PRIMARY PRODUCTS.

Ashburton Guardian, Volume 54, Issue 197, 2 June 1934, Page 5

PRIMARY PRODUCTS.

THE INTERNATIONAL ASPECT.

VIEWS OF AIR S. AI. BRUCE.

- United Press Association —Copyright), NEW YORK, May 31. Interviewed by a representative of the Australian Press Association, Mr S. M. Brace (Australian Resident Alin* ister in London) who is returning to London, expressed surprise at the interpretation apparently put by Americans on his observation ini Australia concerning the advisability of limiting primary production. He stressed that there had been a change in the logic of the international position since the World Economic Conference of Nations. At London all seemed desirous of reaching international agreements for limiting production, whereas the only basis for genuine improvement in world economio conditions seemed to he to lower the barriers of trade between the nations and thus encourage a greater .exchange and consumption of goods, but the conference broke up and each nation went home to embark on a programme of even stricter ■ nationalism,' with internal limitation of production and very restricted twonation or group trade agreements. Under these circumstances, and in light of her experiences since the London Conference, Australia could only, face the realities of position, and moreover, in the instance of certain commodities, such as lamb, butter, etc., where the situation was further intensified by the Ottawa Agreement, with Britain, which with good seasons, resulted in expansion of production, he thought some form of limitation was absolutely essential before the inevitable impasse arrives. “In Canada,” said Air Bruce, “I told them that Canada, while becoming increasingly more important industrially, must remember that the export of primary production was still a most important item, and that they were faced with the same problem as Australia. There was need for the study of common problems.” Air Brace explained also how the Dominions were in a specially favourable position; in any discussions fo.r extension of the Ottawa Agreements, even if non-Empire countries could offer to take as much, or more, of Britain’s manufactured goods in exchange for Britain’s market for primary goods. A unique consideration m favour of the Dominions would always he that they are also the outlet for Britain’s surplus population. _ Mr Brace said that while in New York he would discuss financial matters but he could not indicate the trends. Ho expected that he would touch upon trade matters in AYaslnngton, and added that he expected the matter of wheat would also he brought up by American officials. He intimated that there was little likelihood ,ot a change in Australia’s position rer,aiding wheat. The Commonwealth was prepared to continue limitation of exports since the status of wheat m the world markets was not good. Limitation of production, however, could not be undertaken, if for no other reason than the very good one that rt could not be achieved. America s own experiences seemed to demonstrate this quite clearly. There is a possibility that Mr Bruce will see President Roosevelt while the latter is here reviewing the Sect, m which event he will make only one trip to Washington of two days’ duration, returning to New York for the finish of his American visit betore sailing for England.