TRADE OF THE EMPIRE.

Taranaki Daily News, 22 December 1922, Page 5

TRADE OF THE EMPIRE.

MARKETS IN DOMINIONS., VALUE TO BRITAIN. PREFERENCE QUESTION. ECONOMIC CONFERENCE. By Telegraph.—Press Assn.—Copyright. Received Dec. 21, 8 p.m. London, Dec. 20. Mr. L. C. Amery (First Lord of the Admiralty), addressing the British Empire Union on trade within the Empire, said that if Britain’s horizon was limited to her own island and Europe, one would have cause to doubt the future. We needed, however, to return to the wisdom of our forefathers and recall that it was the trade built up in consequence of the founding of the American colonies helped England to withstand Napoleon for 20 years.

Similarly now, the most hopeful outlook consisted in the development of the Dominions. Recently, Mr. J. R. Clynes, in

advocating the remission of German reparations and the recognition of the Soviet as a remedy for the present trade stagnation, had suggested that trade with the Dominions was not worth consideration, because they contained only 15 million people, compared with 300 million in Europe. The important consideration, Mr. Amery added, was not the number of people, but the quantity of goods bought. In 1913 the Dominions bought goods to the extent of £5 per head, compared with 3/- per head bought by the rest of Europe. Our net exports to Europe in 1913 totalled £32,000,000; to the rest of the world, £98,000,000, and to the British Empire £144,000,000. He could not open up all the subjects which would be discussed at the forthcom- | ing Imperial Economic Conference, but he wanted to emphasise the need for Imperial preference, using the phrase in its widest sense. We had passed the stage when the phrase formed the basis of a keen political issue. The Ministry representing ail parties agreed in 1917 to extend preference to a limited extent to Britain’s present Customs schedule and preference within those narrow limits had already had amazing results in the supply of Empiregrown cocoa, coffee, dried fruits, jam and sugar. Mr. Bon ar Law had undertaken that the fiscal policy would not be fundamentally changed without a further appeal to the people, but there were many forms of preference still open for consideration by the Economic Conference. For instance, preference in communications, postal rates, cable charges and air services, which offer valuable assistance to the development of trade with the Dominions, our best customers. Personally, he would like to see some sort of preference in stamp or other duties, making it cheaper to invest in Empire than in foreign securities. In the passage of the Empire Settlement Act they had not faced the problem from the viewpoint of solving the immediate unemployment problem, but rather the building up of the future strength of the Empire. He believed there was nothing promising better for the well-being of the British people here and overseas than the operation and extension of that Act. Sir M. Barlow, proposing a vote of thanks, described Mr. Amery as the chief apostle of Empire development. He said many people had hoped that in view of this he would have been called to another high office in the Cabinet, instead of to the Admiralty.— Cable Assn.

WHERE THE DOMINIONS BUY.

SOME STRIKING FIGURES. COMPETITION OF AMERICA. NEW ZEALAND QUOTED. Received Dec. 21, 8.45 p.m. London, Dec. 20. The Colonial Institute tendered a luncheon to Sir W. Joynson-Hicks (Secretary for Overseas Trade). Mr. Lagden, toasting their guest, said the Department of Overseas Trade had been conspired against by the economy committees and finally crushed altogether by the Geddes axe. From that condition it had been rescued by vigorous protests from Chambers of Commerce in Britain and overseas. The cultivation of overseas trade had been al ways neglected by Britain, but they might rejoice to-day that statesmen recognised that Britain had a most precious asset in Empire trade and the Dominions were ready to give her preference. Sir W. Joynson-Hicks said the department had no high place in the hierarchy of the Government, but it was the one department which might enable the country to recover from unemployment and bad trade. The only possible means of removing unemployment was the fostering of trade between Britain and the Dominions. Most foreign nations either could not or would not trade, but if Britain could recover the £300,000,000 worth of export trade lost since 1913-14, she could absorb over 90 per cent, of her unemployed. An examination of the figures relating to the trade of the Dominions did not al ways reveal pleasing facts. New Zealand, one of the greatest importers of British goods, 30 years ago imported 67 per cent, of British goods. The percentage steadily declined until, in 1920, it was only 46. In the first half of 1922 it had risen to 52 per cent. On the contrary, the United States 13 years ago provided 5$ per cent, of New Zealand’s imports, and to-day the percentage was 16$. The year 1920 was the most fatal year to the Dominions, because France and Italy became enormous customers of Britain, who was unable to supply the Dominions, and consequently the United States took advantage of her position. Australia 30 years ago imported 68 per cent, of British goods, and in 1920 only 46 per cent. This year the percentage had recovered to 50. On the contrary, the American proportion had risen from six to 22 per cent, in 1920, and to-day was 18 per cent. Canada, notably, was not taking the same proportion of British goods as other Dominions, owing doubtless to more intensive competition by the United States. This Dominion was anxious and willing to trade with Britain, who was allowing herself to be ousted. Canada was taking only 13 dollars of British imports per head, compared with 59 dollars per head in American exports. Canada and Australia were becoming great industrial countries. Twenty years ago, only 198,000 were employed in industries in Australia, while to-day there are 400,000 so employed.

Britain must realise that it was no use asking the Dominions to do what was opposed to their own interests. The greatest possibility of developing overseas trade lay in the lack of population in the Dominions. Britain must relieve her surplus population; she must offer the Dominion*

men and not refuse. It was no use asking the Dominions to accept the scum. The Dominions would take the best men with enough money to establish themselves. It would be better for Britain if, instead of paying £100,000,000 in unemployment doles, she devoted £50,000,000 in placing men m a position to become desirable citizens of the Dominions. Everyone so placed would be a potential consumer of British exports, and Britain would thus create her own markets. The Dominions had shown a desire for closer trade relationships, and he was convinced that, if only the best men were sent them they would realise that their true prosperity lay along the lines on which the United States built up her great wealth. He hoped the coming Economic Conference would produce good results. The Dominions would enter it with the knowledge that thev could negotiate on equal terms. —Aus.-N.Z. Cable Assn.