ENGLANDS OPEN DOOR

Dominion, Volume 20, Issue 60, 4 December 1926, Page 8

ENGLANDS OPEN DOOR

MAY BE CLOSED IN NEW ZEALAND’S FACE DANGER OF PROTECTIVE TARIFFS World conditions are changing. The tendency amongst the nations—not excluding the British overseas dependencies—is to heighten their Customs barriers in order to encourage their manufacturing industries, and, as a consequence, British trade must suffer. .In the foregoing terms Sir George Elliot, chairman of directors of the Bank of New Zealand, prefaced a warning against the danger of protective tariffs, at the half-yearly meeting of shareholders of the bank in Wellington yesterday. “The termination of the unfortunate coal strike—estimated, directly and-in-directly, to have resulted in a loss of at least £400,000,000 to Great Britain —will, in my opinion,” he said, "be followed by great industrial activity there. It should also have an immediate effect on the values of the primary products of New Zealand.

“As compared, with the previous year, apart from Government deposits, the total average deposits of all the banks trading in New Zealand for the three months ended September last have decreased by £1,770,571, while advances have increased by £3,127,375, making a total reduction in the resources of the banks of £4,897,946. This position is brought about entirely by excess of imports over exports. May I remind you that practically the whole of our exportable surplus is shipped to the United Kingdom, and it is within the range of possibility that in the years to come the den and for our products there may gradually decrease. However much she may dislike the idea, Great Britain may yet be compelled, for the protection of her own people, to change her policy and follow the pernicious example that is being set her, and, by the imposition of heavy protective duties, close a market that has been open and free to the products of every race and nation. Canada for the Canadians, Australia for . the Australians, New Zealand for the New Zealanders, are popular, if selfish, mottoes. If Great Britain adopted the same slogan and acted on it, the export trade of, New Zealand, at any rate, might be prejudicially affected 1 . Our country cannot have it both ways; she cannot expect indefinitely to have a free market in the- Old Country if her own Customs door is gradually being closed. In the event of a revision of the NewZealand Customs tariff, this aspect of a very serious question should receive the most careful consideration.”