Trade Flashcards
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20 33 Modernisation Mining Agriculture Industry Chartered companies Advantages / disadvantages for colonies
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Pro / anti imperial trade IFL Investment London Colonial Conference Anti imperial preference Undermining imperial trade
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Colonial Development Act Initiatives Impact of WW1 on Britain, India, Dominions Phases Fixing currencies to sterling Exports late 1920's / early 1930's Ottowa Conference Imperial imports as a percentage of total British imports Value of imperial trade and commerce for the Empire Impact of WW2 on British trade US loan Post-war retention policy Colonial Development and Welfare Acts
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Imperial trade post-war importance
Imports / exports (1956-65)
Factors behind declining trade with Empire
successful / unsuccessful post-war colonial development schemes
Percentage of British imports from Empire between 1850-1875
20%
Percentage of British exports to Empire between 1850-1875?
33%
Pro imperial trade (1890-1914)
India took in 20% of British exports by 1914, worth £150 million
New Zealand supplied 10% of British beed and 15% of British wheat-flour
Value of imperial trade by 1896 - £745 million
British investment in Empire between 1890-1914
British investment in Empire doubled between £2 billion and £4 billion between 1900 and 1913
1899 Colonial Loans Act
1900 Colonial Stocks Act
Anti imperial preference
Manufacturing, shipping and banking industries
Went against their principles of free trade
1906 Liberal General Election victory demonstrated view of British public
Undermining imperial trade
Canadian trade agreements with other countries
Import tariffs placed on British goods by the white dominions
Swadeshi - boycotting and burning of British goods
Colonial Development Act
1929
Earmarked £1 million for developing the colonies
Impact of WW1 on Britain
£ removed from gold standard
Overseas investments wiped out
Industry weakened as had been directed towards the war effort
Intensified as a result of the Great Depression
Impact of WW1 on the White Dominions
Canada came out stronger - trade relations with USA + economy free of British control / exploitation
New Zealand and Australia severely weakened
Had been heavily reliant of British markets
Impact of WW1 on India
Inflation and shortages due to £100 million contribution
Lack of British investment during war allowed internal markets to grow
British increasing import tax allowed internal markets to develop - 6.9% in 1913 to 25% in 1931
Phases of inter-war trade and commerce
1920’s - no imperial preference
1925 -£ added to gold standard
1930’s - return to imperial preference
1931 - £ removed from gold standard
Significance of some colonies fixing the value of their currency to Sterling
Promoted closer imperial ties
Provided a market for Britain to export its goods to
Reduced the impact of the Great Depression
Exports late 1920’s / early 1930’s
Rise of competing markets in the colonies from strengthening international powers (Japan - cotton)
Imperialists (Lord Beaverbrook) argued in favour of imperial preference, but notion opposed by colonies as it failed to maximise their trade revenue
Compromise reached at Ottowa Conference (1932)
Ottowa Conference
1932
Britain agreed to a 10% import tax on all goods except those coming from Crown Colonies
Reinforced the role of the Empire in supplying food and raw materials for Britain
Imperial import as a percentage of total British imports
1913 - 24.9%
1934 - 35.3%
Value of imperial trade and commerce for the Empire
Australia and New Zealand experienced serious economic problems in the inter-war period
Cost of their imports from Britain outstripped the income from their exports to Britain
Both ran up debts with Britain
Imperial preference became especially important for these countries when international trade slumped during the 1930’s as a result of the Great Depression
African colonies, Burma and Malaya hit hard by the Great Depression, leading to poverty and starvation, which fulled dissatisfaction with colonial rule
Impact of WW2 on British trade
Lend-lease from USA from 1941-1945
Export industry weakened as directed towards the war
1/3 of overseas assets had to be sol off
US loan
$900 million
Negotiated by John Manyard Keynes
£ required to be freely convertible into $
Post-war colonial retention policy
Colonies discarded which Britain believed would not be of economic benefit for Britain
Palestine/India
Colonies retained which Britain believed would be of economic benefit for Britain
Malaya
Colonial Development and Welfare Acts
1940
Formed basis for British post-war colonial retention policy
Wrote off some colonial debt
Granted colonies £5 million loans
1945
Granted colonies £120 million over a 10 year span
Countries had to provide a 10 year plan on how it would spend this money
Imperial trade post-war importance
1958 - 58% of all overseas investments into British shares and securities were in companies or governments of Empire
Imports / exports (1956/65)
Imports 1956 - 48%
Exports - 48%
Imports 1965 - 30%
Exports - 28%
Factors behind declining trade with Empire
Rise of European markets due to Marshall Aid, liberal democracy which encouraged private enterprise
successful / unsuccessful post-war colonial development schemes
Unsuccessful - Tanganyika groundnut scheme
Successful - Colonial Development Corporation / Colonial Development and Welfare Acts
