BRITISH TRADE

New Zealand Herald, Volume LXXII, Issue 22210, 10 September 1935, Page 5

BRITISH TRADE

LARGER EMPIRE DEALING

FOREIGN COMMERCE SUFFERS TREND IN RECENT YEARS A significant increase in the proportion of trade transacted with tho Empire and a decrease in the share of foreign countries is revealed in an analysis of the recent direction of British trade prepared by the Westminster Bank.

The following table compares figures in recent years in £ millions: —

Imports: 1929 1931 1933 1931 Empire .. .. 352 247 219 271 Foreign .. .. 809 615 426 461 Exports: Empire . . . . 320 171 164 186 Foreign . . . . 409 218 201 210

The review divides the various causes of these changes into threo broad groups. First, there arc causes associated with tho varying prosperity and varying degrees of recovery of different industries and countries. For example, "boom" conditions in tho South African goldmines were responsible for a large increase in the Union's proportion of Britain's export trade aftcc 1932, and, particularly, last year. Secondly, various aspects of fiscal policy, the Ottawa and other trade pacts, clearing and barter agreements and the like have played an important part in affecting tho distribution of trade. For example, tho imposition of tariffs on Britain's imports of nearly all manufactured goods has naturally reduced the proportions of tho total import trado contributed by the manufacturing countries of Europe and North America and automatically increased the proportions of the foodstuffs and raw material producers, particularly the countries of tho British Em piro.

Thirdly, there are what may be grouped as currency influences—the establishment of the sterling area on the one hand, and maintenance of the gold bloc on the other.

The table also reveals tho very modest expansion in Britain's overseas trade last year compared with the previous shrinkage. Imports in 1934 were only GO per cent of those in 1929, and exports only 54 per cent.

LOWER CROP YIELDS RETURN FOR PAST SEASON MARKED DECREASE IN WHEAT Lower production of crops in the Dominion for the 1934-35 season is shown in figures now available. Tho yield of wheat for threshing was 5,933,245 bushels from 225,389 acres, compared with 9,036,017 bushels from 28G.271 acres in the previous season. Tho crop of oats totalled 1,890,145 bushels, compared with 3,242,500 bushels, the acreage being 52,516 acres, against 78;343. In barley the yield was 484,689 bushels from 18,441 aercs, against 730,963 bushels from 21,024 acres, and in maize 373,219 bushels from 7946 acres, against 373,212 bushels from 8256 acres. The Government Statistician states that while crop yields generally wero disappointing in tho 1934-35 season, tho harvest of grass seeds was exceptionally good, the yield of perennial ryegrass in particular, 17,117,1181b. representing a substantial increase over the 1933-34 yield. A satisfactory export trade in grass seeds is being built up, export of grass and clover seeds during the seven months ended July being valued at £153,015, compared with £66,026 in that period of 1934.

PRODUCE SUPPLIES SHORT PUKEKOHE QUOTATIONS [FROM OUR OWN CORRESPONDENT] PUKEKOHE, Montisy Supplies of all Pukekoho vegetables aro at present very limited, cauliflowers being in particularly short supply. One grower is at present digging a few potatoes from the first early crop, but only a few bags will como on to the market from this source. Now potatoes will bo in ' very limited supply for the next six weeks. Cauliflowers are quoted to-day at 10s 3(1 a large sack, f.0.r., Pukekoho; drumhead cabbages, lis a largo sack; pumpkins, lis a cwt.; carrots, 2s 9d a sugar bag; onion plants, 3s 9d a 1000; cabbage plants, Is 3d a 100; cauliflowers, Is 6d a ( 100. FEWER CATTLE KILLED POSITION IN UNITED STATES There has been a substantial declino recently in killings of cattle in the United States, especially in comparison with the heavy slaughter owing to drought Inst summer. This fact seems bound to influence future leather prices, according to an American trade journal. The journal states that the slaughter of cattle from 12 principal points for the week ended Juno 22 was only 88,000, compared with 104,000 for tho previous week and 148,000 in the corresponding week last year. Tho calf kill had fallen even more precipitately, being 20,000 for the week onded Juno 22, against 67,000 for tho corresponding period last year. LANCASHIRE COTTON BRITISH CONTENTS CLAUSE Tho "100 por cent British contents" clause for which tho Lancashire cotton industry has been agitating has found official recognition. Under the clause only cloth niado from yarns spun, woven and finished in Britain can be described as British. In the trado agreement recently signed between Britain and Uruguay, that country fully recognises tho definition for tariff purposes. Denmark has also unofficially recognised the definition, although the onus of decision is left in Britain's hands as far as exports to tho Danish market go.

TEXTILE EARNINGS BRITISH FIRM'S RESULTS Net profits of the Tootal Broadhurst Leo Company, Limited, the woll-known British spinners and makers of textile products, increased in the year ended June ''so from £112,080 to £144,182. For the third year in succession a dividend of 10 per cent is being paid on the ordinary and employees' shares, and after providing for a larger income tax requirement the board is carrying forward £37,611, which is double that of a year ago. The company's financial position is strong. Issued capital amounts to £1,249,000, and the only liabilities, apart from those to trade creditors, consist of sundry loans for £102,000. There is a general reserve of £300,000, and no credit is taken for goodwill. Floating assets amount to £1,773,000, a total that exceeds current liabilities by more than £1,000,000.