OTTAWA AGREEMENTS

Greymouth Evening Star, 30 August 1932, Page 5

OTTAWA AGREEMENTS

BRITISH CABINET MEETING

CALLING PARLIAMENT EARLIER [BRITISH OFFICIAL WIRELESS.] RUGBY, August Legislation, which acceptance of the Ottawa agreements may render necessary', was considered at a long meeting of the Cabinet on Sunday, when the qi.estion was raised' as to whether Parliament should be summoned to meet before October 27, which is pro-vj-tonally timed for the re assembly. The Ottawa agreements provide for a continuance of preferences to the Dominions by Treasury orders, issued under the Import Duties Act. Hhis p ooedure, however, can apply only to the existing duties, and. legislation would be required in regard to preferences under the new duties, and higher rates of duty on certain imports. November 15 is the date on which free entry of Dominion goods under the Import Duties Act. This and it is generally considered that the time available between October 27 and t'-at date Would be insufllcient for the carrying through of legislation to come into effect when that privilege lapses. Tne final decision as to date of reassembly,' was, however, left to the discretion of the Prime Minister. In a review of the results of the Ottawa Conference, in his broadcast speech, Mr Baldwin said the great fact which stood out was that the conference had succeeded in agreeing on r. revised trade policy. The scopp- and character of the tariff changes in the Dominions offered Britain a larger share of the Dominions’ markets, and a share that must become increasingly greater as the years went by, and the prosperity of the Dominions increased.

The Prime Minister, accompanied bv Mr J. H. Thomas, left London by train this morning for Balmoral, where they will be guests of His Majesty, who is in residence at his Scottish castle. The original intention to make the journey by air was abandoned owing to the unfavourable weather conditions in the Midlands.

LOAN ISSUES. On' his return from Ottawa, the Chancellor of the Exchequer has reviewed the position, arising from his request to intending borrowers to refrain from coming on the market pending the completion of the conversion operation. In view of the gratifying high percentage of assents already received from holders of the war loan, the Chancellor now feels satisfied that some partial relaxation of the present arrangements may safely be permitted, but fob the time being he requests only the following operations be undertaken: —Firstly, the mere exchange of one class of security for another, without change of ownership, and, secondly, the issue, of a new security to replace the security, the final redemption of whicli had, prior to July, 1932, been fixed for a date earlier than December 1 next. Provided that such operations concern only the British, including Empire Stirling issues, domiciled in London, and involve neither provision of new cash, nor underwriting. ■ , • An announcement respecting the re J payment of the four and a-half per cent, war loan, 1925-45, and’ the 4J per cent, treasury bonds, 1932-34 is being made on Tuesday. By the beginning of October, it will be possible to estimate with fair accuracy the total amount of cash to be provided for the redemption on December* 1. The ques tion of terminating the so-called “embargo” will then be reviewed, and a farther statement' made. RELATIONS WITH IRELAND. Mr O’Kelly and thirteen other members of the Irish Free State Delegation at Ottawa reached Southampton this afternoon.

In an interview, Mr O’Kelly referred to his frequent informal conversations with Mr Thomas on the Irish question. He agreed with Mr Thomas that no d; or had been closed to peace, and in his opinion there was a .much better atmosphere of friendliness, as the result of the deliberations. CABINET DISSENSIONS LONDON, August 28. The “Morning Post’s” political correspondent says: “The most important news that Messrs Baldwin and Thomas will convey to the King to-day is that the ratification of the Ottawa agreements is not likely to cause the resignation of the Free Trade members of the Cabinet, whose objections to the agreement are regarded as being with in the scope of the “agreement to differ.” Free Trade Ministers, however will probably conduct a campaign against the agreements with the Do minions when the details are published.

MR. BRUCE’S HOPE.

NEW YORK, August 28.

“The forthcoming World Economic Conference at London presents a real hope to a distracted and almost desperate world,” said Mr. Stanley Bruce, in an aUdress he delivered on Sunday night. He refused to contemplate that conference as a failure. He said that what had been done at Ottawa, if applied/ to a wider sphere, should materially assist in a restoration of world prosperity. “At Ottawa we realised the necessity for wise protection by tariffs for efficient industry, but we were equally convinced that prohibitions and prohibitory tariffs must be abolished. The fact that one group of nations was able to establish this principle should encourage a hope that an agreement may bo reached in the international field.” Mr. Bruce sails on Wednesday to take up duties as Residential Minister for Australia, in London.

AMONG THE FINANCIERS. NEW YORK, August 29. Mr Bruce was the guest of honour at a luncheon by J. P. Morgan and Company, to-day. Mr Bruce informed the Press Association that he took advantage of the occasion to indicate the decisive manner in which Australia had dealt with its financial, industrial and foreign trade problems during the last two trying years. Governor Harrison, Federal Reserve Bank, will entertain Mr Bruce at a private luncheon on Wednesday,