RELIEF THROUGH QUOTAS

New Zealand Herald, Volume LXXI, Issue 21935, 19 October 1934, Page 13

RELIEF THROUGH QUOTAS

POSSTBILITIES DISCUSSED DOMINION'S SPECIAL CLAIM [I)Y TELEGRAPH —SPECIAL REPORTER] WELLINGTON. Thursday The possibility of quota restrictions as a means of" relief to producers in the Dominions and in the United Kingdom should be considered, the report states. It is pointed out that in 1935 Great Britain will be,-in a position to levy duties on Dominion imports and in 1938 will be able to deal comprehensively with quantitative regulations in all countries. The commission recommends that, at a convenient opportunity, New Zealand should approach Great Britain and make clear an important issue—the extent to which it is desired that the dairying industry in Britain t,hould expand. Following this, the British Government should be requested to arrange a conference of all Empire and foreign exporting countries. It is desirable that finality should be reached, as there seems no immediate prospect of a reopening of the Continental markets, the report states. Financial disaster and a more serious reduction of production thi.n any system of quotas would impose appear to be the only possible of the present uneconomic competition. The report deprecates the attitude of expecting "something" to be just around the corner that will send prices again to a remunerative level. These hopes are shadowy and unsubstantial, it states. The report emphasises the special claims of New Zealand for preferential treatment by Britain, and adds: "It is not exaggerating the position to sav that New Zealand is economically almost a part of the United Kingdom, for she imports more largely per capita than any other country from the United Kingdom, exports almost exclusively to the United Kingdom, makes the fullest possible use of British-owned ships for her trading requirements, and pavs to British shipowners over £8,000,000 a year in freight charges on goods shipped to and froni the united Kingdom." The commission takes the view that an equitable scheme of differential treatment for Empire countries might fairly be urged on the principle of "preference for preference.