REPLY TO CRITICS

Waikato Times, Volume 124, Issue 20831, 15 June 1939, Page 7

REPLY TO CRITICS

MR NASH IN LONDON DOMINION LEGISLATION DEFENCE OF GOVERNMENT (United Fr«M A»*n.—Ef«c. T«l. Copyright) (Received June 16, 11.6 a.m.) LONDON, June 14 The New Zeeland Minister of Finance, Mr W. Nash, in a letter to the Manchester Guardian In reply to critics, declares that the New Zeeland Qovarnment la satisfled that licensing la tha most appropriate method of contracting imports. It does not deslrs to reduce trade, especially with Britain. New Zealand Is not In the least enamoured of eelf-sufh-clency, but wants to extend trade and secure It against disastrous boom and slump fluctuations. The city editor of the Manchester Guardian points out that the anxiety on the part of city businessmen anil exporters is not making Mr Nash's loan quest easier, due to the fact that the people who provide the money waul to be sure that it will not be used to increase imports of industrial plant to enable New Zealand further to compete with imported manufactures. It should, however, be remembered that the Government has overcome the crisis in the Dominion due to the instability of the export markets. Whether its policy will succeed in the lung run i» another matler. Controlled trade means that New Zealand, like the totalitarian States, is meeting with retaliation from buyers of its produce. No Unfair Discrimination Mr Nash described his conversations with manufacturers as full and frank. He admitted that they had sought fuller markets in New Zealand, but were satisfied that the New Zealand Government was not showing unfair discrimination. The executive of the Federation of British Industries, however, condemned New Zealand's policy as a breach of the Ottawa Agreement, and contrary to the interests of the Empire as a whole. The New Zealand Government's offer to lift licenses in favour of manufacturers willing to allow payment of goods to remain in the Dominion for an unstated time and rate is wholly unacceptable. Little Progress With Loan Mr Nash is making little progress with the proposed loan, due partly to criticism of the New Zealand policy, and he may b© forced to ask Britain s Government to help out New Zealand. Mr Nash discussed defence and aviation with members of the Cabinet, and expressed the opinion that the trans-Tasman service should open in September.