PROPOSED TRADE PACT

Taranaki Central Press, Volume IV, Issue 441, 24 May 1937, Page 5

PROPOSED TRADE PACT

BRITAIN AND U.S.A. IMPORTANT ISSUE FOR CONFERENCE Principles For Submission To Dominions Press Association —Copyright. London. May 23. After many months of intensive discussions in Washington, and London, British and American Government experts have virtually reached a stage whereby the British Government next week will be able to submit to the Dominions the principles of the proposed Anglo-American trade agreement, which is likely to prove the most important issue at the imperial Conference, states the Australian Associated; Press. It is understood that. America asked Britain to reduce some of the existing protection on agricultural produce, while Britain asked America, to explore the possibility of reducing some of the excessively high tariffs now preventng the normal volume of imports entering the United States. America’s demand affects seme Dominion preferences incorporated in the Ottawa Agreement, but British official quarters informed! the Australian Associated Press that there is no reason, to expect America’s requirements would necessitate drastic modification of the Ottawa Agreement to ‘the detriment of the Dominions. British delegates next week will stress; that the British market alone will not ultimately offer the Domin. ions an adequate outlet for their expanding output of commodities, compelling them to seek markets elsewhere. It will also be emphasised that the Ottawa Agreement was signed in. the throes' of a major depression. It offered the Dominions a relatively stable outlet, whereas with prosperity now returning other buyers are appearing on the horizon, chiefly in Europe, but they will remain prospective as loqg as political and economic uncertainties eentinue. The British Government will stress on the Dominion delegates the tremendous importance of the closest co-operation between England and, America in the face of European dang’ers.