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MONDAY, Arg 21, 1906.

N

OT since Nelson car- ried out his famous coup at Copenhagen has Britain counted for less in a naval and military sense with the Baltic and Scandinavian States. With the Baltic now A German sea, they are all hurrying to get under the German umbrella.

I have just returned from a six weeks' trip, during which I visited the three Baltic States, Finland and the three Scandinavian nations.

I talked with leading states- men, business men and men in the street in each of the capitals and in the country, and I found a practically unanimous feeling that safety demanded that they should attach themselves to the German group.

This does not mean that they have become hostile to Britain. On the contrary, they are as friendly to Britala ns ever, and they stil The rely on her economically. Baltic States live by selling butter and bacon to Britain, and the Scandinavian Slates by selling not only butter and bacon but timber, paper and other wood products.

They all realise that Britain is their best, and, indeed, their only market,, and they in- tend to do all in their power to keep that market, but they have made up their minds that Britain to-day has strength neither the

nor the will to defend them militarily in the event of a war in which the Baltic might be- comie an important area.

There are two reasons for this attitude.

Now a German sea, with Gorman warships in control

"GENERAL POST"

in the Baltic

First, and perhaps strongest, is the League fiasco over Abyssinia. There is no doubt that throughout the Northern States the feeling been exists that Britain has bluffed by Mussolini, and the hard-headed statesmen bf. the North cannot understand how have happened if that could Britain had felt strong enough to impose her will on the Duce.

Two Factors

THE PACE OF RE-ARMAMENT Probably the main question which is at present dominating the public mind at Home is the pace of the nation's re-arming. the need for which has arisen out of an attempt, now proved (DB-2223) futile, to induce other Powers to agree to a common seleme of Played by:-Ormandy and Minneapolis Symphony Orchestra. (DB-2367/8) RHAPSODY ESPAGNOLE (Ravel)

disarmament. That effort hav- (DB2528/9)ing failed, Britain has fallen for

How far this attitude is due to behind the necessities, and pro-Italian propaganda it is hard to necessay. Propaganda certainly was a (DB2800/2) digious efforts beecme

factor and loss of trade another. sary to make

up lost ground. (DB4424/5) | Mr. Churchill may be given at times to exaggerated language, (Album: 240)

but he comes near to the pub- lic temper by his insistent de- (Album: 68) mands that the Government should not tolerate any delay or slackness in carrying through its big defence programme. Cer- CHATER ROAD. |tainly his viewpoint better re- flects the nation's feeling 'than

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that of Liberals and Labourites who are given to splitting hairs on this matter of vital urgency, It is clear from the review of the situation recently given in Par- liament by the Minister for Co- Ordination of Defences that good progress has so far been- made, but some years of concen-

Some of the Baltic nations, and particularly the one of the group which has no Baltic littoral, suf- fered severely from Sanctions.

Norway had a large trade with Italy in dried and salted Ash-the Catholic Italian peasant's Friday dinner-which was cut off by the application of Banctions.

Other States also lost trade in on, and flicse timber, and so nations feel that they have been.

They are idealistic- let down. enough to have been willing to put up with temporary loss if the

League principle had been vindi-

cated. They depended on t-and Britain-for their own security,

As it has failed, they are forced to look elsewhere for security, and are looking, for it in the form of alliances and understandings. Only two Powers have counted in the Baltic in the past-Britain and

traited effort will be needed be- NOTES OF THE DAY

fore the goal is finally reached. In the interim, the nation's posi- tion may give rise to a measure

There

Sir

A census of coins was recently made in all the British banks. This involved an enormous amount

of concern, but it is to be hoped of work. All cash was counted, that we may be able to steer and the amount held in each bank to be reported to the clear of serious international and then

Royal Mint.. (Such process en: trouble at least until the coun-ables the Mint to estimate the re- try's defences are put in order. serves and thus to have some idea of the amount of new coin likely was one point in

to be required.) The fact that Thomas Inskip's review which much more coin is now in circula- may not have received the attention than was the case before the tion it merits, namely, that the War is proof of the Increased delay in re-arming has the ad- prosperity of the nation. In 1934 the banks held fourteen million vantage that Britain will be able pounds sterling in silver coin, as to avail herself of all that is compared with seven million pounds newest and most efficient in air-sterling in 1913. The amount of copper had likewise increased, the craft equipment and naval con- figures for 1934 and 1913 being. struction. Once the programme respectively £2,104.000 and £719,- is carried through, we

