How the British Industries May Benefit "We have every intention of ful-Alling loyally any obligation which we undertake, and at the same ime rely on countries in friendship with tus taking into account on their side the unalterable basis of our political Jand economic system.' is one of the phrases in a statement issued by Mr. Sokolnikof, the newly appointed Soviet Ambas sador in London, who presented hi credentials to the Prince of Wales recently.
The full text of the statement, which was promised by Mr. Sokolnikeff when he arrived in London, Tollows:—
The fail renewal of diplomatic relations between the US.S.R. and cal: necessities. The normal relations between the two Governments rendered the international situation more acute, and was a constant menace to the maintenance of peace in which the working masses are vitally interested, On the other hand, under such con ditions it was impossible to develop stable trading relations founded on mutual confidence, and the—well-known figures for the trade turn-lover between Great Britain and the USSR. confirm thig.
T hope that the renewal of rel tions and their further consolidation by taking into account the interests of both countries will be followed in the coming sults and lof the trade turnover in an opposite direction. It is a favourable sign that already the orders of Soviet organizations in London amounted in October and November, 1929, to £3,687,000, as against £1,195,000 in the corresponding months of 1928, However, it does not follow from this that it would be advisable to shut our eyes to the difficulties which have to be overcome before trade between the two countries will ich the proportions corresponding to their economic possibilities and deny the' xteaordinarily rapid At the present time nobody can
growth in the national economy of the USS.R. The five years plan lof economic development has already in the first year not only been fulfilled but the estimates provided in the five years plan for 1928-29 have been exceeded. The increase the output of industry in 1928-29 was 24 per cent. over that in 1927- 28, and in 1929-80 it is estimated to' increase the output by 32 per cent. over that in the previous year (the eniculations are made through-jour in unchanging values), whereas the annual increase was put down fu the five years plan at 20-21 per The capital investments in ins dustry and the construction of electrical power stations im 1920-80 Aare estimated at neatly £450,000,000. The greater part of this capital expenditure is to be used for the com struction of new factories and the re-equipment of the old ones: This its turn will make it necessary to import large quantities of machinery and, all kinds of equipment.
Consequently, and this is particularly important for the prospect fof Anglo-Soviet trading relations, the demand on the part of the USSR. is growing, particularly for metallurgical products, machinery and tools, products of the electrical and chemical industries, means of transport (ships), ete. The very rapid development of State and ce-operative large-scale agricultural enterprises is. creating an enormous demand for tractors and combines. and other complex agricultural machinery.
The demand of the Soviet market will make it desirable for British industry to study seriously the question of adaptation to the peculiar' ties of that market, and at the same time it may Tead to the expansion all interested in the human race, and the study of languages, and' wild head: hunting people, he has it all about him. There are steamboats running all the time from Singapore and he will.always find the Dutch officers a jolly lot of fellows. The Tanding, of course, is not just so convenient as the Customs jetty on the Bund, but he will get ashore, provided he can steer clear of the products of which can find a large sale in the USSR, Another problem to be faced is that connected with finance. Without the necessary financial arrange ments for the purpose of establishing stable and rapid extension of trade between Great Britain and the U.S.S.R. the development of economic relations is bound to proceed more slowly. Endeavouring to carry out more rapidly and suecessfully its plans of Socialist reconstruction, the Government of the U.SS.R. on its side will be ready to take steps toward a settlement of the financial claims which are being made upon it, taking into account our counter-claims, But whatever steps the Soviet Government may take for this purpose they must be directly connected with measures favourable to the further development and consolidation of the national economy of the U.S.S.R. T hope that these questions will be investigated very thoroughly in the coming negotiations and that every effort will be made to find a sola tion to the problems confronting us, should at the same time add that the Soviet Union (ise, the wide toiling masses who welcome the restoration and development of Anglo-Soviet economic relations) fare at the same time fully conscious of the important successes achieved by the Soviet economy in spite of almost complete foreign.financial isolation, We have every intention of fulfilling loyally "any obligations which we undertake, and at the same time rely on' countries in friendly relations with uy taking into account on their side the unalterable basis of our political and economic system. Th such circumstances it will be possible to consolidate the relation between the USS.R. and Great Brita, founded as: they will be on mutual benefit, and to lay the foundation of a lasting and peaceful co-opera tion between the peoples of the two countries, Tue National Government ha: decided to promulgate the Sino ship, says the "Eastern Times," it having "been found, after. dox scrutiny that the document has been drawn up on a basis of equal.
Text read from the printed page and cleaned; old type leaves the occasional error.