TRADE POLICY OF BRITAIN

Press, Volume LXXXIII, Issue 25307, 6 October 1947, Page 7

TRADE POLICY OF BRITAIN

AIM OF DEVELOPING RUSSIAN MARKET SPEECH BY MR J. HAROLD WILSON (Rec. 7 p.m.) LONDON. October 3. The Government considered that anything which could be done to reestablish sound British and Russian trade would make a real contribution to the world’s economic restoration, said the President of -the Board of Trade (Mr J, Harold Wilson) at a dinner of the Liverpool branch of the Institute of Exporters. Britain’s aim was to develop a longterm market in Russia and eastern Europe for machine tools and heavy electrical equipment, as well as other industries. The British Government, in the interests of World co-operation, attached the greatest importance to the establishment of trade relations. Mr Wilson, referring to the Geneva conference of the International Trade Organisation, said the drawing up of a charter outlawing many pf the methods of the 1930’s to restrict trade, such as quotas, restrictions, export subsidies, mounting tariff barriers, and uhilateral exchange depreciation, was a job worth doing, particularly when it was related to measures designed to maintain a high, stable level of employment. The job done at Geneva, however, could not yield its true value unless the immediate world problems were solved. The restoration of equilibrium in international payments needed a widespread network of bilateral agreements, not only to enable countries to import goods to maintain and increase production, but to make it possible for each country to export so that it could obtain even more urgently needed goods.

Export Campaign Consultations with industry on the Government’s plan to increase exports up to 160 per cent, of their pre-war volume by the end of 1948 were proceeding fast, Mr Wilson said. Each industry the Government had met had accepted its target, and in some cases had volunteered to increase it. Thn Government, to decentralise the administrative work, would establish export committees in each region to co-ordinate the work of the regional offices of the departments concerned with exports.

The Government realised the problem of marketing. One nation after another during the last few months of the world economic storm had shut its doors to British exports, particularly in the so-called less essential goods. It was difficult to see what would happen in some of those markets. but the world shortage of certain currencies might make some countries more willing to buy British goods. The world shortage of goods, rather than the ability to pay her way, was preventing Britain from reaching the standard of living the Government hoped to achieve for the people.