POSITION IMROVING

Wanganui Chronicle, Volume LXXXIII, Issue 19842, 17 May 1927, Page 7

POSITION IMROVING

NEW ZEALANDS TRADE Exports Now Showing Balance Over imports PREMIER CONFIDENT OF FUTURE [Per Press Association.' DARGAVILLE, May 18. In the course of a policy speech delivered here to-night the Prime Minister (the Rt. Hon. J. G. Coates) dealt with the external trade of the Dominion, quoting figures which showed that the position had, of late, somewhat improved. It is admitted (said Mr Coates) that we are passing through a very difficult year, but New Zealand is not singular in that respect. Most countries in the world are to-day suffering from the repercussion of the economic upheaval primarily due to the war and its aftermath. Here in New Zealand, we are closely acquainted with the prosperity of Great Britain. The Mother Country is the principal purchaser of our primary products. If the purchasing power of Great Britain decreased, so there was less demand for our goods, and the result was immediately felt in the Dominion. Great Britain had recently been experiencing a most serious economic struggle, probably the greatest industrial crisis which any trading country had been brought face to face with in history. It will probably take years to recover from the economic losses and damage that she has suffered. These factors must inevitably affect her purchasing power, and New Zealand’s prosperity is, therefore, also adversely affected. To appreciate this movement, let us take our own trade figures for the last five years. For the financial year, 192223, there was a surplus of exports over imports of nearly 84 millions sterling. In 1923-24, the surplus was 7| millions. Tn 1924-25, it was nearly 5 millions. But, in 1925-26 and 1926-27, the position was reversed, and we had a surplus of imports over exports amounting to nearly 4 4 millions and 2} millions respectively. It will thus be seen that the value of our exports during 1926 was less than during 1925 by over nine million pounds. This was almost wholely due to the lower prices received for our products. Similar causes were reported last year, when the value of our exports decreased by three million pounds, notwithstanding that the quantity of butter, cheese, frozen meats and wool exported was even greater than in the preceding year.

“But,” continued the Premier, **l am glad to be in a position to say that there arc already signs of improvement taking place.” The value of the exports during the March quarter of this year was greater by £406,763 than in the corresponding quarter of 1926, tho figures being £16,671,033 and £16,264,270 respectively. The imports for the March quarter this year, compared with the same period last year, show a decline of £1,696,893, the figures being respectively £11,995,879 and £13,692,772. It wil] thus be seen from these figures that, for the quarter, there was a surplus of exports over imports of £4,675,154, as compared with £2,571,498 for the*same period last year. From this, it is clear that tho position, as far as our external trade is concerned, showf a steady improvement/’

“I think,” the Premier went on, “there is justification for saying that the low level mark has been reached and that we can face the future with calm confidence.”