EMPIRE TRADE

Evening Post, Volume CV, Issue 107, 7 May 1923, Page 8

EMPIRE TRADE

MR. ELMSLIE ENTER-' TAINED

IMPORTANCE OF PRESENT

PROBLEMS

SPEECH BY MINISTER OF

CUSTOMS.

A welcome to Mr. Norman Elmslie, the new British Trade Commissioner, * was tendered by the New Zealand Association of British. Manufacturers and Agents at a luncheon in Dustin's Rooms to-day. The president, Mr. G. H. Scott, was in the chair. Among', the guests were the Hon. W. Downie Stewart (Minister of Customs), the Hon. J. G-.Coatea (Minister of Public Works), the Mayor of Wellington (Mr. R. A. Wright, M.P.), the Chairman of the Wellington Chamber' of Commerce (Mr. John Myers), tho Collector of Customs (Mr. W. B. Montgomery), Captain Fulton (AssistantTrade Commissioner), and Mr. F. Meadowcroft (Wellington City Council). An apology for absence was received from the-Prime Minister (Eight Hon. W. F. Massey), who has gone to Auckland.

In welcoming Mr. Elmslie, the chairman referred to the services rendered by former Trade Commissioners. Mr. Elmslie _ had come .with a. reputation, which would lead to pleasant anticipations that the high standard would be upheld.. The outlook for Empire trade and Empire expansion was pregnant with possibilities, and the association would promise its heartiest co-operation with the Trade Commissioner.

"It is common knowledge to you all," said the chairman, "that the national and individual trade outlook in the United Kingdom has, as the result of the European collapse, become focussed on the overseas Dominions. Bankers, merchants, manufacturers, and national leaders are all preaching the gospel that development of the overseas Dominions is the obvious solution of the Motherland's economic difficulties. This new slogan has deeply stim-ed the United Kr?Efdom. -A great conspiracy of circumstances has forced into prominence the claims of the overseas Dominions and the mutual advantages to accrue from their development concurrently with the relief of the Motherland. Development overseas will chiefly result in greater production of foodstuffs and raw material, .to absorb which would necessitate ( either a reduction in the Motherland's purchases of similar articles produced outside the Empire, or an increased buying capacity." Mr. Scott uttered the warning that' a scheme of development which did not include some method for absorping the surplus products would compel the Dominions to develop trade outside the Empire, and thus largely defeat the Empire's objectives. The pcwers of absorption in the Dominions w«e limited by the capacity of the United Kingdom to purchase raw products at prices remuneratjve to the producer. In these .difficulties with their double phase Mr. Elmslie would be able to give important service.

Mr.. Scott then dealt particularly -with the resumption' of trade with Germany. This was a problem, if ever there was one, for the .Empire Conference to settle before a resumption of trade should take place. . . •

Mr. Scott suggested that the conditions of resumption should be terms that would safeguard the Empire's interests; that would give a uniform date for' resumption of trade with all Empire units; that would cover the question of depreciated currency and the application of dumping clauses,; that would arrange for a board of experts stationed in Germany to advise the various Dominions regarding the values and also in regard to those commodities in which trade could be safely resumed. Such matters would not interfere with the. tariffs or policies of Empire units. An Empire Conference should surely analyse and make very careful investigation into the general effects on Empire, trade before resumption becomes effective. The importance of many questions to be discussed at the forthcoming ImperiaJ Conference will bring opportunities for our Prime Minister' to render a service to -this Dominion. It would be a crime, said the chairman, if the Dominion were not represented in London this year by its' Prime Minister.

"It is impossible Parliamentarians can find any tangible excuse for prevention outside the realm of party interests. If those interests cannot, even for a short period, be subordinated to their country's requirements and the unparalleled interests she has in the ap- - poaching Imperial Conference, they ■will pfove themselves devoid of true ■ patriotism, anß willing'to sacrifice the interests of. Dominion and Empire to those of party politics." Mr. Scott dealt at some length with the Customs Tariff and the difficulties of protecting not only industries of this Dominion, but also the trade which the Motherland now enjoyed with.New Zealand. Hardship might be unwittingly imposed on British indusivy. Instances were cited where trade had been done by German hollow ware. It would be wrong Tor. Empire units to separatoly resume trade with Germany without first discovering the effect of what they proposed to do. In regard to trade sentiment Mr. Elmslie, said the chairman, was already aware of the splendid sentiment that exists both with the Government and the people- of this country in favour of British production. Finally, Mr. Scott touched on the question of unemployment- in the Home Country.

"At the end'of 1922," he said, special investigation of the unemployed problem in the United Kingdom showed that the numbers of unemployed were very little short of two' millions, and on them no less than 2,585,000 were dependent. It is tragic when you visualise the amount of privation and hardship that would be imposed upon this army of people; but sadder still when you consider that of- the total dependents 1,470,000 of them were children. I wish it wore possible to have what is involved in this properly understood by every person in New Zealand. 'Whatever, our views may '.he in regard to re* sumption of trade with Germany, we are compelled to temper personal and national action by this call of humanity which comes from our kith and kin. We can, without making any reduction in our support of local' industries, still mako an enormous reduction in our foreign purchases, and a corresponding increase in our British trade. Every pound thoughtlessly . spent in the overseas Dominions on the purchase of foreign, goods is imposing its degree of hardship on the unemployed of England and their children."

The Hon. W. Downie Stewart (Minister of Customs and of Industries and Commerce), who supported the toast proposed by the chairman, spoke briefly in lighter vein. Mr. Elmslie was welcome to Now Zealand, and ho .hoped he would be able to bring about much good between the Dominion and Britain. He concurred with flue remarks of the chairman in respect to the good work of the Government, but ho dissented from the views ho had expressed in which he had criticised the Government.' (Laughter.) The Government was doing the

best it could in respect •to trade with Germany-and Imperial preference. -He realised, however, the enormous weight attached to the views-expressed. Mr. Elmslie was first of .all welcome on aocount of his personal qualifications, and secondly, in view of the great administration in which his predecessor had been held. He was sure Mr. Elmslie would endear himself to the commercial community in the same way. Thirdly, he was welcome on account of the work he had come ■to New Zealand to perform.

In reply, Mr. Elmslie said he had been absolutely overwhelmed with the kindness of everyone. ■He had been amazed at th c strength of the feeling. The New Zealandera were more British than the people of Britain herself. The Commissioner paid a tribute to the services of the association in helping and promoting British trade. Personally, he would do his best to co-operate with them to the utmost.

(Proceeding.)