The Auckland Star: WITH WHICH ARE INCORPORATED The Erening rems,Morning Rems and The Echo. WEDNESDAY, JUNE 7, 1911. THE RECIPROCITY STRUGGLE.

Auckland Star, Volume XLII, Issue 134, 7 June 1911, Page 4

The Auckland Star: WITH WHICH ARE INCORPORATED The Erening rems,Morning Rems and The Echo.

WEDNESDAY, JUNE 7, 1911. THE RECIPROCITY STRUGGLE.

Tvr the caute that lade antitlanoo, for the mrong iltmt need* reaietemo^ tmr the future ia the distant*. And the yuod that we osm Oα.

la spite of the manifold advantages that would 'be secured for the United States by reciprocity with Canada, it does not seem at the present juncture that the famous agreement is likely to •be ratified. President Taft, who, it seems, honestly believes in the agreement, is fighting hard for his measure, but eren the Republicans admit that the Senate is likely to throw out the BilL It is very likely true that, as President Taft says, the opposition to the bill has been engineered for purely selfish motives by the Paper Trust and the Lumber Trust, which -would probably break down under Canadian competition. But the Democrats as a body, even if they are playing into the hands of the Trusts, are fighting for a definite policy of their own. They have raised the Free Food cry, and they are determined, if they can, to get meat and flour at least on the free list. But the Republicans as well as the Canadians object to this alteration of the proposals. For, according to the usual reading of the most favoured natron clause, all countries which have already negotiated commercial treaties with Canada or the United States would be able to send meat and flour into their markets free of duty; and the competition of the Argentine, and Australia is dreaded by Canadians and Americans alike-.. The Democrats recognise this difficulty, but they insist on attaching a Free List, amendment to the bill so that they may have a chance of formally recording their vote for Free Pood. But the Republicans, who regard the Free List as likely to -irreck the agreement completely, will not promise to allow the amendment to be discussed and voted upon. Briefly, Uie Democrats are bringing pressure to bear upon the President by offering to pasa his bill if he -will concede them Free Food; but neither the KepubWcans nor the Canadians would accept a Reciprocity Bill "tagged" with a Free list, including meat and flour; and so matters have come for the moment to an absolute deadlock.

Even If these negotiations nave no other practical result they have incidentally provided the American people with some interesting evidence ac to the methods by which their industries and their markets are now controlled. The machinations of two great combines whose existence has hitherto been constantly denied have been revealed to the light of day, and already steps are being taken to restrict their operations on the ground that they are acting "in restraint of trade." The Democrats in particular ought to he grateful to President Tait for giving them so good an opportunity to ventilate their views on Free Food, which seems likely to supply a strong and much-needed "plank" to bolster up their tottering "platform." And even if #he agreement cannot be ratified, it has done good work by bringing the Canadian, and the Americans into more amicable relations and by pointing to the possibility of a closer commercial and national intimacy in the future. Aa to our own Imperial interests, we can afford to view the rejection of the (Reciprocity Bill with some equanimity. For whatever Canada might gain from such an agreement with the United States, -we fear that England and the Empire would certainly lose. The Canadian Finance Minister has repeatedly asserted that nothing in the agreement would interfere with the advantages now secured to England by Canada's preferential duties; and he now denies that the agreement could be regarded as a precedent that other parts of the Empire might be prepared to follow. Unfortunately, we cannot follow Mr. Fielding's argument. It is inevitable that special concessions to American producers must at least indirectly build up competition against British trade; and it is in the highest degree probable that other autonomous colonies will be inclined to follow Canada's lead, and negotiate commercial treaties with foreign countries without consulting the Motherland. The Tariff Reformers will make answer that it is all England's fault for rejecting <jur offers of Preferential Trade. But even if this is true it is not particularly consoling to the many Imperialists -who have bo long hoped and desired to see the Empire bound permanently and indiseolubly together by j tho potent influence of common aims-and 4Btsregt% •