Volume 8 1945~1948


Doc No.
Date
Subject

No. 295 NAI DFA 408/67

Memorandum by the Department of External Affairs for Éamon de Valera (Dublin)

Dublin, 27 February 1947

The Minister for Agriculture1 is making a submission to the Government concerning the attendance of a delegation at a conference on wheat which is due to open in London on the 18th March. The conference will be concerned with consideration of a draft agreement dealing with wheat production throughout the world and the establishment of a scale of prices for wheat. The draft agreement is primarily designed to meet the situation which it is anticipated will exist again in the near or more distant future in which world production of wheat will tend to be in excess of demand, and will represent an effort on the part of wheat exporting countries (primarily the Argentine, Australia, Canada and the USA) to ensure that they can market their production at a remunerative price. It is expected that to achieve this end an endeavour will be made to incorporate in any agreement reached at the Conference provisions governing

  • a fixed scale of minimum and maximum prices for wheat,
  • the area to be planted to wheat on the part of 'importing' countries e.g. Great Britain,2
  • the maintenance by countries of carry over stocks and, should a glut appear probable, buffer stocks so as to ensure orderly marketing of the crop,
  • minimum import quotas on the part of wheat importing countries.
  1. In 1939 when the conclusion of an agreement of this kind was contemplated it was decided that this country should not accept the invitation to attend the Conference because it was felt that, while on the one hand our interests as an importer of wheat would make our presence desirable so as to ensure that the prices fixed were not unduly high, our attendance might imply acceptance of any decision reached to limit home production by importing countries and thus cut across our policy at that time of increasing wheat acreage. The position has changed in the interval in the sense that our wheat acreage rose considerably during the war and has probably attained its peak. The policy of the Government in this matter as defined in a White Paper issued in May of last year envisages a reduction in the wheat acreage to approximately its pre-war level. Any decision reached at the Conference which would tend to 'freeze' the acreage devoted to wheat in importing countries at existing or slightly lower levels would therefore not now be opposed to policy here. The fact, on the other hand, that we are bound to require imported wheat gives us an interest in seeing that the price range is kept low and that the obligations in the matter of stocks etc. imposed on wheat importing countries are not unduly onerous. On grounds of general policy, therefore, there are certain arguments in favour of our accepting the invitation to the London Conference. Furthermore this Conference may provide an opportunity to make contacts which might prove useful to us in obtaining supplies of wheat during the present period of shortage. Finally our absence might be interpreted to mean that while we have no objections to importing wheat when it is scarce we are not prepared to cooperate in any arrangements designed to meet the contrary situation.
  2. We have told the Departments of Agriculture and Industry and Commerce, which are of course the Departments primarily concerned, that attendance at the Conference might be advantageous. We have also suggested that the memorandum to the Government should seek as precise instructions as possible for the delegation on the points of interest to this country in the event of the Government deciding that Ireland should be represented at the Conference.

1 Dr. James Ryan TD.

2 This sentence has been reproduced as found.