DOMINION CRISES

Gisborne Herald, Volume LXVI, Issue 20101, 22 November 1939, Page 6

DOMINION CRISES

FINANCE AND TRADE IMPORTERS PERTURBED j APPEAL TO GOVERNMENT REVERSAL OF POLICY (Per Press Association.) WELLINGTON, this day. The following motion was carried at j the annual meeting of the New Zea-1 land Importers’ Federation yesterday: j “The federation is gravely concerned I at the state of financial and commer- j cial chaos into which the Dominion | has drifted and is still further drifting at an accelerated pace, and urges on the Government the imperative necessity of taking the leaders of political, financial and commercial life into their confidence and accepting their full co-operation in devising a means of meeting the present financial and commercial crises, to reinstate the credit of the Dominion overseas, and to place the country in the best possible position to assist in the prosecution of the war. “The federation finds, after two periods of drastic control of imports under the licensing system, the restrictions are having a devastating effect on the commerce of the Dominion, unemployment among the staffs of distributors is rapidly increasing, and the community is fast becoming in- 1 tolerant of the shortage of commodifies for domestic requirements. Use of Trading Banks “The federation considers that the present favourable overseas market for our produce presents an unique opportunity of improving the unsatisfactory position of the London funds, which should be availed of to the utmost by providing every means of increasing production. “That, in the opinion of this meeting, the trading banks with their established overseas connections and experienced executives are able to provide the facilities for handling sterling exchange which are not available under the control of the Reserve Bank and that consideration be given to restoring this medium of control at the earliest opportunity.’’ In his presidential address Mr. G. W. Guthrie. Wellington, said it would have been more equitable if imports had been regulated in the form of a tariff and had included all importers, including Government departments. Any reduction in imports necessary to remedy the shortage of London funds should have been applied to all concerned, he said. New Zealand was rapidly drifting towards financial chaos and only a substantial overseas loan would prevent a financial crisis from which it would take at least a decade to recover. He urged the moderates in the Government party to accept the co-operation offered by the Opposition leader, the Hon. Adam Hamilton, so that the country could regain tiie confidence of the British Government and the investing public.