NEW ZEALAND TRADE.

Taranaki Herald, Volume LXVI, Issue 16311, 11 December 1918, Page 5

NEW ZEALAND TRADE.

TOST-IYAR OUTLOOK. ADVICE TO MANUFACTURERS. LONDON', Oct. 18. The annual report on the trade of New Zealand by Mr. R. W. Dalton, British Trade Commission'd 1 , has just been published. Mr. Dalton remarks that it can fairly bo said that New Zealand has boon well favoured in the matter ot shipping, and that congestion, which might have proved serious, has been largely avoided. The immediate future must depend to a great extent on the supply of shipping, while the distant future will depend on the course of the markets after the war.

Yfhile loan conditions undoubtedly prevail, Mr. Dalton mentions that the banks and the large stock and station companies are keeping a tight hold on the financial situation, so that there is a lack of speculation on any extensive scale which might operate to the detriment of New Zealand in the uncertain period which may follow tho war. Should prices of produce remain high, New Zealand, after the war, ought to witness a further ora of groat prosperity, attended by heavy buying and an important campaign of development. Mr. Dalton hazards tho opinion that if local conditions continue favourable after the war, as they most probably will do, the New Zealand market will show an expansion which might not have been shown for a number of years bad tho war not taken place. “One cannot travel throughout New Zealand without realising what a remarkable country it is, both as a producing and as an importing country, in relation to the size of its population, which only slightly exceeds 1,000.000,’ lie says. “Tho scope for further development is enormous, and there seems no reason whatever to doubt that this development will come. The war has undoubtedly advanced New Zealand’s possilflitics. and with the whole country ready to press forward any sound scheme of development which may be advanced, the years immediately following the war will probably show very rapid progress. At present the market may seem relatively small, but it would ! bo unwise of British traders, investors | an,d companies not to give, it the most careful thought and investigation, having regard to its possible future.” THE DOMINION’S PROSPERITY. British manufacturers, he continues, may anticipate the immediate recovery of some of the trade which has been lost just as soon ns they are again in a position to supply. Mr. Dalton thinks a good deal of this recovery will come without any particular effort on the part of tho manufacturers to secure it, because some of the goods which have been purchased from foreign countries since the war have been bought there solely because they could not he obtained at home. “But,” to quote the Trade Commissioner, "it would be unwise for our manufacturers to imagine that the whole of the trade will revert to them as soon as tho war is over, or to think that because this Dominion forms part of the British Empire less strenuous attempts than those made in foreign countries will bo effective. The sentiment of purchasers is undoubtedly strongly in favour of British trade, other things being equal, and for this reason alone an effort equal to that made in non-British countries will probably produce a greater result. “ A point further which should not bo lost sight of in this connection is that since the war New Zealand has been extraordinarily prosperous. Tho potential position of the Dominion, ns a trading country is, therefore, much stronger than it has boon. Development of important industries during the war has been rapid, and the whole Dominion is looking forward to a vast development of-the country in general when the war is over.”

BETTER ORGANISATION NEEDED. “Much is being said and done regarding organisation, construction, and preparation of trading interests at Home, but if it is true that export trade is of chief importance and if New Zealand may he taken as an example of export markets in general, then organisation and preparation overseas should go on side by side with reorganisation at Home, as being of equal, if not greater, importance.” The report continues:—“The main fault in our trading with New Zealand is lack of proper organisation and of careful investigation preceding tho establishment of trading regulations. There are a great many reasons why these investigations should be made. The market is a small one in the majority of lines, hut in some lines it is considerable, and, at times, out of all proportion to the size of the population. An arrangement which would be perfectly satisfactory for some goods will, therefore, obviously be unsatisfactory for others: and yet it will he found that a firm supplying articles for which there is a large and scattered demand will attempt to operate on this market exactly id the same way as a firm supplying goods, the trade-in which is small and concentrated. “The number of direct importers in Now Zealand is out of all proportion to the size of the population. While there may be a loss of efficiency caused by supplying so many, it seems clear that, if the trade of the Dominion is to he covered, firms at Home must be prepared to supply those various marks, unless a closer organisation of trading interests in New Zealand should make this course unnecessary. The trading interests of the Dominion arc undoubtedly complex for so small a market, and to get tho best out of the market, firms at Home should examine tlie.se interests and understand exactly what thev are doingotherwise they' run the risk of irritating imjiortant customers and loslnS business in consequence. “lo defer negotiations until after the war, when negotiations with good firms are possible now, is a mistake. There are two considerations which seem to make it desirable that firms should not lose these opportunities.” IMMEDIATE ACTION URGED. The first consideration has reference to the long time needed for correspondence to pass to and fro at the present time, necessitating perhaps the space of 12 months for the completion of simple negotiations, and it is obvious that it is better to make arrangements now than after the war. when business might be waiting to be done. It is Mr. Dalopinion that the second consideration'is oven more important. He , remarks: “There are many good firms in New Zealand now wild are anxious to complete their agencies with one or two new lines; they realise, that they must be ready -with those lines when war is over. Good agents are not so uumer-

ous that wo can afford to lose their' services in tho interests of United Kingdom manufacturers. j “Many firms at Homo seem to regard agents overseas, even when they have I appointed them, as impersonal and not i altogether desirable adjuncts to their 1 business, instead of as human beings; whoso zeal in the sale of their principals’ I goods can bo diminished or increased hyl discouragement or encouragement. This is one of those psychological aspects of business which American firms seem to; understand.” Mr. Dalton says that firms at Homo should take very active steps immediately to bring to the knowledge of hny- ( ers in Now Zealand now lines which ’ they have produced since the war, or j which they are prepared to produce af-’ ter the war. If the collection of a range of samples of now lines could ho made, ; it could be exhibited throughout Now | Zealand, and would arouse very great! interest.