Ashburton Guardian Magna est Veritas et Prævalebit THURSDAY, NOVEMBER 16, 1939. ITALY AND THE BALKANS.

Ashburton Guardian, Volume 60, Issue 31, 16 November 1939, Page 4

Ashburton Guardian Magna est Veritas et Prævalebit THURSDAY, NOVEMBER 16, 1939. ITALY AND THE BALKANS.

Italy is combining economic as well as political objectives in her endeavour to restore lost influence over bouthEast Europe. Negotiations for nonaggression pacts with the Balkan btates and Turkey are proceeding simultaneously with conversations on trade relations. Two factors were responsible tor Italy losing the relatively important position she had occupied Jn Balkan trade until recent years. The first was the imposition of sanctions in I Y the League of Nations, an ordinance observed by all the Balkan States except Hungary. The second was Dr. Schacht’s intensive trade drive in the region on behalf of Germany, thus Germany’s share of Balkan imports has risen in ten years from twenty to fortytwo per cent, and of Balkan exports from twenty-two to forty-five per cent. In the same period Italy s share of Balkan imports has fallen from eight to six per cent, and of exports from sixteen to eight and a half per cent. The incorporation of Austria in the Reich of course was a considerable factor in bringing about the striking increases in the German figures, but Italy s tribulations over sanctions also gave the Germans a chance to supplant their partners in the Axis. The result was that Germany, even before the acquisition of Czechoslovakia, obtained a hold over Balkan trade larger than was compatible with the independence of these six small States. If Italy succeeds in reducing their dependence on the German market —an aim also being pursued by Britain and France—the force of the Nazi “drive to the East” will be lessened and the cause of peace served. A non-aggression pact with Greece would carry the efforts to maintain tranquifity in the Eastern Mediterranean' a step further by removing Greece’s suspicion engendered by the Italian annexation of Albania, notwithstanding the agreement signed in 1928. By this agreement the established order in the Balkans was accepted by both parties, undertakings by each to remain neutral if the other were attacked were given, and it was mutually agreed that any future disputes which could not be settled by ordinary diplomatic means should be submitted to commissions of conciliation. The menace of the war in being and the danger of it spreading, have induced the two countries to strengthen the ties between them.