RECIPROCITY WITH SOUTH AFRICA.

Taranaki Daily News, Volume XLVII, Issue 81876, 29 October 1906, Page 2

RECIPROCITY WITH SOUTH AFRICA.

A PROPOSED TREATY. (Per Press Association). Wellington, October 28. The Bill for establishing reciprocity of trade wiili Suutli Africa was introduced in the House ol Representatives by Governor's Message on Samrday. In moving' for leave to introduce it, the Hun. the Premier said that though very late in the session, he had no limitation in asking the House to pass an important measure of this kind. Such a course was absolutely necessaiy to presorsvo our trade with South Africa, which by the reciprocity treaties between South Africa and other countries, would be shut out. The matter had been the subject of coricspondcncc between the Governments of the two countries, tne outcome of winch was the Bill/ and a suggested schedule of items. The arrangement would be with Natal, Cape Colony, and Orange Free State. 'The Bill proposed to give the Government power to arrange a Treaty of Reciprocity, and give effect to it by making alterations in the existing New Zealand tariff by Order in Council at iis- discretion. Whatever alteration was made must cease to have force by the 21st day after the commencement of the next session of Parliament, so as to give Parliament command of ihe position. lie had consulted with the Leader of the Opposition. The followiig were the main particulars of the new South African Customs Convention, as supplied from Africa :

"Preference extended to butter, corn, grain, Hour, fodder, Quaker oats, fruits, lard and meals. General ad valorem rate increased from 10 to 15 per cent., with a preference rebate at 3 per cent, ad valorem. Two and a half per cent, list raised to three, with a preference rebate of the whole amount. The distinctions between refined and unrefined sugar arc eliminated. The memorandum, continued, stated that preferential treaiment is of course contingent on the grant by New Zealand of equivalent reciprocal (privileges, and on hearing from the various parties to the Customs' Union, will decide aa to the date on which preference may. by agreement with you, come into operation. In order to comply with the stipulations of the Convention, it is not intended that preference accorded to South Africa should correspond exactly with that accorded to New Zealand. The intention rather is that, as in the case of Canada and Australia, preference should be given to articles which South Africa might be able to send to New Zealand. PROPOSED N.Z. REBATES. "It is suggested that New Zealand grant] the following rebates:— Feathers, w per cent; fish, Jd per lb; fruit, dried and green, the whole duty; maize, 8d percental; tea ,id per lb; tobacco, 1/; wines, 4/ per gallon; and all the other articles not less than 25 per cent of any duty which may be leviable. It is understood that no duty will be charged on Angora hair and diamonds, the produce of the South African Customs' Union, without reference to the parlies thereto. Although some of these rebates may appear to be somewhat high, 1 have to point out that while New Zealand exports a considerable quantity of goods to South Africa, the return exporls are practically nil. If your Government agree to these proposals and legislation can be passed in time, I suggest that preference take effect from Ist November, or the earliest possible dale thereafter." The Premier said that reciprocity fostered the export trade of nations and he hoped for the best results from the establishment of h in these relations. Mr Massey and Mr Baume represented that the ostrich farming industry may not bo injured by the arrangement, and the Premier promised to sec to it. Mr Masssey said the measure was verv important and farreaching. He would never have supported it but for the clause giving Parliament command of the position at the opening of next session. He favoured the principle of reciprocity, although he failed to think what articles could come here from Africa, but he realised that our export trade might be considerably improved. The Bill was read a first time.