FRANCO-GERMAN TRADE

Otago Daily Times, Issue 19527, 9 July 1925, Page 10

FRANCO-GERMAN TRADE

PROPOSED AGREEMENT. NEGOTIATIONS SUSPENDED. Press Association—By Telegraph—Copyright LONDON, July 7. The Paris correspondent of The Times states that the Franco-German trade negotiations are again suspended, owing to Germany’s rejection of the trench proposals, which contained important concessions. The Germans, however, considered that they did not assure Germany a position on the French market equivalent to that offered to France on the German market. It is again alleged that Germany is deliberately putting off a commercial settlement until certain political objects have been attained, particularly the evacuation of the Ruhr and Cologne, but it is pointed out that Berlin is probably more inlluenced by the fear of a serious fall in the franc, resulting in a flood of imports from F ranee. It is stated that the two Governments are taking steps to maintain contact with a view to later conversations. —The Times.

Franco-German representatives on March 1 hist signed a preliminary tariff agreement, preparatory to the conclusion of thb general commercial treaty. The negotiations for this treaty were characterised by a series of deadlocks, necessitating the frequent return of the Gorman delegates to Berlin. The view was expressed that political factors were to some extent responsible for these difficulties, and also the fact that the Germans insisted on the “most favoured nation” treatment, which the French ore precluded from granting iinder the customs law of 1913.