SHEEP OWNERS AND RUSSIAN TRADE

Press, Volume LXIX, Issue 20986, 14 October 1933, Page 9

SHEEP OWNERS AND RUSSIAN TRADE

TO TUB EDITOR OF THE PRESS. Sir, —We have read several letters lately attacking the importation of Russian petrol. The latest, signed by "X.," asks several questions, and I also submit a few. Is it not a fact: (a) that "X." is connected in some way with the major oil companies, who have the "wind up"? (b) Is it any worse to buy from Russia than from America? The latter has exploited the New Zealand motorist for years. It buys nothing from us, but erects tariff walls against our products, and also at the moment is exacting the last penny from Britain in war debts, to our detriment. (c) Is it not a fact that the only alternative a motorist has to Russian

petrol is American, which comes out in foreign bottoms; that the profits from the sale of American petrol go to America; that the profits from the sale of Russian petrol remain in New Zealand? ~ ',...,_. u „^ The motorist has realised that he has been a "pigeon" long enough. He has got prices down, so carry on, and good luck.-Yours, etc., MOTORIST . October 13, 1933.

TO TIIE I'DITOa OF TUB KtESS. Sir,—Under the above heading your correspondent "X" deprecates the fact that no controversy has arisen out of the allegations and assertions made by Colonel Neill and others, regarding New Zealand's attitude with regard to the importation of Russian petrol A not necessarily close examination of the fundamental factors underlying the position prompts one to raise several pertinent queries regarding the industry in question. The first question raised 'by your correspondent "X" is that the Russian petrol comes from the oil fields "which by all the laws of civilised trading" belong to the • company known as the Baku Consolidated Oilfields. An obvious phase presents itself in the few words "laws of civilised trading." The moral complex embodied in the methods adopted by the firms who acquired these Baku concessions during the Tsarist regime will not stand too close a scrutiny, any more than will particulars be forthcoming as to how vested interests acquired the diamond and gold resources of South Africa. It is not feasible to assume that the Russian people, in their great reorganisation of industry, were prepared to sit quietly by and tolerate a transfusion of their very life blood, in the shape of oil, into the veins of outsiders who were, and are, opposed to them in all things, commercially and socially. I They played the game that their opponents have been playing in their "business and commei'cial" ventures for centuries, only with the vital difference that their activities were actuated by justification, in view of the fact that they realised they were and had been victims of a form of robbery "without violence" at the period when their country's valuable resources were acquired by a coterie of speculators. The statement that Russian petrol is brought to New Zealand in foreign ships to the detriment of British mercantile marine, I do not question. Incidentally, do not foreign shipping companies convey most of the petrol to this country. Certainly there is a perpetual string of American tankers plying in these waters, and the revenue obtained from them certainly goes to the credit of Americans. Equally is this so with companies which own their own fleet, the freights of which are paid by all users of American petrol. In question D, "X" asserts that not one farthing of the money paid for Russian petrol goes to any country that buys New Zealand products. This undoubtedly applies to the American product, too. How much of the money spent on Yankee oil and petrol finds its way back here in return for our commodities?

A very insignificant factor crops up regarding the introduction of Soviet petrol, namely, that automobilists and users of petrol and oil in genera] "are getting these necessities at a price commensurate with the present standard of low values, and in these days of limited purchasing power, if js a consideration which warrants recognition The advent of Russian competition has been responsible for the above saving, and to conclude the payment to the Soviet for its goods is made in New Zealand goods, through international clearing houses. England herself has been taking Soviet' products in the shape of butter, farm produce, etc., in exchange for machinery, for hydro-electric works such as - manipulated by Vickers and other firms. I have been pondering as to what Colonel Neill's attitude would be, what instructions he would furnish his brokers with, in the event of there being an enquiry for his "clip" at a remunerative price from the Soviet agents. Would he remain adamant and consistent to his argument not to recognise Russia? I know Mr Tripp would cherish no illusions on this point, and business would result.—Yours, etc., J. H. ROBINSON. Mount Hutt, October 12, 1933.