The Guardian And Evening Star, with which is incorporated the West Coast Times. MONDAY, MAY 22, 1933. A TRADE POLICY.

Hokitika Guardian, 22 May 1933, Page 4

The Guardian And Evening Star, with which is incorporated the West Coast Times. MONDAY, MAY 22, 1933. A TRADE POLICY.

Cheat Britain is following up the Ottawa agreements with the Dominions, with trade agreements with adjacent European nations which are prepared to give a quid pro quo for British trade. 'There are different schools of thought- at Home. about this . policy, and the • Government was criticised strongly, but without effect, 1 fis further trade negotiations are going form’d. Briefly/ the Government in its policy places the Home producer first, Empire products second, and the foreigner’ third. Bait when negotiations are opened in the third class, it seems certain that in the course of the bargaining the overseas Empire producer will suffer. Foreign pacts do not read as coriiplementary to Ottawa, as instead of creating and fostering trade

within the Empire,the agreements ate' gditig*' t6' diyfert ’trade outside the Empire." Great Britain naturally looks to Horn© benefits as- the most -essential, and in particular it i_s desired ..to maintain the ccal ‘ industry. - The Dominions cannot help in that repetit• being-'- too “UffeTd• anti - iso • Ministers turii-to adjacent with which they can. bargain to .meet the end In view. •To achieve success in that respect the tariff comes into the picture, and as a result protection as a nolicv becomes more established—and the old order changes. Britain, of course, faces a- graver problem than the Dominion. There is a vast peculation, with an army of unemployed. The producer at Home feels the pinch of prices and restricted markets. Britain requires a vast, trade to keep the wheels of industry in motion, «.nd with lean times at Home, the Dominion markets declining, it became a matter of seeking foreign trade. As showing how the new situation reflects on the Dominions, wo have to look only to the agreements with Denmark- and 'Argentine. In the ease of the former there is ia guaranteed market for dairy produce without undue restriction. ‘And with the latter country the meat ' trade receives definite preference. In both instances New Zealand trade will be affected. Dairy produce and meat supply rare two staple lines of export, but with the opponents definitely competing on the Home market, there must be less export in the commodities affected from this country. The British policy is for quotas, but these cannot be enforced- Hinder the Ottawa agreements. Still, the British Government is seek vclunt ry assent, and that might be given to avoid any future penalties. Britain is a large investor in the Argentine, but not to the extent of Ba’itish money in the overseas Dominions. Yet, care is taken as far as. possible of the British investor in the foreign country, ard it i-s that attitude which r.o doubt bad led to favourable arrangements being made vi-itb Argentine. Just what effect the tV-orl-d 'Conference shortly to be held London, will have on world trade I'emains to be seen. It m-py be that tariffs will have to go, jmd that the agreements of -which so much is heard may be of short dumtidn. Britain will have to explain the tre”d of b°” policy, and may have to agree with limitations in the common act to endeavour to bring about woihl ioooverv. T'E-re are greet pos e il>ilitie c ’ ahead, and the outcome should be of the greatest interest.