JAPANESE FACE DIFFICULTIES

Southland Times, Issue 24869, 8 October 1942, Page 5

JAPANESE FACE DIFFICULTIES

ORGANIZATION OF NEW territories (Special Correspondent, N.Z.PA..) (Rec. 7.30 p.m.) LONDON, October 6. “Things are working out differently from what the Japanese expected in the ‘co-prosperity sphere’,” comments The Financial News. , “The Japanese intended that a mgn degree of economic planning should be directed from Tokyo over the conquered territories. Agriculture would be readjusted. Coffee, sugar and rubber would be replaced by cotton and other textiles. The exportation of minerals would be stimulated and industrial production would be concentrated in Japan. The principle of the international division of labour would be enforced. The currencies of all Japanese controlled countries would be based on the ven the various currencies having a yen’ balance in Tokyo, and the Bank of Japan would have a central gold reserve to secure the yen. A steady price level would be maintained through extensive price control and Tokyo would become an international finance centre. “SCORCHED EARTH” POLICY “Although information from the recently cbnquered countries is scanty, it is sufficient to show that in practice matters are developing very differently from the way envisaged in theory. It may be easy to reduce the growing of cane sugar and rubber, but cotton growing cannot be expanded by a stroke of the pen. A gigantic effort will be needed to repair the devastation caused by the ‘scorched earth policy, which put out of action mines and oilfields. It will be some time before the Japanese can replace the American and European engineers formerly employed and also provide the . necessary machinery and equipment. Lack of transport facilities prevents Japan from developing the international division of labour. On the contrary, many of the conquered countries have been forced to become self-sufficient to save shipPl “ Judging by the degree of devaluation forced on certain conquered countries, their currency is likely to be stabilized at an undervalued level, resulting m the Japanese having considerable advantage at their expense from the overvaluation of the yen. It will be no easy matter to build up a big gold, reserve, for gold production within the co-pros-nerity’ area is limited. If Japan wishes Tokyo to become an international finance centre she is going the wrong way to be borrowing from the races instead of lendin <JP.^ e S,‘ gether when one goes behind the barrage of words to find the true facts, then all the information received from the conquered countries suggests that toe native populations are being subjected to ruthless exploitation. The Times says there are signs that the Siamese are jibbing against the “co-prosperity” sphere. It is apparent that the Japanese are taking much and giving little to their reluctant allies. FIGHTING IN JUNGLE Australians’ Experiences (Special Australian Correspondent, v r N ZP A. (Rec. 7 p.m.) SYDNEY, October 7. Australian soldiers who have been fighting behind toe Japanese lines in New Guinea since March have been invalided home. The men were members of units cut off when toe Japanese took Lae and Salamaua. They immediately organized themselves into guerrilla bands and conducted continual hide-and-seek warfare against the enemy. Frequently they crept down from the hills, attacked Japanese aerodromes and encampments, blowing up runways and installations, set booby traps, laid land mines and burned stores and equipment. So thoroughly did they learn the art of jungle warfare that three of them were able to hold off 100 Japanese armed only with tommy-guns. The Australians killed a dozen and then escaped. , One night in June a party went into Salamaua and killed 90 Japanese with Bren and tommy-guns, anti-tank bombs and high explosives. The surprised enemy troops rushed screaming to the had been an all-in war day and night, said one of the men. The Australian casualties had been surprisingly small and few of our troops had fallen into Japanese hands. Comrades of the invalided men are still carrying on toe fight.