Home Manufacturers Resent Decrees

Northern Advocate, 16 December 1938, Page 5

Home Manufacturers Resent Decrees

Import Restrictions Deemed Breach of Ottawa Pact

{Received 2 p.m.)

LONDON, December 15. “TF NEW ZEALAND CARRIES OUT ITS IMPORT RESTRICTIONS ON JANUARY ,1, WE WILL GO BA LB-HEADED FOR DENOUNCEMENT OF THE OTTAWA AGREEMENT. I THINK THAT WILL MAKE IT VERY DIFFICULT FOR THE GOVERNMENT TO REFUSE.” ' So declared Mr Moir Mackenzie, director of the British Industries Federation, commenting on ,a letter from the Federation’s president, Mr Peter Bennett, • to - the Board of Trade, in which. grave apprehension is expressed regarding the results of the policy on British and New Zealand trade'. v WILL PRESS FOR ABROGATION. The letter declared that if these fears are substantiated the position will be a breach of the Ottawa Pact, on which the Federation would have no option but to press Britain to abrogate Ottawa, and substitute by negotiation an agreement in which the advantages of New Zealand in the British market would be more com mcnsurate with the treatment accorded the United Kingdom exports. While objection to reasonable development of secondary industries cannot be raised,” the letter continues, “it should occur in consonance with Ottawa claims. Recent' instances, particularly where Government sponsored projects are concerned, show that the only policy is preference for local industry to the exclusion of United Kingdom manufactures.” It urges that the United Kingdom producer is not given an opportunity fbr reasonable competition as provided under Ottawa and adds: “New Zealand has apparently ample funds to meet her commitments and pay for the existing volume of exports from the United Kingdom.” EXPERIMENT MUST NOT BE AT BRITAIN’S EXPENSE. The letter appreciates Mr Savage’s desire to buy as much as possible from Britain/ but it is unable to dis guise that the secondary industries established and projected may damage trade previously carried on.

Mr Mackenzie adds that exports to NCw Zealand are bound to dwindle. “We are expected to continue buying 85 per cent, of New Zealand’s produce. There can be Socialist experi ments, but not at the expense of Britain,” he declared.