CLOSER RELATIONSHIP

Sun (Auckland), Volume IV, Issue 1001, 18 June 1930, Page 8

CLOSER RELATIONSHIP

TRADE BETWEEN AUSTRALIA AND NEW ZEALAND TWO MINISTERS CONFER An informal discussion concerning the trade relations between Australia and New Zealand was held on Monday between the Hon. J. E. Fenton. Minister of Trade in the Federal Ministry, and the Hon, P. A. de la Perrelle. Minister of Industries and Commerce in the New Zealand Ministry. Dr. G. Craig, Comptroller of Customs, also attended the conference. It was explained that in 1922 the Governments of Australia and New Zealand arranged a tariff agreement under which certain concessions were made by each country to the other in tariff rates. The agreement came into force in the Dominion in September of 1922, but since then had been modified from time to time. While the agreement had been in operation various debatable points had arisen between the two countries and for the most part conclusions satisfactory to the New Zealand Government had been arrived at. But the position had now been reached when direct negotiations between representatives of the two Governments would appear desirable.

Mr. de la Perrelle said that there was an increase in Australia on the duty of New Zealand butter, cheese and potatoes in 1925. This led immediately to a considerable reduction in the Dominion’s export trade, but it was only fair to say, however, that an increase in the duty on butter was necessary if the scheme of regulations, generally known as the “Paterson Plan,” was to be maintained. To this, Australia argued that New Zealand had increased the duty on wheat and flour, which was an equivalent to the injury inflicted upon the export trade of the Dominion.

The point in respect to New Zealand’s action was quite different from that of Australia. When the agreement was made there was an embargo in the Dominion on the importation of wheat and flour and any duty was better for exporting countries than an embargo. At the conclusion of the conference Mr. de la Perrelle said that he was highly pleased with the result of the discussion, and in the near future there promised to be a closer relationship between the two countries. The questions dealt with would necessarily be discussed by the two Governments and subsequently there would probably be a conference between the Customs of both countries. An informal luncheon was given to Mr. Fenton by Mr. de la Perrelle at Hotel Cargen yesterday. Among the guests were the Mayor of Auckland, Mr. G. Baildon; the president of the Auckland Chamber of Commerce, Mr. Malcolm Stewart; the Canadian Trade Commissioner, Mr. C. M. Croft; and the chairman of the Auckland Harbour Board, Mr. M. H. Wynyard. Mr. Fenton, in a short address, spoke on the Naval Conference in London, which he had attended. Later in the afternoon he left bv the Aorangi for Sydney.