LOANS FOR FARMERS

Wanganui Chronicle, Volume 74, Issue 139, 15 June 1931, Page 10

LOANS FOR FARMERS

INTERNATIONAL PROPOSAL BRITISH MINISTERS DIFFER LONDON, June 2. The {Dominions were unknowingly the cause of a British Cabinet difference, as the result of discussion at Geneva on the proposed establishment of an international company to lend money to European farmers. Germany agreed to support this if Britain and four other nations favoured it, but the Secretary for the Dominions, Air J. H. Thomas, acting as Foreign Secretary during Air Arthur Henderson’s absence, telegraphed to Mr Henderson at Geneva disapproving, because assisting European farmers meant adverse competition with New Zealanders, Australians and Canadians. Air Henderson, however, approved of -he proposal in principle, and promised to discuss the situation on his return to London. Afeanwhile, the proposed company, with headquarters at Geneva, is being proceeded with, tho capital being £1,000,000. Freetraders still hope that Britain will participate. The Liberals seem neglectful of the Dominions’ requirements, which may have influenced the Labour Government’s increasing coldness to the Dominions. Nevertheless, tho personal influence of Air Thomas may save the situation. When Mr Henderson returned to England he was asked in the House of Commons whether the Government had decided to support tho convention for the establishment of an international mortgage company. The Minister replied that the Government was considering tho questi in. Jt. is understood that freetrade members of the Labour Parly and the Liberals are putting pressure upon the Cabinet, but Mr Thomas continues his opposition Io the scheme, on the ground t.h.tt it would be a slight toward the Dominions.