MUST PUT HOUSE IN ORDER.”

Timaru Herald, Volume CXXV, Issue 18537, 7 April 1930, Page 9

MUST PUT HOUSE IN ORDER.”

Australia’s Bold Measures. FACING NATIONAL EMERGENCY. (United Press Association —By Electrlo Telegraph—Copyright.) (Received, April 6, 5.5 p.m.) SYDNEY, April 6. The Hon W. Forde, acting Minister of Trade, and Customs, has issued a statement declaring that the new tariff measure was introduced merely to meet a national emergency, not as part of the Government’s protective policy. It is primarily intended to restrict imports. “Australia is a debtor nation,” the Minister added, “and her house must be put in order. One thing the Government is determined upon, is that Australia shall honour her obligations. We took this action, only after serious consideration, and after advice had bi tn sought from banks end others in a position to say which was the best way to rectify Australia’s adverse tradebalance which amounts to £90,000,00 for the past six years.” Industrial Boom Predicted. With the announcement of the tariff.' proposals local manufacturers claim that Australia is on the threshold of an era of prosperity, similar to the Doom that followed when a like action v:is adopted in the United States about sixty years ago. Opponents of the tariff point out many anomalies and predict greater unemployment and trade depression. Press Approval. Commenting on the tariff charges, the “Sydney Morning Herald” says:— “Mr Scullin’s grave and comprehensive explanation of the Government’s action has brought the House together as nothing has done since the outbreak of war in 1914. The sincere hope of all who have been watching the situation with anxiety must be that this development will spur the whole country to realise at last the necessity for united effort. Australia is thrown definitely upon her own resources to maintain her solvency and provide employment through industrial, not Government enterprise, and to temper the severity of this blow upon her working people every worker must produce more. But until Labour’s own leaders tell their followers this in unambiguous terms, we are convinced that they will not accept the exhortation. Only in this way can the inr creased taxation be met, and much suffering averted. Every employer in the land will throw in his lot with the employees in making the necessary sacrifices to secure greater exports if he can get whole-hearted co-operation in return. With that closer understanding Australia will emerge from this test stronger, fitter, and richer than she has ever been.”

C OURAGEOUS POLICY COMMENDED. BRITISH TRADE AFFECTED. (Received, April 6. 5.5 p.m.) LONDON, April 5. “The Times” commends the courage of the Scullin Government tackling the crisis, and says that ’‘British trade will be adversely affected, but the setback must be accepted philosophically. ’ “The Financial News” asks: ‘Won’t a rise in internal prices exaggerate Australia’s present difficulties. The new laws should be given a definite time limit.” Owing to the increase in tariff duties the Australian Press Association is authoritatively informed that France is contemplating retaliatory action against Australian goods. Australia House has not yet been officially informed, but the officials have been privately advised that the tariff will come as a blow to the potteries. The director of one of the largest firms in North Staffordshire, which sends its own travellers to Australia, and has built up a substantial business there, said: “It will cause us a severe loss.” The head of a firm of sanitary-ware makers, said: “A large proportion of our trade is with the Commonwealth.” VARIED OPINION IN U.S.A. TARIFF DISCRIMINATION NOT INTENDED. (Unite* Press Association—By Elec\,n® -el egraph—Copyright.) Received April 6, 11 p.m. WASHINGTON, April 5. The variety of comment —official and unofficial—on the Australian tariff schedule, indicates the variance of opinion concerning the seriousness of its effect on American trade, although everywhere there is much interest in what some observers declare will be the “highest tariff barrier in the world.”

The Associated Press reports that officials of the Department of Commerce predicted that American exports to Australia will decline. The officials are confident, however, that as soon as the stocks of American goods on hand are reduced, and Australian business conditions improve, the emergencyschedule will be lifted. However, it stated that while striking directly against America’s foreign trade in automobiles, Australia’s schedule was viewed with little concern by Government trade officials. America's trade with Australia is expected to decline, approximately 50 per cent., both as a result of the schedule and the business depression existing in the Commonwealth. Exports to Australia last year, namely 150,000,000 dollars, totalled only 3 per cent, of America’s export trade. The prohibition of manufactured tobacco is expected to react favourably on America’s export of leaf tobacco to

the Commonwealth, which in 1929 totalled 7,065,000 dollars. Australia’s imports amounts to only three-tenths of 1 per cent, of this country’s total foreign business.” The correspondent however does make clear that Australia in 1929 absorbed one-third of the total United States exports of automobiles to the Far Eastern markets.

The Washington correspondent of the “New York Times,” says: “Late last year, it was planned for American Consuls, in Australia, to file conceptions to the tariff lists then in the making, but this was not done, where there was no evidence of discrimination. The new tariff is expected generally to cut American trade.” Representative Hav/ley, who has played an important part in the revision of the American tariff, now in the Congressional Conference, said today that he preferred to make no comment on the Australian schedule, until he had had an opportunity to study the details. Nevertheless, he pointed out that the United States was not in a position to make a protest, unless it could show that there was direct discrimination against American trade.