CHANGE EXPECTED

Evening Post, Volume CIX, Issue 102, 2 May 1930, Page 10

CHANGE EXPECTED

A DEFINITE TREATY

HOW PRODUCERS HAVE

BENEFITED

The subject of the duty on New Zealand butterentering Canada has figureseveral times in the cablegrams of late, and previous indication has been given of a probable change. In the Canadian House of Representatives last month tho .Conservative Party moved an amendment "that certain trade arrangements with the Dominion of New Zealand should bo rescinded forthwith, and immediate steps taken to "negotiate a treaty with that Dominion on fair and equitable terms." A day or two Inter, the secretary of the National Dairy Council of Canada was reported to have advocated the imposition of a. duty of seven cents on butter from Australia and New Zealand, New Zealand to be given three cents preference. ■ -■ Tliere is no actual Customs agreement between Canada and New Zealand. In 1925 a trade agreement was mado between Canada and Australia uudcr which the duty on butter was reduced from four cents to one cent per pound. This rate . was conceded, to New Zealand at the same time. It would appear that the Canadian Government vow eoutemplates the withdrawal of this concession ' from New Zealand, and that it has also in niind the negotiation .of • some trade\agreement with this Dominion. * ~ BENEFIT TO PRODUCERS. The extent, to which the New Zealand butter producers have benefited by the' concession given to. this: Dominion aftor the negotiation of the Australian trade treaty is strikingly .shown in the returns of butter exported from l>!e\v Zealand to Canada from 1925 to 1929. The quantity increased during that period from 3015c\vt to 335,127 cwt, and the value from £26,360 to £.2,707,669. The appended table shows the quautities and value of butter cxport.ed to Canada from 1925 to 1929:— Cvrt. £ 3925 ...... ii,615 26,360 1926 ...... ' 29,"40:J 230,562 1927 116,100 . 899,727 192S .. 199,706 . 1,565,646 1929 ...... 335,127 2,707,669 TOTAL BUTTER EXPORTS. The quantity exported to Canada during 1929 represented 20 per- cent: of New Zealand's total butter exports. The total butter exports to all countries, including Canada, for tho period referred-to above were as under:— Cwt. ' & 1925 ...... 1,245,324 10,240,132 1026 1,168,040 8,695,188 1927 1,455,539 10,915,233 1928 , 1,449,570 .11,302,667 1929 .. 1,653,807 13,228,027 LEEWAY OVERTAKEN The. action of the Australian authorities in imposing a' duty of sixpence a pound on New. Zealand butter imported as from June, 1928, practically closed that market to the Dominion, but tho development of .the butter export trade to Canada more than made up for that loss. At the same time it enabled New Zealand to overtake a good deal of the leeway in its trade balance - with Canada. Whereas iv 1925 New Zealand exports of all descriptions to Canada totalled in value only £423,068, as compared with the goods valued at £3,916,237 imported from Canada in tho same year, they reached in 1929 the amount of £3,353*--975, as agaiust the £4,787,181 worth of- articles bought'from Canada. The following figures give the amount of the New Zealand exports as compared with the amount of the importations from Canada: — Exports. Imports. & & 1925 423,06S 3,916,237 I 1926 .... 861,717 3,431,533 1927 .... 1,666,598 2,739,826 1928 .... 2,469,150 3,25.8,828 1929 .... 3,353,975 4,787,181