80

The Empire has proceeded very cautiously in regard to methods for consultation and for the provision of common services in the Imperial field. We have, however, in the fields of agricultural science, developed methods of cooperation which are already producing most valuable results. Through the Empire marketing Board much useful work has been done for agricultural research, for marketing, and for the establishment of intelligence services. The Imperial Conference of 1930 recommended the extension of these activities and this Conference will undoubtedly take into careful consideration the constitution, terms of reference, and financial position of the Board . The Imperial Economic Committee, on its part, and within its terms of reference, has also done useful work. The Commonwealth Government believes that the time has come for a most careful review of the work of these and of the other Imperial or semi-Imperial economic bodies. It expects as a result of such review we shall recommend a concentration of effort and a clearer and fuller interpretation of the activities and terms of reference. The essential thing at this Conference, is that we should immediately set ourselves to the great task that confronts us, in a practical spirit. If we do so, I am confident that in a spirit of goodwill and helpfulness we will accomplish much. STATEMENT BY LEADER OF THE DELEGATION FOR SOUTH AFRICA (THE HONOURABLE N. C. HAVENGA) The South African Delegates desire to pay a tribute to the care and thoroughness with which the Agenda has been framed, and to the preparatory work done by the various Governments, especially the United Kingdom. This will prove of the greatest use in lightening the labours of the Conference and in shortening its duration. A tribute is also due to the ungrudging assistance of agricultural, industrial and commercial bodies throughout the Commonwealth, whose representatives are here in the capacity of business consultants. On the question of secondary industries in the Dominions the Union Government holds the view that their development is a necessary concomitant of growth. The right of any Dominion to establish and encourage local industries cannot be questioned and it is sound policy not to rely entirely on primary industries. The Union is extremely fortunate in her gold mining industry, but a limit has already been set to the period of its activities; and the other great primary industry, agriculture, is dependent not only on the weather but on the purchasing power of other countries, —two factors beyond :the farmer's control. The success of this industrial policy in th Union can be judged by the fact that to-day £56 millions of fixed capital is invested in secondary industries giving employment to over 200,000 persons, providing a local market for over £26 millions of raw materials of South African origin and having a gross output of over £100,000,000. This development has proceeded too far to be brought to a standstill and its existence cannot be jeopardized. Those who are engaged in secondary industries in South Africa are not antagonistic to tariff concessions, but they are naturally apprehensive as to the effect of reducing any tariff rates under which they have established themselves. They are of opinion that the interests of the British manufacturer and exporter will be better served by tariff rates designed to counteract competition from countries with lower wages and standards of living. Rationalization of industries or complementary production is primarily a matter for the industries themselves to settle. A Government can only take part in supplementing any arrangement come to, by such legislative action as may be necessary and is deemed suitable and to be in the general interests of the country it represents. Attention is invited to the reccnt and increasing agricultural development in the Union and particularly the great importance which the Union must attach to the question of finding an outlet for its surplus products on overseas markets. Since the Dominions and most of the Colonies produce commodities of a similar kind, the chances of developing inter-dominion trade in these products are not very great, but no doubt the possibilities will be fully explored by the technical advisers.