MORE BUSINESS

New Zealand Herald, Volume LXXV, Issue 23200, 21 November 1938, Page 13

MORE BUSINESS

BRITAIN AND AMERICA SATISFACTION IN AUCKLAND GAINS OFFSET LOSSES EXPORTERS NOT CONCERNED Satisfaction at the conclusion of the trade agreement between tho United Kingdom and the United States was expressed by a large number of Auckland business men and exporters on Saturday, and tho tenor of their comments was that any loss which might be suffered by New Zealand would bo more than offset by indirect benefits from the expansion in international trade. Britain and America are the two greatest trading nations of the world and any negotiations which are aimed at increasing tho business between these countries must be of benefit to an exporting country such as New Zealand. Although commodities such as apples, pears and honey might lose some small preference in Britain, this would at least be counterbalanced by a greater demand for tho more important items of tho Dominion's exports. Meat Export Interests "From what I have seen of the agreement, there is not much for New Zealand to worry over," said a prominent meat exporter. "New Zealand mea.t has been virtually under a quota for years, and we have never reached the maximum yet. If there is any danger of reaching the limit set, the practice has been to hold up shipments to sipread deliveries over a longer period." The only class of meat which might possibly be affected on tho British j market was pork, of which America is j a large producer. Prices at Smith- J field! havo been falling recently, but as 1 pork from America has been duty freo ' for several years, tho effect, if any, j would be very slight. Butter Not Included Apparently butter has not been included in the items covered by the agreement. America is the largest produce]' in the world, and although it is not usual for exports to be made to Britain, accumulated stocks this year are i;o heavy that this step has been suggested. The outlook, however, is not regarded as serious by local merchants as the necessity for exporting butter from America is only rare. Although a large amount of export business was done in butter with America many years ago, shipments from New Zealand are now very small. The duty of 14 cents a pound is prohibitive, and consumption in America is well catered for by local production and imports from Canada. High Duties on Tallow New Zealand tallow is another commodity which is faced with high duties in America. Local merchants express the hope that this barrier may bo relaxed, as a large amount of business has been done with America in previous years. It was also stated that there was little possibility of exports of hides and iskins from America to Britain being increased to an extent which would affect New Zealand. Kauri gum merchants also were hopeful that New Zealand might bfenefit indirectly from the agreement. In former years, the United States was of considerable assistance in purchasing liirge quantities of medium grade black gums, but since then substitutes had been used more freely. Tin:, present tariffs on various New Zealand exports entering the United States,are as follows: —Wool, scoured, 27 cents per lb.; butter, 14 cents per lb.; chilled or frozen beef, six cents per lb.; pork, 3J cents per lb.; flax and hemp, free; tallow, 3J cents per lb.