EMPIRE POLICY

Auckland Star, Volume LXIX, Issue 207, 2 September 1938, Page 9

EMPIRE POLICY

defence first.

POPULATION NEED

empty dominions.

TRADE AFTER OTTAWA.

SIR EARLE PAGE SPEAKS.

"The conclusions reached by the recent conference of British and Australian Ministers in London marked a very definite advance in Empire relationships," said Sir Earle Page, Australian Minister of Commerce, when interviewed on his arrival at Auckland by the Monterey from San Francisco this morning. He was returning from a six-months' mission overseas, during which he had visited Britain, the United States, Canada and a number of European countries.

Discussing trade developments he expressed confidence that the latest steps taken and the changes in policy which were to be put into operation would result in a general benefit to the Dominions and the Mother Country. He expected that the long-awaited trade agreement between Britain and the United States would be concluded before the ernl of this year and that it would be followed by a liberalising of trade with European and other countries.

Before Britain adopted the protective policy in 1032, Empire countries had, with the exception of a few items, no special advantages over foreign countries in the British market," Sir Earle Page said. At Ottawa, in 1932, an Empire trade agreement was drawn up, the Imperial aspect of which was recognised by the free interchange of preferences with the avowed object of improving inter-Empire trade. That agreement has been of value to every part of the Empire. It has increased the total trade, and permitted an expansion of industries. The increased purchasing power of the Empire countries has been of value to the world at large by making more foreign trade possible as well. Building on Ottawa. "The conclusions now arrived at maintain, and in some respects increase, the advantages of the Ottawa Agreement. But these conclusions go beyond that agreement to state quite explicitly, what may have been implied before; that the fundamental basis of Empire trade agreements Should be the defence and developmental needs of the various parta of the Empire^ "Consequently the main emphasis has now been placed on the desirability of Australia bringing about as soon as possible a substantial increase of its population. This is recognised by Britain, as well as by Australia, to be dependent on the progressive ■development of sound secondary industries combined with an expansion of its primary industries. "This development, in turn, depends on markets being available. Britain has engaged to help Australia to expand her markets in three directions; in Britain, in Australia and in foreign countries. Value of British Market. "So far M British markets for Australian products are concerned, the Ottawa right of free entry with preferential margins against foreigners is continued with the added assurance that subject tp the vital interests ef the United Kingdom in its agriculture and overseas trade, to the necessity to maintain remunerative prices while safeguarding the interests of consumer, and to the absorptive capacity of the United Kingdom market, an extended market and increased opportunities should be given Australian products. "To apply this principle in practice and to ensure its enjoyment by other parts of the Empire, such as New Zealand, it was agreed that the methods of organisation adopted in regard to beef, which had placed the business organisation of foreign traders at the disposal of Empire countries in assisting the remunerative sale of what commodity, should be considered for other export industries. Dominion Manufactures. "In so far as Australian markets for Australian products are concerned, Britain recognises the desirability of the sound and progressive development of Australian .secondary industries. To assure them local markets Britain is allowing an interpretation which favours Australian development, of articles of the Ottawa Agreement which have been under dispute. "In regard to new markets for exports, Great Britain and Australia agreed to co-operate in every practical way with a view to assisting each other in arriving at trade agreements with foreign countries. "On the Australian aide, Australia affirmed its readiness to assist Great Britain to maintain her exports to foreign countries, and especially to secure that her exports maintain a stable position in Australian markets. In order to attain this end Australia proposes to investigate thoroughly the prospects of its industrial expansion with a view to laying down a considered plan over a period which might facilitate agreement with Great Britain in fixing maximum duties on definite items of special importance to Britain. Outlet tot Capital. "Such an investigation would indieate very clearly where opportunities for fresh investment in Australia could b found for local and overseas capita l . It would prove valuable to Aus r Britain in indicating lines along which industrial development D ? desirable dinated where commerciallydesimbe and would encourage British investment. "Encouragement to overseaa mves iUclf might «' cardinal purpose population, rapidly increasing Australia ■ of There is no doubt that as . , x_jes by the development of new skilled such outside investm , A n intechnicians would be ne ?*V. ' mUS t also creased volume of ln^ ÜB f a j] sections provide additional work b provide of the community and t&ereoy k chances for successful ~2£ ent avoutilising people of man /A possible cations to a degree not beior jg in Australia to its migration efforts.