H—44.

10

The balance of trade for 1929 is again considerably in favour of our sister Dominion, but the important step taken by the New Zealand Government towards the end of the year, referred to at greater length in another ■ section of this report —i.e., the appointment of a Commissioner for New Zealand in Canada —should give an impetus to the export trade of New Zealand, and, provided no obstacles to trade are erected, should help to equalize the value of the trade between the two countries. The value of the main items exported from New Zealand to Canada in each of the last five years is as follows :—

It will be notice! that in 1929 butter represented approximately 81 per cent, of our total exports to Canada. In view of this fact, and in view of the fact that the balance of trade each year is in favour of Canada, the recent decision of the Canadian Government to cancel the application of the Australian trade agreement to New Zealand must be regarded as of serious import to the trade connections which have been built up during the last few years by New Zealand exporters with Canadian business houses. It is hoped, however, that before the expiry of the Order in Council which extended the agreement to New Zealand, tariff arrangements may have been completed mutually satisfactory to both, countries. As regards imports into New Zealand from Canada, as will be seen in the following table, the principal item consists of motor-vehicles, and the increase in imports last year as compared with the previous year is explained chiefly by additional imports of that particular item. The values of the main items of import for the last five years are shown below : —

The transport facilities between. New Zealand and Canada are adequate and regular, tlie production seasons are opposite, and the good will and respect of importers is mutually held in each country. It will be a matter for great regret, therefore, if a satisfactory trade agreement cannot be implemented between the two countries. Other than this there appears to be no bar to a continuation of the rapid development which has been exhibited in the trade figures during the last few years. Trade with the United States. The value of our exports to the United States in 1929 totalled £3,653,327, as compared with £4,260,315 for the previous year, while imports into New Zealand from the United States amounted to £9,326,311 in 1929, as against £8,203,342 for 1928. The value of our trade with that country for the last five years is shown by the table below, and also its relative importance as far as total exports and imports are concerned : —

I I, I I ; 1925. 1026. | 1927. 1928. 1929. £ £ £ ! £ £ Butter .. .. .. 26,360 230,562 899,727 1,565,646 2,707,669 Sausage casings and skins .. 231,884 319,470 422,655 461,074 265,521 Wool .. .. .. 53,951 158,329 213,140 224,810 200,163 Hides, pelts, and skins (undressed) 66,809 j 97,316 57,127 81,785 63,904

1925. 1926. ! 1927. 1928. I 1929. I ! ! I I £ £ £ £ £ Motor-veliicles —oars, trucks, and 1,344,337 839,188 276,359 593,372 1,574,246 buses, and chassis for same Tires for motor-vehicles .. 589,843 396,622 520,274 595,385 754,709 Newsprint .. .. .. 227,140 251,050 266,226 267,893 319,014 Boots, shoes, and other footwear .. 124,844 175,111 157,749 203,527 250,254 Fish, preserved in tins .. .. 118,332 111,090 101,447 105,060 116,941

v ,+ i Per Cent, of Total • , Per Cent, of Total Year " Exports - j Exports. lm P° rts - Imports. £ ! £ 1925 .. .. .. 4,349,758 | 7-87 8,885.265 16-94 1926 .. .. .. | 3,818,232 , 8-43 10,000.507 20-05 1927 .. .. .. 2,681,091 ! 5-53 8,079,467 18-04 1928 .. .. .. 4,260,315 1 7-58 8,204,197 18-28 1929 .. .. .. 3,653,327 6-57 9,326,311 19-11 ' I ■