EXCHANGE RISE OPPOSED

Hawera Star, Volume LII, 18 November 1932, Page 9

EXCHANGE RISE OPPOSED

Protest By N.Z. Importers ILLUSORY BENEFIT ONLV Far Outweighed By Evils EXPORT BONUS PREFERRED I AID TO PRIMARY INDUSTRY. (By Telegraph—Press Association.) WELLINGTON, Nov. 18. A special meeting of the New Zealand Importers’ Federation to-day adopted a resolution of protest against the attempt of certain sections- of Parliament to force the banks to increase the rate of exchange. It is considered that any increase would be unwarranted and unjustified, and the federation insists that if an increase eventuates it would be a flagrant breach on New Zealand’s part- of the spirit, if not the letter, of the Ottawa, agreements and would adversely affect New Zealand’s credit and the—sale of primary products' in Britain. It is contended that the existing financial difficulties of the Government must also be materially accentuated. The federation urges on the Government that the evils of an unwarranted exchange inflation would far outweigh the illusory benefits and suggests- that an export bonus is tlie best way to assist primary producers.

STATE BHOULD NOT INTERFERE

CHAMBER OF COMMERCE VIEW

AUCKLAND, Nov. 18. The Chamber of Commerce has telegraphed to the Prime Minister strong-i ly urging non-interference by the Government" in the exchange situation. The arbitrary fixing of a high rate, it is declared, would probably force the Government to levy an export tax as the only means of balancing the budget; Further, it would be equivalent to an additional tariff and contrary to tlio spirit of tlio Ottawa agreements’.