BRITISH TRADE.

Press, Volume LX, Issue 18101, 17 June 1924, Page 6

BRITISH TRADE.

HEAVY WAR BURDEN FELT.

PENALTY OF HONESTY.

(SPKCIiI. TO "TEE PBM8.") WELLINGTON, June 16. "Over five'y ear s nave P 3536 * 1 since the signing of the Armistice, and many people express surprise and disappointment that Britain has not recovered in a larger measure her prewar position at Home and abroad," said Mr G. H. Scott, president of the New Zealand Associatipn of British Manufacturers, in his address at the annual meeting to-day. "It must not be overlooked that Britain's efforts in this direction necessitated that, because of her position and standing among the world Powers, and because of tho world-wide influence of her finance and commerce, she should play a very important part in assisting to settle some of the post-war problems of the nations which are her competitors in trade and commerce. Consequently her position among the European nations has continued, since 1918, most complex and extraordinary. It is a fairly general belief that the great world problems are largely in the hands of the English-speaking races, and the fact remains that our Motherland has been, and is, facing problems that require sacrifice and courage, and is doing her share towards settling them in the interests of humanity. Pride takes the place of the spirit of criticism when the facts about Britain's position among the nations are clearly understood. "The mental'outlook of Europe i 9' still focused upon the dark days now past. It is quite clear, however, that despite international unrest, internal reconstruction is proceeding apace. Two countries are making no effort to repay their debt to Britain, and have raised protective barriers against British products, and most of them have certain advantages in regard to_ their depreciated currencies when .selling in competition with British manufacturers. "Britain's national debt on March 31st was £7,680,000,000, -and her annual interest bill is approximately £307,000,000. Whilst piling up this tremendous national liability, she has; honoured every obligation undertaken in connexion with her war efforts. The huge sum mentioned includes war loans which she is unable to collect. Without doubt her position is unique."

Spending Power Affects New Zealand. The speaker quoted Sir Bobert Home's pronouncement in the House of Commons: Germany stands to-day with her great industrial organisation reconstructed, and conditions, of efficiency with which we have nothing to compare. Trance is steadily equipping herself industrially. We are meeting our expenditure only by putting an almost unbearable strain upon the finances of the country. Trance to-day has not only re-established her trade; last year she had a greater volutae of trade than before the war, while we ' are still struggling along with 70 per cent, of our pre-war trade. - These matters had a vital bearing upon the prices which New Zealand received for her primary products, declared Mr Scott. The burden carried by Britain reduced the purchasing power of her population. We must marvel that Britain still had a surplus of cash, to lend the Dominions, i and from ,the' most selfish of motives it behoved us to support her in our purchases. More than this, we should see to it that our, trading basis with other nations and other Dominions, and especially with the European countries referred to, left a'n equitable basis on which Britain could compete'in our markets. It was a recognised fact that no satisfactory or lasting trading basis could be found for individuals or nations unless the advantages were mutual. There could be no gainsaying thn fact that trading' relationships of the Dominions needed a spring cleaning, if we desired to seeBritain procure in practice the preference which our tariffs were framed to give in theory. Our tariffs did not at all points continue to meet the changes that had arisen in regard to inter-Dominion and international-trade. In New Zealand, for instance, the depreciated currency duty was not now levied against France. We knew at the same time that France had a tariff which effectively shut out certain British productions. So far as New Zealand; was concerned, France's depreciated currency quite nullified any preference to Britain when competing against French products. The fact that 29 per cent, of our total imports of motor tyres in 1922 were French spoke, for itself, and this was but one of many items. Preference Bate Too Low. Mr Scott attacked the present regu j lations governing the issue of the preference certificate for British goods.' "It does not assist to expand Britain's trade with New Zealand as it should," he declared. "There is a very low percentage of British labour and material required in the preference certificate endorsed on our invoices. The 25 per cent, required by the regulation is very useful to the merchant, who can legally land articles as British, and pay duty at the minimum fates, when they contain J5 per cent, of foreign labour and 25 per cent, of British materials. It enables foreign machinery, capable of being equipped with certain British components, to evade the payment of the maximum duties. "Under the existing certificate the manufacturer of f any foreign motorcar can qualify his vehicle to enter. New Zealand as a British product, so far as payment of duty is concerned. A German car, equipped with body and tyres made in England, under the existing preference certificate would bo legally qualified to enter New Zealand paying the same duty as an English car. Cars manufactured to the extent of 75 per cent, in the United States and 25 per «ent. in Canada have the same prxvilege. There are other instances in hardware, machinery, and soft goods." -

PARTLY-BRITISH GOODS.

ISSUE OP PREFERENCE CERTIFICATES.

LONDON, June 15. The protest made by Mr Massey, Pnme Mimster of New Zealand, against the issue of preference certificates on goods not wholly of British manufacture has attracted^h^tS Manufacturers are enquiring whether reforms are possible. MotoSS %*£?£ T . that «ghtening the ditions of the issue of P»*4i«„!u r. benefit British tradek S? W ° Ul l

BRITISH TRAD& (AtJOTEAtUIf USD *&> to The Board of &*&s& 9h ? w: -7 .. „***•& April figures. ;W £7,500,000. ♦ 'i Ml K"( 'in-* K V w < A* 1 if