THE TARIFF ISSUE.

New Zealand Herald, Volume LXVIII, Issue 20987, 25 September 1931, Page 9

THE TARIFF ISSUE.

IIfgARLY ELECTION. CONSERVATIVES EAGER. EXCHANGE BAR CLUMSY. BRITAIN'S FOOD SUPPLY. benefit TO EMPIRE. TflesrrnpTi—"Press Aesocifltion-Copvrifjht. <RcCP irc<l September 04. 11.35 p.m.) LONDON. Sent. <24. fhe political correspondent of the Times . j the Conservatives are .it Bt j*senfc the only miitod pnrtv. Mr. BaldP. gj r Austen Chamberlain. Sir Samuel Sre *nd Sir Philip Cnnliffc-Lister are tfrelv agreed that the suspension of the old standard has not removed the urcent need for an emergency election, which J, the only method of satisfactorily introdncmg a tariff. gpeakinjr in the debate in the House „f Commons on the Finance Bill Sir John ciimon said the departure from the gold Standard meant that the need for a balanced Budget was more urgent than ever. Many persons argued that such a departure automatically disposed of the problem of the adverse trade balance. Temporarily it would block imports, but only indiscriminately, whether they were / j 00 j ( raw materials or luxuries. The depreciation of the pound sterling had no relation to Imperial preference. Lord Hugh Cecil said that although a revenue tariff might be harmless, a tariff definitely intended to restrict imports would be disastrous, as it would destroy a large part of the country's wealth which came from abroad, and would suffocate Britain's foreign trade. To balance trade they must increase exports, and this was possible only by reducing tho costs of ' production. Britain is sure to look to the Dominions to supply any deficiency in foodstuffs caused by the exclusion or limitation of foreign goods. Thus if, as is generally thought, an election is imminent, it will be a short, sharp contest, followed immediately by a tariff which will check imports. No Government could expect to last if British larders were empty, or prices of foodstuffs were allowed to soar. The Dominions, therefore, are most likely to be-called on to make up any deficiency in supplies. Plenty of shipping is available, and attempts at profiteering would be sternly repressed. The President of the Irish Free State Tail, Mr. W. T. Cosgrave, has issued an appeal to the people of the Free State to buy home-made or British goods. He also appeals to the people of Britain to buy Free State goods rather than foreign. The British investing public is being trged that now is the time to sell United States and French securities, and to replace them with British securities. TARIFF FAVOURED. LONDON BUSINESS MEN. IMMEDIATE CHANGE SOUGHT. LONDON, Sept. 23. The London Chamber of Commerce has informed the Prime Minister, Mr. MacDonald, that out of 8737 members who were requested to state their opinion on the question whether Britain should change her fiscal policy, more than half have now replied. Of these 4016 favoured an immediate tariff, and 341 the continuance of free trade. . DEPRECIATED POUND. NOMINAL EXCHANGE RATES. / SHARP RISE IN SILVER. LONDON. Sept. 23. Rates quoted in the London foreign exchange market are still more or less nominal. Among them are the following (par rates in parentheses) : —Paris, 105 francs (124.21 francs); New York, 4 dollars 14 cents (4 dollars 86.6 cents); Milan, 83.5 lire (92.46 lire); Berlin, 18.5 marks (20.43 marks). The spot price of silver to-day was per oz. and t lie forward price 36 3-8 d (as against 12 7-8 d and 15 7-8 d on September 17). The value of 'the pound sterling on the basis of exchange quotations was 17s 3d ifl New York on Tuesday and 16s on / Wednesday, tl'l9 decline in other exchanges on those days being as follows: — Paris, 17s 2d and 16s 9d; Amsterdam, 17s 4d and 16s lid; Brussels, 17s 2d j and 16s 10id; Berlin, 18s ljd and 17s 6d; Montreal, 19s 3d and 18s 9d; Stockholm, 19s 9|d and 18s 2d; Copenhagen, 19s 9?d and 19s Bd. * CANADIAN DOLLAR. EFFORT TO STOP FALL. PREMIUM ON GOLD BULLION. OTTAWA. Sept. '23. I In an effort to stop the decline in the Canadian dollar, which was quoted at cents in New York to-day, the Government has notified all Canadian goldmines that it will pay a premium for bullion, to prevent its shipment to the TJnited Stat en. , sterling exchange was quoted to day at 4 dollars 40 cents (against 4 dollars 54 ce:at s yesterday). the price of gold. QUOTATION NOMINAL. LONDON. Sept. 23. The price of gold is nominally 100s per tNUiee. IN HOLLAND. |g CONDITIONS NOW NORMAL. 11111 l AMSTERDAM, Sept. 23. bankers' syndicate just formed has IggW teen abolished as the monetary is functioning normally.