The Trade Returns.

Press, Volume LXIV, Issue 19286, 16 April 1928, Page 8

The Trade Returns.

We printed on Saturday a summary of the trade returns for the financial year which ended on March 31st, together with those for the previous financial year. A comparison shows that in twelve months an adverse balance of two and a half millions has been converted into a favourable balance of ten. and a half millions. This is an encouraging recovery from a serious decline in our export trade, but it would be foolish to persuade ourselves on the strength of these figures that financial conditions in New Zealand are normal or that the world-wide conditions responsible for the slump have definitely passed. The need of economy, both public and private, is as great now as it was a year ago, and perhaps greater, for even if we are really entering on a period of rising prices for our primary products, much leeway will have to be made up before there is a noticeable easing in the financial situation. And in any case prudent people will require some stronger evidence than the figures quoted above for supposing that the trade cycle has taken a definite upward turn. An appreciable part'of the favourable balance of exports, for instance, must have been due to the high, prices ruling at recent wool sales,' and few familiar with the condition of the wool trade would suggest that it has benefited by those prices or to that extent. The general outlook is of course more promising than it has been for many months past, but it must be realised that a favourable trade balance, large as it is, does not guarantee an immediate, or early, return to our former prosperity.