330
PUBLE RECORD OFFICE
Reference :--
C.O. 885
8
PUBLIC RECORD OFFICE, LONDON
FALLY WITHOUT PERMISSION OF THE BE REPRODUCED PHOTOGRAPHIC- | COPYRIGHT PHOTOGRAPH--NOT TO;
450
APPENDIX XVI.
Memorandum by the President of the Board of Trade.
As a result of the communications which have taken place, it is understood that the representatives of the Colonies hereinafter mentioned are prepared to recommend to their respective Parliaments preferential treatment of British goods on the following lines:-
Canada.
The existing preference of 33 per cent., and an additional preference on lists of selected articles-
(a) by further reducing the duties in favour of the United Kingdom;
(b) by raising the duties against foreign imports;
(c) by imposing duties on certain foreign imports now on the free list.
Australia.
Preferential treatment not yet defined as to nature or extent.
New Zealand.
A general preference by 10 per cent. all-round reduction of the present duty on British manufactured goods, or an equivalent in respect of lists of selected articles on the lines proposed by Canada, namely :—
(a) by further reducing the duties in favour of the United Kingdom;
(b) by raising the duties against foreign imports;
(c) by imposing duties on certain foreign imports now on the free list.
63 The Cape and Natal.
d.
A preference of 25 per cent. or its equivalent on dutiable goods other than specially rated articles to be given by increasing the duties on foreign imports.
eniqua batirii s to goute
451
APPENDIX XVII.
Further Memorandum by Canadian Ministers on Preferential Trade.
This subject has frequently engaged the attention of the Conference. At an early stage Mr. Chamberlain suggested that the question could most conveniently be con- sidered by the representatives of each Colony placing themselves in communication with the President of the Board of Trade, Mr. Gerald Balfour, and the officials of that Department. Accordingly the Canadian Ministers had several protracted interviews with these gentlemen, and discussed the whole subject very fully. Opportunity was also taken to present the Canadian view to Mr. Chamberlain. Now that the Conference is drawing to a close, it is desirable that the course of the discussion, and the conclusions reached by the Canadian Ministers, should be outlined and placed on record.
From the beginning of the proceedings the Canadian Ministers have claimed that in consideration of the substantial preference given by Canada for some years to the products of the Mother Country, Canadian food products should be exempted in the United Kingdom from the duties recently imposed. Representations to this effect previously made through the High Commissioner for Canada were supplemented by the Ministers, both in writing and in the personal interviews with the Imperial Ministers.
Mr. Chamberlain, on behalf of the Imperial Government, was unable to agree to the proposals of the Canadian Ministers. He represented that the Imperial Government, while highly appreciating the good feeling manifested by Canada in the granting of preferential treatment, did not think the material results to the trade of the United Kingdom were as great as the Canadian Ministers claimed. He further said that the change desired by Canada would be an important departure from the established fiscal policy of the Kingdom, and that if the proposals could be entertained at all, as to which he was not prepared to commit himself, it would be necessary for Canada to offer some material tariff concessions beyond those which she had already voluntarily given.
The Canadian Ministers, therefore, submitted a memorandum on the subject of the advantages already received by Great Britain from the Canadian preferential traiff, with a view to showing that these were of much value, and entitled to weight in the consideration of the whole subject.
While urging that the benefits of the preference were such as to entitle Canada to the desired exemption from the duties on food products in the United Kingdom, the Canadian Ministers stated that within certain limitations they were prepared to consider the request of Mr. Chamberlain for further concessions in return for the desired preference in the markets of the United Kingdom. While it was not deemed necessary to enter into questions as to the wisdom or unwisdom of the policy adopted by all governments in Canada, of raising the revenues chiefly from Customs duties, the Canadian Ministers pointed out that under that policy large industries had grown up which had to be considered in connection with proposed tariff changes. Large reduc- tions of duties had been made in recent years, especially on British imports. It was feared that in some lines of importance further reductions might create a disturbance of trade which would not be conducive to the welfare of the country. But the Canadian Ministers pointed out that the Canadian tariff was by no means prohibitive, that large quantities of goods were imported, and that a great proportion of these came from foreign countries. In any lines in which it appeared that the goods would be manu- factured in Great Britain it might be possible to so readjust some duties as to give an additional advantage to the British manufacturer, and thus turn over to him a volume of trade which at present is held by the manufacturers of foreign countries.
The Canadian Ministers stated that if they could be assured that the Imperial Government would accept the principle of preferential trade generally, and particularly grant to the food products of Canada in the United Kingdom exemption from duties now levied, or hereafter imposed, they, the Canadian Ministers, would be prepared to go further into the subject, and endeavour to give to the British manufacturer some Incressed advantage over his foreign competitors in the markets of Canada.
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