2 MARCH 1929, Page 2

A Reuter's telegram reports the settlethent of the notorious Tacna-Arica

'dispute by direct negotiations between the Governments of Peru and Chile. The decisive factor in cutting the Gordian knot seems to have been the subtle proposal made some months ago by Mr. Kellogg that the two Provinces should simply revert to Bolivia, from whom they were wrested in the triangular war of 1884 ! Rather than that, the two parties promptly came to terms. Peril takes Tacna, while Arica, the port, goes to Chile.. This is, after all, only economic common sense, since the railway to the coast from La Paz in Bolivia passes through Chilean territory, * * * *