RECIPROCITY IN TRADING

Taranaki Daily News, 2 August 1932, Page 7

RECIPROCITY IN TRADING

SOUTH AFRICA’S ARGUMENT REPLY MADE TO MR. BALDWIN HIS FIGURES ANALYSED EMERGENCY DUTY EFFECT By Telegraph—Press Assn. —Copyright. Ottawa, July 31. Mr. N. C. Havenga (South Africa) has issued a statement commenting on the British delegation’s pronouncement made by Mr. Stanley Baldwin on Thursday. “The history of trade relations between Britain and South Africa makes it necessary to declare that the idea of striking a balance-sheet of advantages and concessions is quite foreign to the minds of the South African delegation,” said Mr. Havenga. ‘'Nevertheless, I feel constrained to offer comments on some of Mr. Baldwin’s observations and deductions, doing so not in a carping and ungenerous spirit but in a frank effort to see the trade relations between the two countries in a proper perspective. “South Africa never objected to Britain’s treatment of her commodities nor complained of the spirit Britain manifested in trade matters, nor has she been querulous of the fact that preferential treatment was not always reciprocated. South Africa always had a clear perspective of the different circumstances of the two countries and of the categorically imperative duties each owes to its domestic industries.

IMPOSITION OF DUTIES. “South Africa admits that Britain’s emergency tariff at the end of 1931 and the Imprest Duties Act of 1932 greatly widened the range of imports subject to a tariff, which extension was of some value to 'South Africa. It must be mentioned, however, that the Dominions were Mot consulted regarding the selection of commodities subject to this tariff, nor was there correlation between these preferences and each industry’s requirements. Greater elasticity in these preferences would have been of greater ■utility to South Africa. South Africa would have preferred to see a slightly larger margin of preference in favour of certain commodities affected, whereas, regarding others, the extension was not eo material. “South■ Africa submits that a statement such as Mr. Baldwin’s does not best serve the objective of the conference —namely, examining ways and means of Empire co-operation and extending the existing markets. Mr. Baldwin’s statement aggregates the Dominions’ trade with Britain and consequently reflects a favourable trade balance for the Dominions. The position of South Africa is peculiar. She has encouraged British imports without insisting on quantitative trade reciprocity, and if the figures are examined in their true perspective they would show a balance of trade definitely in favour of Britain.” Mr. Baldwin’s figures, Mr. Havenga said, showed that South Africa’s total imports for 1930 from all sources were £63,357,000; from Britain £29,735,00-0; from other British countries £6,947,000; from foreign countries £26,675,000.