THE EBB AND FLOW OF WORLD AFFAIRS

Dominion, Volume 29, Issue 202, 23 May 1936, Page 9

THE EBB AND FLOW OF WORLD AFFAIRS

The Sanctions Burden

(By

Argus.)

In a speech to the Italian Chamber of Deputies during the week, the Finance Minister admitted that sanctions were making considerable inroads into some items of national revenue. Nevertheless, he claimed, the finances of cue country were on the whole sound. Italian statesmen are not given to admitting the adverse effect of sanctions. Mostly they pronounce them a failuie, and they certainlj- failed to stop tne Italian victory in Abyssinia. But undoubtedly they have meant that ihe war was won at a higher cost. Although Italian statistics under many headings are no longer issued, so that the precise burden of the economic boycott cannot be judged, and although the great mass of Hie Italian people are still united in their resistance of sanctions, it is becoming increasingly evident that Italy is feeling the pinch. Imports have fallen heavily with consequent loss of revenue to 7'm State and the shipping industry and shortage of raw materials for manufacturing plants. Export trade has also been consideirbly affected, while Italy’s once lucrative flow of tourists has dwindled almost to nothing. Evidence of private luxury is now not often seen, many private cars languish in their sheds owing to the bigli cost of petrol, and people are curtailing their buying so that retailers are suffering. In the meantime Government control over the economic structure of the country grows almost daily more complete. Whether or not sanctions should remain in force is one of the big problems facing the League. Tne longer they are left in operation the greater will their weight become. Italy was not one of the richer Powers before Mussolini staked so much on the Abyssinian venture. The cost has been colossal and millions more must be spent before her new empire can be of much use to Italy. How long she can stand the financial strain is a question that is exercising many minds in Europe at the moment. Chaco War Aftermath.

Fighting in the Chaco War between Bolivia and Paraguay has ceased, but its aftermath has been political unrest in both republics, and the overthrow of the two wartime Governments. In addition prospects for future good relations between the two old-time enemies are still not of the best. The horrors of the Gran Chaco war were perhaps not fully realised in this part of the world. It was fought in steaming subtropical heat, between them the countries lost 100,000 of their best young men and both have been brought to the verge of economic ruin. After earlier efforts at mediation, including those of the League, had failed, delegates from the United States and five of the South American republics succeeded in inducing the parties to sign a pact at Buenos Aires. This provides for the release of war prisoners, one of the greatest bones of contention after the war ended, and the renewal of diplomatic relations. Incidentally, Paraguay had 28,000 Bolivian prisoners and Bolivia a mere 2000 Paraguayans.

Problem Still Remains. Still to be settled, however, is the root cause of the war. Paraguay holds the Gran Chaco area. Bolivia claims it and wants it as much as ever. At the head of the new Fascist regime in Paraguay is Colonel Franco, Paraguay’s war hero. He has said that be will honour the peace agreements concluded before the former Government was turned out of office, but the Paraguayan army, substantially victorious in the war, feel that the Buenos Aires settlement deprives Paraguay of what her soldiers won for her. Such an outlook augurs ill for hopes of a permanent settlement of the dispute. This week the Bolivian Government went the way of its neighbouring administration in Paraguay, being overthrown by the somewhat unusual combination of civilian Socialists and army officers. The attitude of the new rulers of Bolivia will have an important effect on the future course of the dispute. Nazis in Silesia.

■ln Poland a trial of 100 Nazis is about to commence. They are charged with conspiring to separate Silesia from Poland and join it to Germany. Before the war, Silesia, a district very rich in minerals, belonged partly to Germany and partly to Austria. When the post-war adjustments altered the map of Europe, Silesia was in the corner where the boundaries of Germany, Poland and Czechoslovakia met. Part of it is in each country. Whether part of Upper Silesia should belong to Germany or Poland became a burning Issue after the war. A plebiscite of the inhabitants favoured Germany, but this was not acted upon. Polish troops occupied the area, and military intervention by Britain and France became necessary. Finally a committee of the League was set up to decide who should own this pan of Silesia, and, as a resuli of its award, the richest portion was incorporated in Poland. Since then the Poles have had the idea that Germany would like Polish Silesia within her boundaries, and only a few months ago their feelings were ruffled by a statement by Dr. Schacht which they took to mean that Germany coveted Polish Silesia. Largely to smooth this matter out, General Goering made a hunting trip to Poland and tried to pacify Polish Ministers. Now the trial of the Silesian Nazis may bo rather like rubbing salt into an old wound. Palestine Immigration. Arab objection to Jewish immigration to Palestine and to the growing power of file Jews there lias now become so great that the disturbed condition that has resulted will not easily be settled. Britain's policy, as the mandatory Power, has been to control immigration. and one of her great difficulties, similarly, has been to prevent illegal immigration. It was recently estimated that about 12.060 persons had entered the country without permission since the last census in 1931. when the status of all persons residing in Palestine was legalised. Many of these have made their way across the borders, and others have come ostensibly ns tourists and stayed for good. In an effort to cheek this flow of unauthorised migrants. a new immigration ordnance was issued in March. Hoary penalties, including forfeiture of small vessels, arc provided against sea cantnin« knowingly landing unauthorised migrants. The authorities may. moreover, seize or penalise any boat hovering within three miles of the const and failing to depart when requested. Fore’gners entering Palestine without a nassport .are liable to fines and deportation, and travellers overstaying the lime fixed by their transit visas are also liable to a penalty.