PACIFIC RELATIONS

Hokitika Guardian, 24 August 1933, Page 5

PACIFIC RELATIONS

CHINA’S POSITION

ATTITUDE TOWARDS MANCHUKUO United Press Association—By Electric Telegraph—Copyright) BANFF, August 22.

The financial re-organisa-tion of China was discussed by the round table groups of the Institute to-day. It was stated that China required loans from abroad, to bring about stability, but her failure to meet payments on foreign loans had prejudiced her position as a , borrowing Power. The League of Nations had been in attempted with China, and had been attempting to evolve a formula that would enable China to obtain money from the Western nations.

The majority of Japanese people hope for Manchuria as a buffer state between China and Russia and Japan, one spokesman declared. There was no thought of annexation. A Chinese spokesman, on the other hand said it was only a-matter of time before Russia becomes involved in the Manchurian embroglio. He was convinced that Russia would not stand by and accept .the present situation He also challenged Japan’s ability to develop Manchuria, as the pressure of the Chinese population would be too great. : THE OTTAWA TRADE AGREEMENT OPPOSED BY OTHER. NATIONS BANFF, August 22. At the Pacific Relations Congress the Ottawa agreements were further discussed, ,supporters of the agreements finding themselves in a minority. The case for the agreements, made largely from the British poiivb of view, brought criticism from various groups, including the British themselves. It was suggested by the advocates that -the agreements formed a wedge which could he driven into the prevailing economic nationalism.

■ Other nations, observing that the agreements produced stability of trade, would he encouraged to enter into agreements of their own, thus forming economic blocs, which would eventually combine, into even larger areas, within which reciprocal trade agreements would be reached. Criticism,, on this point of view was varied. It- was suggested by technical economists that the formation of blocs only means that- the nations would be producing goods they were not naturally fitted to turn out, and after a short stimulation of trade, members of the bloc would find theii* position worse thali befoi‘B.

Representatives of China, Japnh and the United States contended that the political dangers of economic blocs far over-balanced the economic advantages;

The Canadian delegates denied thfit the Ottawa ' agreement meant an economic bloc was in progress of formation within the British Commonwealth. ILLEGITIMATE JAP COMPETITION BANFF, August 22. A Japanese member outlined the proposals - that his • Government will submit to the forthcoming Simla Conference on the cotton trade, at winch the British will allege illegitimate competition aganst Lancashire being offered by Japanese cotton spinners, through the low wages paid in that country

Japan will contend that her wages are normal, having regard to the conditions in Japan. At Simla, a proposal is likely to be made far a treaty between Japan and India, based on the system by which tariffs were lowered, and India will take a quota of raw cotton from India.