BELGIAN ECONOMY

Greymouth Evening Star, 17 January 1941, Page 5

BELGIAN ECONOMY

INDUSTRY STARTS AGAIN. Of the approximately 2,000,000 Belgians who fled their country when the juggernaut of war rolled across their borders some 250,000, according to German authorities, have now been transported back home by car, truck and train, states a Brussels message to the “New York Times” on October 5. With the reconstruction of the railways in Northern France and Belgium almost completed it is expected that the gigantic trek homeward of the Belgians will be expedited at a more rapid pace than in the first stages when most of the refugees had to be transported in automobiles and trucks. From the welter of confusion left in the wake of war Belgium, as it will exist in the period of German domination of Europe, is now gradually beginning to appear. Still under Nazi military administration because her coastal lines are in the zone of operations, Belgium is, nevertheless, gradually getting straightened out and formulating her life once more under conditions which, the Germans maintain, will be only temporary since “it is the Reich’s intention to retain Belgium economically and culturally as an independent entity.” The military administration, according to Government President Reeder, who stated his opinion in an authoritative German news organ, considers itself the “trustee” of the entire Belgian nation.

ECONOMIC TIES TO REMAIN

In this sense the military authorities are engaged not only in bringing Belgium back to normalcy and establishing firm governmental authority, but also in paving the way for an independent Belgian administration at the war’s end. Economically, however, the “new Belgium” will remain identified with the Reich. This much was evident from President Reeder’s remarks. Belgium” will remain identified with the Reich. This much was evident, from' President Reeder’s remarks. Belgium’s economic reconstruction, he stated, necessitated a far closer union i with Germany than existed before the ‘occupation and this condition “must remain in the post-war era,” he said. When the Germans moved into Brussels and took over the administration of the nation, President

Reeder stated that they found chaos. The government had fled, the transportation systems were paralysed, large sections of the official personnel had left their posts, 2,000,000 Belgians were homeless wanderers along the highways; the food-supply system was disrupted and the banks were depleted of funds. The German administration ' was faced with the immediate and pressing problem of restoring some semblance of order, notably of getting the refugees back home. To supervise the reconstruction of industry, the German military authorities set up central organisations similar to those established in the Reich. These organisations control both the distribution of raw materials and production. It was emphasised that Belgian industrial experts participated in and were in a large measure co-responsible for these organisations that exercise strict control over the entire Belgian industrial life. The iron industries were beginning to function once more with iron ore from Lorraine, President Reeder stated. The textile 'industry, one of the most important in Belgium, was best off for raw materials, since it got most of its supplies from the Netherlands and from France, which were still able to deliver, and were delivering goods. The food supply and its distribution were particularly difficult, President Reeder stated. Belgium was only 50 per cent, self-sufficient in foodstuffs, he said. The Germans therefore immediately introduced a strict ration system. Thereby, he said, the demands of the population were satisfied, with the prospect of an increasing measure of supplies being distributed to the consumers. The Germans have also attacked the nationality problem in Belgium, a population made up of Walloons and Flemings. Both cultures are to be permitted freedom of development. President Reeder stated, and he added that. in the near future cultural councils will be set up to represent the interests of each. The Flemings, however, it was stated, will receive in practice the equality for which they have been struggling. To solve the language problem. President Reeder concluded, a commission with wide powers will be formed which will give practical realisation to the language laws of 1932.