SITUATION IN RUMANIA

Greymouth Evening Star, 22 December 1945, Page 7

SITUATION IN RUMANIA

ACTIVITIES OF RUSSIANS

Rumania, once bountiful in agricultural 'products, will face famine this winter and need outside help for the first time in its history, writes the New York “Herald-Tribune’s” Rome correspondent, after a visit to Bucharest. Rumania’s crop yield will be 30 to 40 per cent. oL“ normal, according to Allied figures, and 50 per cent, according to Government statistics.

A drought resulted in little or no rain for three months, but, besides such natural vicissitudes, an agrarian reform, instituted at the time of spring planting, reduced all estates to 50 hectares (124 acres). Allied contentions are that such a move dealt a serious setback to crop yield because of poor timing and lack of planning.

Much farm, machinery was assembled by the Government at central depots for collective use, but distribution was haphazard.

Under the terms of the armistice Russia was granted, in addition to 300,000,000 dollars indemnity over a period of six years, the right to recover machinery and livestock removed by the Rumanian army in Russia. Another stipulation provided that Russian troops in Rumania or in transit through the country should be supplied. Estimates on the number of Russian troops in Rumania vary from 500,000 to 1,000,000. The peasants have little livestock and few draught animals remaining, Living up to the letter of the armistice agreement, the Russians removed livestock they contend was appropriated by Rumanian forces in Russia; Removal of livestock has become a somewhat grim joke. On Premier Petru Groza’s train Rumanian Cabinet members are said to have placed their hands over a Russian censor’s eyes when the car whizzed by a field in which cattle grazed. In river and air transport, petroleum and banking, the Russians have worked out economic agreements that will tie Rumania’s economy completely to the Soviet Union. Studies made by the Allies show that companies give Russia virtual monopoly over all of Rumania’s economy. In each company, the general manager is a Russian, and the president is a Rumanian. The studies maintain that the Russian officer in these companies has sweeping powers, including “the virtual right to sign away the company’s property to any interested group that might be formed.”