A.—6a

30

as far as we possibly can, our own eoonomic necessities might drive; us into a position in which to some extent we: should have to relax it or we should be bringing disaster to our own country and to eiur own people. It is therefore necessary to consider whether such a relaxation would matter in the very least to Britain —whether it would matter if we removed these advantages we are giving her in our markets. On many occasions I have heard it stated that the preference we give to Great, Britain is of very little value at all. 1 recognize that that view is not, generally held, but then: is quite: a body eif eipinieih that expresses itself in that way. I think one need only look at the facts to establish quite; clearly that it would be; very unfortunate from Britain's point of view if Australia were driven to the point where she coulel not give such favourable: terms to Britain as she does at the present moment, Value of Australian Preferences to the British Manufacturer. Now, in the year 1922-23 the actual amount eif the preference which was given to British manufactures imported into Australia was £7,600,000. In addition to that, an e;ffort was made to asoertain the value of the sentimental preference givem by Australia. A great number of public bodies and large; enterprises and others were circularized with that object in view. The conclusion arrived at was that it would be something in the region of £2,000,000. Those figures are; very large, but in addition to that we have passed anti-dumping legislation Ao safeguard the British preference anil to make sure that it will be effective; against competition from countries with depreciated currency. Ido not wish to go very far into that aspect of preference, en- the protection where there are depreciated currencies, 1 will merely tell you two facts about it: one is that in cases where; it is found necessary to safeguard the preference given to British manufactures, as against the manufactures of a, country with depreciated currency, the basis on which duty is levied em the latter is the; domestic market value in Britain of similar articles of British manufacture ; the: other is that under our anti-dumping legislation rathor more; favourable protection is given in some instances to British manufacturers than to our own people. I pointed out to Parliament that it seemed to me rather an extraordinary position to In: taking up to be protecting somebody else rather better than one is protecting one's own people. The figures I have (pioted- £7,600,000 —are the actual figures. They can be- gathered frenu the trade: statistics. Most of you who have followed the controversies that have taken place: in this country will probably remember that when Mr. Doakin and Sir Joseph Ward were pressing this case of Empire; preference one of their critics said, " If Mr. Deakin and Sir Joseph Ward can show that the preference we wore giving was worth £1,500,000 by way of preference as a figure to take by way of ne;t profits to the manufacturers # of Britain there would be something in it." and he almost implied he would be in favour of it if that were the position. 1 dare say the- preference: given wenild amount to a net profit that is not ve:ry far short of the: preference we are giving now. I think, therefore, that we have, certainly arrived at the point where that challenge which was thrown out could very well be taken up. Over the whole; eif the- Dominions the' preference which Britain reoeived was somewhere between £10,000,000 and £11,000,000, anel I personally cannot believe for one second but that this must be of the very greatest value to British manufacturers, and I think anybody who considers the position must also recognize it. It must be of value to the, British manufacturer if those goods are going into Australia. It must provide employment for the people' of Britain, anil il must to a very greiat extent aid you in the problems you are faced with to-day. As far as inelividual manufacturers are: concerned, I have spoken to many of them, and they all say that the- preference.is of ve;ry great value, and we are constantly, as a Government, receiving representations urging us to maintain tin: preference whie-.h Britain at present enjoys. I think that the: Board of Traele could probably give us some information on that point, because they have no doubt ascertained from the manufacturers of Great Britain whether this is a preference that is of value to them and whether it is aiding them in their manufacturing industry at present. The Chairman: There is no difference of opinion as to that. Mr. Bruce: I need not labour the point. I may say that both the, Federation of British Industries and the Association of British Chambers of Commerce have; made very handsome acknowledgments of the benefits British industry has received. Ido not wish to labour this aspect of the matter, but I think it is essentia], at the start eif this Conference, that we; shoulet have the case: set out as it is and show what, the; whole thing means. 1 would now like to give a few statistical details of the specific trades which have; obtained advantage's under this preference. In regard to these: particular preferences and the particular industries, for 1920-21, the figures show: —

One must, also remember that the history of the past shows that these preferences have: been of some- value. In 1882 the- value of Australia's imports from Britain was (120,984.162, and in L 906

Apparel Textiles Machines anil machinery Other manufactures of metal Paper Class. Value "i Imports of Concession of Duty under United Kingdom Origin. Preferential Turin. £ £ .'), 1)77,751 577,3:19 27,679,025 3,980,232 4,746,001 551,980 17,960,292 1,487,906 2,1(18,43!) 193,536