IMPERIAL PREFERENCE.

New Zealand Herald, Volume LXI, Issue 18896, 19 December 1924, Page 11

IMPERIAL PREFERENCE.

HEW BRITISH POLICY.

STATEMENT IN COMMONS.

AID FOR THE DOMINIONS.

MARKETING OF FOODS.

£1,000,000 YEARLY SUBSIDY

By Telegraph—Press Association—Copyright

(Received 1-.35 a.m.)

T?e .iter. LONDON. Dec. 17. In the House of Commons to-day, during the debate on the Address-in-Beply. Captain \V. Wedgwood Benn, Liberal member f.i* Leith, moved an official Liberal amendment. This expressed regret. that the King's Speech did not mention constructive proposals for dealing with unemployment, but foreshadowed the introduction of tariffs and preference which would raise prices, increase the cost of living, hamper industry, and reduce employment. The Prinio Minister, Mr. Stanley Baldwin. in replying, said the Government attached great importance to the constitution of the Imperial Economic Committee. The specific terms of reference for the committee, upon which the Dominions had been invited to nominate members were: To consider the possibility of improving the methods of preparing for the market and for marketing within the United Kingdom food products from the overseas parts of the Empire, with a view to increasing the consumption of those products in the United Kingdom, in preference to imports form foreign countries, and to promote the interests both of the producers and the consumers.

The Government intended to again submit to the House all the resolutions of the last Imperial Economic Conference which involved reductions in duties. Mr. Baldwin said he adhered to the pledge he had made in his election speech at Gravesend that preference would not be used as tho thin edge of the wedge to tax food. He said he hoped to secure an increase in trade with the Doprinions by. a proposal that the full money equivalent, of the advantages that would have been conferred on the Empire in respect of any duties which were not. retained should be devoted to schemes for developing trade Tvithin the Empire, and firstly schemes for marketing.

Developing Imperial Trade. It was hoped 'to allocate £1,000,000 a year for this purpose, said the Prime Minister. He thought that, with the contemplated. Economic Committee, on which Britilh and Dominions experts would be represented, and with the aforementioned terms of reference, it might be possible to open entirely new and untried ways of developing Imperial trade. He hoped these would be of far greater benefit to the Dominions than the two or three small taxes proposed at the last Econom c Conference.

.Mr. Baldwin said the first things to be remitted to the Economic Committee would be meat and fruit. It was impossible to touch meat and fruit by taxes, but it was hoped to devise a scheme to somewhat alter the course of trade for the benefit of the Empire and the benefit of the people of England without taxing food.

After paying a tribute to Mr. ,T. H. Thomas, who was Secretary for the Colonies in the Labour Government, for his highly valuable efforts toward the maintenance of Empire interests, Mr. Baldwin said a new Safeguarding of Industrie.'; Bill would be introduced next summer, and applied in justifiable cases. He expressed the opinion that any duty levied under this Act should be general and not a discriminating duty. Preference on these duties would be given to the Dominions.

Replying to Mr. Lloyd George. the Prime Minister said such general duty would apply to all countries, even though unfair competition were only encountered from one.

Liberal Amendment Lost. Mr. Lloyd George said lie interpreted Mr. Baldwin's statement regarding the preference resolutions as meaning th.at no duties would be granted to the Dominions or colonies on food, and that any form of preference would refer only to existing duties, and not to the creation of. fresh ones. He roundly condemned the announcement regarding the Safeguarding of Industries Rill as not being \ a straightforward way of introducing a i general tariff and transformation of the i fiscal system. Mr. Lloyd George said it was the most gn: v; proposal he had I ever heard from a British Prime Minis-

Mr. Winston Churchill, Chancellor of j the Exchequer, said the proposed cxpon- j diture on Empire objects instead of food i duties would not be dissimilar from the line=; of the Imperial Conference pro- j posals of J907 for improved conimtinica- > I * tions. marketing and popularising of Em- j pire products. Gnat care would have to | be taken not to do an injustice to j Britain's own agricultural producers. Thp Liberal amendment wa . defeated j by 339 votes to 151. and the Address-in- | Rj'tily was agree-) to.