Diario las Américas Newspaper, May 9, 1954, Page 11

Inter-American News for English- Speaking people he A For a better understanding between the Americas For Liberty, Culture and Hemispheric Solidarity MIAMI, FLA., SUNDAY, MAY 9, 1954. 7 NUMBER 2 HALF MILL ION W PERON TALKS ON ECONOMICS “Out of every four dollars which we spend for imports we spend one on fuei supplies.” Argentine President Juan Peron had the above to say to the con- gress of his country when it re- cently convened in a new session. The chief executive added that Argentina had to become self-suf- ficient in oil production “by any eans that is consonant with the tional constitution....and that will assure us ownership of the oil and the power to trade it either in domestic or in world markets.” According to the president, Ar- ‘gentine petroleum output in 1953 reached a total figure of 4,530,000 cubic meters, or 15 percent more than in 1952. He added, however: “The country must solve its fuel problem if its industries are to be prevented from being paralyzed unexpectedly....For the time being and perhaps for several yeai t, until we can use atomic energy in-| dustrially, petroleum will remain the most useful source of energy for any country, especially if that country has its own domestic sour- ees of oil.” The president said that as far as Argentine oil was related to sales of Argentine meats abroad, the former had been insignificant as a determining factor, since Gre- at Britain had traded only enough wil to pay for its meat purchases. Peron said that “British negoti- ators have always known that the English people —just like any other people— can get along with- out meat...but that no country can develop without oil.” The president said that by 1958 Argentina will need at least twice as much oil as it now consumes and that any dollar savings that eould be achieved in connection with foreign oil purchases might be invested in the development ef heavy industry within Argen- tina. Saying that Argentina had all the oil it required for its domestic and even export needs right under its own soil, Peron asserted that “we must therefore, obtain enough oil so that national progress will not be halted.” : “If the government-owned oil company —Yacimientos Petrolife- ros Fiscales— can carry out basic gevernment oil policy,” Peron went on to say, “both I, you of the Congress and the entire people will be more satisfied than we would be with a doubtful national- ism which in petroleum imports alone is costing us around 500 mil- lion pesos a year. .“The government has reached the conclusion that we must act fast to extract all our oil from our own subsoil by any means that is consonant with the national cons- titution which we submitted to the people for ratification _and that Will assure us ownership of the oil and the power to trade it either in domestic or world markets.” President Peron went on to dis- jcuss domestic aspects of the Ar- gentine economy, describing it as “sound, safe and stable.” “If.....we compare it with the us of many national economi- e Peron said, “by analyzing our economy in relation to the world economic picture, we shall surely see that whiie the rest of the world doesn’t know what to make of its present disorder, Argentina’s in- ternal situation is sound, safe and |stable and is reflected in its in- dividual aspects of social order, internal politics and even foreign poligy which are indicative of the nation’s over-all condition.” Further on Peron said that in- flation had been halted: “The inflationary process which we intensified during the first ye- ars of our administration, in step with the inflationary process then going on almost everywhere else, took place while our social reforms were proceeding and therefore was translated into greater benefits |for the people.” | Peron added that from 1949 on, | the initial benefits of the inflation- | ary process began to act in a prog- |ressively negative manner on the | over-all national economy and on the economy’s social welfare as- pects in particular. He then told |how in 1953 his five year plan- ning undertook to halt price infla- tion. “Some amateur economists me- |asure inflation by the market va- |lue of the peso or by the amount |of currency in circulation,” the president said, adding: “However, the market isn’t governed by sup- ply and demand considerations alo ‘ne, but by all the complexities im- | plicit in speculations which can’t be brought under control.” Peron said that increases in cur- |rency circulation were due to ex- |panded economic activity in Ar- gentina. He also said: “Moreover, | we must keep in mind that some Argentine currency has been re- moyed from circulation and is be- jing kept in numerous private safes, |both here and even abroad.” Peron described this as a “verit- able crime against our social econ- omy and the people's welfare,” because the government had to “issue enough currency to replace |that which was being withdrawn |from generat circulation for pur- | poses that can’t be confessed, but which in general were connected with private interests that wished to avoid payment of certain taxes lor to conceal earnings that had |been made illegally. | “Neither the value of the peso lon the black market nor progres- sive increases in currency issuan- ce are actual signs of authentic inflation or deflation.....These can be measured with only one yards- tick —the actual purchasing power lof the best type of currency in the world: one hour of work!” Peron said that inflation had be jen of work still bought the same amo- lunt of goods