ECONOMIC UNIT

Northern Advocate, 1 February 1930, Page 9

ECONOMIC UNIT

EMPIRE DEVELOPMENT FREE TRADE DEBATE, WHOLE POSITION VENTILATED. (British Official Wireless.) (Received 9 a.m.) RUGBY, January 3(1, A debate on Empire free trade took place today in the House of Commons. It was initiated by Air J. R. Renter, Conservative member for Macclesfield, who moved: "That in the opinion of this House it is desirable that the Empire be developed as a single economic unit, with internal free trade as tliY* ideal, and that the Government be urged. to open negotiations with the other Governments of the Empire with a view to the formulation of a policy designed to secure that the purchasing power of the Empire -shaft Be directed primarily to the full employment of the inhabitants of the Empire.”

Mr Ecmer said he was not in the least afraid of the cry: "Your food will cost you more.” If it proved to be true, which he did axot believe, they would be giving a good deal of permanent employment, to their people, instead of doles and unemployment. ~ WHOSE POLICY?

Mr Lloyd George said he agreed that it was desirable to get all that was possible of the trade of the Dominions and colonies, but the real test was, what were they going to give in return? He moved a Liberal amendment, to add at the end of the motion the words: “Provided that any such proposals shall not include additional taxation upon foodstuffs or raw .materials imported into the United Kingdom.” ■Mr Lloyd George asked what the policy was which they were invited to fight for. Was it Lord Beaverbrook’s or that of the other Conservative Party leader, Lord Eothermere? Was it manufactured goods, of which they got none from the Dominions, or an amount so insignificant as to ibe of no use?

The real test was, what advantage was it going to give to the rest of the Empire in return? Not a word had been said as to that. Was it a promise that if the Dominions dropped their tariffs, Britain would tax foreign food and raw materials

He was all for making the Empire an economic unit. Was Britain going to ask the Dominions to push out the goods that 'competed with theirs? Britain had already conceded free trade to. .the Dominions and Colonies. Food and raw materials entered Britain free. It would be Empire Free Trade if they gave Britain the same access for her commodities.

Lord Beaverbrook had a new policy for every moon, and sent it immediately to the “Morning Post”—a sort of “trying it on the dog.” If it survived, then the “Daily Express” had to swallow it. There would have to be great efforts before some members, swallowed it. They would have to be forcibly fed. Difficulties had arisen, and the Dominions’ key industries had to be ex-, empled,. so what remained? Not iron, steel, machinery and textiles, buiP a few unimportant odds and ends. The scheme had criss-crossed until the pattern had disappeared. The worst of a scheme like this, with catchwords seeking to attract both the free trader and the protectionist, was that it would result in a huge controversy, diverting people’s minds from an examination of the real difficulties. The way out was the reorganisation of the country, sticking to realities, ami dropping phantasies.

GOVERNMENT AVERSE. The Chancellor of the Exchequer, Mr Philip Snowden, said the speeches cf the two members who introduced the motion had made it perfectly clear that the motion meant the taxation of food and raw materials, and also of ■manufactured articles from foreign countries, which would? necessarily raise prices. He need hardly say the Government could give no support to a proposal of that kind.

The Government was asked to open negotiations --with the other Governments of the Empire for the formulation of a policy designed to secure that the purchasing power of the Empire should be directed primarily to the full employment of the inhabitants of the Empire. If that stood alone, apart from what went before, then the Government would have no objection to it, because it was anxious to do all that it could to promote Imperial trade. The Labour Party had supported every measure which in its opinion was likely to keep together the bond uniting the .Mother Country and the overseas Dominions,

“That we shall continue to do,” con-tinued-Mr Snowden, “But wo shall give no support to a policy such as is hidden in the terms of the inoTfSn. “A vote for the motion .would be a vote for a tax on the people’s food, and for proposals which would increase the costs of production in every manufacturing Industry in this country, and would reduce the ‘standard of living of the workers of this country,” The debate was adjourned.

“NOT ON YOUR LIFE.” LABOUR PARTY PLEDGED, (Received 10.5 a.m.) CANBERRA, This Day. The Federal Prime Minister, Mr J. IT. Senllin, when asked whether the Federal Government was in sympathy

with Lord Beaverbrook’s free trade plans, replied: “Not on your life. My Government is pledged to ibuild up secondary industries .in the "Commonwealth.”