MR. COATES EXPLAINS

Rotorua Morning Post, Volume 2, Issue 331, 19 September 1932, Page 5

MR. COATES EXPLAINS

(Press Assn.~

OTTAWA DECIS1GNS no restrictions QN exports of meat AGREKMENT TERMS -WITHIIELD

-By Teleeraph — Copynght)

V/eOiiagton, Sunday. Tho New Zealand meat agreement with Great Brltain will not be relea'sed for some timo, the leadU er of the Dominion's delegation at Ottav/a, the Rt, Hon. J. G, Coates, stated to-day, hut he would make a statement on the question at the Civic reception in the Town Hall on Tuesday. Mr. Coates confirmed the report that there wonld be no restrictions on New Zealand exports of mutton and. lamb, and this had not been extended to Australia, but he said it was correct to say thafc in other respects the New Zealand and Australian agreements were identical. In reply to questions, Mr. Coates stated that he was unahlo to explaln the fixll terms of the New Zealand a«Tt>ement at the moment for the reason that Great Brilain is intending

to negotiate with other countries, whose exports of meat to Great Britain wouhl he al'fected by the Gttawa agreement. Great Britain liopes to make favourable trading relations with foreign snpplicrs. In the meantime the terms of the Ottawa agreement would not be published. Mr. Coates expressed pleasure at being" back earlier than he expected. The eonferenee lasted only four weeks, an unusually short timo, but it was satisl'actory to be back at one's post. Parliament to Consider "Now that Parliament is meeting in thrco days' timo, I am preparing to lay the delails of the Ottawa agreement hefore the Ilouse," he said, "and I exeept that as soon as the Address-in-Iteply debate is out of the way, to have ready in printed form, the report of the eonferenee. Copies will be distributed to the members, cnahling a discussion to take plaee in the ligbt of full infonnation. "Perhaps the best way of measuring the success of the eonferenee is to call to mind how great our disappointment would have been if it had failed, and where wa v/ould have stood ,in regard to New Zealand exports to the United ICingdom if the eonferenee had not been held. Tlio position was that a general customs duty eovering butter, cheese, milk produets, fruit and other products had been imposed by the United Kingdom temporarily, and until Novemher 15 last year the exports wei\- exempt from duty. Ilad it not been for the Ottawa agreement, the tarifl' would have l'allen on our ex- ' paris in Novemher. Thanks to tho J eonferenee, they remain free of duty, i while competing imports from foreign countries cany the tarifl" that will givc N-w Zealand a substantiul preferelice. I Preference Increased This margin of preference lias . been increased on many important j New Zealand produets. The highest J rate ]>revi(>usly was 10 per cent. Undc.i* t!,". agreement concluded at Ottawa, 15 per cent was granted on hutter, (diee-e and other i>roducis. This means a 50 per cent increase on ihe foreign margin of preference. A n other valuahle feature of the agreement is that the preferential margin is guaranteed to he continued in favour of New Zealand for at least live years. The duties on competir-g foreign produets thus granted, cannot he reduced without the consent of the Govemment of New Zealand. A dilferent method had been adopted for assisting the meat producers of the Empire. The United Kingdom undertakes to regulate the imports from foreign countries on all meat, including bacon and pig meat, beef, mutton and lamb. These are to be rest ricted to the extent that is set out in black and white in the agreement, and raises the price to a remunerative level and increases the Dominion's rdiare in the meat market of the. United Kingdom. Dominion's Share To-day the Dominion supplies only 24 per cent. of the United Kingdom's meat imports and foreign countries 7(5 per cent., a position that could weli be improved. Furthermore, the markots of the United Kingdom, particularly the last year or two, have been ilooded with imports of bacon and other meat, which have been sent out of eontinental markets, and have lead to a lisastrous price collapse and supplies beyond anything the market could absorl). In short, the position is one that tho new tarifl: could correct, in any ease, as far as meat was concerned. It was mado perfectly elear to the Dominions at Ottawa that the British Govemment could not contemplate a tariff on meat. Reports made to the contrary, and statements that the Dominions had rejected also the tariif and had insisted on regulations of quantities of meat imports, while the British Ministers opposed that plan, wero utterly false and misleading. This is one of the misunderstandings that had been conveyed to the people of New Zealand. Arrangeuients between Greqt Britain and New Zealand on meat, are set out in a letter which I addressed to Mr. Baldwin. This letter, -exeept for o. f e w sontencesj which must remain confidential, pending certain negotiations with foreign countries, I shall release at aii early date. It must be understood that New Zealand has done her part to extend the same advantages to Great Britain. It is of course desirable that the world price level should be raised and short of that sterling prices in which we paid for our experience and in which we must meet our overseas obligations must Tbo raised and stabuised. The eonferenee agreed upon a policy to achieve this field.