NEW ZEALAND AND AUSTRALIA

Greymouth Evening Star, 16 April 1937, Page 12

NEW ZEALAND AND AUSTRALIA

MORE RECIPROCITY URGED [PER PRESS ASSOCIATION.] WELLINGTON, April 15. That New Zealanders and Australians were one people and there was need for more reciprocity between the two countries was the opinion expressed by the Minister for Labour in the Victorian Government (Mr. p. J. Mackrell) when responding to the toast of his health at a dinner tendered to him at Parliament House last night by the Acting-Prime Minister (Hon P. Fra?ser). Proposing the toast of the guest of honour, Mr. Fraser said that Mr. Mackrell was the fifth member of the Victorian Cabinet to visit New Zealand within the last 15 months. “We take this as a compliment to New Zealand,” said Mr. Fraser, “and we, in our turn, no doubt will be sending some of our members across the Tasman to study conditions in Australia. We can learn from each other.” Members of the New Zealand Cabinet, he continued, hoped before long, to have an opportunity of discussing trade matters with representatives of the State Governments in Australia. There were such things as New Zealand potatoes and Australian fruit still to be adjusted. The .position was so paradoxical and so stupid as to be a reflection upon the common sense of the statesmen of the two countries. The people of the Dominion would be only too glad to meet the people of Australia halfway in adjusting such anomalies. Mr. Mackrell said that his primary reason for visiting the Dominion had been to investigate New Zealand’s placement scheme for unemployed citizens. He had investigated it thoroughly, and was so satisfied that he intended on his return to recommend its adoption by the Victorian Cabinet. New Zealand had succeeded in establishing a clearing house between the employer and the employee and was exploiting the only market, the private employer.

The people of Australia, he continued, would watch with close interest the working of New Zealand’s banking policy. Australia had been enabled to emerge more quickly from the effects of the economic depression, through the greater elasticity of the Commonwealth Bank, which had advanced £84.000,000 to assist manufacturers and producers during the years of depression. He was in agreement with the New Zealand Government’s policy in giving bounties on agricultural produce. This was no new thing, as it had been in operation in one form or another in Australia for many years. Australia had assisted manufacturers too much perhaps in (he past, and if one section of the community was to be helped, the other also would have to be helped. There must be a balanced community.

Mr. Mackrell said that he had been greatly struck by the wealth of the dairying industry in the Waikato district, and had been astounded to learn that a factory he visited paid £500,000 a year for butter-fat. These were staggering . There was little difference in taxation between Australia and New Zealand, comparing the] sizes of the countries. | “You export the same class of produce as we do. you sell in the same

market and you borrow from the same source.” He joined with the ActingPrime Minister of New Zealand in appealing for more reciprocity in trade between the Dominion and the Commonwealth. In Australia the cities were too large and they had developed their manufactures beyond what was economically sound. “If we have done wrong,” he proceeded, "do not let that impede your desire to increase trade between the two countries. Your prices are a little dearer than in Aus-' tralia, and I would advise you to i manufacture from’ your own raw' materials.” I New Zealand, he continued, was fortunate in having abundant water power to produce electricity, which would give cheaper costs of production. Travel should be developed between the people of the two countries and, if} necessary, subsidised. The average! man in New Zealand, he considered, [ was better off in New Zealand than i in Australia.