THE H.B. TRIBUNE SATURDAY, JUNE 20, 1925. BRITISH AND FOREIGN IMPORTS.

Hawke's Bay Tribune, Volume XV, Issue 167, 20 June 1925, Page 4

THE H.B. TRIBUNE SATURDAY, JUNE 20, 1925. BRITISH AND FOREIGN IMPORTS.

A point that was mentioned by the ehairman at the Bank of New Zealand meeting, but which was not among those brought out prominently in our own columns yesterday is worth}’ of some further reference now. This drew attention to the very serious decline in the proportion of our imports that is drawn from the Old Country. Statistical figures quoted by Sir George Elliott running over a period of twenty-five years, show that while the United Kingdom has taken a fairly steady, and always very large, percentage of our exports, there has been a very marked progressive decrease in Great Britain’s share in supplying our imports. Taking first our exports, we find that twenty-five years ago 78.7 per cent of them went io the Homeland, 83.5 per cent in 1910, 84.4 per cent in 1915, and 79.8 per cent last year. It will thus lie seen how big a market wo have always bad during that quartercentury among tho British masses. But when w« com© to examine the returns with' regard to the goods w© have taken from Great Britain w© find that, while in 1900 they formed 61.9 per cent of. our total imports, in 1910 they were 60.1 per cent, in 1915 only 54.6 per cent, and that last year they had fallen to 47.2 per cent. During that interval the percentage of our imports that has come from foreign countries increased from 14 per cent to close on 26 per cent, whil© those derived from other British possessions showed only th© relatively small improvement from 24 per qent to 27 per cent. It will thus b© seen that during the period reviewed th© principle of improving introimperial trade has not received much expression in practice.

Hie situation thus disclosed is all the mor© serious in its aspect because it has arisen from a period during which British exporters hav© been enjoying the advantage of« a very substantial tariff preference. During most of the time, as th© chairman pointed out, foreign goods imported into the Dominion have had to compete with British, and latterly with those from any other part of the Empire, under a handicap of extra ad valorem duties running from 10 to 20 per cent. By way of example, and taking hig figures 'as correct, h© instances that boots and shoes manuSactured within th© Empire pay into our Treasury a duty of 25 per cent, while thos© imported from foreign countries pay no less than 45 per cent. Still, with, all this decided advantage, wp have th© products of foreign labour making most alarming inroads into a market that formerly so strongly favoured those of British workers. It is to be noted, of> course, that the percentage decline in imports became rapid after th© opening of the war, during which it was quite natural that it should continue. But reasons bay© to be found why, instead of recovery being made since the war ended, nearly seven years ago. th© drift downward still goes on. Heavy income taxation consequent on war expenditure has no doubt a good deal to do with the failure of British manufacturers to compete successfully with foreign. And her© it cannot but be observed that somewher© about a sixth of that taxation is required to “serve”- the war debt due by Great Britain to th© United States, whose exports to this country have mor© than quadrupled during the

twenty-five years for which figures have been quoted, mainly during and since the war. Beyond this, of course, Britain has her less formidable French trade competitors who ar© paying nothing on their war-debt t© her and are thus making her taxation all the heavier. But there are other more fundamental factors in the case that demand the closest investigation before a remedy can be found. Meantime, all we can do is for our people, so far as they reasonably can, even at some little sacrifice to their purses, to show some preference for the goods that come from the hands of th© British masses who have for so long been, and still are, our best customers.