EMPIRE TRADE.

Press, Volume LXVI, Issue 20018, 28 August 1930, Page 9

EMPIRE TRADE.

MR W. GOODFELLOW'S ADVOCACY. U3ESS ii.3OCJTi.TIOK MLIGJIAJi.) HAMILTON, August 27. A strong plea for increased trad© within the Empire was made by Mr W. Goodfellow, managing director of the New Zealand Co-operative Dairy Co., speaking at a largo gathering of the company's committeemen at Hamilton last night, when dealing with the relation of the gold standard to Empire trade and its influence on the price of primary products. It was generally supposed, he said, that the main .cause of faiiing. prices, to-day to over-production. Overproduction certainly had something to do with lowered prices, but it was not the main cause. While ho predicted that, during the next ten years, the producers of this country would have to fight for their existence, he was not pessimistic as to the future. He was satisfied that, when it came to a "show down," New Zealand could produce . butter-fat at a lower cost tnan any country in the world. This was a great consolation. If the various countries now producing were to continue to increase their production it was certain that sooner or later some other countries would have t° go of the trade. Ho attributed the chief cause for the fall in world prices to the increasing value of gold. The Empire owed a great debt of gratitude to the Empire Marketing Board, which was creating ■ a very, strong sentiment throughout Britain to give preference to Empire goods. He quoted very telling figures to show the_ changing location pf gold accumulation. The Empire, as a whole had lost a considerable amount of gold since the beginning of the war. Tho effect of this was tliat there was not Empire to finance Empire trade at high prices. This shortage of gold was one of the main' causes of the all-round fall in . prices. There was, said Mr Goodfellow, only , one way to overcome it—by purchasing fewer goods from foreign countries. The Empire. (including Britain) spent annually £2,200,000,C00 on imported goods, of which only £900,000,000 waa spent with Empire countries. Tho obvious remedy for the difficulties was to buy moro gocds within the Empire.