TRADE WITH CANADA

Dominion, Volume 13, Issue 75, 22 December 1919, Page 8

TRADE WITH CANADA

POSITION OF NEW ZEALAND POLICY OF RECIPROCITY Tlio important rosults likely to bo secured for New Zealand manufacturers by the recent decision of tho Canadian Government to foster a reciprocal trading policy within tho Empiro was emphasised by Mr. W. A. Beddoe, Canadian Trado ■ Commissioner in New Zealand, who returned to Auckland last week from a visit to Canada. In oi\ler to give the fullest passible support to tlio scliemo of reciprocity tho Canadian Government has purchased a number of steamers

which are to bo employed in the Atlantic and Pacific services.

Mr. Beddoo stated to a "Herald" representative that tho object of his visit to Canada, together with tho commissioners from other parts of the Eflipire, was to induce the Canadian manufacturers to increaso their export trade so that new money could bo' secured for the Dominion. Certain difficulties were encountered, because it was found that the manufacturers, without exception, were enjoying tremendous prosperity: in fact, they could not cope with further orders. Manufacturers generously responded to a suggestion that they should facilitate export trado within the Empire, and one result of this would bo an increase in the business passing between Canada, and Now Zealand. To assist this prospective increase in trade, tho Canadian Government had embarked upon a shipbuilding policy. One fleet of 53 steamers, varying in size from 5000 to 10,000 tons, had been ordered. About 20 wero nlready off the stocks, and somo were in commission The first steamer off the stocks in Vancouver was the Canadian fiaide.r, which had been chartered for Melbourne with a cargo of timber. Mr. Beddoe sa : d lie was endeavouring to negotiate for this vessel to return from Melbourne to New Zealand to sail direct from here for Montreal with a cargo of New Zealand produce. Tho next vessel to leavo the Pacific Coast would bo the Canadian Promoter, a vessel of about SOflO tons. This steamer would lond for New Zealand and Australian ports. Other vessels would follow ns trade developed:

The Canad-'an Government had purchased the Canadian Northern Railroad Company's assets, including the 'csscls running in the Atlantic service known as the Royal line, continued Mr. Beddoe. Ho said that just as lie left Canada Parliament had agreed to purchase the property of tlio Grand Trunk Railway Company. This would give tho Canadian Government two Transcontinental lines from tlio Atlantic to tho Pacific. Thercforef it was only reasonable that to secure through freight tho Government would ostablifih steamers on the Pacific as well as on tho North 'and South At--Imi tic.- This would be tlio logical result of the Canadian Government owning and operating the two Trans-continental lines, which must, bo supplied with through fre'ght from Canada to New Zealand. . A disposition 011 the part of Canadian exporters to do business with New Zealand was noted by Sir. Beddoe during his visit. Ho said he had v'sited numerous factories throughout Canada, and found a. remarkable condition of prosperity, and an unbounded faith in tho future Evidence of this was found in the increasingly largo number of orders being received. It was impossible to fulfil fojne demands, and in many cases factories were largely increasing their capacity. "The Canadian manufacturer," said Mr. Beddoe, in conclusion, "realises that it is a good thing from an Impsral point of view to buy and sell within the Empire. I found in many instances that !\ow Zealand was selling raw mater'al to Now York houses. Tho raw material eventually'Tound its way to Canada. A more desirable course would bo to soil Hit' raw material direct to Canada, because the. latter sells the finished article to New Zealand, and the Canadian manufacturer should "be placed in the position of being able to buy tho raw material direct instead of from a foreign sourco."