FALL IN VALUE

Waikato Times, Volume 127, Issue 21178, 30 July 1940, Page 8

FALL IN VALUE

OVERSEAS TRADE PRINCIPAL EXPORT ITEMS IMPORTS OVER £6m LESS MORE FROM BRITISH COUNTRIES The review of New Zealand’s overseas trade given in the annual report of the Department of Industries and Commerce for the last calendar year shows that the total external trade fell from £113,798,472 in 1938 to £107,395,900, a decrease of £6,402,572. This fail was mainly accounted for by imports falling from £55.422,189 to £49,387,183, a decrease of £6,035,006. Exports were valued at £58,376,283, compared with £58,008,717, a decrease of £367,566. The big decrease in exports resulted in the balance of visible exports rising from £2,954,094 in 1938 to £8,621,534 in 1939. Quantity and Value Among the more important products exported, wool increased by 23.992 bales for quantity, but declined by £519.405 for value; butter declined by 165,338 cwt for quantity and £388,320 for value; cheese increased by 60,820 cwt for quantity, but the value was £85,870 lower; frozen beef was 131,413 cwt higher for quantity and value increased by £270,146; chilled beef decreasedi by 40,002 cwt for quantity and £61,109 for value; exports of lamb increased by 161,025 cwt and value rose by £20,142; mutton exported rose by 212,348 cwt, but value declined by £77,157; pork decreased by 54,743 cwt for quantity and £162,216 for value; exports of gold increased by 23,883 oz and the increased value amounted to £331,687. Butter and Cheese Butter and cheese represented 37.9 per cent of the total value of export.!; meat 25.7 per cent; and wool, 20.1 per cent. The comparative figures for 1938 were—butter and cheese, 38.5 per cent; meat, 25.2 per cent, and wool, 20.9 per cent. “The direction of our export trade,” the report continues, “is briefly dealt with as under, the figures for 1938 being shown in parentheses:—British countries took 87.79 per cent (90.75 per cent) of our exports and foreign countries 12.21 per cent (9.25 per cent). Of the British countries the United Kingdom took 81.11 per cent (84.17 per cent), the only others of importance being Australia, 3.92 per cent (3.77 per cent), and Canada, 1.62 per cent (1.94 per cent). Among the foreign countries the chief buyers of New Zealand produce were United States of America, 4.94 per cent (2.45 per cent); France, 2.74 per cent (1.75 per cent), and Belgium, 1.52 per cent (0.63 per cent). The increased purchases by foreign countries were caused by their increased importations of our wool. Import Proportions “Our import trade was shared to the extent of 74.21 per cent (73.56 per cent) by British countries and 25.79 per cent (26.44 per cent) by foreign countries. Of the more important British countries the United Kingdom contributes 46.83 per cent (47.87 per cent); Australia, 13.01 per cent (12.92 per cent 3; Canada 8.86 per cent (8.76 per cent); Ceylon, 1.67 per cent (1.48 per cent); and India, 1.43 per cent (1.02 per cent). Among the foreign countries the chief contributors to our import trade were United States of America, 11.36 per cent (12.37 per cent); Netherlands East Indies 4.93 per cent (3.90 per cent); Japan, 2.10 per cent (2.18 per cent); and Germany, 1.76 per cent (2.02 per cent). "All the principal countries, with the exception of India, Ceylon, and the Netherlands East Indies, recorded decreases for the value of commodities exported to New Zealand. Fall in Chief Commodities “The big decrease in the figure for total imports was spread over a wide range of commodities, chief amongst these together with the amount of the decrease being as follows: —Motor vehicles, £1,235,113; apparel and ready-made clothing, £702,207; bar, bolt, and rod, £368,822; wheat, £359,882; electrical machinery and equipment, £329,430; tractors and parts, £228,245; hardware, cutlery, etc., £219,278; dredging and excavating machinery, £208,346; fancy goods, £154,049; carpets, matting, and linoleum, £152,952; wireless apparatus, £146.399; cigarettes, £125,852; hosiery, £123,416; plate and sheet, black or uncoated, £119,592; footwear, £183,267; tablecloths, towels, sheets, etc., £IOO,722; agricultural implements and machinery, £108,695; and printing paper, £110,213. Progressive Reduction “Increases of importance were recorded for sugar, £252,371; tea, £63,455; unmanufactured tobacco, £221,841; cotton piece-goods, £219,134; silk and artificial silk piece-goods, £81,890. bags, sacks, and woolpacks, £114,411; motor spirit, £138,621; railway and tramway plant, £220,715; and arms, ammunition, and explosives, £284,469. “The result of import selection is seen in a progressive reduction of imports during the year. The fall did not commence till July. Up to the end of June, the first six-monthly period of import licensing, the 1939 total was 4 per cent higher than the figure for the corresponding period of 1938. Imports during the September quarter declined by 18 per cent when compared with the corresponding quarter of 1938 and the figure was down by 3i per cent. The concluding quarter of the year recorded an even sharper drop, amounting to 33 per cent, making the total imports for the year 11 per cent lower than the 1938 total.”