ECONOMIC WAR

Grey River Argus, 1 August 1940, Page 7

ECONOMIC WAR

BRITISH REGULATION Of All Cargoes for Europe REPLY TO ENEMY OCCUPATION [British Official Wireless] RUGBY, July 30. ■The Commons heard two important statements, announcing measures which ensure the continued efficiency of the relentless economic pressure being exerted by Britain upon Germany. Henceforth, any consignment and any ship sailing to or from any European and certain other ports, and not covered by a “navicert,” will be liable to seizure. Dr. Hugh Dalton explained the reasons for this decision, and how the system would work. He denied that Britain intended to extend the blockade to certain neutral countries. Mr R. H. Cross (Minister of Economic Warfare) intimated that shipping not taking advantage of the navicert system would no longer orgiven facilities under British control, such as bunkering, repairing, and insurance. The Minister for Economic Warfare said: "The German occupation of the west European coastline from the North Cape to the Pyrenees has greatly changed the conditions of economic war. The German armies have succeeded in over-running large parts of western Europe, but overseas imports which they require are still barred from the seas commanded by the Royal Navy. Many fewer ships are now engaged in legitimate neutral trade between Europe and the Americas. Moreover, we must now control not only shipping appi caching the Mediterranean or th e North Sea, but all shipping crossing the Atlantic To apply this control in tne old way would mean diverting many ships far out of their course, to tne contraband bases in British waters, either in this island or West Africa. To avoid imposing such grave inconveniences upon shippers, shipowners, and crews, His Majesty’s Government has decided to extend the navlcen system to all seaborne goods consigned to any European port, a s well az to certain Atlantic islands, and certan, neutral ports in North Africa, m future, ships sailing from a neutral port to any such destination must obtain navicert for all items of cargo, and in addition, a ship navicert at tne last port of loading. Any consignmeffi not navicerted, and any ship without, a ship navicert, will henceforth be liable to seizure by our patrols.” Mr Cross added: “Ships sailing from European ports or from certain Atlantic islands or from certain neutral ports in North Africa, must have certificates of non-enemy origin for all items of their cargoes, and any ship whose cargo is not fully certincated will be liable to be seized, together with all uncertificated items of cargo. An Order-in-Councii, giving effects to these changes, will be issued forthwith. “it has been suggested in some quarters that we intend to extend the blockade to certain neutral countries. . This is not so. Where supplies can reach such neutrals, without risk of falling into’the hands of the enemy, we shall grant navicerts on sucn a scale as to allow imports adequate for domestic consumption, but not for reexport to other countries. Moreover it will be Britain’s policy not merery to allow such adequate supplies to pass through our controls, but to assist neutral countries to obtain them. These measures will, greatly benefit those engaged in honest neutral trade. Delays in such trade, due to the exercise of our controls, will be much reduced. At the same time, a heavy Blow will be struck at those who seek to elude our controls, and to carry supplies to or from the enemy.” Recalling his statement earlier this month, concerning the application of the contraband control, to French territory under enemy control, Dr Dalton said: "After a most-careful review of all the circumstances, Britain has now decided, with regret, that in the present conditions she must treat all metropolitan France, as well as Algeria, Tunisia, ana French Morocco, in the same manner, for the purposes of contraband enemy ( export control, as enemy-controllea territory. Goods destined for tneuu territories are, therefore,' liable to 0e seized as contraband, and goods originating in or owned by persons m such territories, are liable to be placed in prize. These steps which I have now announced are designed to smooth th e path of genuine neutrai trade, while increasing the strength of our blockade, and avoiding all unnecessary calls upon the Royal Navy. ’ Mr Cross said that the course of the war made necessary new measures for the control of shipping. “Hitherto, widespread and important shipping facilities under British control have been freely available to all vessels. Such facilities include drydocking, repairing, insurance, storqs, and many minor services. It is not reasonable that these facilities should continue to be freely available to shipowners who do not render commensurate service in return, or to those who fail to satisfy Britain that they will refrain from carrying on trade which would be injurious to tne Allied war effort. Th e possession of a ship’s navicert, for every voyage to which the navicert system apples, will be essential.” Thos e giving acceptable undertakings would receive a “ship’s warrant,” which would secure them a continuation of Britiin shipping facilities, while ships unable to produce this document would be subject to inquiry on each occasion they desire shipping services while under British control. The scheme would come into operation forthwith. Neutral Countries LIMIT OF TWO MONTHS' SUPPLIES. UNDER BLOCKADE EXTENSION. (Received July 31, 8.45 p.m.). LONDON J'uly 31. It is revealed that the British Government has kept in full contact with America during the discussions leading to the extension of the “Navicerts” system. It is believed that Americans will welcome the extension of the system. The extension is described as a transferring of the contraband operations “from seas

to quays.” A feature of it is an allowance of two months’ supplies for the neutral countries for- domestic purposes. Atlantic islands mentioned in connection with the extension of the “Navicerts” are the Azores, Cape Verde Islands, and the Canaries. North African ports mentioned are those in Spanish Morocco, and Tangier. Spain’s Oil Supply BRITISH REGULATION PROJECT. LONDON, July 30. Dr. Hugh Dalton, in the Commons, announced that the Government is sending a representative from., the Ministry of Economic Warfare to Spain, to confer with the authorities regarding the oil position. The Government desires Spain to receive adequate supplies for her own consumption, but not for export. Oil shipments to Spain from the United States for the first half of 1940 were substantially greater than for the corresponding period of 193 b. There is no evidence of Spanish reexports of lubricating oil to Germany, but the stocks in Spain appear to De so high, relative to the internal consumption, that no navicerts for imports are being issued. Dr. Dalton said that before the collapse of France the only route by which oil reached Germany from Spain was by sea across the Western Mediterranean, and through Italy, and the French naval forces had been relied on to prevent this traffic. Since the collapse of France many features of the situation haciy become obscure, hence the Govern- • ment was sending an officer to Spam BRITISH TEA SUPPLIES. RUGBY July 30. It is authoritatively stated in London that in two or three months the situation regarding tea supplies is» expected to be so much easier that there is a probability the position may then be reviewed, to ascertain whether ther e is any' necessity to continue rationing.