The Guardian And Evening Star, with which is incorporated the West Coast Times. WEDNESDAY, JANUARY 7th,1925. RUSSO-ITALIAN TREAY.

Hokitika Guardian, 7 January 1925, Page 2

The Guardian And Evening Star, with which is incorporated the West Coast Times. WEDNESDAY, JANUARY 7th,1925. RUSSO-ITALIAN TREAY.

Tim speeches in which the British hahour politicians sought to recommend their Russian Treaty to the electorate are almost ludicrously familiar to those who lire in Italy (states the Rome corrospundent of the London ‘‘Times”). I’hey are practically word for word those uttered on platforms or printed in the Press when the Fascist Government. was on the way to conclude its Treaty with the Soviets in February last. Lest, one lie accused -if exaggeration or unfairness, ii must he said that the Italian Treaty was a much less ambitious affair than the British. There was no question of a loan. Even more optimistic than the British Lahour Party. t,he Italians seemed to think that Russia, wool' l her blessings in sheer gratitude for Italy having been the first to conclude a formal treaty and to open full diplomatic relations. Secondly, the Treaty was

not recommended as a panacea for unemployment, either because optimism stopped short of folly, or because unemployment in Italy has never been acute. But apart from these points there is a close analogy bet ween the provisions of the Treaties, and one still closer in the deductions that are drawn from them. In particular the Italian Treaty established debate agreements for the supply by Russia of grain, with a provision that part of the purchase price was to he re-ex-pended in Italy in the acquisition of Italian goods; and there was much talk of the rich concessions which awaited Italian enterprise in the bureaux of a benevolent Soviet Government. The actual results tire as fol-lows:-The Soviet Embassy claims that the total Italian exports to and imports from Russia have increased bv 80 per <ent, over the figures for the coriiespondiaig period last year. The Italian Ministry of National Economy says that their trade with Russia has ‘•very slightly improved.” The contradiction of these two statements is. perhaps, explained by the fact that the figures for last year were something under a million sterling, upon which even an 80 per cent, increase does not mean the attainment >f a formidable total. The total trade of Italy with | Russia for the eight months ended August 30. 1921. amounted to Eire 76.000.000 (roughly £760.000) as compared with the figure for the corresponding period of last year of I.iie 45.000.000 (£450,000). In detail, this year Russia has exported to Italy small quantities of naptha, manganese, leather. and timber, and has taken equally small quantities of sulphur, agricultural implements, and motor lorries. But not- a sack of the famous grain has arrived. The Russians say that they have been compelled to estimate their home requirements before exporting; hut that this process is now complete, and the surplus is on the point of being sent, off. The Italians Gay that they made a contract for a supply of grain and paid a deposit.: but that none has hevh forthcoming, fiml given the crop

failure in many parts of Russia, they do not now- expert any. Lastly, not a single concession has been taken up by Italian capital. The Italian manufacturers with whom I have discussed the failure of so many bright hopes sav quite frankly that they cannot deal with the Russian Soviet Government. That Government holds the monopoly of exports and imports. It is admittedly not in a position to export large quantities of goods, and it refuses to allow large importations. Further, the Soviet Government refuses to pay for goods bought unless it is given long credits—usually for two years, and the Itaian manufacturers have not the means or the inclination to allow such long credits. This means that the colour of Russian money has not yet been seen in Italy, and that even bills accepted by the Russian Trade Relegation are very difficult to discount at Italian banks. The only really favourable result of flic Treaty is the increase of Italian shipping in the Rlack Sea. Special concessions were made to the Italian flag, in regard to local traffic between the South Russian ports, and this has led to Italian shipping securing whatever trade of this kind there is.