DAIRY NEGOTIATIONS

Evening Star, Issue 21709, 2 May 1934, Page 2

DAIRY NEGOTIATIONS

GOVERNMENT AWAITS BRITAIN’S REPLY [Per United Press Association.] , HAMILTON, May 2. Speaking at a political gathering at Morrinsvillo last night, the lit. Hon. J. G. Coates made the statement that the increased exchange was not a breach of the Ottawa Agreement. As the result of various factors the raising of the exchange gave a margin; and there had been no marked increase in the cost of living. He added that a diversion of trade from the United Kingdom to Australia was not'caused by New Zealand’s action. A statement regarding the cablegram recently sent to the British Government in connection with the 'dairy industry was made by Mr Coates in an interview last night. “T cannot give the complete text of the cablegram,” Mr Coates said. “ However, with the establishment of the Royal Commission to investigate the affairs of the dairy industry wo got. in touch with the Imperial Government. We gave the information that the dominion Government had now assumed the responsibility, and that it would be the channel through which future negotiations would be directed. We also inquired from the Imperial Government if it could make suggestions for a basis of future discussions between the two Governments. The reply from England is expected at any time., When it arrives it may prove confidential, but on the nature of the reply it? is quite possible that some at least of our future actions may depend.”