TRADE AND THE FLAG

Evening Star, Issue 18156, 22 December 1922, Page 7

TRADE AND THE FLAG

THE IMPERIAL BOND. PLEA FOE PREFERENCE Association —By Telegraph—Copyright. LONDON, December 20. ilr I* 0. Amery (First Lord of the Admiralty), in addressing the British Empire Union on trade within the Empire, i eaid that i£ Britain’s horizon were'limited to its own island and to Europe, one would have cause to doubt the future. \V« needed, however, to return to our forefathers’ wisdom, _ and to recall that it was trade, built up in consequence of the founding of the American colonics, that helped England to,withstand Napoleon for twenty years. Similarly now the most hopeful outlook consisted in' the development of the dominions. He said that Air J. B. dynes (Labor leader), recently, in advocating a remission of the German reparations and the recognition of the Soviet n, a remedy for the present trade stagnation, had suggested that trade with tho dominions was not worth consideration, because they contained only 15,000,000 people, compared with 300,000,000 m Europe. The important consideration was Hot & number of people, but_tho quantity of goods bought. In 1913 tie dominions bought goods to the extent of £5 per head, compared with 5s per head bought by tho rest of Europe. Our net exports to Europe in 1915 totalled £52,000,000, to other foreign countries £98,000,000, and to the British Empire £164,000,000. He could not open up all the subjects which would be discussed at the forthcoming Imperial Economic Conference, but he wanted to emphasise the need for Imperial preference, using tho phrase in its widest sense. We have passed the stage when the phrase formed the basis of a keen political issue. A Ministry representing all parties agreed in 1917 to extent preference to 'the limited extent of Britain’s present Customs schedule. Preference within those narrow limits had already had amazing results in the _ supply of Empire-grown cocoa, coffee, dried fruits, jam, and sugar. Mr Bonar Law had undertaken a fiscal policy which would not bo fundmentally changed without a further appeal to tho people; but there were many forms of preference still open to tho Economic Conference for consideration. For inutance, preference' in communications, postal rates, cable rates, cable charges, and air services, which offered valuable assistance to tho development of trade with the dominions—thoir best customers. Personally, he would like to see some sort of preference in stamp or other duties, making it to invest in Empire than in foreign securities. In the passage of the Empire Settlement Act they had not faced the problem from tho viewpoint of solving the immediate unemployment problem', but of tho building up of the future strength of the Empire. He believed there was nothing promising better for the well-being of the British people here and overseas than the operation and extension of that Act. Sir Montague Barlow (Minister of Labor), in proposing a vote of thanks, described Mr Amery as the chief apostle of Empire development. He said that many people had hoped that Mr Amery would lave been called to another high office in the Cabinet instead of to the Admiralty.—A. and N.Z. Cable. UNEMPLOYMENT AND DEPRESSION. HOPE OVERSEAS. LONDON, December 20. At the Colonial Institute luncheon to Sir W. Joynson Hicks (Financial' Secretary to the Department of Overseas Trade, Sir Godfrey Lagden, in testing the guest, said that the Department of Overseas Trade had been conspired against by the Economy Committees, and finally crushed altogether by tho Geddes axe. From that condition it had. been rescued by vigorous protests from the chambers of commerce an Great Britain and overseas. The cuitiTatioa of overseas trade had always been neglected by Great Britain; but they might rejoice to-dy that tho statesmen recognised that Britain had a jnoet precious asset in Empire trade, and tho dominions jtvere ready to give her preference. Sir W. Joynson-Hicks said the Department of Overseas Trade was the, one department which might enable the country to recover from unemployment and had trade. The only possible means of removing unemployment was festering trade_ between Great Britain and the dominions. Most foreign nations either could not or would not trade. If Britain could recover £300,000,000 worth of the export trade lost since 1913-14 she could absorb over 90 per cent, of her unemployed. An examination of the figures relating to the dominions’ trade did not always reveal plearing facts. New Zealand was one of the greatest importers of British goods. Thirty years ago she imported 67 per cent, of British goods, but the percentage steadily declined, until in 1920 it was only 46 per cent. In the first half of 1922 it had risen to 52 per cent. On the contrary, the United States thirteen years ago provided per cent, of New Zealand's imports, and to-day the percentage was 16J per cent. The year 1920 was the most fatal year to the dominions, because Franco and Italy became enormous customers of Britain, which was unable to supply the dominions; consequently the Untied States took advantage of her position. Australia thirty years ago imported 68 per cent, of British goods, and in 1920 only 46 per cent. This year the percentage had' recovered to 50 per cent. On the contrary, 'the American proportion had risen from 6 to 26 per cent, in 1920, and to-day it was 18 per cent. Canada notably was not taking tho same proportion of British goods as the other dominions, owinc doubtless to more intensive competition by the United States. Canada was anxious and willing to trade with Britain, which was allowing herself to be ousted. Canadh was _ taking only 13 dollars’ worth of British imports per head, compared with 59 dollars per head of American goo da Canada and Australia were becoming great industrial countries. Twenty years ago only 198,000 were employed in industries in Australia, and to-day there yero 400,000 employed. Britain must realise that it was no use asking the dominions to do what was opposed to thoir own interests. The greatest possibility of developing overseas trade lay in tho dominions’ lack of population. Britain must relieve her surplus population. She must offer the dominions men, not refuse. It was no use asking the dominions to accept the scum. The dominions would take the best men with enough money to establish themselves. It would be better for Britain if, instead of paying £100,000,000 in unemployment doles, she devoted! £50,000,00 in placing men in a position to become desirable citizens of the dominions. Everyone so placed would be a potential consumer of British exports. Britain would thus create her own markets. The dominions had shown a desire for closer trade relationship. He was convinced that if only the best men were sent them they would realise that true prosperity lay along the lines on which the United States had built up her great wealth. He hoped that the coming Economic Conference would produce good results. The dominions would enter it with the knowledge that they could negotiate on equal terms.—A. and N.Z. OaHe,