Evening Post. MONDAY, SEPTEMBER 17, 1906.

Evening Post, Volume LXXII, Issue 67, 17 September 1906, Page 4

Evening Post. MONDAY, SEPTEMBER 17, 1906.

THE RECIPROCITY TREATY. - — --^- .o- ' Although, the reciprocity treaty between New Zealand and the Commonwealth was criticised pretty freely in Australia when its terms were announced on the 30th ulfc., there was no evidence of such strong disapproval as on this side of the water, and for the sufficient reason as it seemed here that Australia haa nothing like the same cause for complaint. In each country, however, the criticism took the Una that the Premier of the other had got far the best of the deal. "Our fanners must pay in every case," said the Argus ; "there is to be no lowering of duties in favour of New Zealand manufacturers. Mr. Deakm dwelt on the difficulty of making a preferential arrangement wheTe the productions of neighbouring countries are alike and therefore competitive. The difficulty in this case was got over by the strong willed and persistent Mr Seddon winning •all along the line." The Sydney Morning Horald talked in a similar strain of how Mr. Peakin the dreamer was taken down by tho "coldly practical, businesslike" bargaining of *Mr. Beddon. Allowance must, however, be mad© for tho strong leanings of both these papers against Srotection no less than against the leakin Government; and while they were writing in this extravagant ' strain the Melbourne correspondent of the Sydney Daily Telegraph reported "that to the New Zealand proposals thoro will be apparently little if any real opposition, bu# the British preferential scheme is sure to be criticised minutely and fought lino by line." Prom the progress of tho debate in the Federal House of Representatives as reported' to us during the last two or three days it would seem that this estimate, though unduly sanguine, wa« nearer the mark than that of the freetrade organs. i Ml 1 ; George "Reid's description of Mr. Deakin'a proposals as " a half-hearted attempt to mix a little preference with a stronger dos© of protection " applies to the reciprocal agreement no Ibes than to | tho preference which is being offered to Great Britain, and tho attack in the Federal Parliament has lwen mainly dn [ liv«red from this point of view. The ideal of a Freetrado Empire receives small support indeed from anything that either country gives or receives under the reciprocal treaty, for tho principle to which the Cc-unoii of tlvo Wellington Chamber of Coinmerco objected from tho standpoint of the consumer in this cqlony — viz., ''that tjio, pyefcropco proposed to be given to Australia is largely arrived i at, not by conwwuons off lha present tariff, but by Inclosed penalties on imports from cpnntriea other than Amtralia."— < run* rij}ht through the pro' §o#«|s oq both sid«. It was stated by ir Joeeqh WajrcL in moving the provi-

sional adoption of the agreement, that '' tttc usual principle is that where there is n, tariff treaty between two countries tlu> revenue given away should be bal- j auced or about balanced"; and his figures showed, on the basis of lust yea^'e returns, a loss to New Zealand of £4497 in revenue and to Australia of £6126. But this test, while admittedly very im perfect even as regards ths interchange of trado betwe-eii tho parties to thp agreement, is grossly misleading when the procedure of both is for the most part not by the reduction of duties in favour of one another, but by increasing the duties against tho rest of 'the world. Sir Joseph Ward declined to attempt any estimate of what tho change woula actually involve, though his argument implied that there would bo a loss to face; but Mr. Dcakin, who had bad more time to consider the matter, submitted on Wednesday lost to the Federal 'House of .Representatives an csjimato which shows how th© Commonwealth is likely to be affected. "Ho had asked the Customs Departingnt what elfect the treaty would have on the revenue," sa^d the Australian Premier. "He was informed that it was a^ very difficult matter to estimate, but, taking normal years of trade, ii was thought the treaty would mean an increase of revenue. The department considered that the v channels of trade would altsr elowly, 'land in the meantime extra revenue would bo received to the extent of £100,000 yearly, or even higher." From the revenue standpoint, therefore, the Commonwealth instead of losing some £6000 by its concessions to New Zealand, will gaip £100,000 by increasing its restrictions on the trade of other countries; and if to this be addod the proceeds of the 6 to 10 per cent, increase in the ad valorem duties on foreign goods and the increase of fixed duties on such goods ranging from three-halfpence to a shilling, which ara imposed by way of preference to Great Britain, it will bo seen that the Federal ■ Treasurer is able to swell hi» revenue very conveniently in the name of patriotism. Nevertheless, the attempts of the Opposition to impugn the general principle of the New Zealand treaty have signally foiled, The motion of Mr. Cook, the Deputy-Leader of the party, "that, while affirming tha desirability of n, commercial treaty with Now Zealand, this House requests the Prims Minister to endeavour to negotiate a, treaty covering a wider range of duties, and confining preference to a irul.ual reduction of existing duties," was defeited by 32 votes to 11 ; and Mr. Deakin'a preliminary resolution affirming the principle of tho treaty was carried on the voices II was urged by Mr. Cook that "Mr. Seddon had been so long in control of New Zeahmd that lje had probnb'y cea«od to follow the currents of public opinion, but created currents for himself and others to follow," and that "the fact that so much opposition bad been raised in New Zealand to tbe treaty showed that Mr Seddon's opinion did not correspond with tho maturer iudgment of the people there." There is a good deal of truth i" (H°ne observations; ■<\A though Mr. Deakin'a reply tint "hid Mr. Seddon b°en nliro to put his full views on the subject from an Australian point of view, there would havo tteen little difficulty in getting New Zealand to accept it." may represent too' sanauine a view, Mr Seddori would at leist have secured for the treity a fiir henring — which w morn than it has nad in this colony so far