EUROPEAN RELATIONS

Grey River Argus, 4 March 1937, Page 5

EUROPEAN RELATIONS

ITALIAN DECISIONS Military Sfelf-Efficiency (Aus, & N.Z Cable Assn.) ROME, March 2. The complete militarisation of Italy is provided for in a drastic five-point programme, which was approved at a five-hour sitting.of the Fascist Grand Council. A communique says: The military preparation of the -nation is satisfactory, but. every possibility, however remote, of the limitation of armaments will now definitely be excluded. It was decided: Firstly, to set up a plan for a fur. th er adequate increase in the armed' forces. Secondly, to continue for five years the duties of the Commissariat of war manufactures. Thirdly, the complete- militarisation of all the na-t'ion’s active forces, from the ages of 18 to 55, with periodical recall to the colours of the conscript classes. Fourthly, the attainment of maximum self-suffiicency as regards military requirements., and th® total sacrifice. i,f necessary, of civil to military needs. Fifthly, scientists and technicians are invited to collaborate in the rapid attainment of self-sufficiency. The Council expressed solidarity with Nationalist Spain, and saluted General Franco’s forces, whose victory is regarded as a death-blow to Bolshevism, beginning a new era of power and 1 social justice for the Spanish people. The Council happily noted the policy of Italo-German understanding and als 0 viewed as satisfactory the I'talo-Briiish agreement of January 2, as a useful clarification of relations in the Mediterranean. • It. reaffirmed its determination on ■effective peaceful collaboration, in all fields, with countries so disposed;

BRITISH FOREIGN POLICY Idea of Western Agreement (British Official Wireless). RUGBY, March 2. A statement on foreign affairs was made by Mr. Eden, in thc Commons debate on the Foreign Office vote. The Foreign Secretary dealt, first, with Spain. He recalled that, the British Government had taken initiative afterinitiative In- favour of the non-inter-vention policy. They c-ould justly claim it was the right policy, and! they would persist in it. The Foreign Secuetary defended the League of Nations against those who described it as virtually dead. Tho solution of the Alexandretta idispute was a success which, was owneld) in large measure, to the admirable work of the Council’s rapporteur, the Swedish Foreign Minister. Information to hand .showed that local feeling in the Sanjak warmly welcomed the scltlet nient.

Mr. Eden said; “I am sorry 'that I can give no similar happy account of the progress of negotiations for a new Western agreement.” Now that the iSlpanish danger was less, they had: tomake another effort; to achieve progress, and he (did not despair of getting the nations concerned around the table on. this issue.

Mr, Eden analysed the position of ■Britain, as he had 'defined it in his speech at Leamington .'to foreign commitments t 0 tho League Covenant and rearmament.

He added his -own 'to the Chancellor of the. Exchequer’s recent, challenge to the Opposition ,’to say specifically where they differed from ibis statement of British aims and policy. It was to prevent ambiguity or doubt, that he had declared British. arms might, and if occasion arose, would be used: in defence o f France and Belgium against unprovoked aggression, and in accordance with treaty obligations. If a new treaty could be negotiated, a similar undertaking would readily and willingly be- extended towards Germany. 1 Regarding obligations under the Covenant, the Opposition complained, Mr Eden said', that he had been less do. finite. That was not because His Majesty’s Government wore seeking to deny general Covenant obligations, but' because so far as military action was concerned tlbe obligations of the Covenant were less far-reaching, less specific, and less precise than the Locarno obligations. Had it been otherwise, there would have been no need for Locarno. It might be argued that the Covenant obligations should be as precise respecting m'ilitary . action as Locarno, and that; all nations ought t 0 und'ortako in advance to have recourse to military Sanctions, but that Iwas not till o Covenant. Such a com. mitment would: not only go beyond ths Covenant, but beyond the abortive Geneva. Protocol of 192-1. • Was it the view of the Opposition that they should go beyond the, Protocol, now, when the League was relatively in a much weaker condition? Nothing could bo more illogical than to stand for universal military commitments, and! not be ready to provide the necessary armaments. The Government c ould not and d'id not endorse universal military commitments, but it stood by the Covenant, and based its foreign policy on it, That was why almost throughout the world the British rearmament programme had been welcomed 1 , for it was' realised that Britain would not engage in war contrary to the Coven, ant. Everyone, Mr. Eden declared regrets the necessity for the rearmament programme, but it was his con■viction that', with Europe and the world as they were to-day, for Britain to have greater power was to odldl to the forces of peace. “We never forget that rearmament, is a means Ito an end, and not an end in itself. If it creates fresh opportunities to reach an agreement on limitation, I agree that these oppor. tunities must not be missed. It is even possible, through this route, which none of us wish to "the, that we shall reach the goal we all desire. ' This, at least, is true of His Majesty’s Government. They believe that the policy they are now pursuing, and the statement of their commit, ments, which I have made, is the greajest eonitiribution which it is in their power to make to the preservation o f world peace.” ‘ The fact that Mr Eden devoted practically tlhc whole of his speech to underlining his approval of recent statements made by Lord Ha.rfax and Mr. Chamberlain, confirmed the wide.

