AUSTRALIAN TRADE.

Manawatu Standard, Volume LV, Issue 226, 22 August 1935, Page 4

AUSTRALIAN TRADE.

ADDRESS TO BUSINESSMEN,

Mr Jl. H. Nesbitt, Australian Trade Commissioner, accompanied by Mr J. Payne, assistant Commissioner, was tbe guest of the Chamber of Commerce yesterday at luncheon. Mr J. 0. Eliott (the president) was in the chair, supported by members of the executive.

Addressing the gathering, Mr Nesbitt expressed pleasure at the opportunity of meeting the businessmen in order that the goodwill which already existed between the sporting bodies of New Zealand and Australia might permeate the commercial and political interests. It was necessary to remove misunderstandings sometimes caused by misleading statements. It was recently, stated that Australia was not fulfilling the spirit of the Ottawa agreement. This statement was not accurate. Before the Ottawa Conference Australia had an exchange rate of 30 per cent, against the outside world, including Britain. As a gesture, the Commonwealth Government had reduced this to 25 per cent. Further, Mr Nesbitt explained that at Ottawa the Australian delegation had given an undertaking that further reductions in tariff rates on Empire goods would be considered in the constitutional way, and that where local industries could not show reasonable prospects of becoming properly established and economically sound, such industries would not be protected by tariffs. The Commonwealth Government had made further reductions on the tariff rates on Empire goods, and at present the average tariff on 6uch goods imported was 15 per cent, and the average on goods from foreign Countries was 35 per cent., thus showing the determination of the Commonwealth Government to stick to the spirit of Ottawa.

The Commissioner spoke at length on the question of potatoes and oranges. Regarding the importation of New Zealand potatoes into Australia, he said, Tasmania and Victoria were the principal potato producing States in the Commonwealth, and with the supplies grown in the other States Australia was able to produce its total requirements of 400,000 tons annually. There was a period each year when Sydney and Brisbane had a shortage, and during that period prices were high in those cities. The New Zealand growers wished to invade that market, but the Australian grower naturally protested that as he had to carry the market over the period when prices were low he should have the benefit when peak prices were ruling. Then the qunestion of the disease in potatoes affected the position. Tho Commonwealth Government had agreed to permit the importation of a certain proportion of New Zealand potatoes into the Commonwealth, and had agreed to make a reduction of the tariff for that purpose. Regarding oranges, Mr Nesbitt stated the New Zealand authorities permitted the importation of oranges from South Australia only, the New South "Wales fruit being prohibited owing to the presence of fruit fly in the orchards. It was said the prices for these oranges was high as compared with the retail prices of oranges in Sydney, but it had to be remembered that those cheep oranges in Sydney, while being quite good tor quick sale ■would not pack well or keep in storage. It would certainly be better for New Zealand if there was some competition in the orange trade. Speaking generally, Mr Nesbitt mentioned that he had received the greatest kindness and courtesy everywhere in New Zealand, and he hoped the spirit of friendship between the two countries would continue to develop. On the motion of Mr A. J. Humphreys. Mr Nesbitt received the cordial thanks of the chamber for his address.