TRADE WITH AMERICA.

New Zealand Herald, Volume LX, Issue 18553, 10 November 1923, Page 10

TRADE WITH AMERICA.

pects of developing trade with the United States was given by the American Consul on his return to Wellington yesterday. During his visit, Mr. MacVitty has evidently devoted a great deal of time and effort to the fostering of commercial relations between the States and the Dominion, and it may be presumed that there are substantial reasons for the confidence with which he forecasts a rapid expansion in the already large volume of trade. The great bulk of New Zealand's trade is, of course, with the United Kingdom, which received last year 84 per cent, of our exports, and supplied over 50 per cent, of our imports. But next to Britain, the United States is the most important market for New Zealand produce and the largest source of its importations, and its importance has steadily increased during recent years. This is evident from the following summary of the returns for the first nine months of this year: — Exports. Imports. £ £ United Kingdom... 30,525 227 16,145,346 Other British ... 3,165;211 6,709,076 United States ... , 3,077,911 5,281,974 Other Foreign ... 822,757 3,345,399 Exports are classified according to destinations of original consignment, and the final distribution, as Mr. MacVitty observes, is modified substantially by sales to America and European countries. It is, however, striking that of the trade outside Britain, the United States absorbs more than half the exports and supplies more than half the imports. Ten. years ago, less than 4 per cent, of the Dominion's total exports were to America; this year the proportion has been over 8 per cent., while imports have increased from 9to 13 per cent. A further striking feature is that trade with America approaches more nearly to a balance than with any other country, except Australia. Successful efforts to create a demand for New Zealand produce would, by reducing the adverse balance, be directly advantageous and indirectly beneficial to the Empire, since the present excess of imports, which has to be financed j through London, is a factor in the depreciation of sterling exchange. -!