Dr. Saul was responding to the complaints of president of H.A.&E. Smith, Mr.

Roger Davidson, who claims shops have been hit by taxes, red tape, residents buying abroad and a lack of capable workers.

Mr. Davidson said customs duties caused the high local prices that turned customers away, not mark-ups by store-owners.

But the Finance Minister said he was more shocked with the comments Mr.

Davidson did not make.

"We have regular meetings with the Chamber of Commerce and there is a lot of co-operation between Government and the Chamber,'' he said. "There has been a yeoman effort to revamp the whole of the Customs Tariff help the merchant community.

"I am just surprised Mr. Davidson did not say we have been working with the Chamber on this.'' During the Budget Dr. Saul altered Customs charges to reduce the costs of importing many goods.

He said: "Basically, we have given away an estimated $3.5 million to reduce the burden on businesses.'' Government and the Chamber have been working for a year on which parts of the tariff to slash.

Complaints over omissions to the original proposals led to two more Acts of Parliament to cover the mistakes.

Dr. Saul said: "Local merchants came out of the recession much wiser than they were before.

"Everyone wants more assistance and more help but Government is giving as much as it can.

"They have to remember that Government has a Budget to meet just like any other business.'' Dr. Saul said he would continue to hold meetings with the Chamber of Commerce to seek ways to help them rebuild after the recession.

He said: "It is a cooperative effort and there will be continued cooperation between the Government and the Chamber of Commerce.''