PREFERENTIAL TRADE.

Poverty Bay Herald, Volume XXXIV, Issue 10961, 2 May 1907, Page 4

PREFERENTIAL TRADE.

DEBATE AT IMPERIAL CONFERENCE.

(Press Assn. — By Telegraph. — Copyright.) j LONDON, April .30. ' At the Imperial Conference, discussing the question of preferential trade, Mr Deakin said that- from the first inception of -the Cokmia'l Conference the pu-^ibil-ity of more intimate trade relation! between the Motherland and the colonies by means of Customs or a Customs union, had been in tho minds of representatives. He quoted Lord Salisbury's remarks at the opening of the Conference of 1887, and the debate following on Sir Samuel Griffiths' direct appeal for preferential trade within the Empire. He also cited the late Mr Service's remarks, that the whole subject must be dealt with widely by thd Imperial authorities fromi the standpoint of permanent unity of the Empire. Such remarks from freetraders were significant. He recapitulated his comments on the same occasion, thr.t Sir Samuel Griffiths' and Mr Hdfmeyer's ideas suggested the best, if not the only, means available to bring the Empire closto- together. He dealt at some length with Mr Hofmeyer's proposals in 1887, and also his warning at the Ottawa Conference of the danger of neglecting his advice.; Mr Deakin read 'the resolution in favoig of reciprocity with the colonies passed' in 1894, and repeated in 1897 and 1902. He dwelt on the advance made in each period, and quoted Mr ; Balfour's reply I to a deputation iii 1904, when he stated that the present Conference! was summoned for the purpose of considering. ,the possibility of closer and better trade relations. Mi Deakin disclaimed any in"lentipn.of touching- British politics. It ' was- only advisable to. notice the appeal 'which the British Commoners madetcrthe '.• electors of the Commonwealth in. June, ISOS, to resent preference because it meant a tax on food. That appeal. had bo.f.vrej«Jted by" a. majority., of three... to ore at? the recent Australian' election. A : ..Mr Deakin said he recognised, tboiigh ■a strong difference of opinion existed on this question, that the opponents were not lacking in goodwill. He admittedi tho question must bo dealt with us a matter of business. All the world; over ? ;trade yas sought a lid foughtfefor: tralia proposed : preference, it ■ would cause, an! increase of '^.raae itvitliin ,' the. Empire, which woujld-.lead to tlii, development of her resources'.- nijd' the build-, irg up of the ''dominion beyond the Veas. ; They 'were the Motherland's -.best; cus.^ tomers, aiid must always'.: remain a part of the same. Empire.-.; This was the poli--tic.il motive: to be kept in mind— Biitaih •ajnstitutedi'ltha-^^^ '■'if-*prefere"ftc_-"'-w,Bre granted'' by the color ; nies,|.ahd : with tlie ..-duties, .levied on fox^ ; e:.2iiers it'i\woitld still -Temain';' the best .market; forv'fdfeigners. Tlie best, of ■ the hiili' du-tigs Jevied elsewhere Was that no other country enjoyed such opportunities for assisting its dominions! as' Britain. Its purchasing power.- gave it; enormous authority. The seller was the courtier, ;.'tliei.huye'r was the king. He recognised that it-was the. first -duty of the Biitish Parliament t^.coiisider British interests. If it chose ;to protect its industries and to revive those winch, had decayed in ; the cplqniesi. it could 'take .no -possible-' ex* I ceptioji>to virha^AmtrAlia proposed. It J;was after Britain.' had studied- her local ; jhtere.s.t that she * should make ai nuige-' ments 'for the '.mutual; benefit of both, so that tlie best should be done, looking at each proposal critically in a.- business liglft, as, Sii*' Edward Laws had done in lus;in^mprandum to'- Lord Curzon in 1904. They, ought to consider how far it was possible "for several units of -a" political whole to assist each other. He dwelt 6n the importance of keeping the Empire, by resorting to -every opportunity which" would assist its consolidation,* He-Purged .tliat greater co-operation, was .necessary v^b. .the Erdpire'^s continued_;existehce. 'I-h was, not .intended t° i'^ijp.t».to to any of the 'self-goveijhiug conununities,. but they .should negofiate freely for- an eqitil. scheme of mutual .a4va-n.ta!ge>- Aus- ;* tralia asked fdrf^io_cprioession : which she Uwa%i not prepared itS - reciprocate. --He v quoted Mi* 'J. JMpli 'Schooling's": statistics, snowing iheigifat de;clin^ih' : the propor- ! tion of .British' expprfi^v"" particularly to J "Australia, Canada^ and India,: ihe uape, and the Klraits- Settlements. - Mr: Schooling showed that a large continuous ; fall occurred in the United Kingdom's' share of the Australian market during the last decade. Britain's- share had fallen -v to ,61. 3-10 pounds per- hundred. '•* Britain w,as losing her p)actf as-'a seller ill the htarkets of 'her cplbnies. '-'This Te^ulted not from : aiiy serious diminuitiohtof trade caused by the develppmerit' of Australian industries, but'.wqs^coht^mpdra_leous. with a . substantiaLincreaseiii^cpmbiried trade. Mr :'■ Deakiii 'proceeded to'.giye a Retailed analysis of the fluctuation, of Australian tradej^arid the" extenj^;it ' ha'd been conquered'by foreigft; gootls, much of. which was carried SSh; subsidised ships. He aroused- mupE, -interest, by . showing the treatment, ajftftrded to Australiarl-Smeat-and; dairy' produce in Germany, besides the prohibitive duties .and other .restrictive demands enforced v with" a- view to absolutely stopping trade. Tliere were similar dlfficulties-.-in France,. nn<i Austria and Sweden were likely ; to act in the same way except where raw^material was required. -,'••» It wn6 there was no trade in frpzen* meat <with Europe exr cept in England, but he instanced Denmark's receiving, a grjat advantage, especially from the low Englisli rai-way rates for her dairy pf o4.uce.; k ' The effects" of these ..■.foreigav.'.restfictionjv was > that foreign markets were "being erased agninst Australia, while in the English market she had - v to compete with exports from the" very countries which received-' the same free access as Australia enjoyed. Australia wished greater, advantage- on the British market,, since she was unlikely to find a market on the Coniiiiont.Australia was able to supply an immensely larger part of Britain's wants now supplied by foreigners. He believed the threat of retaliation would bring foreign nations to their knees. It was absolutely necessary for Australia to . find fresh markets, owing to her increasing population and larger cultivated- area.. Without preference he was doubtful if Australia would be able to maintain its position on the British markets. Witli preference the wheat exports might increase four-fold. With the increase in export fully another 40,C00 population might be employed.