BRITAIN’S TRADE

Greymouth Evening Star, 21 January 1939, Page 7

BRITAIN’S TRADE

ENCOURAGING OUTLOOK

SUBSIDISED COMPETITION [bbitish official wireless.] RUGBY, January 19. Mr R. S. Hudson, Parliamentary Secretary to the Department of Overseas Trade, surveying the trade prospects, said that unless war supervened the trade cycle now seemed to be definitely on the upgrade. The only thing that really impeded recovery was the continued international uncertainty. The fall in prices seemed to have ceased and many of Great Britain’s chief customers were beginning to get better value for their product?. Another hopeful sign was the high level of the retail trade last year. This increased by 7 per cent, in 1937, when compared With 1936, and 7 per cent, in 1936,.when compared with 1935. In 1938, it continued to rise, though only slightly. The wages level was maintained and the cost of living, after a rise, started to fall again. The improvement in the United States, on which the people in Great Britain were very-dependent; also .seemed to be real., ’ ,■?

ORGANISATION ESSENTIAL.

[BRITISH OFFICIAL WIRELESS.]

RUGBY, January 20.

Mr. Hudson, in his speech, repeated the conviction that the only way of meeting competition of the kind British industry was now encountering, was co-operation within the industry itself, so that British traders could speak with one voice. “It is no use blinking the fact that some of our foreign competitors have their hands immensely strengthened by the intervention of then* Governments in economic and industrial matters. Whether that intervention is theoretically desirable, or in the long run economically sound, the fact remains that in Totalitarian countries, industries are organised to speak and act not only individually, but nationally. Against competition of this kind, the individual trader of this country is powerless. “Within the last few weeks, we have made considerable progress in. getting various important industries to organise in a united way. When, in the next few days or weeks, we come to negotiate with the countries concerned, we shall be in a much stronger position than we were before we were able to get our industries to speak with one voice. Where our industries have been organised for export, encouraging progress has been made, and I hope it will prove possible to arrive at an agreement with our competitors to avoid uneconomic forms of competition. Once our industries are organised, they can be assured of the fullest help from the Government, I think if we succeed in avoiding war for the next 18 months, we have no reason for undue pessimism in regard to our trade. I am not concealing from you the magnitude of the difficulties of the situation, and of the new economic problems continually arising, but no doubt our competitors are experiencing similar problems. What we have to do is to show our traditional initiative and enterprise in devising new methods to increase our export trade in the new conditions of international competition.”

FEDERATION’S REQUEST

LONDON, January 20.

The Federation of British Industries has sent a memorandum to the Board of Trade urging stronger Government action against subsidised competition from other countries, especially Germany. It states that the Board’s suggestion for an .industrial agreement between the competing countries would never achieve the object desired unless the Governmen. possessed powers enabling it to penalise any country refusing to make a reasonable arrangement with British exporters. The memorandum adds that the abnormal methods of competition on the part of foreigners, especially Germany, may well compel Britain to adopt wide and unprecedented defence measures.