THE QUOTA CHECK-MATE.

Northern Advocate, 15 September 1934, Page 11

THE QUOTA CHECK-MATE.

Sir,— Following the Economic Conference, a dreaded plague swept over the dairy industry. Experts diagnosed the pestilence, and the conclusion arrived at was that a quota—a new disease—had shaken the foundations of stability. Overseas advice was sought. Major i Elliot—an expert of this complaintsent his right-hand man to hurry south and suggest a remedy. On Mr. Baxter’s return to England, he bitterly lamented the fact that he had been compelled to contaminate his principles by being shown around in an American car. Yet. dne is of the opinion that it was the biassed manner in which his counsel was received that created his woe. Nevertheless, consternation grew amidst the inner circles. Cables were sent to and fro; wise men took business holidays to England; Parliament seethed under the many inquiries, and even our local directors were drawn into the bewilderment A feeble feeler was posted with our balance sheets: “ Your dirjectors call your attention to the i quality.. .in the near future cream other than satisfactory may have to be rejected...” Is this the introduction of a quota? To Mr. Forbes’ many inquiries, he has definitely received an answer to the effect that quotas on butter 'are set at one side for two years. Probably one would consider this was achieved by the Dominion’s outcry. Yet, there are wheels within wheels. 1 Mr. Runciman, president of the Board of Trade, is not interested in . the quota schemes. Quotas upset his ; Trade Treaties, for he must secure trade to ease the ever increasing unemployment in the industrial areas of England. One may ridicule the inference that unemployment is increasing, for statistics show a decline. But, i do away with the whitewash brush, and beneath the colouring we see the steady stream of boys, who on finishing their education ’yearly join the mighty throng. Finding that the schemes clash, Major Elliot withdrew from the battle, and the Dominion received a two years’ respite from the 'axe. This two years will be an inde- • finite period, more especially when i Britain’s trade can be further explainj ed by dealing with the European counj tries. We must remember that the | British solvency means the stronghold :of civilisation, and the world’s commerce. Should she lose her hold, | quotas, quality, acid cream, daily cart- ■ age, etc., will be subjects of the past. (Therefore, quotas are out of the question as far as butter is concerned. Our | only hope is to increase our supplies, .to compete with the increase of foreign imports, which will flow on to ,the British markets. This influx must Ibe sold at margarine prices, or many j buyers—this refers to Demos—will revert to the days-gone-by article, lard. Under no circumstances are we going .to win from Denmark her butter trade, for British conservation of principle cannot be shaken by glowing Iposters eulogising New Zealand butter. Gne is apt to consider that publicity has improved the trade, yet one must remember that there are thousands of (exiles in the colonies who boost the products to their relations, and one person may spread the information to 1 many acquaintances. This family ’propaganda has almost reached the ■ limit, and,, how we must cheapen the product to grasp the foreigners’ share. | Instead of adopting this method, we are faced this season with an increased cost of production, for one must realise that the panicky stringent laws j—l mean factory, self-imposed—all add to overhead expenses, and our delusion will be just as bad at the close Cf the season, when we read that Dani ish butter still remains in the fore lin price. Thanking you, sir, for your unbiased generosity in publishing my letters, | I am, I Candidus.