NEW TRADE TREATY.

New Zealand Herald, Volume LXVIII, Issue 20761, 2 January 1931, Page 10

NEW TRADE TREATY.

PROGRESS AT OTTAWA. SALE PRICE OF BUTTER, OTTAWA. Dec. 31. At threo sittings yesterday the Cabinet made extensive progress in its consideration of the items in the tariff schedules under tho proposed Canadian-Australia trade agreement. Consideration to the remaining items will be given to-morrow. The Australian Minister of Markets, Mr. P. Moloney, will leave to-morrow for Vancouver, en route to Australia. Until completion of the agreement no Australian butter will be sold in Canada at less than 32 cents (Is 4d) per lb., Mr. Moloney was advised by a cablegram from his Government. As the present wholesale prices is about 30 cents, the effect is that, for the present at least, Australian butter ceases to be a factor in the domestic market.

Mr. Moloney and Mr. H. Stevens, Federal Minister for Trade, were still conferring to-day, and Australia's undertaking i:) ibelieved to haye paved the way for a settlement, of one of the more difficult factors. The setting of a minimum price has been suggested as a method to be followed in settling the butter question in the treaty itself. Before Mr. Moloney and his party left Ottawa, in a brief statement Sir George Perley, on behalf of the Canadian Government, said: "We have had a most cordial discussion with our Australian friends and both sides are hopeful that satisfactory results will follow and that we shall be able to arrange an agreement which will be beneficial to both countries.