IN OTHER LANDS

Hawke's Bay Herald-Tribune, Issue 179, 16 August 1937, Page 3

IN OTHER LANDS

Negotiations for Advance in Trade "Foilowing the difficulty expressed by the United Kingdom in determining its agricultural policy and the possibility of not being able to' conclude the negotiations prior to the necessity for i my return to New Zealand," said the Alinister, "I discussed the matter with the United Kingdom Ministerra as to the opening of negotiations with overseas countries, and then, with their goodwill, subsequently visited Ger-' rnany^ Russia, Denmark, the Netherlands, and France. "While on the return voyage to New Zealand trade discussions also took place with Canada, the United States, and Panama. . The resuTfs of these negotiations are set out in another column." Germany Will Bargain. On an approaeh by German officials, who emphasised the possibility of trade between the two countries being extended, Mr Nash had, towards the end of April, visited Berlin and engaged in trade discussions with German Foreign j Office which had led to a tentative ; agreement which, after submission to Cabinet and Parliament, would be published. The agreement covered both the procedure to determine the trade as between the two countries and also a payment agreement which provides ■ that the whole of tke credits available from New Zealand purckases from .Germany skall be expended by Germany on tke purckase of New Zealand products. Tke negotiations at Berlin were continued- in London and finalised tke day prior to Mr Nask's departure fqrCanada. As a result tke arrangements it skould be possible to find a market in Germany for considerable quantities of New Zealand butter and fruit. In considering tke g'oods. to be imported from Germany care kas been taken not, in any way, to prsjudice New Zealand industries nor to rednce the pre leven - tial margins to tke detriment ot* tke United Kingdom. France a Market for Fruit. During a visit to Paris on June 30, said Ali? Nasli, ke kad exckanged views i with French officials which should provide a basis for a trade agreement between France and tke Dominion. i France is already a very gocd customer of New Zealand in respeet of wool, and it seems probable that a market can be found in that country for other products particularly fruit. Tlie position is to be further explorcd witli a view to tlie possible conclusion of a | trade arrangernent which will provide a inutual expansion of trade. Ireland a Good Customer. Tkc question of negotiation of a trade agreement with . tbe Trish Free State 1 ikus been under .consideratiou for some l years. Kew Zealand enjoys quite a

fair direct trade with the Irish Free State. A considerable quantity of apples is supplied ex United' Kingdom shipmenta. Imports into New Zealand froni the Irish Free State are sntall and the balanee of trade is largely in the Dominion's favour. Discussion on the question of trade between the two countries took place in London between Air Nash and Air Dulaiity, High Commissioner in London for the Irish Free State. The latter country is anxious that certain products should be aclmitted on the same basis as similar products imported into New Zealand from the United Kingdom. A promlse was given that the whole matter would be looked into after Air Nash's return to New Zealand. Prospect® in Panama. Three days spent in Panama, awaiting the arrival of the Alataroa, were i'ully occupied in exploring the possibilities of increasing the sale of New Zealand goods both in the Panama Republic and in the Canal Zone. Discussions were held with the Panamanian Ministers concerned with trade and also wTth the principal traders interested in the purchase of New Zealand goods. Interviews were also had with the Governor of the Canal Zone and the Oomniissary officials. These contacts proved most valuable, and, as a result of the information exeiianged, it seems probable that an outlet can be found for increased quantities of New. Zealand products in those territories. Th,e items which commanded most attention were butter, fruit, and powdered niilk, but there are other items of mifior importance . which also- offer some possi- m bilities of trade. It was particularly pleasiug to note the high reputation eujoyed by New Zealand products. A further question which came unaer consideration, and which will be further explorcd, is . the possibility of using Panama as a base fof the shipment of New Zealand produce to. Costa Ricu, Honduras, Trinidad. and other countries with wffiich trade is restricte'd th rough lack of direct shipping faeilities. Little Scope in Rhodesia. The possibility of developing trade* between New Zealand and Southern Rhodesia vvas gone into very eloseiy with the Controller of Customs for Southern Rhodesia, who was visiting London as a delegate to the Imperial Conference. New Zealand already enjoys a sinai 1 trade with Rhodesia in a number of items tke ckief of which are gjaxo, hops, seeds. and dairy appliances. There is little scope, liowever, for tke devolopnvenl of any material volume of trade with that country.

Brazil Continues Trade. Last' year, 1936, the Government of Brazil, in conformity with their docision to denounce all commCrcial treaties and to replace them by new treaties, gave notice of intention to denounce the agreement with New Zealand which had been concluded by an exchango of notes in.1932 guaranteeing mutual -most-favoured-nation treatment. As a result of negotiations conducted from London, through his Majesty's Ambassador at Rio de Janeiro, Mr Nash had arranged for a continuation of the existing position. New Zealand enjoys "a fair trade with Brazil "in apples, the free entry of which is thus assured. Palestine Difficulties. While in London Mr Naeh discussed with Dr. Z. Brodetzky^ representing the Jewish Agency for Palestine, the question of reciprocal trade between New Zealand and Palestine, with particular reference to the possibility of establishing in Palestine a market for New Zealand butter. At the same time consideration was given to the possibility of shipping citrus f ruits from Palestine to New Zealand. On the evidenee available it would seem that in the meantime there is little prospect of developing this trade. On the one hand, it is difficult for the kigh-quality New Zealand butter to compete" with cheaper butter imported from other countries, principally Baltie countries, while, on the other hand, there ira difficulty in arranging for shipment of fruit from Palestine to New Zealand, owing, it" is stated, not . only to high freight rates but also to the problem of securing space on outbound steamers through' this haying already been .f ully taken up ' by loadings at United Kingdom ports. Holland Continues For Ours. The question of negotiation of a trade agreement., with the Netherlands kas been u,nder eonsideration. Tke balanee of trade kas been m favour of that country, the figures of direct trade for 1936 being exports to Netherlands £111,000, imports from Netherlands £210,000. In addition^ imports, mainly oil, from the Dutch East Indios amounted to £1.721,000. • New Zealand's exports to the Netherlands contprise largely. -wool, kides and skins, but a useful trade is also eujoyed in apples, Holland being not only a large consumer of apples but also a distributing point for a number of Continental countries. Up to tk'e present New Zealand apples, to a limited qumitity, have been admitted into Holland on ihe most favourable terms, including remission of a portion of tke .

monopoly tax. As a result of a visit to The Hague, and negotiations with Dutch Ministers, the negotiations will, it is hoped; secure in due course a continuation and expansion in this treatment,- as well ara favourable ' treat-i ment for other products. The negotiations have reached a stage where con-i clusion of an agreement can be proeeeded with, subject to clarification of one or two minor points.