TRADE AFTER THE WAR

Press, Volume LXXIX, Issue 23947, 14 May 1943, Page 5

TRADE AFTER THE WAR

CURRENCY PLANS DISCUSSED DEBATE IN HOUSE OF COMMONS (8.0. W.) RUGBY, May 12. “After the war we want to see the goods of each country exchanged as freely as possible.” This was the keynote of a speech by the Chancellor of the Exchequer (Sir Kingsley Wood) in a debate in the House of Commons on international currency plans. Sir Kingsley Wood said the plan before the House was the British plan, but that did not mean that they would view criticism as derogatory to national prestige. The justification for the plan was that perhaps Britain would depend more than any other country on the economic well-being of the world at peace. The particular voting rights outlined were of secondary significance. Something on the lines of the American plan might suit the British scheme equally well.* Sir Kingsley Wood emphasised ;that. the aim should be a common-sense plan having regard for the rights of all nations. “After the war we want the immense, flexible developments being stimulated by the war to produce a harvest for the peace, and we want the unity of the world to be more than a pious phrase.” The Chancellor said that any international monetary scheme must service the interests of international trade, and its success or failure would be conditioned not by technical skill or a monetary mechanism, but by the sanity of the policy Britain adopted in international commerce. He added that no monetary scheme would succeed if simultaneously the nations erected unnecessary barriers. Three things were necessary: a mechanism by which international balances could be freely cleared, terms on which the clearance could be reasonably stable, and international monetary facilities to enable the ravaged countries to resume international trading. After the war the international trading of each country should not be determined by the stocks of gold it possessed, nor would it be wise to limit world trade expansion by the limit of gold production. Therefore it was proposed that bancor should be accepted as the equivalent of gold by all countries participating in the union. Trade would be based on the true reality of the volume of goods and services disposed of by each country on an international account. On the question of control, Sir Kingsley Wood said: “We must approach the matter with realistic faith, not expecting perfection but not expecting disaster.” The scheme did not require elaborate exchange control for all the participating countries if their domestic situation did not appear to them to justify it. This was a matter on which maximum international cooperation was necessary, if the principles and the daily working of the scheme were tb be satisfactory. It was in the interests of the world that agreement should be reached between the nations. He believed that with understanding and goodwill such a goal was possible.

U-BOATS ATTACK CONVOY

EIGHT-DAY BATTLE IN ATLANTIC ENEMY LOSSES PUT AT TEN LONDON, May 12. Details of a great convoy battle between U-boats and aircraft and escort vessels in the Atlantic have been released by the British Admiralty. The battle lasted for eight days. Ten U-boats were probably destroyed, but most of the convoy reached its destination. On Monday, the second day of its journey, the convoy was attacked by eight U-boats. Escort vessels were kept busy beating off repeated attacks. For three days the eight U-boats kept up their attacks, and on Tuesday they were joined by more U-boats, until there were 25 in the attacking enemy force. On Tuesday, Wednesday, and Thursday U-boats attacked day and night, and during that time the escort vessels beat off no fewer than 30 attacks. Two U-boats were probably accounted for by ramming. An escorting vessel rammed one U-boat and a second was rammed by one of the escorted vessels. Two others were probably idestroyed by depth-charges. The Admiralty communique states that one of these was very probably destroyed and the other probably destroyed. Another U-boat was forced to the surface by depth-charges. It was shelled and there was an explosion. The craft disappeared and was not seen again. Aircraft scored hits on other submarines. On Thursday night the U-boats had had enough, and made off. Some damage was suffered by the convoy, but the majority of ships reached port*safely.