"NEGLECTED WEALTH."

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

"NEGLECTED WEALTH."

Sir, —I have read with interest tho various articles appearing in your columns with reference to importations into New Zealand under the heading of " Neglected Wealth," and more especially now refer to your fourth article, dealing with the confectionery trade. Any unbiassed member of the public must realise that New Zealand is a primary producing country, and it is its primary products upon which she depends for her prosperity. Many of the English confectionery manufacturers use large quantities of New Zealand butter, because they have proved that this is one of the finest and most reliable grades in the Hpme market, and to keep up the high standard of their own manufactures they must use only of the best. Are they going to continue to buy New Zealand butter if we close our doors to their products ? Certainly not. English business men are sufficiently long-sighted to realise that a country must buy from the market to which she sells. This applies to all industries, and not only to that mentioned above. It is an acknowledged economic truth that a country cannot export unless she imports in return. Trade and prosperity depend upon an exchange of commodities. Wb hear local manufacturers say that to buy New Zealand goods is to keep more New Zealanders in employment. This is possibly the case to a certain degree, but, after all, it only increases the town employment, and certainly does nothing to help the backbone of the country—the farmer. When wo import, we circulate more money in England, thereby enabling the English worker to buy more of pur butter, cheese, wool and other primary exports. This must bo followed by increased exports from New Zealand, which in its turn creates more employment on the land. Then there are the seamen, waterside workers, and, in fact, all transport workers who lose their employment when imports fall. After all, this " support local industry" idea cuts both ways. Another point to bear in mind is that when imports fall customs revenue falls, and when customs revenue falls the Government must get its revenue elsewhere. Surely New Zealand is labouring under a sufficient burden of taxation already. Local industries should be supported to a certain extent and where possible, but we must never lose sight of 'the fact that our whole prosperity, in fact, our very existence, is wrapped up in the Motherland, and one of our slogans should be " Buy more English goods and increase our exports," thus giving an impetus to our primary industries. By following these maxims our country will soon be on the way to prosperity again. Twin Focus.