MODIFIED PROTECTION.

New Zealand Herald, Volume LXVIII, Issue 20929, 20 July 1931, Page 13

MODIFIED PROTECTION.

Sir, —With the high moral courage, penetrating and farseeing vision, and devastating (to his opponents) candour characteristic of him, Mr. E. Earle Vaile has placed his finger with merciless precision upon the one weak feature in Mr. William Goodfellow's otherwise excellent address. Mr. Vaile is only one of many who regret that Mr. Goodfellow should have allowed himself to be misled in regard to " modified " or any other degree of protection. The latter's citation of the motor industry of Great Britain as an examplo of the alleged benefits of protection was due to an unfortunate, though widespread, misapprehension of the facts. I saw some figures lately showing that the industry had done better in a year it was not protected than when " safeguarded," the percentage rate of increase of exports being greater than when protected. It is common knowledge that, for technical reasons, the British riiotor industry was bound to forge steadily ahead. The chairman of the Ford Motor Company of Great Britain expresses complete indifference as to whether there is protection or not. The managing director of Singer and Company, Ltd. has the following forthright pronouncement: " Even if the McKenna duties are removed at a later date, I do not think that we shall be seriously affected. Our house is in order, and we shall meet foreign competition, not sit down under it. Equipped as we are to-day, we can turn out cars and commercial vehicles competitive in price with foreign vehicles and superior in quality to them, even if they are admitted to this country free of duty." As to Imperial free trade, anyone who has even an elementary knowledge of the trading conditions of the British Empire, including the selfgoverning Dominions, the Crown colonies and the mandated territories, knows perfectly well that such a policy is purely chimerical, not practical politics at all. Let New Zealand do the decent thing and remove all tariff barriers against United Kingdom goods, and also let Great Britain work out her own fiscal salvation, without the insolent and interested advice of junior members of the family. After the absurd utterances of Mr. David Jones and Mr. Fred. Waite the uncompromising declaration of Mr. Earle Vaile comes as a welcome refresher. Matamata. T. E. McMillan.