000. Gold has slightly decreased shall

since the War, but the amount is have the most up-to-date Air still surprisingly high considering Force and Navy in the world.that gold coins are no longer in There is also the assurance that circulation. The banks hold fifty- two million pounds sterling of the industrial resources of the gold coin..as compared with sixty- nation are great. The position nine million pounds in 1913. Tho which we attained at the end of total gold holding of the Bank of England to-day, including both coin the Great War is a sufficient in- and ingots, is two hundred and ten dication of what can be achiev-millon pounds sterling, ed once we set our minds to the

task and mobilise our resources mansion. The decision to em at full strength. Taking all the bark on the re-armament pro- ! facts and prospects into account.gramme may have been belated, It is clear that once the scheme but the manner in which the

fs carried through, no nation will task is being tackled should no doubt as to Britain's be able to Ignore Britain's leave "strength and potentialities for position in the days which lie continuous dovolopment and ex- ahead.

Germany. Certainly since

Great War Britain was the doml- nant Power, and perhaps before It. To-day, Germany undoubtedly, is in control.

The other factor which lends the Baltic Powera to line up with Ger- many is the Anglo-German naval agreement. These Powers feel that when Britain agreed to a German flect one-third the 'strength of hers' she deliberately surrendered cun trol of the Baltic.

10

The situation was summarized me by a Danish statesman whom I have known for several years. Five or six years ago, when Denmark was practically scrap- ping her feet and disbanding her army, I asked hini on what he re- led for defence.

Ife replied, "On Britain. She must defend us. We cannot defend ourselves, and it would be foolish to spend our money on defences that would be less."

Denn trk M

A couple of weeks ago I talked again with this states. an, and he told me: "The cardin: principle of Denmark's foreign riley is to be on good terms with the most powerful nation in the Batc. To- day that power is Gmany, Britain has abandoned the Baltic, and we are busy arranging airs with Germany.

"Look at the map. The Great Belt, which is the fairway into the Bailic, tes between one of the

SIDE GLANCES

BY

JOHN S.

STEELE

Danish Islands and the German antaland. We could not hold it for a day against Germany, and no other Power could get in. The Baltic is a German sea.”

All this 1nises the question, "Why are the Baltic States so worried about defence at the pre- sent moment?" The answer is that they fear a war between Germany and, Russla, in which the States east of the Baltic at least are sure to be engaged.

Lithuania, Latvia, and Estonia .... are former Russian provinces. They won their independence by hard fighting, and they fear that In the event of a Russo-German war in which Russia was victori- ous they would lose it again.

In Helsinki it was frankly ad- nitted that Finland had an under- standing with Germany, by which In event of war Germany could use the Finnish ports and would sup-

with port Finland

troopa

necessary.

Poland must not be forgotten in this summing-up of the Balle situation. Although she has only

By George Clark

"The minute I laid eyes on him I knew he was going to fall-- madly in love with me."

DERMANY

Milce

TON

a very short Balle littoral, she is n Baltic Power, for her only outlet to the sea is through the corridor to Dantzig and her own port of Gdynia. She has maintained, and, is maintaining, the closest touch with the smaller Baltic States, and her contact with Estonia, and Latvia is particularly intimate.

Sweden

Least concerned of all the Baltic Powers is Sweden, which is strong enough perhaps to defend her own independence. In token or that she has just adopted a scheme of large scale rearmament, but neverthe- less she is keeping a close watch on Baltic developments, and in the event, of a Russo-German war she would inevitably be on the German side.

Economic forces, too, are helping German hegemony. The British Policy of quotas and restrictions on import has hurt the butter and bacon trade.

What is most complained of is the uncertainty which it ercates. Denmark, for instance, which was practically an economic colony of Britain, complains that her farmers no longer know how many pigs to raise for the British market. They have one figure to-day and another next week as the quota is changed. The same applies to batter, cheese, and other products.

Norway

Norway complains of shipping subsidies which hamper her carry- ing trade. The Baltic States are in a similar position to Denmark with their butter and bacon. This has forced them all to seek other mar- kets, and they are finding at least the beginning of a market in Ger- many, which has again begun to buy foodstuffs abroad.

Ineldentally, Iran across a strik- ing instance of how a compare- tively trivial economic factor may affect the peace of the world. Den- mark, as a dairying country, has about a quarter of a million worn- out milch cows to dispose of every

yeon Britam was her only

When.

market most of these old cows had to be destroyed, Britain would not. have them, and the Danes have the same taste for tender young beet as the British. About a year ago. an agreement was arranged with Germany, by which she took these old cattle. The German workman. is eating cow beer, the German i army gets cow leather, and the Danish farmer a substantial addi- tion to his income.

Trade makes friends, and the Danish farmer now locks on the German as a potentially important customer who must be cultivated.

To-day's Thought-

To stumble twice against the same stone is a proverbial disgrace.

CICERO

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