BUDGET SURPLUS

Southland Times, Issue 21073, 3 May 1930, Page 7

BUDGET SURPLUS

CANADIAN FINANCES

NUMEROUS CHANGES IN TARIFF NEW ZEALAND AFFECTED (United Press Assn.—By Telegraph—Copyright) Ottawa, May 1. The Minister of Finance, Mr. Dunning, in his Budget speech, announced an estimated surplus of 44,507,000 dollars for the fiscal year. He also announced numerous and complex changes in the tariff rates, involving under the general tariff increased rates on 54 items and decreases on 46, under the intermediate tariff increases in the rates on 35 items and decreases on 90, and under the British preferential tariff increases on 11 items and decreases on 270. W’hen the revision is completed the Customs tariff will consist of 1188 items, of which 589 will be free under the British preference. The changes proposed, Mr. Dunning said, would have the effect of greatly increasing British preference in the Canadian market. “Canada is not engaged in a tariff war with any country,” he said, and stated that the tariff changes were- not the result of any bargain with any other country. They were an expression of the spirit in which Canada would approach the Imperial Economic Conference in a few months' time. “We do not intend to meet the other countries of the British Commonwealth of Nations in a spirit of petty bargaining, but rather in a broad spirit of willingness to become in an ever-increasing measure good customers to those who treat us in a like manner,” said Mr. Dunning. This is the spirit in which we desire to meet all nations, but we believe that within the British Commonwealth of Nations lies the greatest measure of opportunity for the mutual development of trade because of our common heritag'c, kindred institutions and common patriotism.” The Budget itself under the countervailing tariff makes the duty On vegetables, eggs and grain the same as that of countries exporting to Canada. The duty on British grown tea will be remedied. Canadians abroad will be made subject to income tax. Mr. Dunning announced that the duty on New Zealand butter would be increased on October 12 from one cent to four cents per pound. The trade agreement now in operation with New Zealand would be terminated on October 12, and details of the new agreement would be announced soon. “After October 12,” proceeded the Minister, “Canada will extend full British preference to New Zealand. The Government of Canada has proposed’to the Government of New Zealand that a direct trade agreement should be negotiated to supersede the present arrangement. We hope to bo able to arrange for a meeting of the representatives of both countries in the near future in order to endeavour to reach a mutually satisfactory agreement.” Mr. Dunning announced that he expected the completion of the Newfoundland trade agreement shortly.