The Hawera Star. MONDAY, MARCH 19, 1928. RECIPROCAL TRADE AGREEMENTS.

Hawera Star, Volume XLVII, 19 March 1928, Page 4

The Hawera Star.

MONDAY, MARCH 19, 1928. RECIPROCAL TRADE AGREEMENTS.

Delivered every evening by 6 o’clock in Hawera. Manat'-., Normanby, Okniawa, Eltham, Mangatoki, Kaponga, Alton } Hurleyville Patea, Waverley. Mokoia, Whakamara. Ohangai, Meretnere. Fraser iload. and Ararata.

Mr H. E. Pratten, Federal Minister of Trade and Customs, is now in New Zealand for the. purpose of discussing with the Government the terms of the reciprocal Customs, agreement made between the Commonwealth and the Dominion in 1922. During the last two or three years there have been developments which have threatened the harmony of our trade relations with Australia, and it is in t-hei hope of coming to a better mutual understanding that the Australian Minister is now in New Zealand. Recent developments between the two countries date back to the embargo placed upon the importation of New Zealand potatoes by the Commonwealth. It was claimed at the time that, the reason for the restriction was, the presence of disease in our tubers, but the evidence brought in support of this contention was far from convincing. The original complaint came from Melbourne, but subsequent examinations of thousands of tons of our produce shipped to Sydney failed to reveal any trace- of disease. The embargo came into operation -despite the protests of New Zealand growers, who were naturally chagrined to find’ such an important outlet for their produce cut off. Figures given recently by the Minister of Industries and Commerce showed how seriously the growers in the Dominion were affected by the restrictions; in 1926 we shipped to Australia 20,058 tons of potatoes, valued at £152,072; last year, under the embargo, our shipments fell to 172 tons, valued at £2093. Strong suspicions have’been engendered that the embargo was placed upon our produce, not so much to protect Australian tubers from the disease (which was not found to exist) so much as to place the Australian markets unreservedly in the hands of the Australian growers. If such a policy of exclusion were- contemplated it was not, to say the least of it, a very friendly act, and those who contend that nothing less was the intention of the Australians have not. hesitated to say as much and more. The suspicion that the embargo was introduced as only •the means to a certain end has been strengthened by the movement to form a. potato, pool .for the purpose, as stated by a Melbourne paper, of “debarring competition from New Zealand. ’ ’ Since that time the trade relations between the two countries have not been so harmonious as could be desired. The Dominion, in adjusting the basis for the duty on wheat, and flour imported from overseas, did not go beyond the limits of the Customs agreement, otherwise the Federal authorities would have been able to demand six months’ notice of the amendment, but the action of the Australian Government in increasing the duty on our dairy produce necessitated notice being given, and the new duties will not operate, as far as New Zealand butter and cheese are concerned, for some months to come. These are tlie aspects of our trade which should have attention, and the Dominion will hope that, as a result of the conference, the barriers erected to keep our primary products out of Australian markets will be removed. The two Ministers have been in control of their important departments for some years. Both of them can claim to have introduced two major tariff schedules, and the information thus - obtained should havc'given them a good grasp of the industrial and commercial aims and needs of their respective countries. Industrial development must mean constant change, and what may have met the- requirements of 1922 may be inadequate in .1928. Mr Pratten ’& visit affords opportunity for careful study of the effects of the existing agreement, and for such amendments as may be hold to be of mutual benefit.