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Alliance Tariff Policy a Burden on Productive

8 September 1999
PR96/99

ALLIANCE TARIFF POLICY A BURDEN ON PRODUCTIVE SECTOR

Federated Farmers has harshly criticised the Alliance's policy of putting a five percent tariff on all imports, excluding those from Australia.

President Alistair Polson described the policy as "simply a burden on the productive sector".

"An across the board tariff of five percent will only make our own exports more expensive, harder to sell and ultimately uncompetitive. Lower exports means less economic growth and fewer jobs."

"Mr Anderton thinks that his tariffs would fix our Current Account deficit; in reality it could make it worse."

"If every import, apart from those from Australia, becomes five percent dearer, then that will boost inflation, reduce New Zealanders' standard of living, and reduce economic growth," concluded Mr Polson.

ENDS

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