The Hawera Star. SATURDAY, JANUARY 12, 1929. REASONS FOR GOODWILL.

Hawera Star, Volume XLVIII, 12 January 1929, Page 4

The Hawera Star.

SATURDAY, JANUARY 12, 1929. REASONS FOR GOODWILL.

Delivered every evening by 6 o'clock in Hawera, Manaia, Normanby. Okaiawa, Eltliam, Mangatoki, Kaponga, Alton, Hurleyville, Patea, Waverley, Mokoia, Wliakamara, Ohangai, Meremere, Fraser Road, and Ararata.

1 Some indication of the importance to I the. United States of the countries I which Mr Hoover is visiting on his goodwill tour can be obtained from trade reports 1 of the United States Department. of Commerce. These show that whereas Great Britain led the world in its sales to Latin-Aniericam countries in 1913, with the United States second, the .position was reversed, and the United 1 States sold more, goods to Latin-American countries than Great Britain, Germany and France combined. Specifically, the United States in 3927 supplied Latin America with 37.7 per cent, off all its imported 'godos, while the United Kingdom furnished .16 .per cent. —a, drop off 9 per cent, from 1913. The increase in Latin-Ameriean sales to the United States is even more indicative, of the importance of trade relation's between the two continents of the Western Hemisphere. Between 1913 and 1927 < imports from Latin-America increased 112 per cent., the United States being the market for 34 per cent, off all the

goods Latin-American nations' sold to the entire world. Geography and climate divide Latin-American, trade into two rather distinct areas. The Central American and Caribbean countries proI due's raw materials of a tropical nature I which are sold' to the 1 United States in large 1 quantities. The more southerly and temperate 1 countries of South America export temperate and semitropical products which compete with many of those grown' 'by the farmer of the United States. It is significant that Mr Hoover is visiting these large temperate countries not only because they are the most populous and powerful on the continent, but also because they have raised the chief abjections to the United States’ tariff barriers against South American agricultural exports. This preponderance of trade with the Caribbean countries is due not only to proximity, but to the almost total lack of industrialisation, there, most of the manufactured goods being imported from the United States. The South American countries are beginning to develop their .own' manufacturing industries and therefore are chiefly importers of machinery, and iron and steel products for the establishment of factories. Also they purchase more of their goods from Europe than do the Caribbean countries. The place which Cuba holds in United States .trade is significant. It benefits not only iby proximity, but by a preferential tariff. Although Argentine was slightly ahead of Cuba in its total purchases from the United States in 1927, Cuba sold considerably more to the United States than did any other Laitin-Amieriean state —exports valued at $256,786,000, most of which was sugar. Coffee is the next most valuable commodity. Brazilian sales ‘to the United States chiefly coffee were valued at $203,007,000 in 1927, Mexico, Argentina and Porto Rico followed next in ,tho order off their exports to the United States. The most important markets for the United States were, respectively, Argentina., Cuba, Mexico, Porto Rico and Brazil, and they buy chiefly wheat, flour, foodstuffs, cotton goods, machinery, vehicles, iron ahd steel products, mineral oils and lumber. The United States’ trade with Latin America is not equally balanced, since it buys more from its southern neighbours than it sells to them, with the exception of one or two countries, notably Argentina. Latin-Ameriean sales to the United States totalled $1,116,135,000 in 1927, while American sales to them werev alued at $932,197,000.