The Dominion WEDNESDAY, APRIL 11, 1923. CONDITIONS OF PROSPERITY

Dominion, Volume 16, Issue 174, 11 April 1923, Page 6

The Dominion WEDNESDAY, APRIL 11, 1923. CONDITIONS OF PROSPERITY

The extent to which the prosperity oi all«[* io “ s g J cX S il“ tt\?Xto‘°« e r oi"commerce, In its annual> rePorL to ptool 0 it. contention that the Dominion has pasted out ot th. period of depression it experienced in 192021, ho and foremost to the improvement witnessed last year in the balance ‘“ht improvement, of course, is partly aUribnlabla to lb» heavy reduction in imports, but the continued productivity of tho ion’s primary industries was an essential factor. As the council observes: "The most satisfactory news for New Zealand (during Jast year) was the return to payable prices for its primary products. There is a tendency at times to belittle or forget the impor part the farmer plays in the economic life of the Dominion. It is on that account all the more satisfactory to find a commercial body of’ the standing of the local Chamber of Commerce going in thisi way to the root of the matter, and singling out, the factors on which tho revival of national prosperity must mainly depend On the whole our primary industries have weathered successfully the worst slump ever experienced in this country, but they arc not yet in a state to justify easy optimism. The Council of the Chamber of Commerce if anything over-emphasises the magnitude of the trade recovery witnessed last year. ... , It remarks that "even after allowing, say, £5,000,000 for interest abroad, and allowing for any under-valuation of imports . . . there should still remain a substantial credit on our overseas trade.” As a matter of fact, in view of national, municipal, and private indebtedness to oversea lenders, and taking account also ot shipping freights and other external charges, tho balance to the good shown last year is not by any means too large. There is definite ground for encouragement, however, in the progress made in building up a sound balance of trade. The figures of export and import values and trading balances for tba last three years are:—> Excess of Year Exports. Imports. Exports. Imports. £ X £ X 1922 42,725,949 34,826,074 7,899,875 — 1921 4-4,828,460 42,744,122 - 2,084,338 — 1920 46,405,366 61,553,853 —. 15,148,487

The rate of recovery here disclosed is highly satisfactory, and it may bo hoped that the expansion of exports will offset the increase in imports which may be expected as time goes on, and other calls upon tho resources of the Dominion. Practical attention certainly should be concentrated upon the extent to which the general prosperity of tho Dominion must depend upon a continued expansion of primary exports, and it is open to bodies like the Wellington Chamber of Commerce to render useful national service in advocating or supporting measures of policy tending to stimulate such a development of export trade. This applies particularly to measures which obviously must be dealt with from a national standpoint, and with reference to which farmers do not always find it easy to combine in their own interests and those of the Dominion. A conspicuous example in point is the improvement of main roads. It is rather surprising that although the Council of the Chamber of Commerce touches in its report on many questions bearing directly or indirectly on trade and production it makes no reference to roading policy. There is perhaps no single measure of progress which will do more to assist and stimulate the increase in primary produce exports which the council rightly considers to be of cardinal importance than such an improvement of roads as will permit a wide extension of motor traffic. Motor roads in many cases will provide a better and more economical means than branch railways »of opening up ooten tially productive areas now isolated or imperfectly provided with access. Although a Main Highways Act was passed last year and is to come into operation this year, it certainly cannot be assumed that the way is in all respects clear for a rapid and comprehensive improve ment in the reading system of the Dominion. On the contrary, it ha» been made manifest that much detail opposition will have to be overcome in the institution of a national roading policy. Bodies like the Wellington Chamber of Commerce which are in a position to regard this question and others from a broad standpoint of national welfare ought to take every opportunity of throwing the full weight of their influence into the scale in favour of a policy of systematic road improvement in place of the chaotic and wasteful methods of road construction and maintenance which have hitherto prevailed in the Dominion. This is one of a number of ways in -which the Chamber of Commerce and other representative organisations of a similar character may in a very valuable degree assist the development of primary industry and strengthen the whole economic life of the Dominion.