ECONOMIC VICTORY

Wairarapa Times-Age, 19 November 1938, Page 7

ECONOMIC VICTORY

TRADE TREATIES HAILED IN UNITED STATES CHORUS OF CONGRATULATION. UNION OF DEMOCRACIES. By Telegraph—Press Association—Copyright. NEW YORK, November 18. There is scarcely a dissenting voice in the chorus of congratulation of the two Governments, from importers and exporters, on the completion of the Anglo-American trade’ treaty. Newspapers publish numerous interviews hailing the agreement as an economic victory in the struggle for world recovery. The Washington correspondent of the “New York Times” says it is considered the most outstanding diplomatic achievement of President Roosevelt’s administration. The Press stresses the political significance of the treaty. The New York “Herald-Tribune” observes that the agreement ends talk of a tripartite agreement in which Germany would be in included, and Mr Miller’s recall from Berlin lends point to the implication. “It is a sign of solidarity between English-speaking democracies plainly addressed to Berlin. It should also facilitate the task of United States diplomats in countering barter agreements which totalitarians may offer Latin-American Powers. The treaty may not restore the pre-war international laissez faire or make the world prosperous, but it does help hold together Anglo-American relations, which were shaken in Munich. It is also an indication that the United States is at last developing a positive and realistic foreign policy.” The "New York Times” says: The real significance of the agreement goes beyond the beneficial effect it will probably have on the trade of both England and the United States. The treaty makes a closer union between the two most powerful democracies, achieved at a particularly decisive moment in the .world’s history. It increases hope of more effective cooperation among all democracies in the defence of peace and order. TARIFF DETAILS LITTLE THAT DOMINIONS NEED FEAR. I i POSITION. OF AUSTRALIA. WASHINGTON, November 17. Analysis of the types of concessions which Britain has granted to the United States indicate that, with the exception of wheat, which is given free entry and for which it is understood Britain has arranged adequate recompenses to Australia, there is little that Australia need fear. The concessions granted to the United States, such as dried fruits, leave the vital raisin field unaffected, for instance, and, while dried nectarines, apples, etc, from the United States are given concessions, they are not necessarily vital. Canned fruits from the United States are given concessions, but chiefly the varieties not produced in Australia, such as canned grapefruit and loganberries. The concessions relating to fresh apples, while important, are designed 1 not to interfere with Australian apple exports since the cuts in duties will affect certain months when Australia is not shipping apples. The provisions relating to meat products are of various nature. While giving the United States greater opportunity for export, by reason of increased quotas, they nevertheless seem amply to protect Australia and New Zealand as far as can be seen from an early examination of the voluminous schedules since the increased quotas affect stuffs such as lard, etc, in which Australia and New Zealand are noncompetitive. A matter of great importance to Australia is seen in the important concessions granted to Britain in manufactured woollen goods of the finest qualities. This is expected to produce a marked increase in the basic consumption of Australian fine merino. SIR E. PAGE’S VIEW. COMMODITIES CHIEFLY AFFECTED. CANBERRA, November 18. The Minister of Commerce, Sir Earle Page, told the House of Representatives today that the Australian commodities chiefly affected by the Anglo-American trade agreement were fresh apples, pears, canned pineapple, and wheat. He emphasised that the changes were concurred in after the fullest consideration, by the Governments of Britain and the Dominions. He explained that the duty of 2s a quarter on wheat imported by Britain from foreign countries had been removed. EVENT, TO BE DESIRED STATEMENT BY MR SAVAGE. POSSIBILITY OF NEGOTIATIONS WITH U.S.A. New Zealand’s contribution to the commercial agreement which had been concluded between the United Kingdom and the United States of America was referred to by the Prime Minister, Mr Savage, in a statement last evening. He said the consummation of the agreement, which would have the effect of bringing the two great English-speak-ing countries into closer relationship, was an event much to be desired, and he was sure that it would be looked upon with much satisfaction by the people in New Zealand as. well as throughout the Empire. The agreement, said Mr Savage, aimed primarily at an expansion of trade between the two contracting countries, but it was to be expected that it would have much wider influences. To the extent that the agreement gave a stimulus to trade New Zealand stood to gain, in that the markets for its products in both the United Kingdom and the United States might be improved. The difficulties surrounding the making of an agreement of such a nature and which involved the consideration of so many questions and conflicting interests were tremendous, and no small measure of praise was, he thought, due to those responsible for the success of the negotia-. tions.

The conclusion of the agreement was facilitated by the co-operation of the Dominions in foregoing their rights to certain preferences fixed under the Ottawa agreements. New Zealand's

contribution to the agreement was represented by concurrence along with othei - Dominions in the reduction of duties fixed in accord with the Ottawa Agreement in respect of apples, pears, and honey entering the United Kingdom from foreign countries. The following concessions had been made in favour of the United States products in question: — Apples: —Duty reduced during the period August 16 to April 15, from 4s 6d to 3s a cwt. Pears: —Duty reduced during the period August 1 to Januay 31, from 4s 6d to 3s a cwt. Honey:—Duty reduced from 7s to 5s a cwt. “The extent to which the market in the United Kingdom for New Zealand’s products may be affected by these concessions would remain to be seen,” said Mr Savage. "However, I feel that the possibilities underlying the agreement are such that it is one to which this Dominion might reasonably contribute even if doing so entails some measure of sacrifice.”

Mr Savage said that the question of New Zealand’s entering into negotiations with the United States with a view to the conclusion of a trade agreement would be considered when the time was opnortune. The position had been fully discussed by the 'Minister of Customs, Mr Nash, when in Washington last year.