ECONOMIC UNION FOR EUROPE IS FRENCH PROPOSAL

Grey River Argus, 25 August 1949, Page 5

ECONOMIC UNION FOR EUROPE IS FRENCH PROPOSAL

PARIS, Aug 23.

A group of French representatives, headed by the former Foreign Minister, M. Georges Bidault, to-day proposed the formation of an Economic Co-operation Unoin among the 12 nations in the Council of Europe. M. Bidault introduced a resolution to this effect in the European Consultative Assembly. The draft resolution proposed that the Marshall Plan’s European Economic Co-operation Organisation be made a permanent body as a vehicle for erecting economic Union. M. Paul Reynaud (France), appealing for quick action to solve Europe’s economic troubles, said that Europe had been living from hand to mouth. They must adapt political means to economic needs They must realise how great was the need foi' a European market with a single currency, which should be based on gold. Each nation within the Western Union should manufac ture only those products it could produce efficiently. Such a step, would eventually mean the sacrifice of some sovereignty. Mr Stalin would be the winner if American aid were curtailed and vast unemployment resulted. I-Ie criticised the British Labour Party’s cautious approach towards unity. The British Conservative representative, Mr David Eccles, said the fear of Communism had not brought the Western European countries together and the Marshall Plan, with its billions of dollars and all the good-will they represented, had not persuaded them to invent new methods of expanding European trade in common.

“If neither the fear of Communism nor the flow of Marshall Aid has been strong enough to make us pull down the barriers, the obstacle must indeed be. formidable,” he said. “It must be something fundamental which cries out for fresh minds, fresh ideas, fresh courage. Our failure has been a political failure.” If the v wanted the Organisation of European Economic Co-operation to succeed, Mr Eccles added, they must radically change its methods Those changes could be successfully made only within the Cckmcil of Europe. ‘At the coming financial discussions in Washington, Europe must speak with one voice and the Council of Europe is the only body Io carry Europe’s message,” he asserted “We do not beg for more dollars. We want encouragement to get out of bed and take exercise. We want to end restrictive practices and take some risks for freedom.”