Grey River Argus WEDNESDAY, August 15, 1934. MR. JESSEP LOOKS AHEAD.

Grey River Argus, 15 August 1934, Page 4

Grey River Argus WEDNESDAY, August 15, 1934. MR. JESSEP LOOKS AHEAD.

Perhaps the best suggestion yet for a solution of the export problem is that on Saturday put before Poverty Bay sheepfarmers by Mr J. S. Jessep. lie realises that the Empire trade .stunt is becoming played out, regarding Britain’s restriction on our exports as a disaster, which means one of two things, either a new market, or the radical stoppoge of pastoral development. The Australian Premier and Country Party leader in their electioneering speeches this week suggest their political followers are not going to agree to the British restrictions. The British reply is that these arc inevitable, if gradual, and that Australia, if disagreeable, will sell the Old Country decidedly less of goods outside of the quotas as well as within, when she meets Britain on her own level and lessens that large measure of preference British exporter’s now enjoy on the Australian market. The Country Party leader- last night said he is ready to sacrifice Australian industries to British competition in the hope of lessening British restriction. He won’t carry his countrymen along that line very far. The Labour Movement, feared by British industrial capitalists, has in Australia vindicated already the policy of local industrial development 100 well to allow squatters any chance of reversing it. The squatters’ political spokesman, Dr. Earle Page, shows foolishness when he interprets the “buy where we sell” principle to justify resentment at a German or Italian check on wool imports, because the fact is that Australia sells those countries several times as much goods as she buys from them. It is because she does that reciprocate that she may yet sei them less. Ast to our own ease, Mr Jessep points out how Britain has dumped the doctrine that we are part and parcel of the homeland, which a few years ago banished the thought of any of our produce being shut out of England, but inspired the talk of extending Empire trade. New Zealand, he says, went further than any Dominion to foster this idea, and not only increased its preference for British exports, but ignored any -possibility of negotiating trade treaties with ; other countries. The Ottawa Conference, however, says Mr Jessep, left the impression that it was a case of British farmers first and after them the Dominions; but t immediately Britain made a treaty 1 with our principal competitor, Argentina, granting that foreign country practically Dominion status. New Zealand thus must recognise Britain is going to trade with the world, and take from Dominions no more than she wishes, sentiment entering into her trade relations in not the slightest degree. That is only too evident to-day. She has induced our Meat. Board to impose a beef export embargo, -which has failed in its object of conciliating the British interests. The Dominion must therefore find other markets. One such is, of course, within, if only there were in power men who would develop it with encouragement for industry here instead of for industry oversea. Another market is that of the United States, for which Mr Jessep is a strong and reasonable advocate. He says that “it is for New Zealand to do everything possible to arrange reciprocal trade with the United States, even though it may mean giving greater preference to

certain manufactures from America than is at present given to Great Britain. In 1927 and 1928 with a three-cent duty against beef we exported 27G.000 quarters of beef to the United States as against 248,000 quarters to Great Britain. A higher duty was then imposed, and our trade died away. The most important work before the New Zealand Government at the present time, is unquestionably the negotiating of a trade treaty to open up the United States for at least some of New Zealand exports.” Mr Jessep points out that if the North Island cannot sell its beef or pork in America, if will turn to mutton and lamb, thus entailing a radical cut in South Island sheep farming in order' to keep within the British quota. He suggests this Island might be limited to lamb and the North Island be given a monopoly of the mutton export trade. Mr Jessep is well warranted in counting on President Roosevelt for a good re-

sponse to New Zealand overtures for trade reciprocity. The Dominion export trade has come to a parting of the ways. Either we must go back, or go forward by a new road. America lies directly on the new route. There are many possibilities for reciprocity, and none need trench upon Ihe principle of protecting our own secondary industries; nor endanger a reasonable measure of British preference. Somebody has to take the bull by the horns, ignoring sentimentalism where it would block Dominion development, and this is what Mr Jessep appears to have done. His proposition deserves serious and sympathetic consideration.