TRADE WITH EAST

King Country Chronicle, Volume XXVI, Issue 3400, 30 July 1932, Page 5

TRADE WITH EAST

DOMINION’S OPPORTUNITY. FIELD FOR EXPORTERS. NEED FOR DEVELOPMENT. The absolute necessity of developing New Zealand’s exports overseas —to absorb the whole of the production of this country and to save the Dominion from collapse—is mox*e than evident,” says the New Zealand Trade Expansion League in a statement issued on Monday. Everybody to-day is most emphatic about tremendous possibilities awaiting New Zealand in her nearest markets, the Far East, but only 15 per cent, of our exports go to Asia. The distribution of trade is most appalling. Next to Australia, Asia is our nearest neighbour, and the existing system of overseas trade is certainly most unbusinesslike and most unprofitable under the existing conditions. The more one considers the East as a market, the more one is impressed by its possibilities, and it is most gratifying to note that the Minister of Industries and Commerce, the Hon. R. Masters, fully realises the position, and is one of the few who is trying to build up the future exports of our country by expansions of markets, the statement continues. In many lines of commodities, such as New Zealand is able to export to China and the Far East, total imports in ITong-Kong and China are very substantial. But New share of the trade is practically nil. A shipping* line is established now, to have direct communication with the ports of Hong-Kong* and Shanghai, and the extension of our export trade to the Far East is made quite possible. The commodities that New Zealand could supply, imported into China, are running into the figures of over £4,000,000, but the potential market in fact is much greater than these figures indicate. Australia Awake. Australia is making most successful efforts to conquer Far Eastern markets. Taking the first section of the Far East market which lies nearest to Australian ports, the Dutch East Indies, we find that in 1929 Australian exports to this area were valued at about £3,000,000. Malaya is taking, roughly, about £3,000,000 worth of Australian exports. A growing market for flour, butter, milk, bacon and hams is found in the Philippines. The trade with the Pacific Islands is covering again about £2,000,000 sterling of Australian exports. China has become one of Australia’s best customers for wheat, sandal wood, butter, milk and leather. The peoples of the Orient are rapidly acquiring Western habits and clothing and food, and the Pacific trade of Australia is growing by leaps and bounds. Manufactured articles will find a ready market in China owing to the exchange. New Zealand’s share in the trade with China and the Far East will probably grow surprisingly and rapidly and quicker than that of any other country if New Zealand is trade-wise, and not tariff-foolish.

The fall in the price of wool is serving to expose new strata in demand, says the League. Japan has been a heavier buyer of wool during the last season. Australia commenced shipments of live stock, and, in taking the cattle trade with the East opens very important possibilities for the development of the tropical north. Australia, as well as New Zealand, is also well placed to develop the trade in fresh, canned and dried fruit, for which there is a stated demand in the East. Hong-Kong Exhibition. From the information supplied, the League learns that the British Chamber of Commerce at HongKong is arranging to hold an exhibition of Australian products next November, displaying all types of goods suitable for Eastern markets. It is probable that the Government would be able to arrange for the exhibition to include New Zealand products as well as Australian. It is a golden opportunity for the Dominion. It is safe to say that New Zealand must take advantage of this possibility, considering that the expenses of arranging such a display will be very low. In February, 1932, our exports to foreign countries reached only 30 per cent, of New Zealand’s imports from these countries, and the position is growing more and more alarming, unless New Zealand will pay most serious attention to the development of our export trade to the Far East.