A RECIPROCAL TREATY

New Zealand Times, Volume XXVIII, Issue 6089, 22 December 1906, Page 9

A RECIPROCAL TREATY

NEW ZEALAND ANT) SOUTH AFRICA. PROSPECTS OF TRADE. Sir Joseph Ward. announced at the* Town Hall Last evening, that a reciprocal tariff treaty had been concluded between New Zealand and the Governments of South Africa, viz.,‘ Cape Colony,. Transvaal, Natal., and Orange River Colony. The negotiations were only concluded last evening, and the Premier made the announcement at the Homo Rule meeting. / Interviewed by a ‘'Times" reporter later. Sir Joseph Ward stuied that the treaty was arranged between"his Excel : leucy the Governor and the High of South 'Africa under th* 4 New Zealand and South Africa Customs Duties Reciprocity Dill. Tho rebates pro* posed Wore as follows; EXpoims, N.i3\v 1 Zealand to . SUUTiI AtOtlCA.

SOCTTH AMIGA'TO. NEW ZEALAN’D.

Commenting, on the rebates. Sir J oseph! pointed out that there was at preseuii practically. no trade from South Alru-.n to New 'Zealand. It was all from Ncrt ' Zealand to" South Africa. If the proposed new tariff had been in operation! last year Now Zealand producers would 1 have saved .-£5700 on ,their shipments toSouth Africa. The bringing into opera* - tion of all the rebates should have tlio 'effect of materially iucfeasiug the voK' time of trades from New Zealand to South Africa, and consequently the saving effected by the rebates Will '.be/.: larger.' Thera is'practically no sacrifice* on the. part of New Zealand, that is. estimating tiro loss of revenue on the basis of the previous import trade from Sojith Africa, because the bulk has been practically nothing,. It is uiost unlikely -that there will be any importation of maize. The freight and tho remaining duty of 6d per cental will scarcely leant, a margin of profit. The rebate on tobacco, -of course, refens to the South .African' product, and the duty levied on tea 'applies to foreign tea. The tea which weimport from tho British poaseesions' of! India and Ceylon is duty free. The presclit duty on foreign tea coming into: New- Zealand is 2d a pound, and the rebate of Id,a pound of course applies fir foreign tea. Bven the duty on packq(> . tea ia evaded by, increasing tho weight. ; Sir Joseph endeavoured to get the duly on feathers ComingVinto New 1 Zealand! maintained at its present level of 25 per cent, ad valorem, instead of granting a. reduction of 10-per. cent, but the South. African Government, declined to entertain tho proposal. Howiver, ho. does nof’i, anticipate any great importation. Tlnrt only wine made in South Africa is a sort „ of Constantin, or light sherry, of which).;, none ia at present imparted into Now Zealand. Up to the present, Sir Joseph)., repeated', there has boon practically no. trade in any of the South African pro-■: ducts upon which New Zealand is granting rebates-, while New Zealand is doing an export trade in all the products upon which South Africa has granted concessions. It should therefore bo possible; to judge before loVig whether a good, trade can be worked up with South,; Africa. " It is very difficult, under, pre-: sent conditions to say how much sugar South Africa is able to export,, or how much wine.. It is; impossible, even, to eay whether tberowill.be any trade pit ;;, not. The South African Governments were anxious for a concession of 6s ; a gallon on spirits exported to -New Zea- ; land, but this tho New Zealand Government declined, and tho duty on spirits re - . mains untouched, at 16'. a gallon. There is an understanding,that if New Zealand does alter , the duty - on . spirits. South Africa is to have the benefit of it. bun as New Zealand has no intention ■of doing so this is not a factor for considers* , tion. , ,' . ' ' "Upon the whole," Sir Joseph concluded, ‘‘l think tho treaty is. a fair one,. Similar concessions upon their natural products have been obtained by both Canada and Australia; so if we want to retain our trade wo had. to take this step, and the only way to .do it was by treaty." i . . The treaty tariff comes into operation on January Ist. Treaties:', on similar lines have been’ concluded between South Africa and Canada and Australia, and will expire'in, 1908. The present treaty with Now Zealand will expire during nextyear unlees Parliament renews it.

Bran- .. , OUU.U1 L V XiJ. Duty Under Cape Turilf. lis 2d per ccntl. Proposed •Rebate. 2d ceutl. Flour .. 2-s Otl per ceutl. 3d ceutl, Gate 2s Ud per cent]. 2d ceutl. Wii'i’at.. la 2d per ceutl. 2d ceutl. Butter... 2{(l per i>ouiid id lb Choose.. 15 per ct. a.v. 3 per ct. a.v Moats .. lid per pound id lb '

Present Rebate N.Z. duty. pi-oposed. Feathers... 25 iier cent. a.v. 10 per cent, a.v lull 2d lb. id ib. Frhits, ’dried ... Id dud 2d lb. Free. Maize ... 9d cental , 3d cental fcugar 2d 6d cental id Ib. Tobacco ... 8s Gel lb. Itj lb. 'i'ea.toreign,2d- lb. Id lb. ‘U 1UCS * ... 6s gallon 4& gallon