INDIA     AND     LANCASHIRE	237
knowledge on economic questions. Through the help of
these bodies, a means may be found of correlating not only
economic policies of federating units in India, but also of
the units of the British Empire.
CL INDIA   AND   LANCASHIRE
It was not possible to include the cotton piece goods
trade in the Ottawa Agreements ; but the Indian delegates
pointed out that Japan was the largest buyer of the surplus
raw cotton of India and that this primary product should
increasingly find a market in Lancashire. They asked for
a preference for Indian cotton, but it was decided that the
matter of using more Indian cotton in Lancashire mills
should be investigated by an expert Committee and that
India should further explore the possibilities of growing
Indian cotton of improved type suitable for Lancashire.
One of the far-reaching effects of the Ottawa Agreements
was reflected in the spirit in which India and Lancashire
came to an understanding in regard to the cotton trade.
After the Conference, a Lancashire-Indian Cotton Enquiry
Committee was appointed, and a delegation went to India
to discuss the possibility of coming to an agreement between
the India and Lancashire cotton industries. The mission was
successful in the sense that it brought into focus the funda-
mental difficulties that face both the countries in the
maintenance and development of their cotton trade. It
may be a happy augury for the future that the principle
of dealing with common problems by direct discussion is
now established as between the Indian and British textile
industries.
Before we refer to the terms of the Agreement arrived
at between them, we may pause to consider some of the
main problems of the industry that concern both countries.
(a) Japanese Competition
Perhaps the most disturbing factor is the invasion of
the Indian market by Japanese textiles. Despite the