EMPIRE DEVELOPMENT

Hauraki Plains Gazette, Volume XXXX, Issue 5517, 23 December 1929, Page 4

EMPIRE DEVELOPMENT

RECIPROCAL TRADING. VIEWS OF EMPIRE PRODUCERS. A meeting of the council and vicepresidents of the British Empire Producers’ Organisation was held at Millbank, S.W.I, on November 12. Lord Melchett, chairman of the organisation, proposed the following resolution :— “That, having in mind the desirability of the adoption of a policy of the development of the Empire as an economic unit, this council recommends that immediate steps be taken to promote the conclusion of extended reciprocal trade agreements between the United Kingdom and the several parts of the Empire overseas.” Lord Melchett, in his support of the resolution, said there was no greater need at the moment than a fusion of the British Empire, in order to promote interchange of commodities, goods, and services. The necessity of amalgamations in trade was as apparent in nations as in industries. It was a curious paradox that during the whole of the political agitation on fiscal matters large units had become more and more inter-related in trade—for example, Canada, Australia, and, the most outstanding example of all, the United States. The tendency towards large economic units was being stressed by the growing development of the United States. Among the best minds and the clearest thinkers in Europe there was more than a tendency towards the creating of the United Economic States of Europe. The development of this idea into a concrete fact might take time, but there could be no gainsaying the adherence that the idea had so obtained. Britain was therefore faced with a clear issue. It was whether she was to combine in an economic entity with the rest of Europe, or whether she was to develop the Empire as economically united. Britain with its large population and small area had become entirely unbalanced as between industry and agriculture. Owing to this unequal balance the whole economic life of the country was threatened. Outside coal, Britain was not self-contain-ed in any essential raw, materials.

We had to discover a means of readjusting this balance. The way was clear. It was to balance over-indus-trialised Britain with the over-agricul-turalised other units of tha Empire. For in natural wealth and resources the various parts of the British Empire presented an economic compjex in comparison with which the United States was almost insignificant. The problem was how to organise the Empire in such a way as to obtain the best results for the whole. It was not a problem which could be considered from the merely local point of view. On the other hand, no part of. the Empire could be expected to make sacrifices without receiving compensations. There were certain parts of the Empire which were better suited for the production of certain commodities than other parts. These should be given the opportunity to produce those commodities to the best economic advantage of the Empire. ?

More than three ago he had suggested the outlines of the proposals to organise the Empire as an economic unit in Canada, in Toronto, the capital of Ontario, which was one of the greatest strongholds of protection within the Empire. His proposals then had received the enthusiastic support of his audience. His speech had been printed in the official publication of the Government of Ontario.

He was glad to be privileged to preside over an organisation representative of the primary producers of the Empire. The British Empire had such resources of raw materials which could contribute all the Empire’s requirements and give the Empire a power which, if properly used, would be irresistible. There was the power to withhold from other countries supplies of those essential commodities in which the Empire possessed a virtual monopoly. This was naturally something to be remembered when Empire products were- being unfairly treated in other markets. It would then not be a case of erecting a tariff against goods from such countries, but a ease of the Empire demanding its own terms. This was an essential power of the Empire which required organising and use. The country must get away from the influence of old controversies. The economic situation and outlook was now completely altered. The situation had changed from the days when Mr Joseph Chamberlain enunciated his tariff proposals, and still more from the days of Cobden and Bright. He had opposed Mr Chamberlain’s proposals, but in the economic situation of the world to-day he felt that Mr Chamberlain had been right, although perhaps a little before his time. He had sought to bind the Empire together with economic ties. The British people already believed in the development of the Empire as an economic unit. They were working for an ideal object, and a practical form would have to be reached. The machinery and methods to be used would have, to be varied and elastic. One of the most practical methods of achieving the desired object was concurrently with the Imperial Conference to hold an Empire Conference of business meh to discuss any new developments and what measures had better be adopted for the prosperity of the Empire. There was no central organisation in existence which could deal with these matters. The agenda of the Imperial Conference was always so full, and those attending had always to consider domestic politics, that it was not possible to get going during its sessions. Therefore it was of the utmost importance that those who understood British trade and Imperial trade should sit down together to a frank and free discussion of the problem with the endeavour to find solutions. He had already received informal support throughout the Empire for his suggestions for a business men’s conference. Canada was prepared to co-operate. There were important business men in Australiajavho desired to participate.. South? Africa, too, was more

than interested, and he would devote a considerable part of his forthcoming visit to South Africa to discuss the suggestion and the problem with representative business interests there. There was no doubt that with good will and a real desire to promote the Empire economic unit, any apparent difficulties could easily be overcome. The country, irrespective of party or faction, was paying more and more attention to the requirements of the economic situation. More and more interest was being taken in the question of greater inter-imperial trade. The statistics showed that the only direction in which British trade was advancing was in inter-imperial directions. This alone should b e sufficient to convince any doubters. A start should be made to develop this growing trade on organised lines. Personally he was more acquainted with industry than with the production of primary materials, but from the Empire point of view both were of equal importance. He felt sure that the British Empire Producers’ Organisation would co-operate with other bodies in studying all the various parts of the problem involved, so that Empire industry and agriculture could progress to the advantage of the whole Empire and all its component parts. Sir Edward Davson, Bart., ex-presi-dent of the Federated Chambers of Commerce 6f the British Empire, seconded the resolution, which was supported by the Hon. Henry Barwell (Agent-General for South Australia), the Hon. F. A. Pauline (Agent-General for British Columbia), Mr Charles McNeil, and Sir Humphry Leggett. The resolution was carried unanimously. Among other matters of importance dealt with by the meeting were : A long report, with statistical analysis, on Britain’s food supply, with special reference to the Empire, entitled “The Fey to Empire Trade” ; the preparafor weekly publication, of com.tive prices (producer’s, wholesale, < d retail) of the principal food commodities ; a proposed conference of British agricultural associations to endeavour to bring about a common policy between overseas Empire and Home agricultural producers, particularly of wheat, meat, and dairy products.