AUSTRALIA

U.S. Wheat Pricing Chafes: Prime Minister Bob Hawke has told the United States that relations between the two allies could be harmed by U.S. wheat sales to China. During a private dinner with U.S. Ambassador Mel Sembler, Hawke expressed annoyance at cut-rate prices that the United States is offering China, according to Hawke’s office. Before going into the dinner, he said: “I’ve told successive American presidents that it’s not friendly” and added that he would raise the issue with Sembler. Prices for Australia’s wheat are the lowest in 50 years, a situation the nation blames on the U.S. Export Enhancement Program, which subsidizes U.S. grain exports. “Australia has a number of longstanding difficulties with U.S. agricultural policies, particularly the effects of subsidies under the Export Enhancement Program,” Trade Minister Neal Blewett said. The issue will also be raised in talks between senior government officials in Washington next week.