New Zealand and the Panama Canal.

Horowhenua Chronicle, 23 September 1910, Page 4

New Zealand and the Panama Canal.

A correspondent of the London Times notes that the most important effect of the opening of the Panama Canal will he the shortening of the route from Xew Zealand to Xew York. "The new order of things will favour N'ew York most in the trade with Xew Zealand with Xow Zealand, because it will bring Auckland within 8000 -miles steam" ing distance, while the route from English ports is 12,070 miles by Suez and will lie 11,.'W0-oven by Panama. The effect of the Panama Canal on the import trade of Australia and Xew Zealand will ho that it will render these markets ninch more accessible to the nianufacturlup; States of America, and will, therefore, make American competition more keen in these colonial markets than it is at present." Proportionate to her trade it is stated that Xew Zealand will bo a more favourable field for the enterprise of America- than Australia. America lias now a- smaller proportion of New Zealand trade than of Australian; and it is reasonable to suppose that the trade from America to Zealand will assume a new phase under the facilities of the Panama Canal. The economic and economical advantages of a direct trade <wi 1 create new agencies which will gradually eliminate the indirect trade in American exports to Now Zealand tnrougli Great Britain and Australia. In one respect New Zealand will offer a better maX than Australia. She has a mudW s™^ n relation, and, tWole slie, will be .una > 0 to assume fh« position that Australia is faTtSc? ing .is a manufacturing nation. Th, s m * n * department* of manufacture sticli as iron and steel goods/ Siniery and textiles, where output w necessary for low manufacturing costs. New Zealand will not for a long time supply her own requirements, so that the market will remain a fair field for internat'onal competition, with the United States in tire better geographical position, nor these reasons we must be pre. pared for .relative decline in Britisli trade in Now Zealand "