TRADE INCREASE

Taranaki Daily News, 20 July 1935, Page 7

TRADE INCREASE

GROWTH EACH MONTH EFFECT OF AGREEMENTS EXPORT OF MACHINERY INTERNAL TRADING GOOD MR. RUNCIMAN’S REVIEW British Wireless. Rugby, July 18. In the House of Commons Mr. Walter Runciman, President of the Board of Trade, made a survey of trade and industry in which he reviewed the effects of the recent trade agreements and the prospects of further agreements. He said that British trade figures showed year after year and month after month continuous growth. There was still a long vay to go to reach the figures of 1929, but he approached the coming year in a spirit of restrained optimism. The United Kingdom exports for the first half of this year reached £206,000,000 against £189,000,000 for the first six months of last year, and taking articles wholly or mainly manufactured, the increase was not only marked but healthy also. The first six months of this year showed exports in this class of £160,000,000 against £145,500,000 in the same period last year. Very substantial increases had been recorded in the exports of machinery and vehicles group, iron and steel, and even in spite of the severe depression in Lancashire in cotton yarns and manufactures. Among manufactured goods the most important successes were recorded in the machinery classes covering every kind of machinery. Turning to trade within Great Britain, Mr. Runciman recalled that a ago he expressed the fear that it was almost reaching saturation point. He was glad to say that he had been unduly depressed in making that statement, for home trade had gone on steadily expanding throughout the whole year. The value of retail sales last year was actually 3 per cent, higher thpn in 1933. This expansio.- had increased at the same rate during the current year and sales in the first five months were very nearly 4% per* Cent, higher than in the corresponding period of 1934. EFFECT OF TARIFF SYSTEM. Speaking of the effect of the tariff system on employment, Mr. Runciman declared that' the stimulus given by tariffs during the past three years J accounted to a large extent for the prosperity of Britain’s internal trade and the return in some directions of foreign markets as well. Tariffs not only provided employment at home but they had also provided £20,000,000 for the Exchequer. The direct effect of the Ottawa agreements had come up to expectations and the agreements had tended to stimulate Empire trade. Seventeen foreign trade agreements had been signed and in 1934 the British overseas trade increased about 5 per cent. With British countries the rise had been about 12 per cent, and in the case of foreign countries with which the agreements were made the rise was 33 per cent. Mr. Runciman said Russia had'far exceeded her undertaking in giving Britain an increased quota of exports, having chartered nearly twice the amount of shipping compared with last year. Sir Herbert Samuel, Liberal Loader, complained that the Government had failed to secure trade agreements and tariff reductions with the great nations. Lieutenant-Colonel Colville, replying, said that in the first quarter ot 1935 British exports to countries with whom they had agreements increased £4,498,000, approximately 20 per cent., compared with the first quarter of 1963., Before the agreements trade with other foreigners increased only 7% per cent. He also detailed exports under the Ottawa Treaty, which had risen from £100,000,000 in 1932 to £128,000,000 in 1934, including Australian £20,000,000 to £23,300,000 and New Zealand £10,400,000 to £11,400,000.