Parliament

Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 

Subsidy Reduction Law Introduced

11 December 2001

New legislation has been introduced today setting the framework for the subsidy on commercial imports to be reduced by $16 (plus GST) from 1 July next year.

The initiative was announced in November. Acting Customs Minister Jim Anderton says it means those who benefit from Customs’ state of the art clearance process will foot the bill.

“Until now, the Government has subsidised importers by picking up the full cost of providing a business-friendly computer-based entry system. The practice is out of step with major trading partners, Australia and the United States.

“The government will continue to fund public good activities, such as detecting prohibited imports like drugs, pornography or counterfeit items.

“The past 10 years has seen a revolution in the service importers receive at our borders. Paperwork that once took days is now handled in an average of 12 minutes. Ninety-seven percent of imports are handled online and the majority of goods can be cleared before they arrive at New Zealand’s borders,” Jim Anderton said.

New Zealand importers will pay significantly less per transaction than their Australian and United States counterparts.

Customs estimates that 95 percent of New Zealand’s 33,000 importers will pay less than $2000 a year.

The subsidy reduction applies to each commercial import entry and import declarations for goods that have a duty liability greater than $50. Private import declarations under the value of $1000 will not be charged.

The legislation will be referred to Parliament’s Foreign Affairs, Defence and Trade Select Committee following its first reading. Customs will also be consulting widely.


Background information: All about importing

New Zealand’s 30,000 importers bring goods worth around $32 billion across our borders each year. All of these imports are checked and cleared by the New Zealand Customs Service.

The process is simple. Importers or their brokers lodge an import entry with Customs, either in paper or electronic form, which clarifies what is being imported, by whom, its origin and value.

Using these details, Customs confirms that the goods are safe and legal and that the importer holds any permits required by other agencies, such as the Ministry of Agriculture and Forestry or the Ministry of Health. Customs then calculates duty owing on the consignment, charges the importer and releases the goods at the wharf or airport. Customs’ computer-based import system can even send clearances to the importer’s freight carrier before the goods reach the border.

Who can import?

Anyone can import goods provided they comply with the import entry process. Private imports must be checked in the same way as commercial. Customs has dedicated client services staff whose focus is guiding newcomers through the process. Help is also available via a free call centre (Tel: 0800 428 786), and staff at the public counter in any Customs office are also available for immediate personal assistance.

All imports are subject to GST and some may also attract other duties.

What imports are stopped?

Many items are stopped at the border because the Government has determined that they are inappropriate for New Zealand society. Reasons can be social, economic, international or safety-based and examples include counterfeit money, asbestos, weaponry, pornography and pirated goods.

In some cases, the goods are deemed potentially unsafe or inappropriate and may be cleared provided certain requirements are met (such as authentication from the country of origin). Other completely prohibited goods are confiscated for destruction and the importer may face criminal charges.

Ends

© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

New Reports: Flood Risk From Rain And Sea Under Climate Change

One report looks at what would happen when rivers are flooded by heavy rain and storms, while the other examines flooding exposure in coastal and harbour areas and how that might change with sea-level rise.

Their findings show that across the country almost 700,000 people and 411,516 buildings worth $135 billion are presently exposed to river flooding in the event of extreme weather events...

There is near certainty that the sea will rise 20-30 cm by 2040. By the end of the century, depending on whether global greenhouse gas emissions are reduced, it could rise by between 0.5 to 1.1 m, which could add an additional 116,000 people exposed to extreme coastal storm flooding. More>>

ALSO:

 
 

Gordon Campbell: On The Commerce Commission Fuel Report

The interim Commerce Commission report on the fuel industry will do nothing to endear the major oil companies to the New Zealand public... More>>

ALSO:

Emergency Govt Bill: Overriding Local Licensing For The Rugby

“It’s pretty clear some clubs are having difficulty persuading their district licensing committees to grant a special licence to extend their hours for this obviously special event, and so it makes sense for Parliament to allow clubs to meet a community desire." More>>

ALSO:

Leaving Contract Early: KiwiBuild Programme Losing Another Top Boss

Ms O'Sullivan began a six-month contract as head of KiwiBuild Commercial in February, but the Housing Ministry has confirmed she has resigned and will depart a month early to take up a new job. More>>

ALSO:

Proposed National Policy Statement: Helping Our Cities Grow Up And Out

“We need a new approach to planning that allows our cities to grow up, especially in city centres and around transport connections. We also have to allow cities to expand in a way that protects our special heritage areas, the natural environment and highly productive land." More>>

ALSO:

Ombudsman's Report: Ngāpuhi Elder 'Shocked' By Conditions At Ngawha Prison

A prominent Ngāpuhi elder is shocked to find inmates at Ngawha Prison are denied water and forced to relieve themselves in the exercise yard... Chief Ombudsman Peter Boshier has released a report highly critical of conditions at the Northland prison. More>>

ALSO:

Promises: Independent Election Policy Costing Unit A Step Closer

The creation of an entity to provide political parties with independent and non-partisan policy costings is a step closer today, according to Finance Minister Grant Robertson and Associate Finance Minister James Shaw. More>>

ALSO:

School's In: Primary And Intermediate Principals Accept New Offer

Primary and intermediate school principals have voted to accept a new settlement from the Ministry of Education, which includes entrenched pay parity with secondary principals. More>>

ALSO:

IPCA On 'Rawshark' Investigation: Multiple Police Failings In Hager Searches Confirmed

The Independent Police Conduct Authority has found that the Police's unlawful search of Nicky Hager's property in October 2014 resulted from an unwitting neglect of duty and did not amount to misconduct by any individual officer... More>>

ALSO:

Broadcasting Standards: Decisions On Coverage Of Mosque Attacks

The Authority upheld one of these complaints, finding that the use of extensive excerpts from the alleged attacker’s livestream video on Sky News New Zealand had the potential to cause significant distress to audiences in New Zealand, and particularly to the family and friends of victims, and the wider Muslim community. More>>

 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

InfoPages News Channels