TRADE RECIPROCITY

Otago Witness, Issue 3562, 20 June 1922, Page 44

TRADE RECIPROCITY

AUSTRALIA AND NEW ZEALAND CONFER. There seems every chance, from the indications at the opening of the conference that the deliberations between Australian unci New Zealand delegates regarding trade reciprocity will lead to modifications on both sides that will be of mutual benefit. The first session of the conference was commenced in Melbourne between Mr Downie Stewart, Minister of Customs in New Zealand,, and Mr A. S. Rodgers, Commonweal'll Minister of Customs, Mr W. B. Montgomery. Controller of Customs of New Zealand, and Mr R. M‘K. Oakley, chairman of the Tariff Board, were present. Mr Rodgers submitted a proposal as the basis for a treaty of trade between the two countries -namely, the mutual exchange of ‘ the British preferential tariff of both countries. In doing so, Mr Rodgers said there was a mistaken impression both in Now Zealand and, to some extent, in Australia, that hi the passage of the recent tariff schedule New Zealand had been placed on the “general list as a matter of deliberate policy. This was not so. The dominion was merely placed there temporarily as a point from which negotiations were to take place foi* a reciprocal tariff arrangement. Positive evidence of this, he said, was the passage by Parliament in the last session of enabling legislation under which the commonwealth might grant to New Zealand the British preferential tariff without any further reference to Parliament. This was followed by cable eommuncation. He desired that Mr Stewart might make this fact clearly known to New Zealand, that the commonwealth's desire was for closer trade relations with the sister dominion and for a general linking up with her in matters affecting trade °and Empire problems. In making this offer, the - Minister (Mr Rodgers) said Australia offered to New Zealand the best she had to offer in the matter of tariff reciprocity, the equality of the pregranted to the Lnitcd Kingdom. Mr Stewart, in response, stated that the offer of the exchange of British preferential tariffs between the two countries was not acceptable in globo, and he, in turn, pointed out that better trailing relations, he felt, could be established between the two countries .to their mutual advantage. He submitted an -alternative proposal which Mr Rodgers has undertaken carefully to investigate and submit for the consideration of the Tariff Board. These investigations will commence to-morrow, and the Conference will be resumed on Tuesday next. In the course of a speech at a luncheon the New Zealand Minister for Customs, Mr Stewart, said that it was practically impossible to carry out any great exchange, because of the fact that New Zealand s production of foodstuffs was in many respects similar to that of Australia. When one came to the manufacturing industries one found that there were vested interests in both countries which hail been developed in accordance with the ideals and aspirations of the peonies of both countries. Any attempt to interfere with ihe existing condition of affairs in order to mitigate the severity of the tariff inflicted a certain amount of hardship on some section of the community. Tt was necessary to ascertain which manufacture was suitable for each country, and whore manufacturers were found that wore not in competition with those of the other country to afford assistance to develop them not only in their own country but in the sister dominion.