WHAT WE NEED.

Taranaki Daily News, 5 January 1924, Page 6

WHAT WE NEED.

CRITIC OF NEW ZEALAND. FREE TRADE EXTOLLED. COST OF LIVING TOO HIGH. The progress of American Honolulu under free trade, as compared with the lack of progress in British Fiji under protective tariffs was the text chosen by Lord Leverhulme in a speech at Wellington on Thursday. The speaker hinted that New Zealand would never progress to its fullest capacity while it dictated to the woman of . the. English markets with the family basket on her arm what she should pay for her table nece?*aries, and he plainly that ho considered the high cost of steamer fares to New Zealand, and the cost of living here were preventing the attraction of the right sort of settler. “Two pounds in England,” said Lord Leverhulme, “is as good as £6 here.” The distinguished guest had many interesting things to tell the company. “You can always tell New Zealander?, but you cannot tell them much,” said Lord Leverhulme at the cabaret yesterday. “Fiji hi? not gone ahead nearly as much as Honolulu. Why is Fiji holding back?” He attributed the progress of Honolulu—notable compared to that of Fiji since his visit to both some years ago—to the fact that the United States, far from being a shining example of the success of the protectionist policy, the greatest free trade country in the world, as its States and dependencies exchanged their commodiI ties'lree. I He himself Was not a politician, a business man. but he thought there were too many business men in polities, whereas what was needed was statesmen detached from any selfish interests. New Zealand had alway been extremely fortunate in having men who had tried to serve the interests of the country first, and to thQ best of their ability. He did not think the business man at all suited to politics. MORE PEOPLE WANTED. New Zealand* problem was intensified by the fact that New Zealand was so far off the main routes. The Panama Canal had not helped New Zealand, which -still remained off the beaten track. “What you want in New Zealand.” he said, “is every inducement to bring people here, to guarantee continued fresh arrivals of the same stock. I know T am out of tune with most of you because T am a free trader, and I can sec that thi-s it not a position that is shared by most of the people of New Zealand- In New Zealand you want cheaper freights Home for your goods, your wools, butter, cheese, mutton, etc., hut when a high tariff is levied on your imports sufficient to enable the shipping companies, who sometimes run their ships outwards partly empty, to reduce your Homeward freights. The passenger rates to New Zealand are quite out of reach of the penpie you wish to attract. If New Zealand had adopted a policy of free exchange of commodities with the Old World it would have had a far greater quantity of imported goods. If yon want to increase the exports the only way to do it is to increase the imports.”

1 He had been told in Auckland: “We ‘ want to buy and sell within the F.m- . pire.” Did that mean they wanted to . keep trade within the Empire? He quoted Sir Wilfred Laurier as saying that Canada wanted England to take more of her goods, but pointed out lint Canadian manufacturers would b? I ruined if they were asked to produce [ goods at the same price as English goods. “ I COMPARATIVE COSTS OF LIVING. “A sort of hothouse plant has grown up under this policy <»f protcc. ton." con- ; tinned the speaker. “It is a policy that holds New Zealand back. Th? test of any business stands in the efficiency of service to the public—in fact, there is no business to be done except on efficient' service to the public. Protection is not » matter of the politician, but of the woman with the basket on her arm. Looking in your shop windows I see goods from all parts of th? world. They have only found they ivai) her? tecause the people wanted to buy them, but for every motor-car your tariffs/ have prevented people here from buying there is a loss of employment to ‘•omeone in New Zealand automatically. The cost of living ie high here. The ’ sum of £2 in England will buy a? nr.i.h us £6 will in Wellington. You are only making it more difficult for people to get here and live here, although you have the primary products in plenty, and of better quality than any country in the world. It is the tariffs that arc making it difficult for people to get here and live here. I am only a business man and not a politician, hut if I wanted to do the best thing for New Zealand I would say nave your frieghts made as low as possible.” EVILS OF HIGH TARIFFS. That, said Lord Leverhulwo, could only be done by increasing the volume of trade. Trade was merely the excnange of products, and if the tariffs were not so high more money would be made in New Zealand. Tt had been suggested to him that New Zealand should not go on for all time merely producing the raw material, without attempting its -nanufacture herself, but the man with the raw material had the best end of the stick. The general prosperity of the country was best served by tlie farmers, but if there were not such high tariffs the importing, as well as the exporting firms, would be doing more business, and there would be more room in the country for people seeking employment. Tn his own business experience of 57 years he bad found that the selfish policy did not pay. The wages system would endure when every other system bad passed -away, but if a staff were to be interested beyond the mere question of wages, then the success of the business must come first with it. In his business he had found the spirit of copartnership, in bad times, strong and human. Co partnership wa« ”ot applicable with success to all businesses, as the personal touch so necessary could not operateThe progress of America under internal free trade, and its loss of the shipping trade by the imposition oi heavy protective duties on foreign goods, was Lord Leverhulme’e eoncludargument far free trade*