ADVERSE EXCHANGES

Hawke's Bay Tribune, Volume XXIII, Issue 103, 12 April 1933, Page 5

ADVERSE EXCHANGES

INQUIRIES IN THE COMMONS. BREACH OF OTTAWA? By Telegraph—Press Assn.—Copyright. (Received 12, 11.55 a.m.) LONDON, April 11. In the House of Commons Mr. G. Lambert and Mr. N. K. Lindsay inquired what action was being taken in relation to adverse New Zealand and Australian exchanges, the former remarking that they were unfair in competition with Home producers. The Rt. Hon. J. H. Thomas said that the subject was one on which it was impossible to make representations. Mr. Lambert: Is not New Zealand’s deliberate depreciation of currency a breach of the Ottawa understanding that agricultural producers would get a fair share of the Home market? Mr. Thomas: I do not think it was deliberate. Mr. Percy Harris: Are you aware that the depreciation decision was taken against the advice of the British Government? Its effect wiped out the advantage of preference to British goods. Mr. Thomas: New Zealand is a Dominion and it is not for me to question the means whereby the decision was arrived at. COMMENT BY MR COATES. By Telegraph—Press Association. WELLINGTON, April 12. Commenting on the London cable regarding high exchange, the Rt. Hon. J. G. Coates said that the statements were so inaccurate that it was difficult to believe they were made as reported and he was perfectly certain that they were not made by anybody conversant with the facts. The British Government did not give any advice as to the rate of exchange, nor had the matter at any time been subject to representations by them. The course adopted was taken on the responsibility of the New Zealand Government, which had full regard to all the circumstances and particularly to the necessity, as a matter of national policy, of assisting the Dominion’s most essential industries.