that it had in 1952. Talks Between Argentina and Chile will Define new Trading Methods High level negotiations t BUENOS AIRES. —(UP)— For the past two weeks Chilean Am- bassador Conrado Rios Gallardo has been conferring with Presid- ent Peron, Foreign Minister Jero- nimo Remorino and Ministers for Economic Affairs Alfredo Gomez Morales and Antonio Cafiero in re- gard to various economic-political aspects of relations between Ar- gentina and Chile. It has come out tRat the talks have been featured by the discus- sion of varied matters —all the way from a protest which the Chi- lean government filed in connec- tion with an incident which arose when three members of the Ar- gentine national gendarmery in- vaded the Chilean frontier town of Puerto Natales —although the three were exonerated subsequent- ly —up to how to assure continu- ing meat supplies for the central areas of Chile next winter when dean passes may be closed by storms and ways of assuring that livestock quotas will be met with- t hitch. ; wee was also learned that Rios Gallardo has sent a second note to the Argentine foreign office in connection with treatment afford- ed Chilean timber, exports of which to Argentina have now re- ached the yearly value figure of 300 million Chilean pesos. Chile is asking to be allowed to export directly to Argentine importers and: to keep on observing current contracts and prices in its dealings. | border with Chile, o——_- develop in Buenos Aires Argentina ordinarily makes its purchases of timbre via the Ar- gentine Institute for Trade Promo- tion (equivalent to the National Trade Institute in Chile) which has recently bought large amounts of wood from Poland, Yugoslavia, Czechoslovakia, Romania and par- ticularly Brazil. According to Rios Gallardo, any variation in terms for deal- ings in Chilean timber would cons- titute a violation of the spirit and purpose of a trade agreement re- cently signed. This issue was to have been discussed by an econo- mic team of Argentine ministers last April 28. Agood deal of the current discussions has centered around the next meeting of the General Co- uncil of he Argentine-Chilean Economic Union. Since the agenda for the coming meeting has already been well worked out, it has been decided to hold the meeting dur- ing the first part of July in Bu- enos Aires. Talks are also being held in re- gard to the possibility of having a joint railway commission meet, either in Santiago or in the Ar- gentine capital, in order to coor- dinate the schedules of the Trans- Andean Railroad and effect im- provements the rail line. The Argentine transport ministry has already gone far with plans to electrify the Argentine section of the railroad all the way from the halted in 1953 because an hour | |ezuela’s chief executive. | | Blackout ordered by | Guatemalan government | GUATEMALA CITY. (U.P.)— Local newspapers said that the |government had ordered the | Electric Power and Light Company to blackout the capital minute. Power company officials said they could not comply with the order for technical reasons --hav- ing more than 15,000 switches- and therefore the blackout lasted fifteen minutes. Officials added they did not know the reason for such an order. However, newspapers _ hinted | that the government may have re- quested the blackout in order to locate an underground broadcast- ing station which has been trans- mitting for several days and call- | ing on the people to revolt against | the government. Diplomatic News | The Ecuadorean government has appointed new ambassadors to France and Panama. Climaco Guzman Aguirre will | go to France and Hugo Moncayo will be sent to Panama. + + The Chilean government has re- | quested authority from Congress to appoint ambassadors to Bolivia, El Salvador and Uruguay. The follow- ing names were disclosed as appo- intees: Arturo Olavarria, Samuel Avendafo and Mario Barrios, res- pectively. /EIGHTEEN F ‘EXPLOSION ON BRAZILIAN ISLAND Blaze caused by deposits of inflamable goods *% * Former King Leopoldo Of Bel- gium arrived in Caracas this week on a visit as an official guest of the Venezuelan government. s ge 6 Mr. and Mrs. S. Marcenaro have de- parted from Buenos Aires for Li- ma. The Marcenaros were tender- | ed a large number of farewell par- | ties and receptions which were climaxed by a dinner tendered by the Peruvian colony resident in Buenos Aires. * * * The Brazilian embassy in New , Delhi announced that the Brazilian | foreign ministry has accepted a resignation presented by the honor- | ary consul of Brazil in Bombay, | Jayme Heredia. Heredia was charged with or- | ganizing anti-Portuguese groups and holding meetings aimed at seek ing the annexation of the Por- tuguese colonies of Goa, Diy and for one} BUENOS AIRES. —(UP)— Stri- kes and “grudging worker” move- ments have been spreading until they now embrace around 500,000 | workers —all this in view of the fact that labor and management are still at loggerheads over sign- ing new work contracts with prov- lisos for higher wages to replace agreements which expired April 28. Despite the work stoppages, how- ever, daily life in Buenos Aires has been littie affected. Early last month Labor Minis- ter Alejandro Giavarini issued an ultimatum demanding an end to contract talks within ten days, but when the ten-day period pired both the General Confederation of Labor and the General Econom- ic Confederation, which represents, employe! asked for ten more days in view of the magnitude of the problem facing them. Work contracts which recently expired embraced 2.400 workers |having 6 