The Guardian AND EVENING STAR, With which is incorporated “ The West Coast Times.” WEDNESDAY, JULY 20th, 1921. TARRIF REFORM.

Hokitika Guardian, 20 July 1921, Page 2

The Guardian AND EVENING STAR, With which is incorporated “ The West Coast Times.” WEDNESDAY, JULY 20th, 1921. TARRIF REFORM.

lx view ot the intention to revise the tariff during the coming session of Parliament, significance may t be attached

to one or two remarks by Mr Massey as cabled from London. I he Prime Minister advocated the adoption of a well-thought-out policy of Empire preference, which would encourage production, bring waste places under cultivation .provide remunerative employment and keep British citizens under their own flag.” He advised also adoption of the slogan: “British goods for British citizens. British citizens lor British goods.” Mr Massey had given some indication, though not very much, ; before his departure that his mind was running on the lines of increased preference for British goods as a principle in the policy to he set before Parliament. There is no doubt that this view is likely to make a powerful appeal to sentiment Unless strong economic reasons exist to the contrary, 1 British people the world over should 1 prefer to trade with each other rather than with foreigners, and the development of the Empire might he sensibly assisted by “a well-thought-out policy of Empire'preference.” AN hat we apprehend, however, if, anything of this nature is to come up for decision at the next session of the New Zealand Parliament, says tbe Lvtelton “Times,” is that there will be not much before members in the way of a well-consider-ed policy, and that hhe Government may content itself with merely increas- j ing the import duties on other than British goods. A first step in tbe de- t nil-able direction mentioned by Mr Mas- , soy might well he a large measure of fiscal'reciprocity between Australia and New .Zealand. Each country is in large part complementary to th ( , other. Australia produces sugar, wine and many kinds of fruit that New Zealand should be glad to admit on the easiest piHhlo tmriri wlti)e ti]e Dominion has

an export trade with Australia wine could lie encouraged by a lower tariff. But any real scheme of preference for British goods ought to involve not so much the raising of tariffs against Other eoiiiu t ies as tile lowering of existing tariffs against the Mother Country and oilier parts of the Empire. Ihe whole problem, however, requires to he approached with very great care. We cannot nut a ring fence around the Empire wilboui making enemies. British countries cannot, for instance, refuse to trade with America or seriously penalise trading with America —and at the same time promote that amity among nations which is the spirit and desire of those who are applauding President Harding for inviting a conference on disarmament. The question is how far British preference may be carried without becoming dangerously insular, and how far it may go without clashing with fundamental economic Ifiws. Unfortunately, the Parliament of New Zealand, we greatly fear, will he poorly equipped next season for the work on tariff revision. Tt will have little more guidance than may be gained from the report of a committee of Government officials. This committee took all its evidence in camera and, so far as is known, may not have obtained any really representative opinion. Mr Mass",v is to take charge of the Tariff Bill, and while he is a remarkable u rker it is idle to suppose that bis other numerous activities will have enabled him to sufficiently prepare himself for the heavy task of revising the tariff. Possibly some measure of free trade within the Empire would he sensible. just as tli,, United States enjoy free trade among themselves, but the Governments are too many and the views and interests too conflicting for this. However, if Now Zealand wants to encourage the enlargement of , trade within the Empire, on the lines of Mr Ma ssey’s speech in London, we suggest that instead of raising the import duties against foreign goods, it would be more to the point to reduce duties in .respect of British goods. The way to foster trade with the Mother Country, for instance—and she needs all tlfe assistance the Dominions can give—is to facilitate the entry of her merchandise into our country.