FINANCIAL OUTLOOK.

Star (Christchurch), Issue 16305, 21 December 1920, Page 6

FINANCIAL OUTLOOK.

x,; VIEWS OF SIR THOMAS MACKENZIE. NO UKAIi DANGER IN NEW ZEALAND. Sir Thomas Mackenzie, in ‘an interview yesterday, discussed tho liuancial and trade position, particularly in tho light of his experience ns High Commissioner lor New Zealand in Loudon. Referring to rumours of a slump, he said-, “There is no veal danger. Tho crisis', with care and knowledge, may ho surmounted. New Zealand’s producing capacity is unimpaired, and the markets, on the whole are satisfactory if they are properly handled, Mo have sulforcd a great deal by tho methods of the commandeer of botli IllOilt ami wool. Tho effects of that will lie felt tor some lime, ITenr, but there is no reason why we should be unduly pessimistic. Moat and dairy produce arc sound propositions, and if tho idle Continental machinery is put into operation and the manufactured woollen article is placed within reach of an eager public at a price within their ability to pay, tho wool situation will bo eased sooner than, perhaps, somo people anticipate. In the past, large sums have been spent on exhibitions. Mr Massey stated that £25,(!()0 was spent _on an American exhibition. An (exhibition was proposed to be hold in the OH Country in 1922. and T25,000 will have to bo spent on it also. I believe that money spent on exhibitions is largely thrown away. The Now Zealand court in a largo international exhibition will furnish a corner. It, no doubt, will bo well equipped, but people do not. carry away from an frxhibilion an adequate impression that will widen tho trade of the exhibiting country. A sura spent in other directions under capable control will bring nuich belter returns than if it is spent on exhibitions. Tile Government should consider whether an expenditure in that respect might not be used for safeguarding New Zealand’s farming and trade interests overseas.” MORE PEOPLE NEEDED. “ The day will come,” he continued, “ when New Zealand, 1 am afraid, will have to depend upon her strong right arm for the protection of her shores. M ith a realisation of that fact, it behoves us to prepare our lines of action in such a way that there will be an inflow of suitable people to the Dominion. M’e must try to make their occupations profitable to them. Our primary industries are making great strides, and they can be further developed, but our secondary industries need to be very much widened in order to offer employment to largo numbers of people._ M e must develop internally a self-reliant policy, and induce as many people of the right kind to come here as possible. 1 may point out that Canada is taking up the manufacture of wool on a large scale. In 1918 the Canadian woollen textile industry represented an investment of 19,268.000 dollars; there were jveventy-five mills in operation, and 5557 persons were employed. The woollen fabrics Canada produces are largely made from British wool. I should like to note sensible renlarks bv Mr Joseph Cowen in a speech delivered in England:— “'lf dominion goes from a people trade goes.’ he said. ‘ What has been will lie. If Rnglundjs to keop her commerce she must keep her Empire; and she can only do that by paying a ~ 7, iUK ! sufficient premium against all risks; in other language, by being resolved to enforce her rights, and prepare to defend her interests.’ The Dominions are making great strides and they (ire in a position to develop industries, which before the war could not have been developed. M T c remiire good men and women to people bur waste places. In the past, English- people have been allowed to go like the wind, Su¥ r I n-! hst ? d ' T ~otice tlmt from I.KM to 1914 no fewer than 250,000 left England s shores each year, and in one year there were as many as 400.000. Many citizens wish to leave the United Kingdom and it should be our duty to direct them to this part of Hie Empire. <1 wi' s not .9 1 . 1 * l’* ace " to ’ point out tnat tho positions occupied bv the iu the mmd of tho Old Country have been greatly improved smeo 1912. I was iii London ™ High Commissioner lor New Zealand some years before the High Commissioners were given the right even to occupy seats m the Strangers’ Galleiy in the House of Commons; seats now are set aside for their use. Our Ministers have taken their place beside Imperial Ministers at the 1 Imperial M nr Conference. When the New Zealand Government honoured me bv instructing mo to sign treaties in Paris hMf nT +r w- re sißned b -V me on hehalf of the King as representing the F 6 ?? 