Trade Pact to be Signed in June

Hawke's Bay Herald-Tribune, Volume 81, Issue 49, 20 November 1937, Page 5

Trade Pact to be Signed in June

■Prees Assn.

BRITAIN & AMERICA Dominion Interests Will be Protected IMPLICATIONS REALISED

(By Telesrrapb-

-Copnieht.)

(Received 20, 8.45 a.m.) NEW YORK, Nov. IS. While information* telegraphed "by the Australian Associated Press correspondent at Washington indicates that Australia has hot had any considerable paTt in the recent British-American trade treaty explorations here, it i* strongly indicated that Australia has been consulted by London and that a variety of steps have been assured to protect Australian interests during th« impending negotiations. It is felt, however, that any Australian- American treaty will wait until after the conclusion of the pact b»tween Britain and America. It is intimated that Australia haa been assured by Britain that any eoncessions that the latter may graut th« United States, "jr instance ou wheat, could be compensated for by enlarging Australia's share of America's \wool trade, either - direct from Australia or via London, and possibly meat also. War Debt Excluded. The Washington correspondent of the New York Times says it is expected that the agreement will be signed iu May or June. Negotiations will probably begin at Washington in the New Year, subject to war debts being ex^cluded froth the discussions. Mr Cordell Hull, in an interview, emphasised that the United States had never questioned the principle of the Ottawa Agreement, but , desired to establish whether the minimum rates granted the Dominions under thati agreement were changeable. Negotiations for the past year had hinged oa that question. It was announced to-night that the United States and Canada will negotiate a new agreement, the moBt important aspect being an assurance that Canada will not make any undue sacrifices in yielding advantages under .the Ottawa Agreement. Developments have not appreciably advanced. The project will eventUally engage reciprocal discussions between Australia and New Zealand and South Africa. An Ottawa message says that Mr Mackenzie King, Prime Minister, in a statement deelared: "Canada is fully alive to the many and varied political economic implicatiohs of the negotiations." It is not believed that Canada and the United States will negotiate a new sepanate treaty without takingi the British-American pact into considera-"-tion. It is suggested that Canada might give the United States a tretter shara of the British market for lumher, meats and fruits and the United States giv# Canada concessions on cattle and fiBh. Australian Trade. The correspondent of the Australian Associated Press, quoting an important American source, says: "A general impression prevails that Aus+ralians are dissatisfied with t(he results of the trade diversion programme of May, 1936, which it is felt were principally dkected against Americans. " Figures show that the United States exports to Australia for the first eight months of 1937 were greater than for the corresponding period last year, indicating that Australia issued special import Iicences to the United' States when unable to obtain comparable products clsewhere. It is now felt that the Commonwealt is ready to relax the entire system. "American ohservors feel that the programme, if designed to force the United States to purchaso more Australian goods, cannot he considered. Controlled by many subde factors, international trade cannot be easily influeneed by tlie actions of any one Gorernment." • 4