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further expeditions would be approved without prior consultation with the countries, concerned. As a result of certain aspects of the conduct of the emergency expedition the United States will be informed of New Zealand opposition to any Japanese expedition being permitted in the coming season. In November, 1946, the United States Government communicated to the New Zealand Government the text of a strategic area trusteeship agreement for the Japanese mandated islands which the United States proposed to submit for approval to the Security Council of the United Nations. When in March, 1947, the draft trusteeship agreement was before the Council the New Zealand Government proposed that in, accordance with Article 31 of the United Nations Charter, those members of the Far Eastern Commission not represented on the Security Council should be invited to participate in the discussions. Australia sponsored such a policy inside the Council, which unanimously agreed to invite representatives from New Zealand and the other 1 countries concerned to take part in the proceedings. Before the- Council Sir Carl Berendsen expounded the New Zealand Government's view that the disposition of the Japanese mandates was an essential part of any plan for control of Japan and of the peace settlement of the country, and therefore a matter of direct interest to all the active belligerents in the war against Japan. In the opinion of the New Zealand Government, the disposition of the islands could not be final until completion of the peace treaty in which Japan would renounce any rights in the islands which she might still consider herself to possess, but full support was given to the principle that the administration of the former Japanese mandates should be entrusted to the United States, and no objection was raised to the conclusion of a trusteeship agreement in advance of the peace treaty. The New Zealand representative also commented on the text of the trusteeship agreement comparing certain clauses with similar clauses of the trusteeship agreement for Western Samoa. Various amendments which were incorporated in the agreement before it was approved by the Security Council met most of the points raised by New Zealand. The Department has prepared for publication some of the basic documents dealing with the surrender and present international control machinery for Japan. It is now engaged in preliminary study and work on the Japanese peace settlement. EUROPE 1. General The shifts and balances amongst the powers in post-war Europe, the economic crises in many countries, and the profound changes in political and social conditions throughout Europe to-day may well have a direct influence upon New Zealand and an even more powerful indirect effect through their impact upon Great Britain and its people. The Ministry of External Affairs has had the responsibility of following and keeping theGovernment advised of political and general economic developments in all European countries. In addition, during 1946, a large amount of preparatory work was involved in preparing briefs for New Zealand delegations, of which the chief were those to the Paris Peace Conference, to the October Assembly of the United Nations, and to the Hearing of Views on Germany and Austria by the Deputies of the Foreign Ministers. 2. Peace Settlements with Italy, Roumania, Bulgaria, Hungary, and FinlandNew Zealand was one of the twenty-one States invited to the Paris Peace Conference, which lasted from 29th July to 15th October, 1946, and considered and made recommendations upon the draft peace treaties with Italy, Roumania, Bulgaria, Hungary,, and Finland, prepared by the Council of Foreign Ministers. The New Zealand delegation, led by the Hon. H. G. R. Mason, was the smallest numerically at the Conference, though unusually large for New Zealand. The delegation's full report is being printed separately.. By setting the boundaries and moulding the economies of the ex-enemy States, the peace treaties will set the framework within which the countries of south-east Europe must work out their future. .The New Zealand Government, remembering that New Zealanders have been involved in two major wars originating in Europe, considered

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