Wairarapa Times-Age TUESDAY, NOVEMBER 30, 1943. CO-OPERATION IN WORLD TRADE.

Wairarapa Times-Age, 30 November 1943, Page 2

Wairarapa Times-Age TUESDAY, NOVEMBER 30, 1943. CO-OPERATION IN WORLD TRADE.

TOUCHING the other day on. plans for the development of New Zealand secondary industries after the war, the president of the Bank of New South Wales (Sir R. Gillespie) observed that all. proposals of the kind must be. examined m light of their effect on the ability of New Zealand’s customers to purchase the Dominion’s exportable surplus. This, of course, is undeniable and it is at the same time impossible to do anything else than agree with the bank president that:— If all countries after the war set out to manufacture whatever they possibly can, without' regard to costs, world trade will shrink and the standard of living in primary producing countries like New Zealand will fall. This, however, is y picture of extreme possibilities which it may be hoped will not arise. A perception of the dangers that admitlodly'would attend an unwise and ill-directed expansion of manufacturing industry should not be allowed Io impede the progressive expansion of industry which is one essential means of enabling lhe Dominion to build up a larger population in satisfaclorv conditions of lite and work.

11l flic discussion of these questions too much emphasis is laid at times on the difficulty of reconciling the growth and extension of manufacturing industries in partly developed countries with the all-round expansion of international trade which advanced and progressive nations are intent on achieving after the Avar. Afore enlightened and open-minded views are also finding expression, however, ?and a noteworthy example in point was an address delivered by Sir Gerald Campbell, British Minister 1o the United States, at a recent conference in Boston. Observing that the old way of looking at international trade was too often based on the belief that there was only so much world trade to be done, ami that “it some other nation gets our share we shall have to go short,” Sir Gerald said this belief flowed from the assumption that there was a fixed amount of world trade for which everybody must fight.

The truth, we believe, is that there lies before all of us the possibility of an enormous expansion in world trade (.he added). Industrial growth has taken place in many countries overseas, accelerated in many cases by the exigencies of war. If we determine to look upon this not as creating more competitors but as creating more markets, we can go forward with confidence. It will need a changing and adaptable export policy on the part of industry to supply the changing needs of overseas countries as their economies become more advanced. It will also call for a degree of international co-operation in a number of ways such as has not been achieved before . . .

The key to a solution of the problems of post-war international trade obviously must be sought in genuine co-operation (as distinct from the exploitation of the economically weak by the strong) and in a readiness on. the part of all. nations to buy as well as to sell. It’ these conditions are established in any substantial. degree it need not be feared that any undue difficulty will impede the progressive expansion of manufacturing industry in countries like New- Zealand. At the same time there would be in these conditions a better check than there has been in the past on the development of industries fairly to be described as uneconomic.