560.AL/5–347: Telegram

The Secretary of State to the Consulate at Geneva


304. For Clayton from Anderson. Reurtels 176–177, Apr 28 and May 3.1 Do not believe it possible go further than the binding of wool tariff in connection with proposed agreement with Australia. At same time, we would be prepared, once legislative situation is clarified, enter into discussions with Australia and such other countries as may be interested, looking toward arrangement for an orderly disposition of surplus wool. It might be possible in such an arrangement to give some assurances to Australia with respect to amount of wool it might expect dispose of in U.S. over a period of years. Such disposal might well be larger than in the years immediately preceding the war, but could not be expected reach volume obtained in recent years when our wool purchase program and accompanying prohibition of sales below parity has permitted Australian wool almost to monopolize our domestic market.

I do not think it desirable hold a meeting of International Wool Committee proposed at recent London meeting of Wool Study Group2 until this Dept has authorization from Congress under which to act. [Anderson.]

  1. Neither printed.
  2. A generalized summary of the work of the London meeting of the Wool Study Group is printed in Department of State Bulletin, April 13, 1947, pp. 659–660; this contains no reference to an International Wool Committee. The proposed formation of such a committee, which was to serve as a consultative group regarding the liquidation of surplus stocks is discussed by James Gilbert Evans, “American Wool Import Policy”, Department of State Bulletin, November 3, 1946, p. 787.