaper, tho Government sacrificed £I2OO in Customs revenue per annum by placing these articles on the free list. Tho cornflour business is controlled in England, controlled so effectively, in fact, that New Zealand merchants have found its price going up, maizena also following in sympathy, until the landed cost is just tho same now as when it had to bear the duty. Naturally, tho consumer will feel no benefit from tho muizena and cornflour remissions. It also curiously happened that when Parliament was proposing to make infants’ patent foods free, instead of continuing tho import of 20 per cent., the English merchants began to harden tho price. When tho duty was removed, the only effect was to prevent an increaso of a penny or twopenco per tin. COTTONS AND SILKS DEARER. A genuine increase in tho prices of cotton and silk goods will, unfortunately, discount much of the benefit which would othenviso have been secured by housewives through these goods (formerly bearing 20 per cent and 10 per cent duties) being placed on tho free list. Tho “Times” representative was shown a recent communication from an English manufacturer’s agent which shows how much of the £55,000 remission is 'likely to he absorbed. Tho letter stated that owing to tho rise in cotton prints, tho firm was not in a position to repeat its previous quotation for goods landed in New Zealand, as that price (covering freight, duty, and wharfage) was being asked for the same material in England. Linen table damasks have gone up in price by at least 20 per cent, during tho last twelve months—just tho amount of tho duty now remitted. On other linen goods it is expected that the reduction to tho purchaser owing to the liberal remissions under tho tariff will not exceed 5 per cent., because tlio cost at Homo lias increased. Sil'ks and ribbons present a worso aspect, for they aro dearer this season in spito of a five per cent, reduction in duty,” explained a. leading draper to tho reporter, “and we find that they cost us 15 per cent more than wo have been paying for a number of years. Tho reductions in duty came at tho right timo not to show the advanced prices. A year ago tlio reductions would have made a splendid show for the public, but at present we can make little change in our prices.” LIGHT DRAPERIES REDUCED. It. was consoling to find from the draper that tho removal of the 20 per cent duty from light cotton good, such as lino cotton dross goods, and muslins will directly benefit tlio retail purchaser. Tho high prico of cottons, .silks, and satins to be imgoods such as sheetings, an which there is a largo amount of cotton in a yard of raw material, but the samo weight of raw material might give half a dozen yards of muslin, so that the increased cost of cotton is not so noticeable in tho finished article. So far, tlio inquiries had furnished doleful information for the householder, but there is no doubt that tho new tariff lias prevented a big rise in the prico of leading drapery lines, which would have niado clothing much dearer. The amount of duty remitted on linen piece goods, cottonns, silks, and satins to bo imported this year wall amount to at least £60,000, and if this sum has to be borne by tho articles mentioned a greater amount would have been collected from tho consumer, because the trader, in liis anxiety to pass on every penny of tho duty, generally makes allowances for a littlo more than the liability to tlio Customs which lio incurs upon (importing tho goods. SOME IMPORTANT BENEFITS. The items upon which tho remitted duty has been intercepted beforo tlio consumer got the benefit are quite unimportant compared with tlio sugar duties remission of £205,000, and tho admi&ison of dried fruits free, involving a. loss in rovonuo of £44,000. Inquiries placed it beyond doubt that every penny of these remissions is being secured by tlio householder. Sugar, which formerly paid a duty of lialf-pomiy per pound, was admitted free after Oct. 31st, and promptly the price of this staple food came down a halfpenny. It is not so certain, however, that all dealers in molasses and treacle gave their customers tho benefit of tho abolition of tho halfpenny per pound duty. Confectioners and jam makers benefitted enormously from the .remissions of duty on sugar, molasses and treacle, but they do not appear to havo passed any of tlio advantage to the retail buyer This much, however, can bo said for tho jam manufacturer. Ho has not yet had an opportunity of dealing with a season’s fruit under tho now conditions. Householders must watch tho "l-ico of jam six months lienee, and if there is not a reduction upon quantities of 41b or over tliev mav legitimately complain. ANTV.CIPATING PREFERENCE. Canned and preserved fruits have hardened in price lately without anv obvious reason, leaving it open to the inference that merchants liolcb i n rr stocks of Californian fruits aro anticipating the increase m price

which will be caused bv the imposttion of an extra, preferential dut.v noxt -March, whiles tho New Zealand manufacturers have, naturally sought to raise their prices in keeping with the advance upon loreigu products. CHEAPER BOOTS. Preferential duties operated against American hoots immediately upon the adoption of the tariff, and there is consequently a slump in the demand for those productions, owing to the rise in- price. A gent’s hoot of good quality was formerly imported from America and sold for 23s 6d per pair, but the preferential duty, equal to half the ordinary impost, has sent up the price to 2Gs per pair. ! English-made hoots of good quality I still sell at 23s Gd, and there are I quite a number of people wearing thorn, though they once firmly believed that the English hoot never fitted their particular feet. Parents who have bought boots of the cheaper class for their children since the advent of the new tariff, no doubt noticed that the retailors were dis- ' playing some lines at very tempting prices. This is duo to tiie free importation of children’s. boots. and shoes, .sizes 4to G. A quantity of extremely cheap footware was formerly imported from England, and constituted a serious element of competition which the New Zealand hoot manufacturer had to meet. The. new tariff discriminated against these shoddy productions with good results, hoot .retailers being satisfied that an improved demand has now set in for the locally made articles.