NOT PRACTICABLE

Dominion, Volume 28, Issue 283, 27 August 1935, Page 10

NOT PRACTICABLE

Open Market In Return For Free Trade

Dominion Special Service. Rangiora, August 26.

Statements that New Zealand would be able to obtain a free market for her produce in the United Kingdom if she were to make a straightout offer of free trade to Great Britain was challenged by the Prime Minister, Rt. lion. G. W. Forlies, when si>eaking at Rangiora to-night. He said such a suggestion was never, a practicable proposition aud the outcome of the recent negotiations in London had only gone to emphasise more than ever tiie impracticability of such a scheme.

The possibility of a free market had been thoroughly explored. Ju view of the fact Unit it. was widely held in New Zealand that if the Dominion could make sufficiently drastic concessions in her la riffs'against the United Kingdom shC'could secure freedom from any danger of a quota, the New Zealand Government cleared up flic position by means of an exchange of telegrams. In October, 1933, it was explained to Great Britain that there was a widespread belief on the part of New Zealand producers that if New Zealand undertook a drastic reduction, or the removal of the protective tariff on British goods, the British Government would guarantee the continuance of unrestricted entry for New Zealand's primary products. ‘ The British Government’s reply, dated December 23, 1933, clearly stated that nd modification of the British policy would be undertaken on the basis of such a suggestion. Moreover, it would seem hardly necessary to point out that New Zealand's tariff was already lower than that of any other British Dominion. This was the case at Ottawa even before further remissions on British goods had been made under the revised tariff of 193-1. It might also be noticed that Australia, with its extremely high tariff against British goods, also gave artificial bounties in aid of her exports—for example. the equalisation plan for butter; but in spite of this New Zealand was nimble to secure better terms than Australia.