The Minister for Trade and Customs:

The Collector of Customs at Port Adelaide has asked for a decision whether on arrival from England of a vessel built to the order of a local firm to trade on the coast the stores such as boats, crockery ware, cutlery etc. are to be charged duty.

The Minister for Trade and Customs forwards the papers to me for advice.

Under item 131 of the Tariff'Boats, Launches, and Yachts imported in any vessel, including all fittings', are dutiable at 15 per cent. But ships and ships' fittings generally are not specified in the Tariff, and are clearly intended to be free (see special exemption of certain duplicate fittings, Div. VI (ba)).

In my opinion ships' boats bona fide required as part of the equipment and appurtenances of the ship are to be considered as parts of the ship and are not dutiable.

The question of crockery ware and cutlery is more difficult. They are part of the ship's furniture, in a sense part of the equipment of the ship, but they can perhaps hardly be considered as part of the ship. The Customs Act 1901 affords no clear indication as to whether articles such as these, brought into the Commonwealth in and for the use of the ship, are imported within the meaning of the Act. They are neither ships' stores, within the meaning of Part VII of the Act, nor are they 'unshipped'; and it is not clear that they are contemplated by the clauses requiring imported goods to be entered. See sections 49, 68, 72. It may be that, as a matter of strict law, they are under Customs control and payment of the duty could in that event be enforced; but on the whole I am of opinion that a necessary quantity of crockery and cutlery etc. imported in a ship, and retained on board solely for the use of the ship, should not be charged with duty.

[Vol. 3, p. 129]