0 mf t!l ° Dominion of New Zeaand The same position was occupied by other representatives who signed It was the first time that our Dominion received Imperial recognition. In that vork, Mr Massey and Sir Joseph Ward .great service to the overseas Dominions. _ Representatives of the Dominions, in future, can act directly for their countries, and representations no longer must be made to the Imperial Govenuuent through the Colonial THE “OPEN BOOR.” Speaking generally of tho position of the Empire’ ho expressed an opinion that it was very bright. “ She still possesses the largest area of the world’s surface, the greatest population, an aL most unlimited supply of raw materials and food, and she still possesses the largest mercantile marine,” he said •If it is only possible to get our people to settle down, Britain will continue to stand first for quality. It was only to bo expected, that the war would have an upsetting, effect ;"but in my opinion the profiteering that goes on in the Old Country, and from which even tho Government has not been free has done, and is doing, more to keep the public m a state of unrest than anv other factor. t ‘ “An important question may be asked as to the Imperial policy towards New Zealand. Are we to continue the policy ot the open door to our enemies such as extended to them before the war. Shall .hose of us who stood shoulder to shoulder receive no greater assistance than the enemies who would have reduced ns to slavery and our country to a waste if they' had won? bio doubt Germany is down fust now out she will indulge in her Hymn of Hato until an opportunity occurs to strike us. Emil Zimmerinami said 'Our rise depended essentially on the English _ policy of the open door Wo were sojourners in England’s house paying guests of tho Anglo-Saxons! jho secret of our success lies, apart irom our organisation and the training of our working classes, in tho fact that England and the countries which are tho groat producers of raw materials granted us the open door, allowed us to draiy on them vast reservoirs of ra ,"" materials. If this permission is withdrawn, we shall bo at one stroke onco more a Germany of 1880 Onr dependence on the Anglo-Saxons was so great that it is no exaggeration to sav that our system of protection was only possible because the Anglo-Saxons put at our disposal their fields of cheat) rawmaterials across the sea. But they did more—thoy gave admission to our merchants, trade agents, commercial establishments everywhere in their broad domains, looked kindly on them as long as they were modest, and thereby they assisted materially the open markets for our industrial products.’ “It seems to me that the situation must be changed. M r o must not hang to the question of free trade or prc£ tection entirely, but consider the interests, peculiarities and advantages of tho countries constituting our Empire, and whilst doing justice to our Allies,. we must seo to it that our laws are so framed as to give advantages to our own people, to those who stand bv ns in adversity and in difficulties, t have great hopes in the United King-

(loin Department of Overseas Trade, if there arc proper oillccrg to advise. T regret exceedingly that circumstances rendered it necessary to transfer Sir Hnrnar Greenwood from that Department to another one. Ho had the rifjht perception, the energy and the spirit that are required. What one reelß m connection with Departments Controlled by Government is that the advisers are often inexperienced. Tliev are, as_ a rule, trained in schools and universities, not in the special work they have to perform afterwards but in other subjects, and they have therefore not Hie experience essential to guide them. lam strongly of opinion that a system of advisory councils should be appointed to deal with trade and agricultural produce. . Tliev should be controlled by active Ministers, possessed of more than a theoretical knowledge, and by capable departmental servants. They would bo of incalculable value to Aow Zealand and the Old Country. At the same time there should be in the tinted Kingdom advisory committor acquainted with overseas produce requirements and conditions and familiar with trade in "Europe, whoso particular duty it would he to 'advise tho Dominion Governments or the Board of Agriculture and Trade on questions of trade and allied questions, The Allies, America, and Canada are maturing something of this nature in connection with trade and commerce, called the International Bureau of Commerce, which should do ercat work.’ ”