TRADE PARLEYS

New Zealand Herald, Volume LXXV, Issue 22941, 20 January 1938, Page 8

TRADE PARLEYS

BRITAIN AND AMEBIC A : , ATTITUDE OF AUSTRALIA • NEW ZEALAND MARKET [from our own correspondent] SYDNEY, Trade is being kept in the forefront of national politics and discussions by the Anglo-American negotiations for atrade treaty, the effect of such a treaty on the Ottawa Agreement, and the possible consequence to Australian trade with Britain and the United States. It is known that the Commonwealth Government is extremely gratified at recent developments. The tentative list of suggested trade concessions which America has submitted to Britain contains few items which would adversely affect Australia's trade with the United Kingdom. Already it is clear that the AngloAmerican trade treaty will not involve the wholesale or general scaling down of preferences given Australia in the United Kingdom market. Realising the important issues at stake, Australia was prepared to make genuine sacrifices to assist in the cause of AngloAmerican co-operation. Now the Commonwealth Government learns that the sacrifices required of Australia to further this great objective will not be as severe as it feared,

Close Consultation The British High Commissioner in Australia, Sir Geoffrey Whiskard, informed the Prime Minister, Mr. Lyons, this week that the Anglo-American trade treaty will' not be completed before the Ottawa Pact discussion begins. In the meantime, Australia will be consulted daily, if necessary, whenever any matter is raised in which her interests are concerned. The Australian delegation for London, or part of it, will visit Washington on the way back from London. There is every reason to believe, that revision of the Ottawa Pact will be succeeded almost immediately by an AustralianAmerican trade treaty, which will be of great benefit to woolgrowers. . - Recent Visit to Dominion

In the meantime, the s ppmmonwealt][i Government will try to sotre trade difficulties between New Zealand and Australia. Negotiations for a new trade agreement, for which the Minister of Customs, Mr. White, has pared the way, will probably begin immediately after the Cabinet has discussed Mr. White's report this moiith. Mr. White submitted a preliminary report to Mr. Lyons, and is preparing a memorandum for submission to ea<& Cabinet Minister. jMr, Jjyoiis said,-however, that Mr. White's visit to ' New Zealand had smoothed out many difficulties, and had given both countries a better understanding of the problems of the other. Secondary Industries ; The report submitted by Mr. White, it is understood, contains proposals and counter-proposals on which the two Governments will endeavour to reach a settlement. The secondary industries will be chiefly affected. There are certain to be modifications of the concessions which Australia now enjoys on the New Zealand mafk'et, but others will be granted in their place. One result of the negotiations may be the stimulation of industries that have not been fuljy developed, so that they can obtain a share of the New Zealand market, and thup compensate for any losses suffered by industries which are no\£ exporting.

The agreement will be completed before Australia undertakes either the negotiations for the revision of the Ottawa Agreement or the discussions for a trade pact with the United States.