A STAGE FURTHER

Evening Post, Volume CXVIII, Issue 58, 6 September 1934, Page 12

A STAGE FURTHER

The Prime Minister's statement concerning the competition of subsidised foreign shipping carries this issue a stage nearer to action. Summarised the statement mqans that the Australian and New Zealand Governments are agreed on the following facts: that the competition is uneconomic, that! countervailing subsidies would aggravate the fundamental objections to the present position, and that the existence and future improvement of local shipping services in the Australia-New Zealand trade will be jeopardised by continuance

of the present conditions. This implies agreement of the two Governments that'action must be taken, and they are prepared to consult for that purpose. A further inference to be drawn is that the two Governments have agreed to regard this as a local question for Australia and New Zealand, and .to devise a remedy .which will not be dependent upon united Empire action to meet the greater Empire issue. We may assume that this has been done after consultation with the United Kingdom Government. Originally the problem was..regarded as triangular —Australia, New Zealand, and the Imperial Government (as concerned with the Fiji Islands). Joint action by the three • Governments would have been, most satisfactory, but it is probable that Great Britain, having to consider the effect of action in South Pacific shipping upon her Empire shipping policy, would find it desirable to proceed slower than Australia and New Zealand, whose interests are more localised. And time now becomes of moment. ■ Already it is evident that improvement of local services is hindered by the uncertainty of the future. Having agreed that action is necessary Australia and New Zealand will, we hope, lose no time in deciding what form it shall take. The uncertainty should be ended.