TRADE BARRIERS.

Press, Volume LXIII, Issue 18901, 17 January 1927, Page 11

TRADE BARRIERS.

TARIFF REDUCTIONS PROPOSED.

EFFECT ON IMPERIAL PREFERENCE.

(bv cable—pbe6s association— copyricjbt.) (StDKey "Sum" Service.)

(Received JatiUary 16th, 5.5 p.m.)

LONDON, January 15.

In response to the bankers' manifesto, the British Kational Committee of the International Chamber of Commerce has convened a conference of British industrial leaders for January 10th. Sir Arthur Balfour will be chairman and Sir P. Cunlifte-Lister the chief speaker. The conference i 3 to prepare a policy"for the League's forthcoming Economic Conference. The principal British proposal is a reduction of European tariff barriers and the substitution of reciprocal commercial agreements. Mr Ben Morgan, in an interview, expresses the opinion that this is a very dangerous proposal from the viewpoint of the Empire's development, because such reciprocity is likely to handicap Imperial relations. He instances the Portuguese agreement as affoctiug Empire wines, the Greek agreement as handicapping currants, and the German agreement as tying Britain's hands io' garding special agreements with the re' niaiflder of the Enipif6, and also the commercial treaties with the Belgian Congo and Zanzibar as preventing Kenya according' the Empire tariff pi - e> ference. A similar agreement deters the West African colonies from reciprocating in tariffs throughdut the Empire. M* Morgan says: "If reciprocity between Britain and the European nations is adopted, it Will delay for twenty or thirty years the full development of Imperial preference, and it will iuean that Britain Will be compelled to take European gdods in exchange for British under the favoured vnation clauses, Which polioy Will drag Britain into the Very heart Of European politics, whereas its policy Bli6Uld be directed to the avoidance of European entanglements and the establishment of a M6uroe Doctrine for the Empire."

[On Oetobei- 19th, leading bajikers afid industrialists in Europe issued a manifesto advocating What Was described as 'a . "Eur6pean Customs Union" as tho 6hly means by which European pfospority could be recovered The manifesto Called for general free trade and deprecated tariffs and other i'eßtrictiens Upon the free exchange of goods because they decreased production, raised prices, and depreciated cur> rencies and Credits.]