PREFERENCE TO BRITAIN

Otago Daily Times, Issue 22354, 30 August 1934, Page 2

PREFERENCE TO BRITAIN

DOMINION’S IMPORTATIONS MR A. E. ANSELL’S VIEWS (From Ocb Parliamentary Htt'OßTts.) WELLINGTON, August 29. The view that New Zealand should be prepared to give definite preference to the products of Great Britain over that given to any other part of the Empire, And that New Zealand should not allow its appreciation of the importance of the British market to end merely in lip service, was expressed in the House of Representatives to-day by Mr A. E. Anaell (Chalmers) when speaking on the second reading of the Customs Acts Amendment Bill, Mr Ansell claimed that it should be made perfectly clear at the earliest possible moment that New Zealand would give Great Britain such additional preference as might be necessary to direct the Dominion’s purchas’ing power to tire United Kingdom, the people of which were, after all. New Zealand’s best buyers. After Mr Ansell bad congratulated the Government on fulfilling its Ottawa obligations by amending its tariff in a courageous manner, he suggested that the Minister of Customs should consider giving special preference rates to the United Kingdom. At present, because of the instability of the exchange rate, Australia was able to trade more readily with New Zealand than was the Old Country. Again .the importation of American motor oars during the last few months, bad shown a phenomenal increase. It was contended that New Zealand merchants traded more readily with Australia than with Britain because it was not necessary to purchase huge stocks from Australia, hut it must be admitted that Australia had the further advantage of being on a parity with New Zealand in the exchange, whereas Britain bad a 25 per cent, disadvantage. It was known ■ that the dominions as a whole were on a parity in trading conditions, but if there was a development towards directing New Zealand’s tradte away from its principal buyer the. Government should not fail to take notice of the direction of New' Zealand’s purchasing power. There was ah enormous disparity between the value of the goods New Zealand bought from Britain and what Britain bought from ,Now Zealand, and the more the Dominion bought from other countries the less she could buy from the Mother Country. “I suggest that the position is sufficiently serious for the Minister of Customs to institute an investigation. It is' possible that the present treaty arrangements preclude any suggestion I have made, but treaties do not last for ever, and I think there should be some clear indication in the near future that we in New Zealand are prepared to deal ;with Britain as I suggest—on a special preferential rate.” Mr Ansell quoted figures relating to the wire netting trade, showing that New Zealand bought from Australia probably 50 per cent, more than Australia bought from New Zealand. These figures, he said, suggested that New Zealand • i should do something to direct her purchasing power to Britain. The motor car industry was a very important one to Britain, but Australia, under a heavy protective tariff, manufactured tyres, springs, spark plugs and various electrical equipment. New Zealand was buying these goods from Australia, where previously they had been bought from England.