1. Glad to have your letter of 6th July [1] and your assessment of
the position. I agree with your view that we should beware of
provisions aimed at facilitating use of quantitative restrictions
for protective purposes. You have of course been keeping us fully
advised of tariff negotiations in cables of later dates than your
letter. I have not been expecting any developments on wool until
the price support legislation is through Congress, but I would
like to be advised promptly as soon as Clayton gives some inkling
of the prospects. You know my views on the value of the whole
programme without American concessions on wool. [2]

2. The possible legislative programme is indeed a problem and I
have not yet been able to reach any final conclusions as to how
best it can be arranged. This is due partly to the domestic
political situation and partly to the uncertainties still
surrounding mechanics by which Charter and Agreement (or
Agreements) would be brought into operation.

3. Regarding our own situation, you will realise that proposals
are still extremely vague so far as the public, the labour
movement, caucus and even the majority of Cabinet are concerned,
not to mention opposition parties. I am at least convinced that we
could not contemplate a full dress tariff debate of magnitude
involved before the end of the year. The ground has not yet been
properly prepared, we already have a pretty full legislative
programme, a number of Ministers will be absent, and I doubt
whether our officers have the stamina left to do the enormous
amount of preparatory work involved in the time available.

4. I am almost equally convinced that we could not expect to get
Parliamentary acceptance of the General Agreement (or a number of
bilateral agreements submitted simultaneously) or of the Charter
itself, without giving the House an opportunity of discussing the
associated changes in the tariff. As for the Charter, it obviously
could not be submitted for formal acceptance or ratification until
its terms have been finally settled at the World Conference after
the House has risen.

5. Thus the programme for the forthcoming Session of Parliament
could not possibly exceed-
(a) A debate (on the printing) of the Draft Charter as it emerges
from Geneva, which we could probably not avoid in any case, and/or
(b) Government acceptance of the Agreement or Agreements emerging
from Geneva, which in itself may be difficult in the time
available even if the terms commend themselves, and
(c) Introduction of a Bill for the acceptance of the Agreement or
Agreements with the Tariff alterations annexed as schedules and
accompanied by Tariff Proposals which would come into effect when
tabled.

6. How far we could, in fact, go with this possible programme
depends on a number of questions, to which we do not, as yet, know
the answers, and which will readily occur to you. Among them are
form and nature of the proposed agreements whether multilateral or
bilateral and so on. There are also potential complications
arising out of leakages of information as to tariff proposals and
legitimate publication of details by other countries if the
multilateral form should be accepted.

7. My present inclination is to put off until early next year as
much of the programme as possible, both from the point of view of
convenience and of the ease of getting accepted whatever Cabinet
may recommend. My present impression is that it would be bad
tactics to have all the details announced and then left hanging in
mid air for everyone to shoot at through the Xmas recess. Moreover
delaying steps (b) and (c) until the new year would also allow us
to reassess the position free of commitment in the light of the
result of the World Conference.

8. I would be glad to have your reactions and considered
suggestions in the light of current developments at Geneva and
progressively as the mechanics of the proposed agreement emerge
more clearly.

9. I am in general agreement with your proposed schedule for your
own movements. [3] I presume you will let me know if there is any
change in your anticipation of the progress to be expected, and
the need for your own presence in Geneva. There may be advantages
in leaving the final documents for Coombs to attend to as we
expect they will be no more than certificates of correctness of
record.

10. Like yourself I lean to bilateral agreements.