"TURN IN THE TIDE"

Evening Post, Volume CXV, Issue 62, 15 March 1933, Page 10

"TURN IN THE TIDE"

POSITION IN ENGLAND

INDUSTRY IMPROVING

EFFECT OF TAEIFFS

"I think one can say quite definitely that there is a turn in the tide," said Mr. Joseph Salmon, a director of Lyons and Co., Ltd., London, who arrived from Home by the Kangitane today, when asked for his views on the economic situation in Great Britain. "There is certainly more confidence at Home. People are showing more courage in business.. The industries which were hit very hard, such as wool, cotton, and steel, have certainly im-pro\-ed since the tariffs." Questioned as to the reaction at Home to the increase in the exchanges late, New Zealand on London, . Mr. Salmon produced a clipping from "The Times," in which the following editorial comment was made:— The new rate is an artificial one in that New Zealand is not at present faced with an adverse balance of overseas payments, and the reluctance of- most of the banks to see the exchange raised lies mainly in the fear that the impetus thus to be given exports and , the discouragement to imports may Tesult in an excess of London balance's which ultimately can only be reconverted into New Zealand currency at a heavy loss. Hence the undertaking given by the Government to indemnify the banks against any conse^ quent loss. The movement is, of course* made entirely in the interests of the primary producer in New Zealand,' whose plight is admittedly serious. It will confer material benefit on producers, though at the expense, of other interests in the community, for the cost of living will probably rise. ... A POPULAR FIGURE. Mr. Salmon said that the High Commissioner for New Zealand, Sir Thomas Wilford, was very popular and capable," and he looked upon him as one of the best men New Zealand had sent Home. He had a great deal to do, particularly at the present time, and he carried out his duties" very efficiently. ■Referring to New Zealand' butter, Mr. Salmon said that he was quite certain other butters were being sold at Home as the New Zealand product. He strongly criticised the practice in some quarters of putting Dominion but. ter on the market as Empire butter, and said that the only way to hold the public demand was to work to a definite brand showing New Zealand as the country of origin. Only one quality, the best, should be exported. On no account should inferior qualities be'sent Home, otherwise the high reputation which New Zealand had built up in the past would be lost completely. ' .. ' Quality for quality, the best New Zealand butter was better than the Danish product,. continued Mr. Salmon, but the Danes had the great advantage of being so much closer to the market. There was no doubt that fresh butter appealed to the consumer even if it cost a little. more. Mr. Salmon said that the industrial centre of England had begun to move towards'the'south, and a very serious position had arisen in those parts of the country where the older industries, ■were located consequent upon the depletion* of "the population. The rates were bearing much more heavily on those who remained, and the problem ■was one: which would have to be tackled seriously in the near future. NEW ZEALAND'S LOAN CONVERSION. Mr. Salmon was greatly interested in details of the New Zealand loan conversion, but he, uttered a warning note against any action by the Government that might prejudice the Dominion with the outside world from an investment point of view. Any such move, he suggested, would have a most serious and far-reaching effect on prospective investors.

During his stay of about a month in New Zealand, Mr. Salmon; who is accompanied by his wife, formerly Miss Bae Mandel, of "Wellington, and their ion, hopes to do some trout fishing.