EXCESSIVE IMPORTS.

New Zealand Herald, Volume LXIII, Issue 19511, 15 December 1926, Page 14

EXCESSIVE IMPORTS.

HUGE GROWTH IN FIVE YEARS DEPRECIATION OF . EXPORTS. ADVERSE BALANCE SHOWN. [BY TELEGRAPH. —OWN CORRESPONDENT. ] WELLINGTON. Tuesday. A review of New Zealand's; overseas trade during the last five year:;, based upon the periods of September 30, emphasises the serious disproportion of imports in view of the decline in export values. September 30 may be taken as the close of the exporting season since, except a small quantity of butter and cheese, there is very little of the new season's primary products available for export before October. The Wellington Chamber of Commerce accepts September 30 as the close of the statistical year. The imports into and exports :from the Dominion for each of the past five years ended Septembe? 30 have been valued as follow: — 1 Year to Excess of Slept. 30. Imports. Exports. lisports. 1922 .. '£32,641,477 £43,530,566 ',£10,859,059 1923 .. £41,202,186 £-45,171,560 £8,979,374 1924 £48,034,454 £49,433,267 £1,393,813 1925 £50,624,654 £55,746,757 £5,122,103 1926 .. £51.625,968 £48,417,938 £3,208,030* "Excess of imports. Following the slump of 1920-21, there was a rapid curtailment of imports while the exports remained fairly steadj r so that' the balance of trade in favour of the Dominion in 1921-22 was nearly £11,000,000. In the following year the imports expanded by over £8,000,000 and they have continued to increase, reaching in the last year the huge total of £51,6515,968 or nearly £19,000,000 more than in the 192122 period. Exports have also expanded each year, reaching the highest figure in 1924-25, the gain shown in that year over 1923-24 having been £6,313,490, due principally to the boom prices for wool. The reversion to the gold standard in 1925 imposed a check on advancing commodity prices and also caused a readjustment of values on a gold basis. The gain in aborts in 1924-25 was more than lost in this 1925-26 period for there was a decline of £7,328,819. The trade balance in 1925-26 is adverse for there is an excess of imports to tho extent of £3,208,030. A readjustment, that is, a contraction of the imports, must follow as it did after the slump of 1920-21.