DISCUSSION ON QUOTAS

Press, Volume LXIX, Issue 20986, 14 October 1933, Page 14

DISCUSSION ON QUOTAS

VARYING OPINIONS EXPRESSED CONTINUATION OF DEBATE (press association telegram.) WELLINGTON, October 13. Continuing the debate in the House of Representatives to-day on the World Economic Conference, the Hon. A. D. McLeod (Ind. C, Wairarapa) said with her present population the Dominion could not solve her own problems, irrespective of what was happening in the outside world. The country would require a population of at least 20,000,000 before prices could be adjusted internally without regard to world parity. At the present time, because she exported 40 per cent, of her products. New Zealand had to fall into line with world prices. Mr R. McKeen (Lab., Wellington South; said it had not been the fault of the delegates that the conference had failed. The whole situation had been in the hands of the international bankers, who were conferring at the same time. The evils from which the people were suffering were due to the policy of deflation. The deflationary policy had doubled the burden of fixed charges and so long as the monetary system was in the hands of private individuals there would be slumps and booms. Mr W. J. Poison (C, Stratford) said he was not one; of those who believed quotas were inevitable. Pie thought Mr T. Baxter, on leaving Now Zealand, had begun to realise that this loyal Dominion felt that it was being very unfairly treated, in the matter of the proposed quotas" Mr Poison expressed the opinion that quotas, once established, would cause a vicious spiral of higher prices, and reduced consumption, and the development of industry would be hampered. He thought the Dominion should state her position to the people of Great Britain and rely on their common sense. He did not believe quotas were the accepted policy of the British people.

Dairying Industries. New Zealand would have to continue developing her dairying industries to a greater extent, and should not agree under any conditions to anything that would restrict that development, said Mr Poison. He considered that there was every possibility, with the assistance of better organisation in Great Britain, of increasing the consumption of milk in the Old Country, and stated that while the average consumption there was 15 gallons a head annually, it was between 50 and 60 gallons in other countries. Forty per cent, of the cows in Great Britain were subject to tuberculosis, compared with a little more than 4 per cent, in New Zealand. If British farmers were prepared to produce a purer article he believed the consumption of milk would increase. After referring to Great Britain's trade agreement with Denmark, Mr Poison said he believed New Zealand wou'd be Drepared to make similar arrangements with the Old Country and grant Great Britain certain trade concessions in return for an agreement by the Old Country to take our primary produce without restriction. He also believed an arrangement of this nature would be acceptable to the people in Great Britain. Mr Poison expressed the view that the possibility of trade with the East no longer existed. It was too late now to endeavour to establish any substantial market in this quarter Britain's Attitude. Mr D. G. Sullivan (Lab., Avon) said in his opinion Mr Baxter had been absolutely unyielding in regard to quotas, and if Mr Poison thought otherwise he must be extremely optimistic. -He believed Mr Baxter's attitude had been that of the British farmer and the British Government. If Parliament desired to serve the interests of the people of the Dominion it could only hope to accomplish that objective by facing the facts with which it was confronted. Continuing, Mr Sullivan said that if New Zealand relied on international action to overcome the depression she would be relying on the weakest possible reed. He asserted that the remedy could only be found by internal measures, including increased wages, and further protection for local industries. He urged the House to consider the feasibility of instituting a scheme something similar to the National Recovery Act in the United States.

Failure of Conference. Mr E. J. Howard (Lab., Christchurch South) said there had been definite necessity for New Zealand to be represented at the World Conference. In spite of her small population, the Dominion was an important unit in the world, but because of her small population other countries were prone not to recognise this. He was therefore glad the Dominion had been represented, and that Ihe Prime Minister had been the delegate. Mr Howard said that the fact that discussion of war debts and wages and hours and conditions of labour had been barred had militated against the success of the conf 6rcnc6« Mr Clyde Carr (Lab., Timaru), Mr W E. Parry (Lab., Auckland Central), Mr C. H. Chapman (Lab., Wellington North), and Mr H. Atmore (Ind., Nelson) also participated during the afternoon in the debate, which was interrupted by the rising of the House at 5.30 till Tuesday afternoon.

THE BULLER SEAT MR ROY HOLLAND NOT A CANDIDATE (MU23S ASSOCIATION TELBOttAM.) WELLINGTON, October 13. The Government's attitude towards contesting the Buller seat, which has been made vacant by the death of the leader of the Opposition (Mr H. E. Holland), has not yet been determined. Mr Roy Holland, son of the late Mr Holland, will not be a candidate. He said to-day that he had not given any consideration to the question of allowing his name to go forward, and had no intention of doing so. Whether the Government will oppose the Labour candidatf is a question which will be largely decided by Coalition supporters within the electorate. Influential members of the Government in Wellington, however, do not seem anxious to enter upon another campaign in the middle of an important session, and although it is impossible to make any definite statement at the moment, there is some reason to believe that Mr Hollands successor may be allowed to take his seat by default.