Hon. Robert Masters To Attend World Conference

Stratford Evening Post, Volume II, Issue 239, 10 May 1933, Page 6

Hon. Robert Masters To Attend World Conference

WILL ACCOMPANY PRIME MINISTER TO LONDON TO REPRESENT NEW ZEALAND

DELEGATION TO LEAVE WELLINGTON BY RANGITATA ON FRIDAY OFFICIAL STATEMENT ISSUED BY RIGHT HON. G. W. FORBES Press Association. —Copyright. WELLINGTON. May 9. THE Prime Minister (the Rt. Hon. G. W. Forbes) announced to-night that the question of the representation of New Zealand at the World Economic and Monetary Conference, to commence in London on Jun e 12 under the auspices of the League of Nations, had been considered by the Cabinet and it had been decided that th <% Prime Minister and the Minister of Industries und Commerce (the Hon. R. Masters) should represent the Dominion. Ihe delegation will also include Mr. G« C. Rodcta, assistant secretary to the Treasury, Professor A. H. Tockcr, and Mr. C. A. Jeffery, private secretary to the Prime Minister. It is necessary that the delegation should leave Wellington by the Rangitata om Friday.

•l desire to say,” stated Mr. Forbes, “that in determining on this course the Government considers that all-important as the economic conference must be to the whole world the gathering of representative Ministers from every part of the British Empire also affords an opportunity for consultation which must not be neglected, particularly in view of the rapid developments in connection with the trade relations of Great Britain, not only with the countries of the Empire but also with its foreign customers, who are competitors of Empire producers in the British market. There are also other vitally important matters directly affecting New Zealand which need discussion and decision to which I will refer later.

conditions which imperatively demanded a reduction in the taxpayers’ burden, and by their example they have created the right atmosphere for making proposal l ! in respect to the larger port.on of our indebtedness, which is domiciled overseas. This question, involving the rights of investors outside the Dominion, requires careful approach and can in the last resort be favourably settled only by direct negotiation with the representatives of the interests concerned. If success in reducing our overseas debt charges is to be achieved it will be possible only by responsible Ministers presenting the case in London. This question I regard as one of paramount importance to our own Dominion. “Unpalatable as many of our remedial measures have been, though the community as a whole has loyally accepted them, the Government has gone a long way towards meeting the situation within the Dominion, and it is firmly convinced that all the major measures now required to restore economic stability can be devised only at and following the World Conference. In the subsequent adaptation by Parliament of New Zealand’s policy to co-operate in any general plan for economic rehabilitation the advantage of personal discussions with British Ministers cannot be over-estimated. Opinions can in this way be expressed and advice tendered in a manner impossible by exchange for formal communications between Britain and the most distant part of the Empire. “The Rt. Hon. J. G. Coates, Minister of Finance and Customs, will be acting Prime Minister during the absence of the delegation. Having regard to the importance of the World Conference and the serious problems to be considered the Cabinet felt that it warranted the attendance of both myself and the Minister of Finance, but having regard to the difficult position in the Dominion Mr. Coates felt that he should remain beI bind. Many matters to be dealt with by l the conference will be of direct concern to the portfolios which he holds, and we will keep in close consultation with him and with other colleagues at home in the matters affecting the Dominion which will be the subject of consideration by the conference.”

PROBLEMS TO BE SOLVED. “No words of mine are needed to emphasise the importance of the Economic Conference, which will meet to discuss frankly and, if possible, to solve a most complicated and difficult set of problems. On the practical and prompt results largely depends whether the world is to drift on into economic chaos and general default or whether, as the happier alternative, it will regain that confidence which will lead to the restoration of prosperity. “Nature has not been unkind and the problem is not one of famine but of over-supply. This supply is capable of solution. Now that all the nations recognise the gravity of the situation, when in spite of all measures so far devised by them world trade has been so depressed that the countries are admittedly not far away from general economic collapse, with at least 30,000,000 workers out of employment, the main questions for consideration at the world conference may be briefly set out as follows: (a) Financial questions monetary and credit policy, exchange problems, the level of prices and the movement of capital. (b) Economic questions, improved conditions of production, and trade interchanges with particular attention to tariff policy, prohibitions and restrictions of importation and exportation, quotas and other barriers to trade, and producers’ agreements. MONETARY STANDARD.

The monetary objectives will undoubtedly be the restoration of an effective international monetary standard and the general stabilisation of currencies, combined with steps to bring about a higher level of world prices. Such questions as war debts and other debts, the international use of gold and central banking policies must also come up for consideration.

“On the economic side efforts will be directed towards lowering tariffs and removing restrictions and hindrances to greater freedom of international trade. New Zealand’s prosperity depends on the vitality and soundness of overseas markets for its products. It is a debtor country with obligations impossible to meet fully without a profitable return upon its exports. t “Every question on the conference agenda bears upon our own economic future, but apart from those questions I visualise the valuable opportunity of discussing with the representatives of the other Dominion.', of the Empire and with British Ministers many important questions of direct and immediate application to our own difficulties. For example, questions of quota restrictions on food Products vitally concern us. Our interests

have also to be watched when, as is becoming quite evident, the whole question of Empire preference will come under review. Another matter in which we have a live interest is that of embargoes imposed by foreign countries on our trade. An opportunity will be presented for very useful discussions with representatives of these countries with a view to a widening of the basis of distribution ol our surplus produce, and in this connection the presence and co-operation of my colleague the Minister of Industries and Commerce will be most valuable. REACTION IN DOMINION.

The reactions of the Economic Conference decisions upon methods of monetary stabilisation will, of course, directly affect New Zealand, which may be called upon to consider its own plans as a basis for its own monetary stability. So far as laid within its own power New Zealand adjusted itself to the drop it. the national income. Severe retrenchment, interest redaction measures and protection of the mortgagor have assisted to relieve the position and to bridge the gap between costs and prices, and the unemployment problem has been and still is a constant and predominant concern of the Government, which can fairly claim that within the limits of its financial resources (in this instance strained to the utmost) it has done its best to relieve temporarily a difficult and distressing situation. But the real and permanent solution of the unemployment problem, which practically every country is facing, must depend upon an improvement in world conditions.

“Earnest hopes are centred universally in the forthcoming conference to succeed in bringing about a substantial improvement in conditions, which must inevitably reflect itself in easing the unemployment situation in New Zealand and in thus enabling numbers of those who are now out of work again to be placed in permanent occupation, “The recent loan conversion in respect to our internal public debt indicated the willingness of our own people to meet

POLITICAL CIRCLES SURPRISED

Mr. Coates Left Out PRIME MINISTER ASSERTS HIMSELF cabinet” SPLIT? Press Association.—Copyright. Wellington, May 9. General surprise is expressed in political circles at the omission of Mr. Coates from the World Conference delegation, especially as he has been handling financial and economic problems ever since the resignation of Mr. W. Downie Stewart. In fact, Mr. Forbes has played only a minor role. Until Wednesday the matter of representation had not been before the Cabinet, and at the meeting it is stated there was a difference of opinion. Mr. Coates was said to be determined that the principal representative of the Dominion should be himself, particularly as he has been in close touch with the various problems which will face the conference. He was strongly of the opinion that both he and Mr. Forbes should not go, but he suggested Mr. Masters might be the second man. It is apparent that Mr. Forbes has asserted himself, and it is no exaggeration to say that the Cabinet is not the happy family it was said to be a few months ago.