DOMINION INTERESTS THREATENED

Rotorua Morning Post, Volume 1, Issue 131, 26 January 1932, Page 4

DOMINION INTERESTS THREATENED

The crisis which has developed within the British National Cabinet is significant of the difficulties which the leaders of the Government at Home are having, and are likely to have, in holding together a team inspired, not by a clear-cut political faith to which all can and must give a simple loyalty, but by a high conception of duty to the nation, which nevertheless admits of as many interpretations as there are political parties represented in the Cabinet. Those who know something of the tariff controversy at Home know that the lion and the lamb may as reasonably be expected to lie down in harmony together as that the freetrader and the protectionist should achieve an attitude of mutual tolerance and respect each others views. It is not surprising, therefore, that the first rift in the Cabinet to attain serious proportions should have been eaused by divergent views on the tariff issue. The question is, of course, one of supreme importance not only to Great Britain herself, but also to the whole Empire, whose principal market she is. It is, moreover, one which becomes almost daily more vitally urgent as foreign countries, driven by the same forces as afflict the economic life of every British country, but less conservative by temperament and so more quick to act than the Old Country, take steps to preserve their own home markets for their own people. Uow vitally New Zealand, for instance, is interested in the British tariff issue and its outcome is graphically illustrated by the results of Germany's action for the protection of the German dairy industry, which incidentally looks only to its own home markets for an outlet for its products. Driven b'y the falling exchange values of the currencies of those of her neighbours who have followed Great Britain's lead and gone off the gold standard, including, as it happens, the principal European dairying countries, Germany has imposed a prohibitive duty on butter in order to save her own producers. To New Zealand eyes, such action is not only legitimate, it is the natural thing to do in the circumstances. New Zealand, however, would not for a moment think pf sitting back after it became obvious that such action on the part of a foreign country threateiied the interests in her own home market of her own producers and those of the Mother Country, consoling herself and offering to console her stricken producers with the thought that at least butter would be cheaper. This, however, is practically what the British freetrader would do and has done throughout the years of crisis, with the result that Great Britain has become the world's dumping ground while millions of her people, thrown out of work by the competition of these dumped foreign products, have been without the money with which to purchase the cheap goods so kindly provided for1 them by their freetrade politicians. It has taken time and bitter experience to drive home to the industrial population of Great Britain which, under pre-war economic conditions naturally benefitted by what was known as the "free breakfast table," the fact that, under present conditions that same free table has become one of the principal (if not the principal) causes of their painful situation. That they have at last come to realise this truth was demonstrated at the recent general elections, when they returned to Parliament 471 pledged protectionists in a House of 615 members. The action, therefore, of certain Liberal and Labour members of the National Cabinet in risking the disruption ;of the Government in this time of national crisis by continuing the fight for their freetrade principles is a little difficult to understand, or would be were the power of lifelong habits of thought overlooked. In the . circumstances, as we said yesterday, their decision to continue in the service pf their country despite their inevitable defeat on this major ^ issue is greatly to their credit, as is also the forebearance and wisdom of their protectionist colleagues in giving them and their followers individual liberty pf speech and vpte in Parliament. But this is net all the Government need do. It now remains for it to take, as promptly as may be, such steps as will effectively protect the British butter market against the dumping of the large quantities of foreign butters which hitherto have been imported by Germany, especially as a considerable quantity of Empire butters will now also" have to seek a -new outlet. The manner in which it liandles the little problem presented to it by the Fatherland will alford an interesting test of both its courage and its sincerity in regard to the development of an inter-Empire trade union.