97

A.—6a

islands ; and by that moans America has more and more, ever since the collapse of the beet-sugar industry in Europe, controlled the production and price; of svgar —I may say, throughout the world. If we were to ensure a British sugar industry in the historic sugar-growing islands of the Empire, it was quite clear that it was not so much the amount of the preference as the certainty of the preference that was required to attract capital, labour, and industry to British sugar-production. After all, the production of sugar from cane requires a very large expenditure of capital. Modern machinery has enormously improved and cheapened the cost of production, but it is expensive. I have in the last two or three weeks had approaches from persons with capital in this country considering whether they would or would not establish further sugar-factories and extend the sugar industry, particularly in the Island of Jamaica, anel I believe this announcement this afternoon will make the whole difference, anil you will get the orders for the machinery here in Groat Britain, and you will got an increasing sugar-supply. My Adviser from Mauritius tells me that, owing to the expansion of the sugar industry, Mauritius is producing very largely, but it wants the certainty, if it is to manure and if it is to keep the sugar lands in cultivation. 1 must say lam quite sure that the announcement made this afternoon will be of immense benefit in the long-run to the British consumer as well as to the sugar colonies and protectorates. One word about tobacco. lam quite sure that Rhodesia and Nyasaland are quite prepared to follow whatever line the Union of Seiuth Africa think wise; in this respeot. I hope that not only Great Britain, but also the; self-governing Dominions, will consider the possibility of extending preferential treatment to the products of the colonies and protectorates. 1 shall have a resolution to bring forward on behalf of the colonies about preference in public contracts. Some have given to the Dominions specific reciprocal arrangements, notably in the West Indies, between goods eif the West Indies and Canada. I believe that could be extended in other parts of the Empire, with advantage both to the Dominions and to the colonies and protectorates concerned. I hope that the possibility of developing our colonial Empire as well as the self-governing Dominions by the wise, common-sense, and skilful application of the principle eif preference will not be lost sight of. British Proposals not the Last Word. Mr. Neville Chamberlain : Mr. Chairman, after the very valuable speeches that we have had this afternoon I do not know whether it is really necessary to say anything more to elaborate the position of the British Government in this matter; but perhaps 1 might just be allowed to emphasize what you said about the nature of the proposals that are being put before the Conference this afternoon. You will have observed that those proposals do not concern matters which are what you might call of vital and elirect interest to our people in these Islands, and they have not been put forward in the spirit of the Blessed Glendoveer—' 'tis ours to speak, 'tis yours to hear," because if that had been our attitude we might just as well have sent you a letter saying, " These are our proposals." But we, have come here, as I understand it, to take counsel together and to give one another information as to the manner in which inter-Imperial trade can be helped by adjustment of arrangements between us ; and therefore we have aveiwe;dly framed our proposals as our contribution to the task of increasing inter-Imperial trade.-, and if these; proposals in any way fail to carry out the object which we have in view, then we, want to know it; and we; want you, who have the knowledge; of the conditions in your respective; countries, to tell us whether what we have' proposed is going to help you ; whether our proposals can in any way be- unproved, and, if so. in what direction. That does not bind us to accept any suggestions that you make to us, any more than you are bound to accept any suggestion we may put to you as to what we might elosire by way eif increasing our trade with you ; but it docs give us tin- opportunity, at any rate, of realizing what the position is, and then it will be for us to say whether, consistently with the interests eif our own people here, we can carry out what you have suggested to us. Suggestions invited. I hope, therefore, that the members of the Conference; will consider our proposals in detail from that point, of view, anel that when we discuss them again the;y will tell us whether they consider them adequate, complete, or whether they think they are capable eif improvement and in what direction. As a result of the foregoing discussion the question of tariff preference; was adjourned to enable further consideration to be given to the matter by the; various Ministers and their expert Advisers. A Committee (the Fooel and Materials Committee) was appointeel meanwhile, in pursuance of the decision arrived at in the above discussion, to consider the practicability of certain methods, suggested for examination by Mr. Bruce, for assisting the marketing of foodstuffs and agricultural raw materials originating in tho British Empire. The Committee reported on the 25th Oe;tobor and their report is printed on page; 120. The discussion was resumed at the Twentieth Meeting of the Conference, held on the 7th November, as follows : — The Chairman: The; first two items on the; Agenda to-elay are tariff preference and the report of the Food and Materials Committee. I think it would probably be convenient, as the two are so closely interlinked, if we took items 1 and 2 together. If it were agreeable to you I woulel summarize the report of the Food and Materials Committee, which went very fully into the questions referred

13—A. 6a.