BRITAIN’S BUOYANCY.

Manawatu Standard, Volume LVII, Issue 223, 20 August 1937, Page 6

BRITAIN’S BUOYANCY.

The Board of Trade returns for July and the latest Treasury figures indicate the buoyant state of British trade and finance. Ordinary revenue is nine millions ahead of the comparable return of last year and income tax has yielded a sum greater by little less than four and three-quarter millions. The growth of overseas trade has proved a factor of considerable importance in raising the receipts, the gain in this way being five millions. The Board of Trade figures show that July was an exceptionally good month. Exports were the highest since July, 1930, when the wave of depression was settling over the world. The value at £47,509,000 was more than three millions ahead of June’s returns, and little short of seven and a half millions compared with July in 1930. Imports also showed a marked advance in a comparison with last years’ figures, but were a little lower than in June. The seven months’ figures are most satisfactory, and the Board’s analysis shows that the increased value of exports does not merely reflect a rise/in prices. Both iron and steel and their manufactures, and coal, have been exported in greater quantities than in the corresponding period of last year, while on the other hand the increased value of imports arises from their greater cost to-day. The increased tonnage of coal exports is most pleasing, as this branch of trade languished for a lengthy time as ships were laid up or sold when world trade fell away shortly after 1930. It has been accomplished in spite of sharply decreased sales to Italy. Both the Argentine and Chile' find a very valuable market in Britain for their surplus produce, the former’s exports at the end of June being more than thirteen millions ahead of those in the first half-yearly period of 1936. Chile, too, in the same period did not fall far short of doubling her exports'. While her own export figures are not given, Britain has considerable investments in both republics, an invisible export which helps to offset the imports. An extended market has been found in the United States, which has taken British goods valued at £16.500,000 against £12,600,000 in 1936; but the war in Spain has caused serious loss to British commerce which has fallen from nearly one and a half millions in 1935 to little more than half a million in this year, both figures being for the half-yearly period. The buoyancy of British trade means decreased unemployment at Horae and a fuller market for our produce there.