RELATIONS WITH DOMINION

Hawera Star, Volume LIV, 23 August 1935, Page 8

RELATIONS WITH DOMINION

Australia and New Zealand Have Much in Common

CLOSER CONTACT URGED TRADE COMMISSIONER’S VIEWS A strong appeal for better understanding between Australia and New Zealand in the cultivation of their many joint interests was made by Mr R. H. Nesbit, -resident Australian Trade Commissioner, in* an interview with a “Hawera. Star” reporter this morning. Misconceptions, he said, arose all too quickly and there was even a. suspicion in New Zealand that Australia, was endeavouring to “put one across” to its detriment. New Zealand and Australia were both expanding countries, but they should try to achieve this end with a minimum of injury, one to another. Much was heard of an adverse trade balance. Actually, New Zealand sold to Australia about £1,600,000 worth of goods annually and bought £3,400,000 worth, which represented a ratio of about two to one—a big improvement over 1929, when the ratio 1 was three and a-lialf to one. Fully 05 per cent, of New Zealand s produce came from the laud, much in line with the products won from Australia’s own teeming fields. In spite of this the Dominion sold to the Commonwealth certain wools and a large quantity of hides and sales of fish, timber and flax had gone up by a wide margin. There were other possibilities for New Zealand to increase her trade to Australia and the latter would always strive to maintain good relations in every sphere; Last year, the council of apple exporters had agreed to eliminate a number of varieties from the list of those that could be exported, thereby falling into line with New Zealand’s own list. Other harmonies as to marketing in England were being discovered, and by fruitful discussions much could be achieved that would remove the heat engendered in the past. “CONTACTING” BUSINESSMEN.

This was his first visit to Taranaki in pursuance -of a campaign of “contacting” the commercial community and seeing something of New Zealand’s scenic attractions, said Mr Nesbit. In the last few years the Australian Government had adopted the policy long pursued by New r Zealand of sending a- resident trade commissioner to the.sister Dominion. So important was this that the Commonwealth was now maintainng two experts in New Zealand and he paid ai graceful tribute to the work of his assistant, Mr J. Payne, who is accompanying him. During the morning over 1000 primary, Convent and secondary school children were entertained at the Grand Theatre where a programme of moving pictures of Australia was presented with a running commentary by Mr Nesbit who spoke from his seat in the auditorium through a microphone, liis voice being amplified from the stage by an electrical process. At mid-day Mr Nesbit and Mr Payne were the guests of the Hawera Rotary Club at luncheon.

Speaking on the relationships of the 1 two countries Mr Nesbit saicl Australia. was anxious to maintain in commerce the goodwill engendered by the . recent visits of representative sports ■ teams. Australia had a marvellous existence and in the last five years had emerged from the depression, with its attendant phenomenal unemployment figures, to. a state of comparative financial buoyancy. The best brains of the country, and many of its finest leaders in economics were New Zealanders, had been “co-opted” to overcome an annual Commonwealth deficit of £20,000,000. What amounted to a “five-year plan” had. been drafted, and in three and a-half years the States of Victoria and South Australia were bringing in credit balances for the first time, Almost the impossible had been achieved by reducing expenses which, enough, had been offset by reductions in taxation. Private employers had been encouraged to eni gage labour, thus reducing unemployment by a large percentage. Many people were led to believe that Australia did not give preference to England, and Mr Nesbit went on to show that the tariff on British imports was 10 to 15 per cent, and on foreign goods 25 to 40 per cent. VAST STEEL INDUSTRY. In manufactures Australia was forging ahead and producing goods equal to the world’s best. In this respect, hosiery was an important development and new machinery had placed' manufacturers in an enviable position in- competition with other countries. There was a vast steel industry established, by the Broken Hill proprietary at Newcastle. In- this no less a sum than £9,000,000 was invested. Broken Hill virtually was the parent of many subsidiary industries, -Over 1,000,000 tons of coal were used annually for heat and* electric power and 13,000 workers were employed. The industry was important from another angle in- that it was the only steel works in the Southern Hemisphere capable of providing the means of defence in war. There had been in New Zealand a recent complaint as to farmers’ inability to get English wire. The last returns showed, however, that England sent 121,000 cwt. of farming wire, and

Australia 28,000 cwt., to New Zealand, iThat was all right, but America had exported more wire to New Zealand than Australia, who claimed a right to attempt to capture part of the Dominion market, not from Britain, but from America. Britain found in- Australia her second best customer, but so did New Zealand. There was no endeavour by Austi-alia -to upset New Zealand’s relations with England. It was realised that New Zealand, like Australia herself, must buy freely from England to preserve her own market there. Australia had been as loyal to Ottawa as any parts of the Empire, claimed Mr Nesbit. She had reduced her exchange and given Britain greater preference. Mr Nesbit said lie was chiefly interested in matters affecting customs tariffs, quarantines and embargoes, and

making the path easier for relationships between the two countries. He expected that one of the Ministers of the Australian Cabinet would visit New Zealand before the end of the year to discuss the renewal of the Australian trade agreement, which would expire next year.