TRADE WITH RUSSIA.

Taranaki Daily News, 11 January 1921, Page 4

TRADE WITH RUSSIA.

The announcement that arrangements have been completed with Russia as to the terms for the resumption of trade between Britain and Russia, is likely to meet with a mixed reception, though no accurate idea can be formed as to the probable outcome of the decision until the nature of the terms is made known. When the subject was mentioned by Mr. Lloyd George in the House of Commons at the end of last November it was stated that the arrangements formulated in July included that the Soviet Government should refrain from hostile action against Britain and from sedition in Asia, also that an exchange of prisoners should take place, it being understood that a number of British subjects were still detained in Russia, but a question asked by Sir W. Davison as to whether a condition had been made that Russia should at least acknowledge her debt of five hundred millions sterling to Britain was not answered It is wellknown that what gold the Soviet Government possessed has been stolen, and even if that Government were disposed to acknowledge the debt, its payment would be most unlikely. No one knows how long the Soviet regime will last, or what will occur if it falls to pieces, but according to latest pronouncements, the outlook is by no means encouraging. On the one hand it is forecasted that chaos will ensue, while on the other there is mention of another military effort being made with the object of restoring order and stable government. Despite the unsettled prospects, American capitalists do not appear to be afraid to venture on capturing Russian trade, one organiser, Vanderlip, having formed a sydnicate, which has obtained 400,000 square miles of Siberia for a period of sixty years, and has also obtained orders for six hundred millions’ worth of goods from the United States within the next three years, this contract being quite apart from the Siberian concession The liabilities in respect of these goods are to be met by supplies of gold, platinum, furs, flax, timber, grain, copper, manganese, and other products. In view of this enormous deal the question naturally arises as to the prospect offered for British trade. Apparently very little that would induce traders to undertake the risk, especially in view of the operation of the rates of exchange. At. the same time the capture of the Russian trade by American exploiters cannot be viewed with complacency, and it would seem that British enterprise must be at a low ebb if it permits such a valuable market to slip through its fingers.