Rhodesian Reaction To Oil Embargo

Press, Volume CIV, Issue 30938, 20 December 1965, Page 17

Rhodesian Reaction To Oil Embargo

(N.Z.P.A. Keuter—Copyright) SALISBURY, December 19. Rhodesia has moved swiftly to protect its reserves of petrol after Britain’s oil embargo announced on Friday. The Government announced the temporary suspension of supplies to neighbouring Zambia, which receives almost all its petrol through Rhodesia.

The Government also announced restrictions on supplies of petrol and oil to Rhodesians. The Minister of Trade and Industry (Mr Rudland) said there was no immediate intention of introducing petrol rationing. Zambia, in turn, ordered rationing of petrol to start on Monday.

In Dar-es-Salaam, official sources said two Royal Air Force planes would take part m a massive airlift of oil to Zambia from today. A Norwegian tanker, with 16,000 tons of crude oil for Rhodesia, would not unload its cargo, a Shell Oil Company spokesman said. The tanker had arrived off Beira, the main port for oil for Rhodesia.

Last night Mr Smith criticised Britain for declaring an “unscruplous war" against Rhodesia. He said financial sanctions against Rhodesia at British instigation were "tantamount to discrediting sterling, which must become all the more suspect to the world at large.” Mr Smith also announced plans for £2,600,000 worth of development projects to bolster Rhodesia’s economy. The projects, in agriculture, mining, and African education, are a first step to restore the economy and maintain employment levels. He again attacked Britain’s seizure of the Rhodesian Reserve Bank and its external assets, in London on December 3. He described the British-appointed board of directors as a puppet group with no legal authority. Referring to the head of the board (Sir Sidney Caine) Mr Smith called the seizure of the bank “the great Caine robbery.”

In Zambia President Kaunda welcomed the British embargo. He expressed confidence that the oil airlift would ensure that Zambia’s oil and petrol requirements would be met Oil stocks were adequate for all essential purposes while the airlift gained momentum, he said. Zambia’s current annual oil needs are estimated at as much as 100,000 tons, mostly supplied by the refinery at Umtali, Rhodesia. Officials believe it will be possible to meet Zambia’s requirements if all routes—road, rail and air—through Tanzania are used to maximum capacity. The airlift is planned as a joint Anglo-American venture. About 12 planes will be operating within a week. In London. Britain’s “united front” on Rhodesia appeared headed for a Anal split. The oil embargo was expected to trigger a cascade of criticism from Conservative Rightwingers who believed Mr Wilson had reneged on his promise not to “punish” Rhodesia. Parliament has set aside tomorrow and Tuesday for a foreign affairs debate during which Mr Wilson will report on his talks in the United States and Canada. He alto will probably answer questions on the effects of the oil embargo.