My telegram No. 305. [1]

Department of Agriculture have announced publicly abolition as
from today of subsidies previously paid on exports of wheat and
wheat flour from Pacific coast to China including Manchukuo and
Hong Kong. No such [subsidies] [2] have been paid on export of
these commodities to Japan.

In communicating this decision State Department emphasized the
desirability of Australia taking [parallel] action with the United
States by re[f]raining from granting any subsidies, credits or
special facilities in respect of exports of these commodities from
Australia to Japan, China or Hong Kong. They ask early advice as
to future policy of His Majesty's Government in the Commonwealth
of Australia in this connection.

CASEY