FRENCH PROPOSAL

Ashburton Guardian, Volume 69, Issue 267, 24 August 1949, Page 3

FRENCH PROPOSAL

Economic Co-operation Union SOLVING EUROPE’S TROUBLES (N.Z.P. A.— Copyright) (Rec. 10.45 a.m.) PARIS, Aug. 23. A Group of French representatives, headed by the former Foreign Minister, M. Georges Bidault, to-day proposed the formation of an economic co-operation union * among the 12 nations in the Council of Europe.

M. Bidault introduced a resolution to this effect in the European Consultative Assembly. The draft of the resolution proposed that the Marshall "Plan’s European Economic Co-operation Organisation be made a permanent body as the vehicle for erecting the economic union. M. Paul Reynaud (France) appealing for quick action to solve Europe’s economic troubles, said that Europe had been living from hand-to-mouth. They must adapt political means to economic needs. They must realise how great was the need for a European market with a single currency which should be based on gold. Each nation within the Western Union should manufacture only those products it could produce efficiently. Such a step would eventually'mean the sacrifice of some sovereignty. M. Stalin would be a winner if American aid was curtailed and vast unemployment resulted. He criticised the British Labour Party’s cautions approach toward unity. The British Conservative representative, Mr David Eccles, said the fear of Communism had not brought the Western European countries together, and the Marshall Plan, with its billions of dollars and all the goodwill they represented, had not persuaded them to invent new methods, of expanding European trade in common. “If neither fear of Communism nor the flow of Marshall aid has been strong enough to make us pull down barriers, the obstacle must indeed be formidable. It must be something fundamental which cries out for fresh minds, fresh ideas and fresh courage. Our failure has been a political failure.” If they wanted the organisation of European economic co-operation to (Succeed, they must radically change its methods. Those changes could be successfully made only in the Council of Europe.

“At the coming financial discussions in Washington, Europe must speak with one voice, and the Council of Europe is the only body to carry Europe’s message,” said Mr Eccles. “We do not beg for more dollars. We want encouragement ••to get out of bed and take exercise. We want to end restrictive practices and take some risks for freedom.”