TARIFF POLICY

New Zealand Herald, Volume LXX, Issue 21453, 29 March 1933, Page 8

TARIFF POLICY

The Auckland Manufacturers' Association and the Prime Minister, after discussing tariff policy yesterday, reached a conclusion that was presumably mutually agreeable to them. There is no need to trav.erse or to criticise the proceedings,- because they were in the main irrelevant to what lies before New Zealand as an obligation to be fulfilled as soon as possible. It is to give effect to what was undertaken at Ottawa. Only two promises were made, and both were relatively simple. By the first, New Zealand undertook to give protection by tariffs against British products only to those industries reasonably assured of sound opportunities for success. By the second, it was agreed that an inquiry into existing duties should be held, and where necessary they should bo reduced as speedily as possible to a level placing the. British producer in the position of a domestic competitor, this being explained as meaning that he should bo given "full opportunity of reasonable competition on the basis of the relative cost of economical and efficient production." It is true there have been demands for much more drastic action to reduce protective tariffs; but the fact that things arc demanded does not mean they will or should be conceded. The wider question of free trade or of such protection as will help to foster and expand secondary industries is always before the country more or less. It is not the issue of the moment. That is to carry out what it was agreed at Ottawa to do. New Zealand was not bound hard and fast to action in any given degree. There remains, however, a debt of honour to be paid. It is the more compelling in that judgment on its own caso was left to this country. The Government, therefore, should make all possible haste toward doing its part to fulfil this obligation. Discussion of the wider question can await another day.