THE FUTURE OF SILVER.

Waikato Times, Volume 110, Issue 18483, 11 November 1931, Page 9

THE FUTURE OF SILVER.

FAR EASTERN COUNTRIES. NEED FOR REVIVAL OF TRADE. The pressing need for the revival of trade with the East and South America Is turning attention again to • the future of silver as currency and Its stabilisation in price (says a London paper). An important meeting, called by the China Association, will he held in London io discuss tho problem of the silver-using countries of the Far East —China, India, etc. —whose purchasing power in Europe has been affected by 1 lie decline in the value of silver, it" is probable that the meeting will declare for the immediate calling of a conference representative of alt the silver-producing countries to decide upon iho methods to be adopted for bringing silved under control. Mr j. S. Wurdluw-Miluo, M.P., an ox-chairman of the Bombay Chamber of Commerce, and a former director of ilie Bank of India, said lliat Die issue is of enormous importance to Britain. "Take Lancashire," lie said; "the price of silver in the last ten years lias fallen from .'is to Is per ounce. "Now India and China have lo pay in money for a great deal of the eotioo goods from Lancashire and Japan which they cannot produce from the cotlon grown in Die Far East. But our currency is gold. Therefore they have In lmy gold, which remains a! a !l.\e<i price, with an ever-increasing quanlil) of their silver, due to its persistent drop In value.

"The problem is to work out some scheme hy which the currency requirements can be met by some gold-plus-silver system In such a manner as to make nations less dependent upon gold alone, and to bring hack the price of silver to such a figure as will give again to the Eastern peoples their buying power. "The British Empire, the Unite! States, Mexico and Peru produce at least 90 per cent, of all the silver in the world. An agreement between them to control supplies, and release them only at a fixed price, would help to bring silver back to its rightful place, and would assist every country in the world lo trade. "I believe that it is true to say that we can open the gates ttiat are barring the way to a trade revival with a silver key.” ’