INTENSE NATIONALISM

Taranaki Daily News, 2 June 1934, Page 7

INTENSE NATIONALISM

ITS.EVIL EFFECT ON TRADE OPINIONS OF MR, S. M. BRUCE SOME FORM OF LIMITATION ATTITUDE MISINTERPRETED By Telegraph—Press Assn.—Copyright. New York, May 31. Interviewed by the Australian Press Association, Mr. S. M. Bruce, Australian High Commissioner in London, expressed surprise at the American interpretation apparently put on his observation in Australia concerning the advisability of limiting primary production. Mr. Bruce emphasised that there had been a change in the logic of the international position since the World Econnomic Conference. In London all seemed desirous of reaching international agreements for limiting production, whereas the only basis for a genuine improvement in world economic conditions seemed to be to lower the barriers of trade between the nations and thus encourage greater exchange and consumption of goods. But the conference broke up and each nation went home to embark on a programme of even stricter nationalism, with internal limitation of production and very restricted twonation agreements or a group of trade agreements. Under these circumstances, and in the light iof experiences since the London conference, Australia could only face the realities of the position. Moreover, in the case of certain commodities such as lamb and butter, where the situation was further intensified by the Ottawa Agreements with Britain, which, along with good seasons, had resulted in an expansion of production, he thought some form of limitation was essential before an inevitable impasse arose. CANADA’S PROBLEM. “In Canada I told them that while Canada was becoming increasingly more important industrially the export of her primary production was a still more important item, and they were faced with the same problem in Australia. There was a need for a study of common problems,” said Mr. Bruce. Mr. Bruce explained also how the Dominions were in a specially favourable position in any discussions for an extension of the Ottawa Agreements. Even if non-Empire countries could offer to take as much as or more of Britain’s manufactured goods in exchange for Britain’s market for primary goods the unique consideration in favour of the Dominions would be always that they were also an outlet for Britain’s surplus population. Mr. Bruce said that in New York he would discuss financial matters, but he could not indicate their trend. He intimated that there was little likelihood of a change in Australia’s position regarding wheat. The Commonwealth was prepared to continue its export limitation since the status of wheat in the world markets was not good. Limitation of production, however, could not be undertaken, if for no other reason than the very good one that it could not be achieved. America’s own experiences seemed to demonstrate this clearly. There is a possibility that Mr. Bruce will see Mr. Roosevelt while the President is here reviewing the fleet, in which event he will make only one trip to Washington of two days’ duration, returning to New York for the finish of his American visit before sailing.