"REGULATION HAS COME"

Evening Post, Volume CXVII, Issue 106, 7 May 1934, Page 10

"REGULATION HAS COME"

DOMINIONS EXPORTS

MR. BRUCE INTERVIEWED

(By Telegraph—Press. Association.)

AUCKLAND,,May 6.,. "I have enjoyed the privilege of a private discussion with your Prime Minister and his colleagues,"said Mr. S. M. Bruce, the Commonwealth High Commissioner, after the conference with New Zealand Cabinet Ministers yesterday. "It is not for me-to give details, but where, the London market for primary products is concerned Australia", aii.d New Zealand aro facing common difficulties. Our interests in many ways are very mutual."

Both Australia and isTew Zealand would have to-face the situation that' had arisen in England, Mr.. Bruce continued, and he inforred that some measure of restriction of dairy exports to Great Britain was in his -view inevitable. . Great Britain was thinking not so.much in terms of expansion of-. overseas markets for her.manufactures,but she was thinking ' definitely "in terms of fostering her 'own agriculture and giving her own farmers'first consideration in their home market..

"-■'■ ;Mr. Bruce made the . point .that Great Britain at ' present absorbed .85 percent, of the/total'dairy produce exports of the. world. . .'■'.'.'.

'Tree trade was an , excellent thing for Britain'when she was the workshop of the world," he said, "but! those days are finished. Other countries are manufacturing their own goods' instead of importing from Britain, and' Britain finds she must adjust her general trading policy accordingly. Both Australia and New Zealand depend largely on the British market for their primary products. In many respects the British market is to them the world market. It is obvious that we are vitally interested in the continued ec'ouomic welfare of Great Britain." AN ALTERNATIVE. ..-Apart from the restriction of exports, there was one other possible

avenue- open to Australian and New Zealand producers: that was to accept low prices and to continue storming the market until even the lowest grades of margarine had been wiped out, necessitating the marketing of butter at about 4d a pound.

"Co-operation with Great Britain presents the logical solution to our difficulties," Mr. Bruce said. "We need not fear the consequences. In some quarters in Australia I know there is an impression, that Great Britain is out to 'squeeze' the! primary producers of the Dominions, and I gather that similar views are supported to a certain extent in New Zealand. That is foolish. It must be remembered that the expansion of British agriculture cannot go beyond .certain well-defined limits. Great Britain has a comparatively small area and a dense population. The country cannot bo turned into one large-intensely cultivated farm."

Regulation had come. That point was strongly made .by Mr.'Bruce, tit was not a question of it being forced on the Dominions by Great Britain; it was a questidn of the' Dominions having to adopt the principle in their own interests. Decisions on that principle could be followed by negotiations with Great Britain on the basis that, with the British farmer haying his interest m his home market assured, the Dominions would receive preferential treatment over foreign producers.

MUTUAL ARRANGEMENTS.

In Mr..Brace's view there was no likelihood of an early Imperial Conference to make fresh Imperial arrangements for the marketing in Great Britaiir of primary products. As far as he was concerned, he thought' negotiations could be carried on through the various High Commissioners. He realised that the dairy industry was probably of greater importance to New Zealand than it was to Australia, but suggested that one gathered that once the basic principle, of regulation had been adopted, the various Dominions should be free to carry out .-their own negotiations and make their own mutual arrangements with the British Government.

Meat exports provided another point in which both Australia and New Zealand were vitally interested.

Air. Bruce added that the present agreoment for meat would terminate at.'the end of June, and n definite regulation of meat imports into the United Kiugdom could be brought into force from July 1.

Summed up, Mr. Bruce's views were that the position would have to be faced without delay. The British market was overcrowded, and the Dominions apparently would be well advised to accept some form of restriction and to sec to it that their fair share of the reorganised British market was secured. •