BALANCE OF TRADE

Press, Volume XCIX, Issue 29273, 3 August 1960, Page 12

BALANCE OF TRADE

“N.Z. Rather Too Preoccupied”

New Zealand was rather too preoccupied with the balance of trade, Mr John McEwen, the Deputy-Prime Min- V ister and Minister for Trade II °f Australia, said when he arrived in Christchurch last ’7 evening after spending four days in Wellington.

After all, if New Zealand wsjs to import bauxite from Australiia and turn it into aluminium ar id export the finished product ‘lto Europe that would accentuate tlje adverse balance of trade, but wouldn’t you be happy?” he sai'ld. Australia had an adverse billance of trade with some cou'intnes, including Britain, but < lid not worty too much about it, ’(he said. “In world trading you Cannot work on fixed bilateral agr eements."

Far from having any thouj’hts about a possible loss of markets for manufactured goods, Aust;.-alia wished New Zealand well is i its desire for industrial expansion the Minister continued. There might be some Australian ii idustries which would wish to become established in New Zealand, or help with the industrial development by capital investment. Changed Trade ■ ? In its rapid industrial development, Australia had ci langed from taking many manuf? ictured goods from Britain to importing from there the componen ts and raw materials for industries Now there might be an open. l mg for Australia to do likewise tor New Zealand. ' Overseas investment In Australia had been of great Jaelp Mr McEwen said, not only ii for the capital outlay which could not have been found by the country, but also for the technics;] knowledge and managerial “knowhow.” In many cases overseas interests had markets for the Australian which could not have been developed by Australia iwUthout delays.

It was preferable that overseas capital should be brought into partnership with Australian interests, and by and large’ this was the case, the Minister spid. New Exports

Asked for his views c|n future possible new exports from New Zealand which would be welcomed in the Commonwealth, Mr McEwen said he could xilot think of any particular items, “But who would have thoqghjt a few years ago that Australia would be exporting ballpoint pens to Britain; reinforcing rods to Japan.

“And cameras to Germany,” added Mr E. P. McClintock, one of the first assistant secretaries (trade), when called tail by the Minister. Outside the existing wellknown New Zealand to sports of timber products, newsprint and fish, New Zealand wai. doing a profitable trade with milkingmachine parts and ottier dairy equipment New industries would be bound to produce Hew goods which could find a ma rltet. Mr McEwen will visit Canterbury Agricultural Colletge, at Lincoln today before leaving* Christchurch by air for Melboi’irne.

This morning he will pay a formal call on the Mayor of Christchurch (Mr G. Manning), and may have a short sightseeing tour of the city. :> When he arrived in Christchurch last evening he Akas met by Mr D. M. Walker, the Trade Commissioner for Australiia in the South Island, Mr H. T. Larsen, district officer of the Department of Industries and Commerce, and Mr C. J. D. Kite, distric t officer of the Department of Internal Affairs.