Trade Talks with Argentina
Considerable confusion shrouds the progress—or retrogression— of the Anglo-Argentine financial and trade negotiations now taking place in Buenos Aires. Statements, and denial of statements, made by General Peron and others which reach this country merely underline the difficulties that beset the negotiators. For instance, General Peron is reported as having made a speech to his supporters in the Chamber of Deputies in which he stated (x) that the Runciman- Roca Treaty would not be renewed, (2) that Argentina would not use frozen funds to buy worn-out materials—a reference to the possible purchale by his Government of the British-owned railways, (3) that after August 2oth the price of steers would be increased to 600 pesos (approximately kg)) instead of the 200 pesos paid under the price- arrangement of the Runciman-Roca agreement. So far so bad, but. a few days later Dr. Decker, president of the Peronista bloc in th,. Chamber of Deputies, issued a formal denial that the General had -mentioned railways in his speech, an announcement which coincided with the news that British shareholders were to pay L750,000 as a temporary settlement of the railway strike, while further negotiations were pending. Finally it was learned that Argentina proposed to convert its present banking balance in London, amounting to £525,000,000 sterling, into a long-term loan with interest not exceed- ing 22 per cent. per annum. It has been indicated that this proposal is unacceptable to Britain. One fact that emerges fairly clearly from the recent statements of General Peron is Argentina's determined adoptiOn of the. policy of fishing for what it can catch in the murky waters that divide the big three. It is to be hoped that this phase will be succeeded by a more constructive one. Argentina's interest in continued trade with this country is at least as great as ours.
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