“BUTTER WAR” TRUCE.

Manawatu Standard, Volume LIII, Issue 14, 14 December 1932, Page 2

“BUTTER WAR” TRUCE.

GERMAN AGREEMENT WITH TWO LOU A 1 KIES. A truce has been reached in the “butter war” with the dairy l arming countries which began with German restrictions on tins import anti had serious reactions lor German export trade in these markets (says a London report of October 21). Denmark and Finland have now agreed to a total German import fpiota of 55,000 tons annually (about half the quantity imported in 19311, this quantity to be divided among the various butter-ex-porting countries proportionally to their consignments during 1929-19.41, and to be admitted at a uniform import duty of 75 marks a double cwt.

lit practice Denmark may now send to Germany about 15,000 tons of butter dutiable at 75 marks, instead of 5000 tons at SO marks, and any additional quantity at 136 marks. To obtain Finnish compliance in the abolition of the 50 marks duty, Denmark passes to Finland 3000 tons of her quota, and, x further, Germany has agreed to the release—and therewith probably the increase—of certain Finnish import duties hitherto fixed by the Finnish-German Treaty. The agreement seems relatively satisfactory for Denmark and may allay some of the trade hostility which aggressive German protectionism had aroused. The arrangement may also lessen Dutch resentment, as the Dutch butter export to Germany will also benefit. Meanwhile the “tomato war with the countries affected by the threatened import quotas for fruit, vegetables, and other foodstuffs continues, as do the protests of tra.de and industrs, and the Government may reconsider the whole question in the near future. Dr Luther, the Reiehsbank I resident, at Hamburg continued Ins lonely battle against that policy of l an tarcliy,” or national self-sufficiency, which is frequently disclaimed but repeatedly manifests itself in new forms, from the weeding out of British golf professionals, who are unable under the exchange restrictions to take their savings home, to the reduction ftom 39 to".six- of the scats allotted to Berlin’s 130 foreign Press representatives in the Prussian Diet gallery. Dr Luther said the markets for foreign products and for home products were so closely inter-related that the one could not he destroyed without destroying the other.