BRITISH GOVERNMENT WOOL,

Grey River Argus, 27 December 1920, Page 3

BRITISH GOVERNMENT WOOL,

(Rcc. December 26, 5.5 p.m.) LONDON. December Hi. Sir A. Goldfinch received a tnlefrom the Brdford Chamber of Commerce, expressing the opinion that it would bo unwise to hand over the Government stocks of wool to any syndicate, and requesting that tho whole of tho woollen and worsted trades should bo. consulted before the Government j takes any action. Regarding the Australian wool poll proposals, Sir A. Goldfinch, in reply points out that the Australian Government, in requesting that half of the surplus wool -and half of tho cash surplus should be handed over to a Co-operative Association representing th e entire sheep farming community of Australia, arc asking no more than they are entitled to receive. The British Government would not think it proper to offer any observation on the Australian Government's proposal for use of these assets. There was an Australian suggestion that the British Government should hand over to tho British half of .thft surplus wool to the Australian Assoeiot.ion for realisation on behalf of Britain. This suggestion stands on a different footing: but there arc strong reasons why it should bo accepted. T3normons difficulty, and delay, mid unnecessary expense would "be involved in making- a rmysical division of 1,900 £li<nisa,nd bales of wool. The Brifi«li Government, moreover, desires to disband its Wool Department as rapidly as. possible. The Australian proposal' was very welcome 10 this Department. The terms under which the wool was purchased entitled the Australian Government to be consulted in all arrangements for the oale of all this woo. Australia would not agree to the British Government handing over any part of this wool for salo to any -agency, except an association on which Australia was very largely represented. The Australian proposals contain nothing affecting the normal course of business in the Australian or British wool markets. Thanew wool clip will not be subject to the association, so that the ffow of wool to England irom Australia and other countries should csatiuue to the full extent of tho industry's requirements. Australia asks for no restriction and no preference of any kind. Therefore it is inipossiblo to see how British wool buyers could bo placed at any disadvantage compared with their position in normal times. Tho appointment of thoroughly qualified responsible men of business as directors of tho Association, -whose nomination will bo subject to the British Government's approval, will bo a sufficient guarantee that tho Association affairs will be conducted in a moderate, reasonable spirit. Any attempt to hold up wool" for unnaturally high prices was outside the desires of tho Association, and would in any cn.se be defeated by market conditions. Tho Governments of several othpr wool •producting countries were finding themselves forced to take protective measures to safeguard the sheep, industry. From this point of view, the Australian proposal was so cautions and mo- ! derate that the Wool Department would find it difficult to offer any lid criticism, even if it were permissible to do so. New Zealand wool •was not at present included in the [Australian scheme. After an answer was given to the Australian proposal, the problem of dealing.