IMPERIAL TRADE.

Manawatu Times, Volume LXII, Issue 1710, 13 December 1920, Page 5

IMPERIAL TRADE.

OUTLOOK NONE TOO BRIGHT. [By Electric Cablo —Copyright.] [Aust. and N.Z. Cable Association.] (Received Sunday, 5.5 p.m.) LONDON, December 10. Mr Kellawfc'.y, in the course of an interview with the Australian Press Association, said that Imperial Trade was none too bright, notably with India and Australia. The former was suffering from the reduced exportation of one hundred million pounds weight of tea to Russia yearly. There was a good demand for British goods in Canada and New Zealand. Both these countries were able to buy and both were able to pay, but both were holding back in anticipation of prices breaking. Australia was suffering a financial reaction, but he was confident that when the wheels of commerce were running smoothly, Britain would recover most, if not all, of her lost trade; also her undisputed supremacy as to the source of supply. Australia had been importing goods much exceeding the value of her exports to Britain, consequently there was a pronounced shortage of liquid funds in the Australian banks in London. Mr Kellaway concluded: "From statements made by the Commonwealth Treasury oflicials, it appears that the position created by the above-men-tioned economic factors, are only a temporary position, and 1t will right itself when the present wool clip, and coming harvest, is realised. The present shortage of credit, with the consequent heavy restriction on export business, is likely to endure until March, unless the Commonwealth takes action in the meantime."