118 Dedman [1] to Chifley

Cablegram ITO198 GENEVA, 4 July 1947, 1.40 a.m.

SECRET

Clayton had Australian and South African Delegates to lunch today.

Purpose apparently was to advise us unofficially that he was not going to take any further step on wool until Congress had dealt with price support measure introduced immediately after imposition of veto by President on import fee proposals. [2] Unlikely therefore any further developments on wool before middle next week at earliest. However, Clayton informed press conference yesterday that he hopes negotiations with Australia will be resumed very soon.

1 Dedman arrived in Geneva on 19 June to take over from Coombs as leader of the Delegation.

2 Following Truman's veto of the Robertson Bill (see Document 98 and note 5 thereto) on 26 June, a substitute Bill which provided for price support but excluded import fees was introduced into Congress.

[AA : A1068, ER47/1/28, i]