DANISH TRADE AGREEMENT

Otago Daily Times, Issue 21985, 21 June 1933, Page 10

DANISH TRADE AGREEMENT

A NEW, ZEALAND POINT; OF VIEW ;; ; ' BUTTER; QUOTAS. ' f ‘, ' (From Ocb Own Correspondent.) ; < : . LONDON, May 12.; Mr Sydney Jacobs, ,a director of. Messrs Nathan and Cd., and the London, delegate for: the 'Wellington .Chamber of Commerce, writes to’ The Time's on. the subject of the Danish trade agreement:— ■ It does seem strange (he says) that in- view of the recent 'Enabling Bill 'giving'such wide powers to the'Minis-try-of Agriculture ; to’'reorganise and ... protect our agriculture, a treaty of this scope should have been made, for it cuts right across the work that , the Ministry :of; Agriculture has forecast in its efforts to help -home..producers. That is one.aspect. ;There. is another. • ’ Has internationalism'superseded Em*: pire ■' consolidation ? • I am driven to „ call: attention to this aspect of matters . in ymw of the;.reeently suggested quotas " on Empire butter, and I can quite understand New 'Zealand at least objecting to these proposals, in view of the support she has'always given to the, Home Country and the Empire.

-Mr Jacobs then quotes-New -Zealand trade figures'for 1929, which showed that there were iijiports worth f 13,500,000 from foreign countries. 'Of this . £7,200,000 worth b'ere non-competitive goods, such; as petrol, timber, * fruit, ’ phosphates, etc.Of 'the balance of £6,300,000 worth, £5,100,000 .represented . goods oh which there was' 25 per cent, preference'in favour of’British goods. He continues: —

Obviously, the £5,100,000 worth .of trade should have been secured with the 25 per cent, perferehce in favour of British goods, and the only reason must, be that something inherent was wrong with the goods that made them unsuitable for the market. That is* not New Zealand’s fault.

I. quote these figures for two reasons. First, ’:I do think that the ’’ average Briton is ignorant of' this position of NeW Zealand’s' import trade. Secondly; I feel that'such figures are eloquent of New Zealand’s; claim for reciprocal and preferential treatment and consideration. That is'why: I am 1 sure j that the dominions will not • welcome the conclusion of treaties : such as that with Denmark, and I am distinctly of the opinion that the recent actions of . the National Government in these matters .will prove very unhelpful where Empire consolidation is concerned, and, indeed, in' many other directions. 1 ‘ ‘ 'V , .

This letter is followed hy another from Mr T. L. Houghton, of Marple Bridge, who says:— •■■■■ .. ■. .’• 1 ; ■. • : - It is difficult to understand why Mr Jacobs should approve of the New Zealand attitude in rejecting the suggested ■quotas on the importation of blitter,into this country. No individual connected with the dairying industry wishes to continue producing at the present ruinous prices. The suggestion of a quota system is an honest endeavour to place prices on a profitable basis fob; the .producer. All Governments in the past have thought of no one but. the consumer, but we cannot expect the Dominion to be.happy and contented while producing iat a loss.

Obviously this lettbr-is beside the paint. Mr Jacobs implies that if British exporters anil manufacturers had captured the £5,100,000 worth of trade there would be no need for Agai.nst that, however, there is the desire and'the necessity of Great Britain to find a market for her coal.