spread belief that Britain's foreign policy, for a- considerable time, will be restricted 1 to rearming, without any idiplomatie initiative abroad. His references ’.to the divergence of Empire views on the reform of the League foreshadow important discussions at the Imperial Conference, m an attempt to evolve a common policy for the reform .of the covenant. British Armaments (British Official Wireless). RUGBY', March 2. During the debate in the Commons on the committee stage of the Defence Loans Bill,.(he Chancellor of the Exchequer, replying to the criticism of Mr Pethwich Lawrence, explained that the limit of £400,000.000, which was set upon th e borrowing powers under the Bill, represented the amount which could be raised in cash, and not the nominal amount of the loans. He ha<] n °t suggested that it would be proper to borrow tho whole of nonrecurrent- expenditure, but what part of that expenditure would have to be paid out of revenue must be decided from time to time, in the light of other considerations. Replying to a question, he said that there would bo no resort to the practice adopted during the Great War, of floating loans by bank credit. He said that there need be no anxiety on tLat point. Powers Store Up Oil PRICE RISE LIKELY LONDON, March 3. Mr Hector Bywater, in the “Daily Telegraph”, says: The quantity of oil now being transported by sea is probably 1 lie greatest in history. Most of non.oil producing nations appear to be building up th c largest possible reserves against contingencies. - Britain, normally, imports over nine million tons of oil products annually, but her volume recently has been- substantially increased. France, Italy, Japan, Ger. many are all clamouring for supplies. The worldwide demand is throwing a strain on thc international tanker fleet. A shortage of transport is threatened. Freights have risen sharp, ly. Probably this will moan that oil products will rise in price. Steel Shortage BRITAIN REDUCES DUTY. LONDON, March 2. The Goyeriinienlt has announced that owing to the serious world-wide shortage- of steel, if is admitting pig iron free from March 3, and reiducing the duty from 20 per cent, to 10 per cent, ■on iron and steel imports. The demand for pig Iron particularly for steel-making, now exceeds the supplies available from England and ciscwhcr-e' in the- Empire, resulting in the -steel industry being hampered! in its efforts to cope with the increased demand for steel. Every country Is conserving - supplies, thus greatly increasing Britain’s difficulty in securing imports. Japan is suffering more- than most I countries from tho shortage, largely owing to increased armaments con. struct&on. iSixty buildings in Tokio are held up by the steel shortage while work in munition factories and naval yards is slowing down. RAW MATERIALS Geneva Proposal TO END IMPERIAL MONOPOLIES. (Received March 3, 11 p.m.) GENEVA, March 2. The League Secretariat recommendations of the Raw Materials Committee include’ the following:— First: The . transformation of 1 colonies into mandated territories, or their administration by an international authority. Secondly: The adoption of the open door principle for all colonies. Thirdly: Tho -abolition of international trading obstacles. - Fourthly: An international agreement under which all countries shall bo equally treated in all markets, or, at least, all cololiial markets. German Policy CENTRAL EUROPEAN BLOC ? LONDON, March 1. The “Daily Mail’s” diplomatic cor. respondent says; The real purpose of Baron Von Neurath’s visit to Austria was to discuss the operation of the Anschluss (Austro-Germau economic union), which will be introduced at an early date.. This re’-wclding of flhe great Germanic bloc in Central Europe indicates the real significance of the Italo-German policy, on which Mussolini and. Hitler especially regarding the widening of the Italian sphere in the Mediterranean, and which Britain’s invitation to Abyssinia, to attend tho Coronation (Received March 3,. 9 p.m.) LONDON, March 3. Mr Leopold Amery, Conservative M.P., speaking at' Manchester, des. cribed the German Ambassador, Herr Von Ribbentrop’s speech as “unpleasantly like an undated ultimatum.” He said it seemed to call for an immediate answer. He added that the Ger. man Ambassador couldn’t make speeches like that and expect immunity from criticism. French Government THE CREDIT FAILING. BONDS DEPRESSED. PARIS, March- 2. Following tho (Parliamentary attacks on M. Blum,. French bonds are depressed, and anxiety over - tho.-franc has been renewed. Meanwhile, gold continues to flow from Franco. ULSTER PREMIER’S IDEA. LOS ANGELES. March 3. Viscount Craigavon (Premier of North of Ireland) has arrived from Hawaii. H 6 is cn route for Ireland. In an interview, bo said that an Anglo-Uni’t-ed Slates alß'ance, backed by tho armed forces of 1 the United States and Britain, would constitute the -best guarantee of world peace. With their combined fleets, man I power 1 , and finances, he said, no com-