TRADE WITH AMERICA

Hawke's Bay Herald-Tribune, Issue 112, 28 May 1937, Page 5

TRADE WITH AMERICA

Fr«ut A|sn.-rrCopyrlght.)

Will Dominions Agree To Revise Ottawa? PACT IS DESIRABLE

(By Tolesiaph—

(Beceived 28, 8.45 a.m.) * LONDON, May 27% With trade talks between England and America haviag passed beyond the etage of bilateral trade diseussipns, no reai progress can now be jnade until the PomxnAons are consulted. Accordingly considerable importance attaches to the CQmmencement of to-day 's gurvey of the economic situation by tbe heads of delegations. Thie Australian Federal Treasurer, Mr B. Or. Casey, had several informal conyersations with Mr Norman Davis, the Ameriean Ambaseador, who intimated that America thought Australia could modify the Ottawa Agreement, Mr Casey explained -tho Commonwealth viewpoint very plainly, emphasising the difficulti.es confronting Australia. He pointed out that the Ottawa eommodities in which Australia was mainly concerned were meat, dairy proiucts and dried f ruits, the imperial preferenee on which was vital to Australia. America would have to reeiprQcate in this* connection before Australia coxxld seriously negotiate a treaty with America. The Domanions fully approve of the principle of Anglo-American initiativq towqrds the Ipwering of tariff barriere simultaneously and appreciate the importance of the closest Empire and Ameriean relations tp tfie international Situation, Nevertheless they realise that diificulties exist that cannot b« easxly qvercome. Th§ Times, commenting on the . TJnited States' desire for a modification of the Ottawa Agreement, says: "It reinains tp be seen whether dt ie possible or desirable to consider the Empirq as a unit fqr thq purpose qf - talks to agree to mutual cbncesgions, and gim at the liberation of the flow pf Ameriean trade with the Empire. British financial circfes generally agree that an Anglo-American agreement is ip. every way desirable, the psychological effects of which would far qutweigh the ppseihle ecpnpmie consequences."