NZ says no to federation with Australia

30 May 1901

A 10-man Royal Commission reported unanimously that New Zealand should not become a state of the new Commonwealth of Australia. Nor did it think that a trade treaty between the two countries was a realistic prospect. Although a New Zealand Australia Free Trade Agreement was eventually signed in 1965, political union is no closer today than it was in 1901.

By the time the Royal Commission reported, the Commonwealth had existed for five months. Its constitution made provision for New Zealand to join the five founding states – on terms to be negotiated.

New Zealand had participated in Australian colonial conferences since the 1860s. But when federation became a serious prospect in the 1890s, New Zealand took no part in the negotiations and there was little public interest. However, the 1899 decision to federate sparked off agitation in favour of joining Australia, and the conservative opposition advocated a referendum on the issue.

Premier Richard Seddon saw himself heading a South Pacific empire, not a subordinate administration. He set up the Royal Commission in 1900 to buy time and get a sense of public opinion. While most submissions opposed union with Australia, many farmers were in favour, fearing trade barriers to their produce.

The prevailing view was that New Zealanders – both Pākehā and Māori – were of superior stock to their counterparts across the Tasman. New Zealand’s trade was mostly with the United Kingdom; Australians were economic rivals rather than partners. Nascent nationalism was also fostered by participation in the South African (Boer) War. And the 1200 miles of stormy sea separating the two countries represented 1200 arguments against federation.

Image: New Zealand Federation Royal Commission (ATL)

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