RECIPROCAL TRADE.

Press, Volume LXVII, Issue 20383, 2 November 1931, Page 10

RECIPROCAL TRADE.

CANADA AND AUSTRALIA. GOODWILL SHIPMENTS. ' (UNITED rr.ISS ASSOCIATION —lil ELXCTJtIO TZLEGBAPH—COPTBIGHT.) (Received November . Ist, 6 p.m.) MONTREAL, October 30. In two steamers, one leaving here and another to leave Vancouver shortly, Canada is sending a large and varied consignment of her goods for approval, to the Australian retailer and consumer. The Canadian Constructor is sailing on Saturday with a cargo of carbon paper, sardines, newsprint, vacuum cleaners, pipes, cotton twist, wallpaper, golf tecs, lumber, wire valves, canvas shoes, drugs, range parts, and saws. About the time tho Canadian Constructor reaches Australia a second cargo of British Columbia pixxlucts will arrive with newsprint, wood pulp, fruit wraps, caned salmon, apple boxes, and lumber.

Another message, dated October 31st, reports: Loaded with a varied cargo, the Canadian Constructor sailed to-day for Australia. The captain carries letters of goodwill from Mr James Macdougall, president of tho Canadian Manufacturers' Association, to Mv James Macdougall, president of tho Associated Chambers of Manufacturers of Australia, Melbourne, and Mr 11. Gordon Bennett, president of the New South Wales Chamber of Manufacturers.

In addition to other cargo the Canadian Constructor is carrying to Australia a number of live animals, including five Uolstein cows, which are going out under tho care of Mr H. Heoney, an enterprising farmer of Alywin, Quebec. In a letter to Mr MacDougall, tho Australian Trade Commissioner, the president of tho Canadian Manufacturers' Association, says: "The welcome extended to the 'goodwill' ship by Canadians is an encouraging indication of the future trade between Australia and Canada. If the Canadian produets create even a small part of tho interest which has been aroused by the inspection of Australian products we shall feel adequately rewarded." OVERDRAFT RATES. REDUCTION IN FORCE. MINIMUM, 61 PER CENT. In accordance with tho decision of tho associated banks in New Zealand, announced at the end of July, the minimum rate of interest on advances will be reduced from 7 to 6i per cent, as from November Ist. The rates of interest allowed by the banks on fixed deposits lodged on and alter August Ist wero reduced by J per cent, on 24 months deposits and i per cent, for shorter periods. Reason for Delay. In announcing the reductions, the official statement issued by the banks on July 28th said: "From November Ist next suitable adjustments of rates will be made and on that date a minimum rate of 6i per cent, will come into, operation. The usual practice of the banks is to alter the rates of interest in accordance with the movements in aggregate deposits and advances, as affected by the law of supply and demand. On this occasion a departure from practice has been made tor the purposo of co-operating with the Prime Minister's negotiations for a general voluntary arrangement designed to bring about a cheapening of tho price of money. "The reduction of rates of interest now announced will, of course, not affect current fixed deposits. The banks will continue to pay the higher rates borne by those deposits, for a period up to 24 months. - For this reason it is necessary, in the unusual circumstances, that there should bo some delay in reducing rates of interest on advances." Previous Movements of Sates. The minimum overdraft rate was increased from 6i per cent, to 7 per cent, on February Ist, 1930, on which dato the rates of interest paid by the banks on fixed deposits were increased to 3£ per cent, for three to twelve months, 4J per cent, for periods between 12 and 24 months, and five per cent, for 24 months and over. On April 22nd, 1930, the deposit rates were adjusted bv making that for six months and under 12 months 4 per cent. It was on July 9th, 1928, that the minimum overdraft rate was last reduced from 7 per cent, to 6J per cent., the rates of interest on fixed deposits at the same time being announced as 3J per cent, for three to six months, 4 por cent, for 12 to 24 months, and 4} per cent, for two years. On May 9th, 1927, the minimum overdraft race was raised from 6£ to 7 per cent., the rates of interest on fixed deposits being announced at tho same time as 3f per cent, for any period between three and six months, 4 per cent, six to twelve months, 4} per cent, twelve months to two years, and five per cent, for two years. BANKRUPTCIES. LITTLE ALTERATION IN FIGURES Seven bankruptcies were recorded in the Christchurch district during October, 1931, as compared with six in October, 1930. Details are:—

For the ten months of 1931 there have been 73 bankruptcies, as compared with 45 for the corresponding period

Oct, Oct. 1931. 1930. Farmer 1 0 Company 1 0 Hawker 1 0 Salesman 1 0 Company manager 1 0 Clerk 1 0 Builder 1 0 Hairdresser and tobuc conist 0 1 Box manufacturer 0 1 Coal merchant 0 1 Seagrass furniture manu facturer .. .0 1 Grain merchant 0 1 Labourer 0 1 Totals 7 6