SPANISH POLICY

Wairarapa Times-Age, 25 February 1942, Page 3

SPANISH POLICY

NEUTRALITY APPROVED IN BRITAIN. TRADE COMMITTMENTS OBSERVED. (By Telegraph—Press Association —Copyright) LONDON, February 24. The recent decision by General Franco and Dr. Salazar (Premier of Portugal) to maintain the neutrality of the Iberian Peninsula is welcomed in London, particularly on economic grounds, says the “Daily Telegraph’s” diplomatic correspondent. Spain, as a result’ of the war in the Pacific is assuming greater importance as a source of copper, tin and lead. The British-owned Rio Tinto mines export considerably over half their total output of copper pyrites to the United States, the remainder going to Britain after Spanish requirements have been satisfied. The latest figures for November, 1941, show that the Americans received about 20,000 tons of ore. Germany’s penetration into Spanish business continues. Already she has capital in 900 companies, with complete control of several. These interests are largely in shipbuilding, but also include iron, steel, chemicals, oil and motor-cars.

Recently two German missions went to Spain to discuss the erection of plant to produce 23,000 tons of nitrogen a year and also 150,000 tons of sulphate of ammonia. Spain has shown resistance to the German penetration and has' even withheld export licences for goods to Germany to an exact equivalent return and has shown strict compliance with her commitments to Britain.