N.Z. DIFFICULTIES.

Auckland Star, Volume LXIX, Issue 300, 20 December 1938, Page 11

N.Z. DIFFICULTIES.

EXTERNAL FINANCE. I Australia Not Lacking In Sympathy. SIMILAR ACTION IK 1932. United Press Association.—Copyright. (Received 10.30 n.m.) SYbXKY, this day. "The Sun," in an editorial article last night, said: "The Xew Zealand I Government's troubles with external finance should not meet with any lack of sympathy in the Commonwealth." The paper recalls that Australia faced a similar position, and Mr. Savage is now doing what Mr. J. Seullin did in 1932. The steps taken on that occasion amounted to actual prohibition of some imports and quota-fixing in others, and were applauded by all who were able to forget party, and they were effective. They stopped the drift. The article continues: "There is naturally some interest for Australians in the unsympathetic reaction of British industries to New Zealand's troubles as the Commonwealth's own London funds are ill the process of depletion. "The cure is either to discourage over-importing or allow British manufacturers to bring Australia to a point at which she is willing to accept a British loan in order to finance imports and to pay interest on goods she imports —a position the Australian public is unlikely to accept. "Not even to please Manchester is it likely that the Commonwealth or Xew Zealand will carry on that bad tradition."

"UNFAIR CAMPAIGN." Labour Charge Against British Financial Press. ATTITUDE TO NEW ZEALAND. (Received 11 a.m.) LONDON, December 19. In the House of Commons Mr. R. S. Hudson, Parliamentary Secretary for Oversea Trade, in reply to Mr. G. M. Garro-Jones (Lab., Aberdeen N.), said: "1 have seen no evidence of a campaign of unfair discrimination against New Zealand. The letter from the Federation of British Industries actually expressed appreciation of some statements by Mr. Savage, while indicating that it might be necessary in future to press for modification of the Ottawa agreement with Xcw Zealand in the event of the new policy having certain [ results." I Mr. Olarro-.Tones: Does Mr. Hudson I not receive Press cuttings showing that la dishonest campaign agftinst the Socialist Government of New Zealand is being conducted by financial papersT Mr. Hudson: No. I have no evidence of such a campaign. I think it is possible that some statements are based on misapprehension of the letter from the federation. Mr. Garro-Jones: Will you arrange that the Government be informed of references to New Zealand in the financial Press T No answer was given.