TRADE WITH CANADA

Sun (Auckland), Volume III, Issue 879, 24 January 1930, Page 10

TRADE WITH CANADA

N.Z. SHOULD HAVE SEPARATE AGREEMENT CONFERENCE SUGGESTED The opinion that New Zealand would be better served by making a separate and direct trade treaty with Canada, than by continuing under the Australian agreement, which is extended to this Dominion, is held by Mr. F. H. Leonard, of Auckland. In a letter to the Chamber of Commerce Council he suggested it should discuss tariff questions with New Zealand's new Trade Commissioner to Canada. Acting on thes-e suggestions, the chamber also decided to appeal to the Associated Chambers to support the recommedations. New Zealand and Canada are trading: under the Australian agreement, which came into force in October, 1925, and was made available to this Dominion by Order-in-Council. Mr. Leonard stated under this agreement meats, lard, tallow, beeswax, eggs, cheese, butter, honey, vegetables, onions, apples, pears and other fruits enter Canada under a preferential rate of duty, the duty on butter being one per cent. The Canadian dairy farmers, under the National Dairy Council, have been agitating for the raising of the general tariff to seven cents, with a preferential rate to New Zealand of four cents. “It is quite within the bounds of possibility that the Canadian political situation may be affected by thi3 agitation," says Mr. Leonard. His firm had written to the president of the Canadian National Dairy Council, suggesting that the tariff questions could best be dealt with by a conference between the Canadian Government and representatives of the Na-

tional Dairy Council, on one hand, and the New Zealand Government and dairying interests on the other. Possibly if it was found that support for the present tariff was not sufficiently strong, the conference might come to some arrangement or compromise. “In any case, the situation should not be allowed to drift at this end.” Mr. Leonard declared. Mr. Leonard suggests that now New Zealand had appointed a Trade Commissioner in Canada, instead of working under the Australian agreement, it would be better for this Dominion to have its own trade agreement with Canada. If New Zealand was working under a direct agreement it would free this country of association with the Paterson scheme operating in Australia, and which Canadians resented. Mr. Leonard further suggested that it should discuss tariff questions with Mr. Collins before he left for Canada.