Britain’s Four-year Capital Investment Plan to Aid Exports

Otago Daily Times, Issue 26904, 16 October 1948, Page 7

Britain’s Four-year Capital Investment Plan to Aid Exports

New Zealand Press Association—Copyright,

Rec. 9 p.m. WASHINGTON, Oct. 14. Details of Britain’s four-year capital investment plan to run parallel with the European Recovery Plan and aimed at building a firm base under the country’s export drive were published in the magazine Business Week to-day. The article was written around the recent visit by the Chancellor of the Exchequer, Sir Stafford Cripps, to America, and stated that Sir Stafford had outlined the programme to officials and business leaders.

The programme outlined was: First: Invest 2,000,000,000 dollars in agriculture, including 600,000,000 dollars in farm machinery alone, and increase production 20 per cent. The output of bread grains will be raised 60 per cent., other grains 25 per cent., sugar beet 20 per cent., and eggs 60 per cent. ‘ Secondly: Invest 4,000,000,000 dollars in housing. Thirdly: Invest 480,000,000 dollars for the modernisation of coal mines to bring production to 255,000,000 tons a year by 1952. Fourthly: Invest 550,000,000 dollars in new steel plants and the modernisation of old ones to provide an increased output of 13 per cent. Fifthly: Invest 380,000.000 dollars in oil refineries to increase production to 25,500.000 tons of refined petroleum a year. Sixthly: Invest 1,600,000,000 dollars in electricity projects to make the productive capacity by 1952 15,000,000 kilowatts. ■ Seventhly: Guarantee a 20 per cent, increase of exports to all Marshall Plan countries. Eighthly: Extend the chemical industry to provide all domestic needs and expand exports. Ninthly: Increase the output of synthetic textile fibres 100 per cent., and of rayon cloth 35- per cent. . Business Week said that three additional weapons would be used to reduce dollar deficits and achieve balance of payments by 1951. First, reduce imports from the western Hemisphere still, further .and increase exports; secondly, increase purchases in Europe, Asia, and. Africa, and finance production developments in those areas: and, thirdly,, stimulate exports from Africa and South-east Asia to the United States and the rest of the western hemisphere. ~ . The whole article reflected admiration of the way in which Britain has tackled and is planning to tackle her problems.