Opportunities

Where Australia Misses

Vol. 1—No. 6

January, 1931

AN example of how valuable trade is lost to Australia, as a result of the foolish and erratic economic the ories which dominate Australian Gov ernment, is provided by trade figures in the just-issued report of the Brit ish Resident Commissioner in New Hebrides. The group in 1929 imported 1 902 2-dozen cases of bottled ale all from German and Dutch breweries.

Of fine and light wines, New Hebrides in one year purchased £13,400 worth; and practically every gallon came from France. The group imported 6,547 cases of spirits—essentially a British product; but nearly the whole of it came from Britain, 10,000 miles away, and almost none from Australia, dis tant only a few hundred miles. Of tinned food, the group imported no less than 9,537 cases, worth over £20,000. Although Australia can pro duce the finest qualities of canned foodstuffs, almost the whole of these goods were bought from America.

Australia is a dairying country. The New Hebrides people, in 1929, im ported 1,548 4-dozen cases of tinned milk — not from Australia, a few hours’ steam away, but from Switzer land. One would suppose that Aus tralia would be able to supply some substantial part of the £4,700 worth of sugar which this group annually imports—but it nearly all comes from Java.

And so the incredible tale goes on.

About the only thing that Australia sends to the New Hebrides, worth re ferring to, is flour. The group, in 1929, took 11,043 sacks of flour, worth £8,580, nearly all from Australia.

Although Australia ought to be sup plying to the Islands Territories 80 or 90 per cent, of the manufactured foodstuffs they require, actually the only line in which Australian manu facturers have anything approaching a monopoly is flour. Australian mill ers, by some means, have overcome the definite disadvantages of manufac turing in Australia, while holding the advantages given by geographical posi tion and the control of raw material at its source. For the same reasons, Australian biscuit-makers ought to be in a strong position in the Pacific trade. But while they are well placed in some groups, it is disconcerting to notice that practically the whole of the biscuits imported into the New Hebrides come from France and Brit ain. The Australian tobacco manufac turers have built up a solid Pacific trade; yet in New Hebrides practi cally the whole of the £12,400 worth of tobacco imported comes from Europe, simply because the product of Australia, close to New Hebrides, is easily undersold by the product of France and other nations, 10,000 miles distant.

The New Hebrides tariff makes no national discriminations. It is 6 per cent, ad valorem, on most imports,

with 12 per cent, on spirits and tobacco, and 20 per cent, on lace, per fumery and fancy goods.

Of course, the story of the Austral ian manufacturer, in relation to New Hebrides, is simply the story of Aus tralian production generally in rela tion to the trade of the world. With her extraordinary richness in raw materials, primary products, cheap power and skilled men of superior type, Australia ought to be able to sell her goods profitably anywhere in the world. But, instead, she has turned loose in her administrations various kinds of political lunatics, who have tied the hands of her manu facturers with extreme industrialism, and stifled a virile nation with un couth socialistic legislation. Aus tralia, presently, will return to san ity and become, not only a ready sup plier of Islands needs, but also a mighty consumer of Pacific products— just as she promised to be 30 years ago. The present position is a little disheartening; but while we are awaiting the return of Australia to sanity, we can get some slight satis faction from surveying the position, and noting the 'splendid opportunities.