Ashburton Guardian Magna est Veritas et Prævalebit SATURDAY, NOVEMBER 20, 1937. BRITISH-AMERICAN TRADE.

Ashburton Guardian, Volume 58, Issue 35, 20 November 1937, Page 6

Ashburton Guardian Magna est Veritas et Prævalebit SATURDAY, NOVEMBER 20, 1937. BRITISH-AMERICAN TRADE.

The negotiations for a trade agreement between Britain and the United States, as “ The Daily Telegraph ” says, sets an impressive example to the world by breaking that vicious circle of exclusiveness and restriction which has so grievously crippled international trade and hindered recovery from the depression that followed the unstable boom of post-war years. But while the world aspect is a vital one, for under the modern, sys'tem of commerce there is a delicate balance between world trade and national trade, the suggested agreement has a direct intimate interest for the various units of the British Commonwealth of Nations. This fact was emphasised in a recent message from New York, in which it was stated: 4 Britain in recent weeks has been consulting the Dominions because the issues presumably require modification of the system, but not the principle, of Empire preference to enable Britain to provide concessions on American agricultural products.” The interest that the Empire units have is shown by figures pub-' lished by the London financial journal “The Economist,” detailing how Britain’s imports from the United States have fallen since, and therefore presumably because, of, the agreement signed at the Empire trade conference held at Ottawa. The American reports on the preliminary negotiations mention concessions on agricultural products imported from the United States, a matter in which the Dominions are particularly interested. According to “The Economist,” the commodities with which the United States has lost most are cereals, fruit, pig products and softwoods. It is not much use quibbling about a change in the system but not the principle of preference if the aim of an agreement is to give to America an improved competitive position in the market for such goods. Canada and Australia are concerned in the market for wheat. Both of them, with New Zealand and South Africa added, are interested in fruit, Canada and New Zealand are deeply involved in the trade in pig products, while softwood timber is a Canadian export commodity of the greatest importance. Thus while from the aspect of Britain’s advantage and from that of its influence on world trade, the prospect of an agreement is to be accepted with gratification there is every need for the Dominions carefully considering how their individual interests may be adequately safeguarded.