TRADE BOYCOTT.

Auckland Star, Volume LXVI, Issue 243, 14 October 1935, Page 7

TRADE BOYCOTT.

GENEVA DISCUSSION. British Delegate Opposed to Delays. ITALY'S IMPORTS AND EXPORTS United Tress Association. —Copyright. LONDON, October 13. The Geneva correspondent of the British United Press states that Mr. Anthony Eden, at a private meeting of the economic section of the Sanctions Committee of the League of Nations, launched a British plan for a worldwide boycott of imports from Italy. This plan is regarded as more drastic tlian the arms embargo, because, if the nations did not buy from Italy her supplies of foreign exchange would dwindle until she would not be able to purchase war materials from abroad. Mr. Eden pointed out that a complete boycott by the League Powers would stop 70 per cent of Italy's exports, which should be accompanied by a cessation of exports to Italy and the virtual rationing of exports of warlike commodities to non-members of the League on a quota basis. This would prevent re-exports to Italy. M. Coulondre, a French economic expert, in opposing the proposed ban on Italian exports, said the first move must be a cessation of exports of certain metals and chemicals to Italy. This must be followed by a cessation of exports of coal, oil and other fuels. He urged that Mr. Eden's proposal for an immediate boycott by the League Powers should be the second sanction, following his own suggestion for the stopping of vital exports to Italy. It would be useless, said M. Coulondre, to ban products which non-mem-bers of the League could supply to Italy. Mr. C. T. te Water (South Africa) advocated a rupture of diplomatic relations with Italy. Proposal to Approach America. M. Tituleseu (Rumania) sought to reconcile the points of view of Mr. Eden and M. Coulondre. He expressed the opinion that if countries did not buy from Italy their exports to Italy would soon cease. " M. Potemkin (Russia) suggested that the United States should be asked to add other war materials to Mr. Roosevelt's list. Although he did not specifically mention Germany, he said the committee should consider financial measures against, non-members of the League to prevent them increasing their trade with Italy. M. Tituleseu proposed the establishment of a sub-committee to study measures under the Covenant, whereby members might agree mutually to support each other in order to minimise the loss due to economic sanctions. M. Motta appealed to the committee to consider Switzerland's exceptional position in view of the number of Italian residents in that country. M. Vasconcellos (Portugal), who presided, assured M. Motta that the committee would attempt to make allowances for Switzerland's position. Mr. Eden resisted proposals which would involve delay, especially M. Coulondre's suggestion that the trade boycott should be further examined by a sub-committee. Also he emphasised the necessity for immediate action, which Belgium, Holland, Sweden, South Africa and Rumania supported. The committee then adjourned. It will meet again on Monday. The committee now numbers ,18, owing to the inclusion of Mexico, because of her importance as an oil producer. The financial sub-committee will meet this afternoon in the hope of completing its recommendations for a financial boycott of Italy. The Geneva correspondent of the Associated Press says it is expected that the next sanctions decision will not be delayed long. It will be prohibition of loans to Italy. Already it has been largely anticipated by the condition of Italian credit.