RELATED TOPICS 265 



much more intermittent. It would appear, then, that 

 our price would not fall to any great extent, and 

 production would therefore be continued, at least at 

 its present level, largely because of the interdependence 

 of agricultural and pastoral farming. 



(d) General Free Trade would benefit the Farmer. 

 The New Zealand farmer has everything to gain by a 

 general abolition of protection in the Dominion. His 

 industry is the least protected of all, manufactures 

 receiving protection at least to double the amount. 

 While Australia retains her protective duties on wheat 

 and flour (and these are about 25 per cent.), it is said 

 that New Zealand must also retain her duties. But 

 London is the chief market for New Zealand wheat, and 

 in any case Australia herself is an exporting country. 

 Then, again, even if the abolition of the import duty 

 on flour caused the milling industry in New Zealand to 

 decline, (not that it would), this might be a boon to the 

 country. Supplies of flour could be obtained from Aus- 

 tralia, and capital and labour thus set free from the 

 flour-milling industry could be devoted to the develop- 

 ment of our primary industries. 



But were the farmer to advocate general free trade 

 in New Zealand, including the abolition of the duty on 

 wheat, not only would he be a public benefactor, but 

 he himself would probably be the greatest gainer of all. 

 At present, protection is afforded to industries employ- 

 ing only some 5 per cent, of the population.* These are 

 for the most part manufacturing industries, which 

 produce only a fraction of the total supply necessary. 

 Consequently, prices are raised to the consumer on the 

 whole supply. The farmer would discover that many 

 articles necessary for the production of wheat would be 



*See Cost of Living Report, H-18, page Ixxx. 



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