EXPLANATION WANTED

Waikato Times, Volume 119, Issue 19879, 7 May 1936, Page 6

EXPLANATION WANTED

There are occasions when the average elector would enjoy the privilege of asking a Minister of the Crown a plain question. One such occasion was when the Minister of Lands, who probably would not claim to be the most diplomatic member of the Ministry, gave his views on trade agreements. According to a, Wellington paper the Hon. F; Langstone said that there was only one effective method of making agreements and that was between Government and Government, and he added “little factories and business concerns can only make lollypop agreements.” Mr Lungstone really should explain whnt he meant. Contracts entered into by factories and business firms are for the supply of materials, or goods, which are required either for manufacturing purposes or for sale to the public. Each firm is responsible for its own orders andtfor the profit or loss made on each transaction. -In fact these contracts—the lollypop agreements, mentioned by the Minister—represent the basis on which most of the business of the Dominion is conducted. If there is to be any summary interference with existing arrangements, and apparently the Minister went on to assert that the Government would become the trader, then there should be some declaration of policy by the head of the Administration.

There is nothing that hampers trade more quickly or more effectively than uncertainty. If changes are pending naturally businessmen will defer their individual decisions until they know exactly the conditions that are to obtain. The Minister of Finance has stated that overseas credits will be available for those who wish to use them. That would ensure the continuance of existing business practices, but if, as Mr Langstone has said, the Government is to become the trader then it is essential that firms and others should be given a clear indication of the extent of the proposed operations, and even the details. Indeed, there is urgent need for the Prime Minister, or the Minister of Finance, to make a full statement about the intentions of the Cabinet. Much has been said about concluding bilateral agreements with Great Britain, and foreign countries taking our products. It is essential that the business community should know just what this involves. An agreement might be of an open nature or it might as easily mean definite undertakings to accept delivery of stipulated quantities. The Evening Post, com—menting on the statement of the Minister of Lands; assumes that he meant that the Government would buy the goods, There should be no room for doubt on a matter of such importance, and it is to be hoped that some member of Parliament will ask a few pertinent questions in order to ascertain exactly what Mr Lungstpne meant.