EXCHANGE CONTROVERSY

Taranaki Daily News, 18 July 1933, Page 4

EXCHANGE CONTROVERSY

IMPORTERS RENEW ATTACK FARMERS’ ATTITUDE CRITICISED. QUOTA AGITATION IN BRITAIN. CHALLENGE TO FREE EXCHANGE. By Telegraph—Press Association. Wellington, July 17. Mr. Edwin Sahnond, president of the New Zealand Importers' Federation, in a statement to-day resumes the exchange controversy, saying: “The Farmers’ Union apparently is forcing itself to believe that our tariff is accountable for Britain’s threatened action to ration our exports. There is absolutely no evidence of this. L It is quite apparent from the London cables that it is the English farming community which is putting pressure on the British Government. “It is absurd to argue that the British farmers are concerned over our tariff which, after all, does not concern them and is entirely a matter for the British manufacturer. On the ocher hand, the British farmers bitterly resent New Zealand’s action in inflating exchange, which enables our dairy farmers to dump our butter and cheese on the United Kingdom market under a protection of 25 per cent.” Mr. Salmond proceeds to deal with the Farmers’ Union statement which, he says, endeavours to prove that the 25 per cent, is not an artificial rate. “If the farmers are honest in the belief that 25 per cent, is now the natural rate,” he says, “we challenge them to request the Government to release control when, according to their own theory, exchange will automatically remain at the present figure. If they are wrong the .rate will readjust itself to the proper level that will no longer unfairly penalise the community and the fallacy of the fanners’ propaganda will be fully revealed.”