FORMULATING A TARIFF

Otago Witness, Issue 2924, 30 March 1910, Page 14

FORMULATING A TARIFF

ACTION BY BRITISH MANUFACTURERS. COLONIAL PREFERENCES. (Fkom Our Own Correspondent.) LONDON, January 14. So far as is known to the public, the Tariff Reform League has not yet taken steps to formulate a tariff which might be put into operation in the event of tibe Unionist party being returned at the elections. By the kindness of Mr Ben H. Morgan, however, I am enabled to give a few facts concerning the action which is being taken by the British Manufacturers' Association in anticipation of that result. The association is the only hody which represents the manufacturers of Great Britain, and its members represent capital amounting to some hundreds of millions. There is a good deal of misapprehension in Australia and New Zealand regarding the constitution of the association. The delegates to the recent conference of Chambers of Commerce in Sydney were very generally regarded in, the colonies as representing the industrial {interests of the Old Country. As a matter of. fact, they do not. With the exception of the bodies at Birmingham, Manchester, and possibly Liverpool, the Chambers of Commei-ce of England represent entirely the merchants, commission agents, shippers, bankers, and brokers, and some of the retail shopkeepers. It greatly surprised Mr Morgan to find from the newspaper reports that the delegates were regarded as speaking on behalf of the British manufacturers. Even Mr Deakin was entirely misled in this respect. As a matter of fact, Mr Morgan explains, it is only recently that the Chambers of Commerce have come round to favour colonial preferences, and there is only a small majority of them in favour of the proposals. At Sydney the impression was given that this was the feeling amongst the British manufacturers, but in reality the British manufacturers, who are represented solely by the Manufacturers' Association, are overwhelmingly in favour of preference. They recently passed a resolution that if tariff revision takes place as a result of the forthcoming elections, the preferential treatment of the colonies must be urged to the fullest extent. "I am continually," remarked oy Morgan, "in fact, almost daily hearing of British contracts which have been obtained solely through the existence of the colonial preferences. Only last night I heard of ah Australian contract for telephone apparatus amounting to a very large sum, which had been obtained on account of the preferential treatment, and in our proposals for a tariff in England we are "most anxious that this should be properly recognised." The Manufacturers' Association is at present engaged in circularising the manufacturers oi Gr«at Bi~itain with, a view to ascertaining the requirements of each of the British industries, so that from' an average calculation it will be able to advise the Tariff Reform Government, if it -should come to office. The document which has been drawn up will be forwarded also to all the Chambers of Commerce in the colonies. The objects of the -tariff, it is stated, would be : (1) To encourage industries and increase employment of labour; (2) to promote reciprocal trade relations with the. colonies; (3) to produce revenue. Emphasis is laid on the desirability of achieving the protective result by means of the lowest possible duties. There is a column in -the ■ schedule to contain an estimate oi the value of labour expended on the articles which it is desired to have protected since the association v ts anxious to give the fullest consideration to the effect of the tariff in increasing employment.

PREFERENCE AND RECIPROCITY. On the subject, of colonial relations, thecircular'says : "Appreciating the preferences given to British goods and bearing in mind that the recent adoption of protective tariffs in the principal self-govern-in" colonies is rapidly promoting their industrial development,, the association is anxious that those colonies should receive preferential treatment wherever possible, and particularly in such items as manufactures of wood, including builders' supplies and furniture, agricultural implements, mining machinery, motor cars, typewriters, leather, blankets, rugs, and woollen manufactures generally, and other articles which they produce for exoort. In this connection the Manufacturers' Association is ascertaining the views of organisations reoreeent-ing manufacturers in-South Africa, Australia, JSew Zealandj and Canada." The Manufacturers' Association, anxious to encourage international reciprocity, asks manufacturers to indicate the items in their particular industry to which they would be willing that the following provision should be attached . " Any of the foregoing, when imported fromany country, dependency, or colony which imposes no tax or auty on Jake articles imported from the United Kingdom shall be imported free ot duty. This clause will be attached to as many items as possible, so that it will be open £ any of the colonies to attach. similar nrovisions, in which cases the reciprocity will work automatically. This procedure will obviate the necessity oi any lengthy negotiation and will leave the colonies free to do as they like in the way of reciprocity.