Preferential Trade.

Manawatu Herald, 11 June 1903, Page 2

Preferential Trade.

Mr Chamberlain, replying to a correspondent, admits that a statement he made in 1891, that a tax on food meant a decline in wages, was erroneous.

Mr Chamberlain, replying to his correspondent, said he did not attach excessive importance to trades union leaders, because they

were a string of Radical partisans, whose opiniona were not necessarily shared by the workers generally nor even by trades unionists in connection with preferential tariffs and commercial fair play. In may cases the duty on corn would be paid by exporters. Whether the duty would raise the cost of living would depend upon the extend of competition amongst exporting countries Even if the price of food were raised, wages would be raised in greater proportion. He instanced the United St'ates and Germany as examples of his contention, remarking “If, when negotiating with foreign countries, we are able to bargain on equal terms, the duties now imposed would be generally reduced, and foreigners would compete in our markets, thus bringing us nearer real free trade,” He said he was confident the revision of import duties would secure a larger scheme of old age pensions for the thrifty and well conducted. It had been proved, he pointed out, that British possessions were capable of rapidly increasing their food supplies. ,•. ■' If his scheme was going to bring ruin and starvation, how then could the fact be accounted, for that the increase of exports wages and generally prosperity during the last twenty years in the United States and Germany had been greater than in the United Kingdom; the only country, enjoying unrestricted free imports?