EMPIRE TRADE

Evening Post, Volume CXVIII, Issue 78, 29 September 1934, Page 15

EMPIRE TRADE

NEW ZEALAND'S PART

OTTAWA AGREEMENT

New Zealand's policy of fostering trade with the United Kingdom was emphasised by the Minister of Industries and Commerce (the Hon. R. Masters) during his second reading speech on the Customs Acts Amendment Bill in the Legislative Council yesterday aftornoon.

In moving tho second reading Mr. Masters said that it had been alleged that the Government had delayed the tariff revision for some ulterior motive. That statement was absolutely incorrect, Tho agreement made by Now Zealand's representatives at Ottawa had been carried out as expeditiously as possible, and any delay-was not attributable to the Government. The Commission had been set up on May 9, 1933, and the subsequent delay was made at the request of tho British Government which desired that every opportunity should be given to the United Kingdom manufacturers to prepare and present their representations. The personnel of the Tariff Commission had created confidence in the- Dominion, and the report of the Commission had show-n that the confidence had been fully justified, said Mr. Masters. Every opportunity had been given the different parties interested to give evidence, and no representations had been overlooked. The Ottawa Agreement laid down that United Kingdom manufacturers should be given a reasonable opportunity of competing in the New Zealand market, and that had been Now Zealand's policy for a number of years. High tariffs did not make for the efficiency that obtained when local industry had to face outside competition. It could be said that the new tariff had been reasonably well received. New Zealand had always been most generous to the United Kingdom in her tariff policy. In 1933 the Dominion had purchased £10,893,803 worth of goods from the United Kingdom, £5,153,691 worth from British possessions, and £5,457,000 worth from foreign countries. It was doubtful whether Great Britain could supply any moro than a small portion of the goods coming from foreign countries, as they included commodities which the United Kingdom did not manufacture or produce. New Zealand's foreign imports included oil, petrol, dried fruits, wine, and tobacco. It might be possible to divert £2,500,000 worth of trade from foreign countries to the United Kingdom or some other British possession, but the reason why that was not done was mainly Great Britain's own fault, because the preference given on the commodities affected was sufficient to enable Great Britain to captnre the whole of the business. There were only four foreign countries in the world, Germany, France, the United States of America, and Holland, which purchased more in the aggregate (not per capita) from Great Britain than New Zealand, Under the new tariff additional concessions to the United Kingdom had been made, and it was hoped that it would be possible to develop trade further between the Dominion and. the Mother Country.

The debate was adjourned on the motion of the Hon. D. Buddo, and the Council rose until Tuesday.