QUOTA OPPOSED

Taranaki Daily News, 19 July 1933, Page 7

QUOTA OPPOSED

CONFERENCE IN BRITAIN THE DEADLOCK CONTINUES DOMINIONS STANDING FIRM POLICY OF FREE MARKETS QUESTION OF ADVERTISING ’ By Telegraph—Press Assn.—Copyright. London, Jnly 17. The Dominions and British Ministers reassembled to-day for’ a conference in connection with Britain’s proposed dairy ; produce and meat quotes. Britain produced no proposals and no headway was made. The Australian and New Zealand representatives continued to resist any restriction. There will be another meet- » ing to-morrow. In the House of Commons Mr. G. Lambert (Lib. Nat.) sought an assurance that the Empire Marketing Board would not advertise Dominion dairy products to be sold in Britain at prices below the price in the country of origin. Mr. J. H. Thomas, Dominions Secretary, replied that the board was not contemplating any special campaign in favour of Dominion dairy products. BRITAIN VERY ACTIVE STRONG MOVE FOR QUOTAS. SUPPORT FROM CONTINENT. (Special to United Press Assn.) Rec. 5.5 p.m. London, July 17. Matters are very active with regard to the desire of the British authorities for a butter quota agrement. Needless to say the New Zealand delegates are doing their utmost to secure the continuation of open markets. It is surprising how strong has become the feeling generally in favour of a quota system as a means of raising the price levels of primary products. The subject was recently discussed by the international conference, and the conference in the main was favourable to the principle. Already almost all European countries have a quota system in operation with regard to various products, and it is these countries that most strongly support restriction agreements. At the meeting on Friday of the conference sub-committee which dealt with the Polish proposal that consideration be given to the world regulation of butter production and marketing, the same strong feeling was apparent among the European delegates, including exporting countries.

At that meeting a committee was set ' up representative of the countries pro- ’ ducing and exporting and producing and not exporting. The Hon. R. Masters was appointed to represent New Zealand. The first meeting will take place to-morrow. ! In view of the great importance of the subject to New Zealand it is extremely ! fortunate the Prime Minister and Mr. , Masters are in Britain. They are giving the subject their undivided attention, exploring every avenue to secure New Zealand’s interests. TURNING OF THE CORNER .I ■ - STEADY IMPROVEMENT IN PRICES. NOT ONLY INFLATION BOOM. Rec. 9.16 p.m. London, July 18. Hhe. Westminster Bank Review, discussing the recovery of commodity prices, say it is only a half-truth to call the rises an “inflation boom.” Though the American monetary policy had been largely responsible for the increases there had been no actual inflation. Even' if the rises of the past few weeks should be followed by a setback there was ground for confidence that this would be only partial compared with the previous falls. “Prices have risen only moderately,” says the review. Former drops have been counteracted by the optimism engendered by recent events; consequently the rising of prices instead of checking the demand have encouraged it. The greatest danger of the situation is that the supplier should seek to force prices up too high and thus check the demand, or that the rise should cause an over-rapid breakdown of the marketing and production restriction schemes. The sooner free marketing and production are resumed the better, but it must come .in orderly fashion. If these dangers are avoided there is reason to believe that though difficult times are ahead the recovery of commodity values marks a definite turning of the corner.”