MOTUEKA SEAT

Rotorua Morning Post, Volume 2, Issue 392, 29 November 1932, Page 5

MOTUEKA SEAT

(Press. Assn.

MR. COATES IN FRAY JUSTIFIES OTTAWA AND ACCEPTS LABOUR CHALLENGE EFFECTS OF PREFEREN CE

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Nelson, Monday. The Rt. Hon. J. G. Coates addressed several meetings in the Takaka district to-day, and was well received by large gatherings. He said he regretted the. necessity for the by-elec-tion. He had watched with interest the late member's participation in political life. Mr. Coates referred to New Zealand's dependenee npon exportable products and the necessity for opening up further trade with countries of Europe on a reciprocal basis. Referring to pensions, he said, it was the Government's first care that the pensions of the people should be preserved. Failure to face the position of falling revenue would inevitably lead to a hreakdown of the sources of supply, and distress and povj erty would result. In regard to soldiers' pensions, Mr. Coates said ..that when a New Zealand soldier was receiving 21/- a week eeonomic pension and a war pension, more liheral than that of any country of the Empire, could it be said that he had been robbedChallenge Accepted Mr. R. Semple, M.P., was reported to have said at Takaka on November 17, "If anyone could prove that as a result of the Ottawa Conference, employment was going to be made for more people, he would resign his seat and keep out of politics for the rest of his life. The only result of Ottawa in New Zealand was that it I would put hundreds out of work." "I will accept Mr. Semple's challenge," retorted Mr. Coates. "My reply is that New Zealand's agreement with Great .Britain made at Ottawa, affects primary producers and other citizens in New Zealand. The facts are that had we not arrived at an agreement with Great Britain, all our butter and dairy by-products, including apples, would after November 15, have carried an impost duty of 10 per cent. on all these products entering the United Kingdom. .In other words, not only would we have lost preferences in the United Kingdom market, hut our products automatically would have b.een placed in the same category as foreign products; that is, our butter exported to England would bear a duty of 15/a hundredweight, fruit would encounter a duty of 4/6 a cwt. Apparently Mr- Semple did not know the effect of the Ottawa agreement. "New Zealand butter has a 15/per cwt specific aavantage over foreign butter. A specific duty is invaluahle, and definitely increases the problem of foreign competitors in our markets. Now, will Mr. Semple, or anyone else deny it?" Effect of Preference "The basis of preference is not only of great advantage to primary producers, but also to- those engaged in industry. It is not only the man who produces the product, hut also those who work for him, those who transport his goods, his agents, shipping services and many other avenues of employment which depend on the primary producer for existence. "With particular reference to apples and pears, we can see with reasonable confidenee that, provided the quality is right, there is a future in the industry. The preference gained at Ottawa, in a great measure, secured a market for the future. It also gives security for intending fruit growers. "The Labour Party claimed to be national in their outlook," concluded Mr. Coates: "They claim to have a plan for the future of the country. They are endeavouring to persuade people they have the solution of the present crisis and could end the downward trend. If the Lahour Party are sincere and possess a plan of re-ad-justment, which would contribqte to national good and future welfare, one may well ask why they remain aloof from participating in joint efforts toward rehahilitation- The opportunity was offered and an invitation was given to them to form a national Government, but they refused. What are the Labour Party's proposals. We have heard much talk, hut so far it has been impossihle rather than anything constructive or helpful.