AUSTRALIAN TRADE.

Auckland Star, Volume LXVIII, Issue 26, 1 February 1937, Page 3

AUSTRALIAN TRADE.

BRITAIN'S PERCENTAGE LOWER. 'RATHER SERIOUS" DECLINE. (Special.—By Air Mail.) LONDON, January 7. The relative decline of the United Kingdom's trade- with Australia is | described as "rather seriou*" by Mr. 1 R. W. Dalton. Senior British Trade Cora-i mis.»ioner in the Commonwealth, in his : rejiort on economic and commercial con- \ ditinns in the Dominion. The report, which is issued today, is dated October, 1930. While the actual \oliime of the United Kingdom's trade with Australia has increased, the pem-ntage of trade has declined, and other countries have benefited more than Britain from the Commonwealth'* economic revival. "It is clear." says Mr. Dalton, "tliat in; eertiiin important <-ections of trade the I'nited Kingdom ha- definitely lost ground, in spite of additional preferences: in the tarilT obtained during the last few years.' . The report shows that total Australian, exports rose from £!»0.22~>.<t00 in 1934 :}."> to £ 107.547.000 in 1935-3»'». In the same 1 period imports rose from £72.2ii2.000 to, £53.185.000. The United Kingdom took £54.504.000 of the exports, compared with £50.770.000 in 1034-35. and supplied £33,838.000 of the imports, compared with £30.7*9.000. liritain's share of the imports thus declined from 42.U per cent in 1934-35 to 40.7 per cent in 193."i-3fi. The United States' share, on the other hand, increased from 15.3 per cent to 10.7. The re|K)it add*, however, that "the percentages of the United Kingdom and the United States have varied almost directly with variations of conditions in the motor car trade alone, and no inferences of any great value applicable to the competitive position of the United Kingdom in gener;:! trade can be drawn from them." Fall in British Share. Tn certain classes of goods, including textiles, apparel, metals and engineering, products. Australian imports decreased from £18.070,000 in 1928-29 to £4,108,000 in 1034-35 as a result of increased domestic production, which in respect of these poods amounted in 1934-30 to £135,208,000. Between 1933 and 1935 the United Kingdom's share of competitive trr.de fell from til to ."18} j>er cent, while the share of other countries rose from 39 per cent to 41 J. The decline is most noticeable in the largest groups of merchandise, such as metal manufactures, machinery, textiles, paper and stationery. The competition in motor cars from the United States and Canada, in metal goods and newsprint from Canada, and in textilefrom Japan was the most severe. "Tβ compensate for these losses there were gains in the United Kingdom's, share in apparel, yarns, tobacco manufactures vegetable substances, stones and minerals (mainly abrasives), leather goods earthenware and china, and jewellery and fancy goods, but except as regards apparel, yarns and chemicals, the total trade in each of these groups was not considerable, when compared with that of the five main classes. Motor Vehicle Trade. "The position is greatly influenced bv changes in the motor vehicle trade; imports of motor vehicles and motor P iUts amounted /or nearlv £4,000000 of the total of 'severely competitive' trade in 1934-35, but even if these are left out of consideration there £I?JSoSIJf ,OCk ° f t,a(lC WOrth abo,,t t 18.000000 per annum in which the Tinted Kingdom secured a share of onlv , about £5.000,000, or 27 per cent. "Even if it were possible for United Kingdom manufacturers to capture the whole of the remaining £13.000 000 (plus an increased share in imports of »-.> tor vehicles), it would not compensate them for the losses of trade in -\u.-ualia experienced since 1928-29 a proportion at least of those losses'can never ~ rppajlle< , , f «« manufacturers are to improve their general po,ition. this must be brought about in ,he trade in those elates of fo°l p t r " r h l Ch , tl,OrC is * tm * demand The classes of goods referred to are described as "t,e n.ore highly specialist type* of manufactured goods." and the report draws from the decline in e Plying the specialisation Seeded!