PROBLEM OF CURRENCY

Taranaki Daily News, 1 August 1932, Page 7

PROBLEM OF CURRENCY

NEGOTIATIONS AT OTTAWA TWO SCHOOLS OF THOUGHT WIDE RANGE OF SUBJECT '» PRELIMINARY DISCUSSION By Telegraph—Press Assn.—Copyright, i Ottawa, July 29. The principal conference business at Ottawa to-day was the meeting of the currency committee, which continued discussions on the effect of recent changes in price levels and the instability of exchange rates. The heads of the delegations meet again to-morrow to further consider the Empire’s monetary problems. A subcommittee is likewise meeting. The preliminary examination of the technical matters and the discussions have not reached the stage where Britain can give a lead. There is no question of dissension. Some of the speeches will probably bo released to the newspapers early next week. They indicate two well-known schools of thought.

The first school considers that the Empire alone, representing a vast group of nations whose currencies are linked to sterling, might to some extent now succeed with the plan of raising levels. The second school is of the opinion that the question is so wide that a better plan would be to bring in all nations for the purpose of reviewing and if possible adjusting the world's monetary problems, which are necessarily linked with the Empire’s depression, It believes that only international action can be effective. There is no hint aS to which line the conference will take, but Australia is subscribing to the first school and still hopes for some progress towards a solution of the currency difficulties. ’ BUTTER PROPOSALS. The sub-committee for the promotion of Empire trade elected Mr. W. RunCiman chairman. The discussion on the butter proposals reached the third stage. The first was a Dominion agreement with regard to requests, the second the reference of the proposals to the British delegatee, and the third a discussion of the details between the British and Dominion officials, who will next deal with meat and fruit. The fourth stage will be further discussions between the British and Dominion delegates, and the fifth Britain’s decisions. The sub-committee for industrial standardisation discussed chiefly the steps the various Dominions had taken to carry out the decisions of the 1930 conference.

An inaccurate report has been published stating that the Dominion butter proposals include a request that Britain should reduce foreign butter imports from 206,000 tons yearling to 117,000. It is officially stated that the proposals, while seeking the introduction of a quota, particularly refrain from specifying any definite figures. The proposals also request an increase in preference from Id to 2d a pound. The suggestion for a blunt request for a certain specified quantitative restriction was vetoed by an overwhelming majority of the Dominion delegates. It was considered a sounder method to endeavour to get the principle of a quota established and then discuss the question of details with Britain later. The Dominion delegates deplore the incorrect version, which woulu. possibly prejudice the negotiations. ARGENTINA’S ASPIRATIONS. . CONSIDERATION OF (PREFERENCE. British Wireless. Rugby, July 29, The Minister of Foreign Affairs at Buenos Aires yesterday stated, with reference to recent report that while the importance of an exchange of views with the United States will receive due consideration at a more opportune moment, the attention of the Argentine Government has been concentrated on commercial relations with Great Britain. A plan for preferential 'treatment for British goods is being considered and. is responsible for the presence in Buenos Aires of Dr. Malbran, Argentine Ambassador to London.