BRITISH TRADE.

Hokitika Guardian, 11 July 1925, Page 3

BRITISH TRADE.

[Australia A N.Z. Cable Association.]

LONDON, July 10

A report on the position of British trade presented to the Council ol the Federation of British industries, look the economic stud 01 Hie Federation I‘-'-months to compile. !i. reaches the conclusion that l lie present trade position of Britain ha.- every appearance of being permanent. Before Hie war il states, tin- prosperity of the British industry depended on a contlUilolisly expanding foreign trade. Tins meant a large scale ol oversea- investment of British capital. .Since the war, high taxation and increased expenditure on social services (which stimulates the home trade, hut checks exports) together with the monetary policy ol rai-ing the value of the pound sterling mid the restriction of overseas investment. have all tended to cheek the

export trade. Indu.-try, says the report, has now lo decide whether the post-war tendencies can he reversed. This means that cuts in the national expenditure to t!" extent of at le;ts| lo lo 20 per rent., and also in Imperial and local luxation are essential and the provision of more money lor foreign investment is another necessity. The country must, decide whether to await a readjustment through sheer pressure o! economic necessity, unemployment and .suffering, or whether to take steps to -timiilute home development. The report says: AYo cannot reasonably hope ihat our export trade will do more than pay for our essential imports.” The report concludes by asking: "(an the export trade be helped to divert pjirtuo ol it-, output to new Ikmiy.' markets, and to adapt portion of its productive capacity to new purposes I Can means be devised to as--ist them lo pass, with a minimum of dislocation, through a difficult trnusii ion | leriml I" I.ONDDN. July SI. A group of members id’ l lie House of Commons who either were born in or were associated with the Dominions, tendered a luncheon to Mr )\ . Churchill 'Chancellor of the Exeehequer) in recognition of (be wa-sage ol hi- tnrill preference measure. Sir Newton Moore, presiding. emphasised that a building up of Empire trade meant mutual -alety. Mr (. hurt-hill, in replying said that it must, have hail a chilling I Feet ii their Parliament Isii It 1 to eiidor-e the unanimous decision ni the Imperial Conference. Il would entitle those in the Dominions to ask why they should altend such a conl'erence. I’ersonally he believed there were great possibilities in a (-on.-rdidaLien ol mnlnnl helpfulness within the Empire. He was (•indolent that, irrespective ol any Protocol. Pact or paper arrangement, the people of the Empire would develop a greater spirit of intei-dependence and co-operation and stand together in time of stress, lie wu- satisfied their ro-operation could he eidi-ted ill a just cause. The gathering decided to Torni lb." nucleus of a group to watch events from the standpoint of Empire dcvoinpmen t.