ABSTRACT
AT the stage reached in the spring of 1953 the main lines of our trade policy seemed to meet at a point marking the end of one phase of our return to world markets, and opening a new phase for our trade problems and trade policy. A close network of trade and payments agreements has been constructed on a foundation which, though it contained elements of legal uncertainty and indeed of a more general insecurity, was yet steadily gaining in strength. This process was accompanied by our closer participation in new organisations aiming at world-wide economic co-operation. With the exception of hard currency countries our trade and payments are now covered by businesslike agreements. These mostly have a fairly short term, so that we are able to adapt ourselves rapidly to the existing payments and foreign exchange problems; a large margin also exists for the reciprocal grant of quotas. While this development was going on the formation of E.P.U. and the adoption of liberalisation have provided the basis for large-scale and multilateral trade within Western Europe. Through a system of clearing agreements and the adoption of swings we have also assured ourselves of close contacts abroad to the full extent that such contacts can be assured by the type of agreement prevalent today.
