TERMS REVEALED

Evening Post, Volume CXIV, Issue 90, 13 October 1932, Page 12

TERMS REVEALED

OTTAWA SCHEDULES

BEMOVING BABBIEBS

STIMULATION OF WORLD TRADE

(Britlsh Official Wireless.) (Received 13th October, 2.45 p.m.) RUGBY, 12th October. The terms of the schedules to the Ottawa agreements, hitherto kept back, mainly at the request of the Dominions, owing to the risks of forestalling, are revealed. It is on the basis of the agreements^ and the schedules thereto, contained in this report,- that legislation has been drafted which will be taken up by the House of Commons immediately Parliament reassembles on Tuesday next. The legislation will be pressed forward with all speed, not only to prevent forestalling, but because under the Import Duties Act the provision for free entry of imports from the Dominions and colonies will cease on 15th November. The report contains the terms of the agreements between the United Kingdom and the various Dominions and India, and in the opinion of the Government the agreements will greatly increase the opportunity of inter-Im-perial trading, and will represent an important step toward the restoration of world trade. This over-riding consideration was expressed in a resolution passed by the Conference, which declared that by the lowering or removal of barriers among themselves, provided for in the agreement, the flow of trade between the various countries of the Empire would be facilitated, and that by the consequent increase of the purchasing power of their people the trade of the -world would also be stimulated and increased. The agreements with, all the Dominions follow the same general form. IMPORTS CLASSIFIED. Imports from Empire countries into the ./United Kingdom fall into three classes, namely, those accorded entry free of duty subject to revision three years hence; those which are granted preference through the imposition of specific duties on foreign goods; and those which receive preference in virtue of the 10 per cent, ad valorem duty on foreign goods imposed under the Imports Duties Act. In the first category are included eggs, poultry, butter, ekeesc, and other milk products from Canada, New Zealand, South Africa, Newfoundland, and Southern -Rhodesia. Foreign goods in the second category, respecting which Parliament will be asked to impose specific duties, are set out in the schedules to the agreements, and include wheat in grain, 2s per quarter; butter, 15s per quarter; and cheese, 15 per cent, ad valorem. Schedules to the various agreements.set out ithe details of other proposed duties. In the schedule to the .Canadian agreement the goods specified, include apples, pears, canned apples, dried fruits, eggs, and condensed milk. Under the corresponding schedule of the Australian agreement are included, jn addition to the above, powdered milk, 'honey, raw oranges, and grape fruits. The New Zealand agreement makes 'no additions to this list, but the ■ schedules attached to the South African agreement include a number of (Specific duties to be imposed on foreign limports of various othej; fruits, raw and (canned, and also a 10" per cent, ad •valorem duty, throughout the year on Jmaizc. The only items specified in the corresponding schedule of-the Newfoundland agreement are a duty on foreign C»d liver oil of Is 4d per gallon, and *n chilled,or frozen salmon of Hd per pound. , " Under the United Kingdom and J,-ndian agreement, which is subject to Ratification in India, provision is made Aor the imposition of duties on foreign imports of wheat, rice, castor oil magacsium chloride, ■ and linseed. , An undertaking is given by the "United Kingdom Government not t> reduce the existing general ad valorem duty of 10 per cent., imposed under the Import Duty Act on a large class of foreign goods, which are also 1 enumerated in special schedules to tlte agreements with the Dominions wjoose interests are affected. DOMINION TARIFFS. - liSr regard to the modification of the impart duties in the Dominions on articles imported from Britain, full particulars are given of the new rates imposeid. In regard to Canada, these modifications apply to some 215 items; of wihich in 132 eases the duties on United Kingdom goods are to be reduceil, while in 79 eases such goods are for the first time to enjoy freedom from Customs duty. On the basis of last year's trade, over 40 per cent, of the innports from the United Kingdom into Canada will enjoy immediately the advantage of the lower Customs duties than those previously in force, goods to tht> value of over eight million dollars being admitted free of Customs duty. ' The. agreement with Australia provides that, subject to Tariff Board reconupendations, United Kingdfim goods will enjoy certain minimum pref erena es, graded according to the duties chargeable upon them. The minimum margilu of preference will range from 15 per cent, ad valorem, when the duty on Undted Kingdom goods is up to 19 per cient. ad valorem, to 20 per cent, preference where the duty, is 29 per cent.; Tjut the maximum duty rate must not esscecd 75 per cent. Preferences exceeding those resulting from^ .application of the formula will remain at the existing level, subject to certain minor reservations. Certain prohibitions on British imports are withdrawn, and the removal of surcharges and primage duties is promised as soon as it is practicable. REGULATION1 OF MEAT IMPORTS.. An important feature of the Australia agreement has reference to the arrangements for the regulation of imports into Britain of frozen and chilled meat. -It provides, inter alia, for Australia limiting the export of frozen mutton and lamb to Britain in 1933 to an amount equivalent to that so imported in the year ending 30th June last. Mean whale,, the United Kingdom Government will arrange with the Australian Government for regulation of the importation of foreign meat in accordance" with the agreed programme, afid for . quantitive regulation" of sup^ plies of bacon and hams coming on the United Kingdom, market. The Governments will consult in 1933 on the best. means of securing an improved price situation, and more orderly marketing- of supplies.. Britain already enjoys a very large proportion, of New Zealand trade. In the now agreement the Dominion undertakes not to increase the primage duty, to lower still further the existing duties, to abolish the surtax on British goeds, and to modify certain basic import duties.

Increase^, margins of preferences on United Kijsgdom good?.are granted.,b#

the South African agreement, affecting £2,200,000 worth of trade, of which Britain hitherto supplied £400,000. Hitherto Newfoundland had not adopted the principle of Imperial preference, but its agreement provides as from July next for preferences of 10 per cent, on a wide range of- goods, subject to certain reservations. India absorbes about 10 per cent, of Britain's total exports, but hitherto Britain had no Customs advantages. Preferences are now proposed on articles in which the total trade last! year was £34,900,000, of which Brit-1 am supplied £14,300,000.