BRITISH MANUFACTURERS' ATTITUDE

Hawke's Bay Herald-Tribune, Volume 81, Issue 12, 7 October 1937, Page 3

BRITISH MANUFACTURERS' ATTITUDE

(By Telesraplx - Preas Association.) i WELLINGTON, Last. Night. : "It is felt that the British Goverix1 ment would not view the treaty in quite the same light • as ' those firms selling goods on the New Zealand' market. For this reasoa jt is .to be given special -scrutiny by oxxr association," said Mr. N. H. Russell, secretary of the United Kingdom Manufacturers and New Zealand, Kepresentatives 1 Association when coxnmenting , to-day in an interview on the trade agreement between New Zealand and Germany. While he did not criticise the agree- • ment, Mr. Russell sounded a note of tvarning about one or two provisiops and said, if necessary, early representations would be made to .the' Minister pf Marketing (Hon. Walter Nash) on any points which the association mxght cousider required adjustment. The association was at present studying the treaty and a meeting of the council had been called to eonsider the whole position. Mr. Russell said in the meantime, till the conncil had been able to analyse the proposals, they were not in a position. to make statement for or against the .treaty. "We are very ansious to see that trade is not diverted from the United Kingdom and we were glad. to note ths Minister 's assurance that the British Government had not raised any objections to the agreement. We notice ihe Government has reserved the right to impose dumping duties where New Zealand industries are adversely affectsd aud we want to make quite sure that the clause relating to similar proteetion for United Kingdom industries exporting to New Zealand adeqnately tia.reguards British interests. "There is no doubt that some of the Uems mentioned at present," added Mr. Russell, ' ' come in large quantitiea L'rom the United Kingdom, but whether there will be any great divcrsiou oi trade to Germany we ara unable to say till a closer -study ef tfie po3sibilitios fcnJa&a maiih ' ^

The provision made for payments is, we believe, a new one as far as New Zealand is conc?rned, and the operaJ1011 ef this portion .of the treaty will be watched with interest. We are pleased to note that the Minister again • states his realisation of the value to New Zealand of the English market, a policy which is. in the forefront of the objeets of tfiis association." Discussing .the possible effocts of the treaty, Mr. Russell said it had to 'be reajised that a xeduction of even 5 per cent. in the rate of duty nxeant a far gxeater reduction in .the actual amcxxnt of duty paid than appeared on the surface. Such an apparently small reduction taken |n conjunction with such & thing as a subsidxsed industry could, in effecta, cuse a far greater diversion of trade than might at present be foreseen. ^ "We also know from practical experxence," said Mr. Russell, in conclusion, "that the enforcement of the dumping clauses is most ilLSUilv ia practice."