DOMINION WOOL AGREEMENTS. Memorandum by the Chancellor of the Exchequer, the Secretary of State for the Dominions and the Minister of Supply.

(a) that we shall be relieved from July 1945 (the end of the wool year) of our obligation to purchase more Dominion wool than U.K. manufacturers require to buy for their own use; and (b) that the disposal of our existing surplus and of the surpluses which will arise in current Dominion clips during the time of disposal should be undertaken by a joint organisation on terms which involve the Dominions in a share in financing the new surpluses and in the ultimate loss on the whole transaction. 6. If such a proposal in detail is to be placed before the suggested conference, it will clearly be necessary that an indication of its nature should be given to the Dominion Governments at the time of the formal invitation to the conference.