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Thursday, 19 November 1936

Senator BRENNAN (Victoria) (Assistant Minister) .- On the hypothesis advanced by Senator Marwick, a State, in my opinion, could stand out if it chose to do so. No compulsion can be exercised on a State in this respect by the Commonwealth. The Commonwealth acts only at the request of the

States concerned in the particular industry, and if it were confronted with the fact that a number of i States, after this proposal was approved at a referendum, were anxious to stand out of any marketing control scheme, it would be extremely unlikely to proceed in the matter. The Commonwealth can come in only at the request of the States.

Senator Marwick - Objection might be taken by one State which was not in favour of the proposal carried by a majority of the States.

Senator BRENNAN - I understand that the hypothesis advanced by the honorable senator was in respect of a State which had been in favour of the proposal, and, after the proposal was carried, chose to stand out. In my opinion, the State could follow that course.

Senator Collings - Would that not jeopardize any proposal of this nature?

Senator BRENNAN - That would depend largely on the importance of the State with regard to any particular industry concerned. The Commonwealth cannot regulate intra-State trade, but it li.ii s complete power of control over export and interstate trade, subject to section 92, the limitations of which will be qualified if this proposal be carried by the people. If it chooses, a State may say that it will look after its own trade in its own way, but it must not be unmindful of the fact that the Commonwealth has legislative powers with respect to interstate and overseas trade.

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