LATEST CABLE NEWS

Hokitika Guardian, 13 June 1923, Page 2

LATEST CABLE NEWS

BRITISH PREFERENCE DUTIES. LIBERAL AND LABOUR OPPOSITION. * VKTKALIAN AND N.Z. CABLE ASSOCIATION*. LONDON, Juno 12. The question of Imperial preference duties, as a whole, was discussed cn an amendment to abolish the tea duty. Mr Oonwick (Liberal) the mover, declared that Imperial preference was a farce, since it could not be effective without taxing food. Mr Reiner (Conservative) said he would welcome an extension of preference, os leading to free trade within the Empire. He thought the Liberals had gone mad over free trade. He pointed out that as a result of preference, Canada. Australia and South Africa had considerably modified their tariffs to tne advantage cf British trade. General Page-Croft (Conservative) pointed out that trade with Australia had increased enormously since the introduction of preference. Doctor Cliapplo (Liberal) said the people in the dominions were not deceived by these preference debates in the House of Commons. They knew that preference was being advocated in the interests of protective duties, and not for the benefit of the dominions.

Mr Con wick’s amendment was defeated ny 255 to 150. Mr Johnston (Labour) then moved to abolish the tea duty altogether on the 31st. December. He said that the revenue therefrom could tie obtained in other directions, instead of hitting the pc-or by a tea duty. Sir AA r . Joynson-Hicks, refused to accept the amendment. He said it would cost the Exchequer eleven millions sterling yearly. The price of food as a whole, lie said, was now 67 per cent above the pre-war level, and the price of tea was a littlo higher, 73 per cent above pre-war rates. He claimed that Imperial preference duties had benefitted both the British tea consumers and the colonial tea growers. Tlie former gained by a reduction in the prices of tea, cocoa, and coffee of twopence for pound, and a larger demand had increased tlie Empire production of ten, <-offee, cocoa and sugar. The result was that DO per cent of the tea. and ccooa and 45 per cent of the sugar used in Britain came from within the Empire. He claimed preference had led to an increased importation of Australian wines, Empire grown wines, and Empire grown tobacco, and dried fruits. 3 lie dominions in the last low years had 'increasingly denijinided preference, which proved good business from an Imperial viewpoint. Air Pringle (Liberal) argued that the ultimate effect of these duties would be the separation of the Empire. '1 he present paltry duties, he said, were intended to he a step towards imposing duties oil wheat, meat, wool and other raw materials, hence the Liberal and Labour Rallies opposition to them. Tlie amendment was defeated by 231 to 160. Mr Adamson (Labour) then moved an amendment to halve the tea duty. This was defeated by 231 to 105.

ANOTHER arc: HI ENT. USED FOR PREFERENCE. LONDON, June 12. The Lancashire cotton industry js much concerned about a- new American law operating from August Ist... compelling American citizens to use the American standard groupings cf raw cotton. In cases of dispute the foreign buyers must abide by the Ameiican decisions. Hitherto, America had one standard cf grading and Liverpool another, but in practice no confusion arose because the American traders adopted standards so nearly like Liverpool. The new Act- forbids such modifications. -Moreover, it puts buyers to rlie expense of goinj to the United States to argue the point, whereas hitherto disputes have been settled hv arbitration at Liverpool. Havre and elsewhere.

A strong campaign is in progress to secure a modification.

The ‘-Morning Post” commenting on the subject editorially says:—‘Although England is the most important cotton centre in the world, she has never attempted to interfere with the natural source of commerce, nor to impose- her domestic legislation on other nations. The discussion of this matter is only beginning, but it already affords another proof of the necessity of making the Empire self-supporting.”