The Daily News. TUESDAY, DECEMBER 28, 1915. PROPOSED ECONOMIC CONFERENCE.

Taranaki Daily News, 28 December 1915, Page 4

The Daily News. TUESDAY, DECEMBER 28, 1915. PROPOSED ECONOMIC CONFERENCE.

Against the numerous evils attendant on the war we can, fortunately, see several compensations, not the least of which is the lesson that the Empire and her Allies have learnt relative to the building up of their economic fabrics in such a way as to mutually iisiat one another in restoring their Siuaates, attd, at the same time, penalising their enemies. Germany has hitherto enjoyed immense advantages by trading with European treaty Powers, added to which her mercantile marine has largely competed for the carrying trade of the world. It is well known that German manufacturers have during the war had practically no market for their goods owing to the blookade of her shipping. Consequently there is being accumulated vast stocks which they purpose to pour into the markets of all countries after the war is over. It is one thing to plan, but quite another matter to carry out a programme dependent on other people. Already steps are being taken in Britain to reduce German trade after the war to a minimum by penalising German goods to such an extent that if they are imported the revenue of the State will be materially enhanced, while the price will give preference to the produce of the Dominions and of our Allies. The interesting interview with Mr. W. A. S. Hewins, M.P. (chairman of tho ■Unionist 'Business Committee), which was cabled the other day, should be read with considerable interest 'by all who are interested in the trade Of the Empire in the future. Admitting that the Unionists have been eagerly awaiting a favorable opportunity for dealing a death-blow to free trade, and that they naturally welcome and make the most, of their prospective tariff wall against our present enemies—particularly Germany—there are no grounds for re' garding their present efforts on other than patriotic* principles. When war was declared Germany was at the top of her progress in Imports and exports, her exports for 1913 amounting to 495 ; 6 mil-' ,Uom. *gd her imports 525.S millions

How important her imports were to tlu ! people is evidenced by the fact that out of the above total 351.8 millions may be classed as agricultural products and foodstuffs When, therefore, she was blockaded from the North Sea and from tie Adriatic she was cut off fro,m her outside food supplies as well as raw materials and manufactured goods. In the same year Britain received from Germany goods to the value of 80.4 mil. lions, of which 7'f1.l millions was retained in the United Kingdom, and British exports to Germany amounted to 40.8 millions, The commercial Intercourse of Germany and the United Kingdom involved an exchange of goods of about £150,000,000 in value. It is evident, therefore, without taking into account Germany's large trade with the Allies and the British dominions, that there is room for vast readjustments after the war,.but these new departures in production and commerce will require judgment and skill, as well as capital. According to Mr. Hewins, who resigned the position of Director of the London School of Economics and Political Science tn order to become secretary to Mr. Chamberlain's Tariff Commission, the whole German economic fabric is based on the Central European treaty system, 75 per cent, of her trade being done with Treaty Powers. As ohe of tho intellectual directors of the Tariff Reform movement in Britain, Mr. Hewing makes the best use he can of present factors as a lever for future operations, so that his assertion relative to a probable panio in Germany if Britain declared for a permanent tariff war may be somewhat discounted. There is, however, a growing feeling that it is time to put an end to playing into the' hands of our enemies and furnishing them with the sinews of war, It is quite conceivable that 'British tariff reformers are keen on laying the foundation for a new departure in fiscal policy, and the suggested Imperial Economic Conference is an eminently practical step in the right direction. As far as possible the Empire should be selfcontained, then would come a preferential tariff with our Allies, while our enemies would be penalised according to their iniquity. The Dominions are greatly interested parties to any arrangements that are likely to lie made in this matter and will undoubtedly have a voice in the settlement of the many questions connected with the subject. The idea of a British Imperial navigation system is certainly deserving of serious and favorable consideration, for it would be one of the most effective levers for destroying German influence. Although the end of the war may yet be afar off, there is wisdom in looking ahead and making provision for solving the important problems that will follow in its wake.