NEW ZEALAND TRADE

Wanganui Chronicle, Volume LXXXIII, Issue 19768, 16 February 1927, Page 7

NEW ZEALAND TRADE

NO CAUSE FOR ALARM PRIME MINISTER CONFIDENT IMPROVED CONDITIONS FORECASTED T Pet Press Association. ] WELLINGTON, Feb. 15. The Prime Minister (the Rt. Hon. J. G. Coates) and tho head of the Prime Minister’s Department (Mr F. D. Thomson) were entertained at luncheon this afternoon by members of the Wellington Commercial Travellers and Warehousemen’s Association. In according a welcome to the guests, the president (Mr T. E. Junes) congratulated them upon the excellent work they had performed on behalf of the Dominion at the Imperial Conference, and in travelling about Groat Britain subsequently, ascertaining how various industries applied to New Zealand. That experience must bo of great value to Mr Coates. Ho assured the Prime Minister of the Association’s support so far as increase the trade between New Zealand and Great Britain was concerned. They wished to see the trade balance between the two countries improved. In replying, Mr Coates said the present depression in New Zealand was the reflex of what was happening in other parts of the world. The primary producers in America and practically every other country in the world were finding that they were hard up against it, largely because of inflated values and over-capitalisation. Many people were ready with suggestions for solutions of these problems, but he found that so far none of the countries af- * fectcd had been able to find a real solution. • Unemployment and the Future. He had found no suggestions that he ( thought could be effectively applied. In some comparisons New Zealand was fortunate. Ulster, with a population of 1,250,000 had 40,000 unemployed, while New Zealand with a population of 1,500,000 people had on]y 1800 registered unemployed. Great Britain ajid France had the same difficulties in a larger measure than New Zealand. Mr Coates said he knew there was a nervous feeling and the suggestion of a lack of confidence in the future in the community. After having visited Great Britain and Ireland, and after meeting the directors, managers and artisans of the big manufacturing concerns, including steel work, and railway construction works, which had been completely reorganised since "the war, he had seen what was being done in industry to bring the country back to normal. The recent strike at Home had had a depressing effect upon the people of Great Britain, and the present feeling in New Zealand was the natural reflex of that. To a certain extent it accounted for unemployment. He felt that we need have no hesitation in looking to the future with firm confidence. Improvement in Industry. He was convinced that the spirit of the people of Great Britain and the new equipment in the factories must means an extraordinary development of trade in Great Britain. He did not, however, suggest that there would be a trade boom. The shipbuilding yards had years of work ahead, and all that was necessary was to get on with it. They would soon be hives of industry, and that would have its reflex in New Zealand. The Government, said Mr Coates, was anxious to see that the balance of trade was not excessive against New Zealand. The adverse balance, so far as Canada was concerned, he was hopeful of seeing overcome. There were many instances in which there was opportunity for the beneficial exchange of trade without internal trade being affected. Tho New Zealand Government could help in that direction by assisting the business community and making it profitable for them to do increased business with Canada. There was an avenue for profitable business there if they could take advantage of the opportunity that offered. Mr Thompson, in acknowledging the cordial reception, said the Prime Minister had performed most valuable work, apart from tho business of the Conference, in making New Zealand known wherever he had been.