TERMS AT OTTAWA

Evening Post, Volume CXIV, Issue 101, 26 October 1932, Page 10

TERMS AT OTTAWA

FEELING IN AUSTRALIA

DOUBTS AND HOPES

"ANTI" CAMP CONFUSED

(From "The Post's'" Representative.) SYDNEY, 20th October.

It is difficult to indicate in exact terms the reception that has been given iv Australia to the publication of the "undisclosed formula" of the Ottawa agreement, and the introduction of the tariff schedule to give effect to it. It is certain, nevertheless, that the antiOttawa political camp has been thrown into a state of confusionX This is due to the revelation that there will be no reduction of any of the existing protective duties. Actually there are 440 tariff increases where an equally long list of tariff reductions was expected. And so it is that the critics have been robbed of their chief weapons, though they are doing their best to manufacture some more. For some weeks there was an attempt to create an impression that as a result of the Ottawa agreement the secondary industries of Australia would be dealt a death blow, but it is necessary now to suddenly change the ground of' attack. Of course this presents no difficulty to the Federal Labour Party and its leader (Mr. Scullin). Labour has always been opposed to Ottawa, and there is just a suggestion that .that., position was dictated by the fact that the conference was of an Imperialistic nature. The Labour Party sees in the agreement a threat to Australian industry, but does not attempt to justify that view, which has so little to support it. The actual changes in the tariff cannot affect Australian industry, if that industry is conducted on economical lines with the idea of giving the public an article at a reasonable price, and being satisfied with a reasonable profit. Labour has appealed to the manufacturers to "stand up with us against the policy pf the Bruce-Xyons Government," but so far there has been no rush of manufacturers to the Labour banner. As a matter of fact manufacturers can find little on which to base a substantial protest. Britain has been given fewer concessions than it was anticipated would be the case, and manufacturers as a whole are inclined to regard the agreement patriotically. They say that its Empire significance cannot bo overlooked, and that if it is going to mean a more prosperous Empire it should be accepted with all faults, if any. Some hardships might be caused by the operation of the new schedule, but that was inevitable. It was likely that the Commonwealth as a whole stood to benefit' substantially. Only time . could tell. On that point it is of interest to : note the views of the Minister of Customs (Mr. Gullett), who was one of the delegates "to Ottawa. It;.was impossible at this stage, he said, to estimate in pounds, shillings, and pence the benefits of the agreement, but every man, woman, and child in Australia, in one way or another, would be' better off. The outstanding fact was that- surplus stocks of Australian produce ,would automatically be removed from the market. That might mean the difference between ruin and prosperity for hundreds of producers, and in turn would have a heartening effect on the prico of land. The cumulative result of that tendency in all producing industries was \bouud to lead to an allround increase in price levels of benefit to every member of the community. The direct and indirect gain, would be incalculable, and would certainly amount to millions a year. AUSTRALIA AND NEW ZEALAND. It is generally admitted in political circles that Australia received greater benefits than any of the other Dominions, and credit for this achievement is given to Mr' Bruce, who is openly regarded in most influential circles as' Australia's greatest statesman to-day. It is difficult to see, however, why New Zealand sliould fear Australia. It is generally regretted that New-Zealand opinion —^or at least a section of it—should talk of taking some retaliatory measure against Australia^ by revising the existing, trade agreement between the two countries so as to penalise Australia. It is pointed out that tho reason for, the Ottawa agreement ivas the encouragement of Empire trade, and it is hoped that nothing will be done to interfere with the trading relations of Australia and New Zealand. Many Australians would rather see a greater measure of reciprocal trade, between the two countries, and they have urged a Tevision of the agreement in such a manner that trade would be facilitated iiistead of hampered, as New Zealand manufacturers would have it. "The Country Party in Australia is not satisfied with the Ottawa agreement for the reason that it, provides for no reductions in the tariff. Most of the Country Party men are free traders, so they attack tho agreement on lines totally opposite to those chosen by the Labour Party. The Country Party, therefore, is "intensely disappointed" because there has not been a substantial reduction in duty on the things they need. Its outlook seems to bo a purely selfish one. It is to be feared that the country people in Australia have little sympathy with the city folk, and one is surely excused for wondering how the'country would exist at all if it were not for tho great cities, with their huge demand'for everything the country produces and sells. There may be a great deal of truth in the statement that the Country Party refused to join the Lyons Cabinet because it was convinced that it could secure more if it Temained outside and threatened. This sort of thing has been referred to as "blackmail." MEAT RISE PREDICTED. An increase of 2s 6d a head in the value of every sheep and lamb in Australia and New Zealand in a good season of big .export was predicted by Mr. W. Angliss, one of the consultants of the Ottawa delegation, as an outcome of the meat concessions given by Britain under the agreement. If an unfavourable season was experienced, there would, of course, be no such increase in values. . "This new meat agreement," said Mr. Angliss, "is going to be a great thing both for Australia and New Zealand. When the restrictions by Britain on the import of South American meat are in full force, they will mean that slightly more than 2,000,000 fewer carcasses of sheep and lamb can be shipped from South America to the United Kingdom than at the present time. Those restrictions will apply fully in April, 1934. As compared with the twelve months ended December, 1930, the restrictions will mean that 3,100,000 fewer carcasses of sheep and lambs will be imported by Britain from South America." ' Mr. Angliss said he regarded the agreement as better than a tariff of one penny a pound on mutton and lamb.