THE MOTHER COUNTRY AND THE COLONIES.

New Zealand Mail, Issue 245, 20 May 1876, Page 10

THE MOTHER COUNTRY AND THE COLONIES.

The trade statistics of Great Britain and Ireland for the past five years show clearly, if thoughtfully examined, the very sound basis upon which the commercial intercourse of the colonies with the mother country stands. The British Trade Journal of March the Ist publishes some figures, and comments upon them, which place this aspect of affairs most clearly. They show that whilst the annual total exports of Great Britain and Ireland have fluctuated very much during the years from 1870 to 1875 inclusive, the export trade to the colonies has kept perfectly steady, and has not been accountable for any of the fluctuations in the before-mentioned totals. Thus, we find that in 1870 the total exports of British and Irish merchandise were in value 147| millions, in 1872 they had leaped to millions, and in 1875 they had fallen again to 1521- millions. That trade had become unhealthilypuffed out m 1872 became evident by the enormous falling off in 1875, for which there was neither a great war, a famine, a universal scourge, or any dens ex maehina, to account. That this was the case is shown by an examination of the figures made by the authority we have cpioted above. Passing by the decline in Eastern trade, the discredit and the very great decrease in the buying power of Turkey, and calling to mind only incidentally the giddy dream of wealth from which Germany awoke to find herself weakened in credit, the Trade Journal points unhesitatingly to the arch _ offender— America. In 1875 the United States bought from the rest of the Avorld goods to the value of £20,000,000 less than they bought in 1872, whilst her exports had increased by some twenty millions, sterling. Some ignorant people would in all likelihood imagine that this pointed to increased prosperity in America. The utterly depressed nature of trade and industry in that country for more than a year past is, however, a sufficient practical contradiction to an idea which could only be entertained by persons innocent of any acquaintance with political economy. The fact is plainly stated by our Home contemporary to be, that America having no securities to sell which the world cared to buy, she was obliged to give in exchange the most convenient commodities which the world did care to buy. Her credit being damaged, her purchasing power was simply limited by the power of solid barter. Now it is pleasant to turn from figures such as those above, and to contemplate those indicative of the commercial intercourse between the mother country and her colonies. These figures fully justify the expressions used concerning the colonies, that they are to all intents and purposes the agricultural part of Great Britain, thriving under what are more or ’less her laws, advancing with her prosperity, subject to little disturbance, inward or outward, and forming a support to Great Britain, when her neighbors suffer from the various forms of .political and commercial excitement to which they are subject. The figures alluded to show that the exports of Great Britain to the colonies were, in 1870, 515 millions, which advanced steadily to 72£ millions in 1874, and only fell to 71 millions in 1875. Facts like these, which are now being . prominently brought forward at Home in papers devoted to trade, commerce, and finance, and in those which occupy themselves with all matters of import, are directing that steady attention to the advantage offered by almost all kinds of colonial securities which is producing an effect in which all the colonies will presently more or less participate. Of course, in the severe shock which investors of all kinds have received in the London money market by the realisation of hoiv completely worthless many foreign securities were, it will be some time before capital finds itself as fully directed towards colonial investments as it is certain in time to be. But there are already quite sufficient indications that the tide is running strongly m this direction, and it will require but a brief time to find that on the great money market of the world borrowers from the colonies will be the most desired.