NEW ZEALAND AND FEDERATION.

Tuapeka Times, Volume XXIV, Issue 1901, 1 June 1892, Page 6

NEW ZEALAND AND FEDERATION.

When Victoria and New Zealand boga" the selfish policy of closing their markets against the produce of neighboring colonies, they probably never looked at tho ultimate consequences of their action. They saw that it they put a tax on the maize or the oats of one another, or of New South Wales, they would stimulate these productions within their own territory, and be able to supply their neighbors. They have supplied themselves with more or less success, forcing unsuitable land and climate to yield certain kinds of produce at a greater coßt than it can be produced elsewhere, but compelled to sell it in consequence of a glut at low prices. Their neighbors, however, including New South Wales, having now imposed similar duties, they are beginning to feel the prejudicial effects of their bad policy. This is what is said by two leading firms of grain merchants in their last circular published at Christchurch : — " The avenues of trade with Australia seem to have been getting gradually blocked up, and it is rarely, except where special scarcity in some cereal or article of produce happens to manifest itself, that transactions of any magnitude can be brought about. There would almost appear to be little chance of much improvement in this respect for an indefinite period, so effectually are the tariffs of the different colonies interfering with the natural current of business. The United Kingdom, fortunately, still remains to us ; and indeed the ' Old Country ' seems to be our best market now for almost everything of importance." Fortunate it is no doubt for New Zealand that on being driven out of the Australian markets she has England to frade with. But if New Zealand had not been a leader in this deplorable policy of isolation, her grain merchants would not have now to complain of the block of trade with Australia. Those who were among the first to enter on this unfortunate policy of isolation cannot look back with satisfaction on what they have done, and they deserve no sympathy as they look longingly on markets which the adoption of their own policy has deprived them of. There are not a few Freetraders who regard this retaliatory policy of sections of one State, which the colonies really are, as the prelude to federation. The absurdity of hostile tariffs will become so apparent, and expose the colonies to so much ridicule within and without their borders, that sooner or later the common intelligence will, through the ballot-boxeß, insist on intercolonial freetrade, as a matter of special agreement or as the main feature of a federal policy, New Zealand was unwilling to join the Australian colonies at the recent Conference. But a few years' experience of the conditions described by her grain merchants will open the eyes of her rulers to the advantages of reciprocity, and when another gathering for the consideration of federation is assembled, there will probably be more willingness to recognise the common interest she has with the other colonies in a bond of freedom. — ' Sydney Morning Herald.'