PROBLEM OF JAPANESE TNDUSTRIES

Chronicle (Levin), 27 August 1947, Page 5

PROBLEM OF JAPANESE TNDUSTRIES

Receix-ed Tuesday, 7 p.m. LONDON, August 26. Sir George Sansom, writing in the Manchester Guardian on the- Canberra conference, says the level of Japanesje industry is lik.ely to be the most difficuli problem confronting the powers drafting the peace treaty. Experience - has shown that democratic and libera! institutions llourish best in times of commert'ial and industrial vitality but the present economy of Japan, always cne of scarcity, is feeble and contractod. Her resources need careful husbanding by means of controls xvhich, though economic in purpose, cannot fail to impinge upon the social and politics life. These are, to say the least, not favourable conditions for the growth of freedom among a people xvhose tradition has always emphasised dutLs at the expense of rights. In the light of experience in Germany neither Britain nor the United States can alford a state of affaifs xvhich is likely to involve them in a eontinual drain of expenditure and shortage of commodities which both countries require. Aniericans who find themselves committed to a very large expenditure, feel this particularly keenly and therefore are likely to advocate a very large increase in the level of Japanese industry. The increase at present envisaged by Aniericans is larger than proposed by any of the other occupying powers but the United States is likely to insist that the question of security can largely be left to her own strategic plans and preparations and show little regaTd for the grievances of those who stand to suffer from Japanese competition. The Prime Minister of New Zealand, Mr. Fraser, said the conference was very important because it could determine the future happiness of the British people. The conference was a friendly gathering of representatives whose decisions would influence the peace conference to be called by the United States. There would be no attempt to line up a policy against any other nation. All other nations in the Paciffc xvere important to the future civilisation of the Paeific whether they .be American, Russian, Chinese or anybody else. The British Cpmmonwealtli of Nations wishes to work in peace and goodxvill with them all'. No irretrievable decisions would be made this week but as a result of the discussions the Empire representatives would be able to go to the Japanese peace conference with an open mind and a elearer conception of xvhat was neeessary for a satisfactory and enduring Paciffc peace. Mr. Fraser added that the British Commonwealth was thankful for the settlement in India. The ' ' family cirele" would have lilced to have seen Mr. Neliru and Mr. ' Jinnah present. "We feel grateful to the great assistanee given to the unity of the Empire by these two great statesmen. We want the Indian and Pakistan delegates to feel that we are all here as brothers. ' '