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76

No. 18.

The SECRETARY OF STATE to the GOVERNOR-GENERAL

*

OF CANADA.

[Copy to Board of Trade, January 22, 1906, L.F.]

(No. 31.)

Downing Street, MY LORD,

January 19, 1906. WITH reference to my predecessor's despatch No. 303 of the 24th August, I have the honour to transmit to you, for the consideration of your Ministers, copy of a despatcht from the Governor-General of Australia on the subject of the establishment of preferential trade relations between Canada and the Commonwealth,

2. Referring to the third paragraph of Mr. Deakin's letter to Lord Northcote, may observe that, as your Ministers are already aware, the Colonial Conference will in all probability be deferred till 1907.

37609.

No. 19.

I have, &c.,

ELGIN.

The GOVERNOR-GENERAL OF CANADA to the SECRETARY

(No. 329.) MY LORD,

OF STATE.

(Received October 12, 1906.)

Government House, Ottawa,

September 26, 1906.

I HAVE the honour to forward herewith, for your Lordship's information, copy of an approved Minute of the Privy Council authorising Mr. D. H. Ross, Canadian Commercial Agent at Melbourne, Australia, to enter into negotia- tions with the Government of New Zealand on the subject of preferential trade relations between the two countries.

I have, &c.,

C. FITZPATRICK, Deputy of the Governor-General.

Enclosure in No. 19.

EXTRACT from a REPORT of the COMMITTEE OF THE PRIVY COUNCIL approved by the GOVERNOR-GENERAL on the 21st September 1906.

THE Minister of Trade and Commerce submits copy of a communication, dated 6th August 1906, from Mr. D. H. Ross, Canadian Commercial Agent at Melbourne, Australia, having reference to preferential trade between Canada and New Zealand.

The Minister states-in view of the New Zealand Exposition which opens on the 1st November next, to which Canada has forwarded considerable exhibits, which will undoubtedly attract attention, and bring to the notice of those interested in New Zealand the advantages of Canadian reciprocity-- that the present will perhaps be an opportune time for opening direct negotiations with the New Zealand Government.

The Minister, with that end in view, recommends that Mr. D. H. Ross be instructed to proceed to New Zealand accordingly.

The Committee submit the same for approval.

• No. 12.

JOHN J. MOGEE, Clerk of the Privy Council.

† No. 14.

SIR,

77

Preferential Trade between Canada and New Zealand.

Melbourne, August 6, 1906. THE attached clipping from a Melbourne newspaper of July 31st may prove to be of more than passing interest to you.

It appears that the new Premier of New Zealand, Sir Joseph Ward, has discussed with President Roosevelt the question of a tariff preference between New Zealand and the United States.

He is reported to have made proposals to admit American printing paper and canned salmon into New Zealand free of duty, as against Kauri gum and wool in the United States. The curious feature is that the raw product of Kauri gum, which is used extensively in the manufacture of varnish, has, I believe, always been duty free in the United States.

It must not be overlooked that Canadian printing paper and canned salmon represent the two chief items of Canadian goods imported by New Zealand firms, and when present paper contracts have expired there is bound to be a very substantial increase in the value of news and other paper shipped from Canada to that Colony, provided that the New Zealand preferential tariff with Canada remains unaltered, and no reciprocity treaty is arranged with the United States.

It would seem that the present Premier of New Zealand is departing from the Imperialistic policy of the late Mr. Seddon, as it is generally contended that he is prepared to extend a preferential tariff agreement to any country against a quid pro quo.

I thoroughly recognise the fact that New Zealand is quite outside the territory covered by my appointment, and my only reason for referring to this question is that I resided in that Colony for a number of years, and have invariably taken an interest in every phase of its development.

Of course the question will have to be considered in all its aspects, for the New Zealand Parliament might not agree to such proposals, and further, the United States Senate might not be disposed to entertain them.

Considering the manner in which Canada is supporting the Alley steamers

(I believe a pet hobby of Sir Joseph's) and the New Zealand Exhibition, I am surprised that the Premier would seriously consider the question of a tariff preference between his country and the United States.

Perhaps the Department might consider the advisability of communicating with the Government of New Zealand, protesting against the proposed arrangement with the United States, and this might obviate further nego- tiations being made, and thus coming to the assistance of Canadian paper manufacturers and exporters of canned fish.

I have, &c.,

D. H. Ross, Canadian Commercial Agent.

The Deputy Minister,

Department of Trade and Commerce,

Ottawa, Canada.

Melbourne "Age."--July 31, 1906.

SIR JOSEPH WARD.

Interview at Auckland.

Auckland, Monday.

Sir Joseph Ward was welcomed on his return to New Zealand by a deputation of citizens. The presentation of an address was deferred. He addressed an immense gathering on landing, and had a most cordial recep- tion. Interviewed, Sir Joseph Ward said he discussed reciprocity with President Roosevelt, but he had not, as some imagined, a signed treaty in his pocket. He had discussed the question freely with leading business men in America, and was satisfied that several articles could be exchanged to the benefit of both countries. Sir Joseph Ward suggested that New Zealand should exchange wool and gum for fish and printing paper, but these were only tentative proposals. America was unable to produce some classes of wool which we produced, and which she required. They bought it here and in London, and re-shipped it, which meant additional expense. There was a strong movement in America to secure betterment of trade between their

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