TRADE POLICY OF, U.S.

Press, Volume LXXIV, Issue 22344, 7 March 1938, Page 9

TRADE POLICY OF, U.S.

* PACTS WITH EMPIRE COUNTRIES MOTIVES FOR APPROACH TO AUSTRALIA FEAR OF COMPETITION IN FRUIT INDUSTRY CuaiTJtD PBISB iSSOOJATIOK—COPYRIGHT.) (Received March 6, 11.45 p.m.) WASHINGTON, March 5. Important aspects of the trade agreement programme, including the question whether the United States would undertake the negotiation of an Australian pact simultaneously with the British and Canadian pacts, were discussed at the White House by Mr Roosevelt, the Secretary of State (Mr Cordell Hull), the Secretary for Agriculture (Mr H. A. Wallace), and the Assistant-Secretary of State (Mr F. B. Sayre). It is believed no decision has yet been reached. TT .. , The correspondent of the United Press says a triple motive exists for triangular discussions —(1) reports that Australian experts have already mailed for the United States; (2) the persistent efforts of some Congressmen to force consideration of an Australian pact on the theory that the wool cloth import duty will be reduced in the British pact, and that, therefore, a compensatory reduction on imported raw wool should simultaneously be arranged to enable domestic manufacturers to compete with British cloth imports; (3) some experts are convinced that negotiations with Australia would make it easier for Britain and Canada to give concessions to the United fVates goods competing in (their markets with Australian goods. It is understood that the United States hopes to obtain a larger share of the British and Canadian markets for raisins, apricots, and peaches, which Australia has increasingly sold in competition with California. Experts contend that if the United States granted Australia concessions on wool, then Britain and Canada would feel freer to curtail Australian fruit shipments. Opposing the Australian pact are numerous officials who contend that the opposition of the farmers to imports of Australian materials would be politically dangerous.