The Timaru Herald SATURDAY, DECEMBER 14, 1912. RECIPROCITY WITH AUSTRALIA.

Timaru Herald, Volume XCVI, Issue 14922, 14 December 1912, Page 8

The Timaru Herald SATURDAY, DECEMBER 14, 1912. RECIPROCITY WITH AUSTRALIA.

A grent deal has been said about reciprocity between Australia and New Zealand in the last twelve months, but the proposed alterations of the tariff that were approved by the Conference of South Island Chambers of Commerce and Grain, Seed, and Produce Associations, held in Christchurcli on Thursday, represents the first attempt to deal with details of the subject. Even the resolutions of the Conference are no more thaii provisional. They have yet to be considered by the Chambers of Commerce separately before they are submitted to the Government, and the consent of the Australian Government must also be obtained before they can be incorporated in a reciprocal agreement. The conference,! as was inevitable, found ihe subject to be one bristling with difficulties, and there "were naturally .strong- differences of opinion as to how far suggested changes j n the tariff would benefit consumers, without injuring- producers or manufacturers. _lt was unauimously agreed, in the beginning. ihat any complete or general measure of free trade between the two countries was undesirable. The equal duties finally suggested on a list of seventeen commodities would.require much larger reductions of the Australian than of the New Zealand tariff, and it seems as if this country w child gain much, and stand little chance of losing anything by them. It was proposed that the New Zealand duty on flour should remain as it is. Ihat of Australia being reduced to meet it. and that the duty on wheat, which is now fid per cental in the Dominion and Is 6d in the Commonwealth, should he !)d in the new tariff. The majority of the members of the conference were naturally averse to granting any concessions in Australia which might have the effect of injuring or destroying New Zealand's wheat production. and making this country dependent on Australian supplies which, in time of drought, might not be forthcoming. At the same time, if the Commonwealth is willing Jo reduce its duties on various cmmodities to the extent nropos.vl, a great impetus, from which all would benefit, should be givm to the New Zealand trade- It was pointed out at the Conference that since the reciprocal arrangement was made with Canada our imports from that country have increased, by 83 per cent., and the exports by about 1000 per centIt is almost inevitable that Australia should be asked • to make larger reductions on her tariff than New Zealand can afford to since at the present time our restrictions on the products of the Commonwealth are much lighter than those which Australia imposes upon us. Air Fisher, the Prime Minister of the Commonwealth, stated a few months ago that he was in favour of full commercial reciprocity between the two countries, amounting practically to free trade. Whether he will be in favour of a much more moderate reciprocity is a question which will be determined', probably, when the Ministers for Trade and Customs of New Zealand, Australia, Canada, and South Africa meet, as the New Zealand Government is suggesting they should do, in Australia in March next to discuss the inter-trade relations of their respective countries.