million members. Only voluntary wage increases have be-| en given since February of 195: The key to the question was sup- plied by a government announc ment to the effect that govern- ment officials would not intervene in labor-management tlaks and that wage hikes should not be allowed if they were to result in price rises. Many firms in certain industri- es have already concluded new work contracts, and it was report- | ed that a concern which manufac- | tures electrical appliances had granted its workers a 22 percent wage increase. The C.G.T. also an- nounced that it had signed work-) ing agreements with the clothing | industry, news gathering agencies, | furriers, apartment house owners | and many other manufacturing concerns. The strikes nave continued, how- jever, in industries that have small | |per-unit earnings and that depend on large volume sales such as those engaged mn the manufacture of | footware, tobacco products, glass- | ware and other articles. Strikes and grudging work movements are affecting a half-million workers | employed in those industries. The Genera] Economic Confede- ration says that worker demands | in the above industries are exor- | bitant, while the C.G.T. ys em- ployers are uncompromising. violent explosion which occurred here early Friday morning almost Surely killed from 18 to 24 fire- men who -were trying to extinguish a fire that had broken on a small | Guanabara Bay island used for | | storing inflamable material. | The occurrence “was described | as “the worst disaster in the his-| tory of the (local) fire depart- ment.” | Eighteen hours after the explo-| sion took place, one corpse had | been recovered from the island, while six firemen had to be hospi- | talized —four of them in serious | condition— and official figures said that 17 men had been lost. “We shall go on looking but I am not very hopeful”, the director lof the fire department told the United Press. Damo, to India. * * Argentina’s chief of protocol, Raul Margueirat, has left for Cara- | cas where he will participate in| ceremonies which are to be held when Foreign Minister Jerénimo Remorino reaches the Venezuelan capital. | Remorino will go to Caracas in order to bestow on President Mar- cos Pérez Jiménez an Argentine decoration recently offered to Ven- * The head of the Venezuelan | military mission in Lima, Colonel Romulo Fernandez, decorated Pres- | ident Odria with the order of Francisco Miranda. The ceremony took place at the | government palace with attendan- | ce of the Venezuelan ambassador, Gutierrez Alfaro, members of the Venezuelan mission, cabinet mem- bers and civilian and military aides of the President. General Odria and Colonel Fer- nandez engaged in a cordial ex-| change of addresses during the | ceremonies. * **% * Cuban ambassador Aurelio Fer- nandez Concheso offered a dinner in honor of Henry F. Holland, who was recently appointed as- sistant secretary of state for Latin American affairs. The banquet was held at the Cuban embassy. Guests included Panamanian Ambassador Roberto Huertematte, Mexican Ambassador Manuel Tello, Brazilian Ambassad- or Joao Carlos Muniz, Dominican Ambassador Manuel Moya and Cos- ta Rican Ambassador Antonio A. Facio. Other important guests included Sen. Dennis Chavez from the Sen- ate appropriations committee; Sen. Hickenlooper; Rep. Clifford R. Hope, head of the House agricul- ture committee; former Ambas- sador Joseph E. Davies, State Dept. | official Jack D. Neal; N.Y. Times | commentator Arthur Krock; News | columnist Drew Pearson; United Press representative Roscoe Snipes; the president of the Cuban-Ameri- can sugar council; Associated | Meyer and Cuban embassy officials | Dr. José T. Baron, Dr. Emilio Pan- do and Col. Ramon Barquin, i The official added that the mis- sing firemen had been “blown to smithereens” by the force of an explosion which happened in the | early morning hours on the Guana- bara Bay island known as Ilha For- te, breaking windows on the near- by residential island of Paqueta and shaking the downtown areas of Rio de Janeiro and those of the neighboring city of Niteroi, located across the bay opposite Rio. Police agents who reached the island on a launch rescued two watchmen and four other people | who lived on the island shortly | before the arrival of a fire depart- ment launch carrying 28 men. Some of the latter rushed to the store area that was on fire, while four of their number operated pumps on the launch to supply water for the hoses, | According to an eye )witness, there were two small explosions followed by a huge explosion which covered the island with a “flash”. ~ By the time help had arrived one firemen was found dead and LIBERALS PROMISED HONEST ELECTIONS BOGOTA. —(UP)— Circles close to the executive committee of the Liberal party say that President Rojas Pinilla is reported to have asserted that “honest, free elec- tions” can be carried out in Colom- bia. Informants say that the presid- ent spoke in that tone during a two-hour interview which he held with Labor party leaders. Party directors are preparing a report in which they will tell abo- ut the tenor of the conference granted to them by the president. Liberal leaders who met with Rojas Pinilla discussed the nation- al situation with the Colombian chief executive. On leaving the interview they said the were “very satisfied”. The conference was also attend- ed by Lucio Pabon Nufez, Con- servative party member who ser- ves as minister of government in the Rojas Pinilla administration. IREMEN KILLED IN BIG RIO DE JANEIRO —(UP)— Aj{six others discovered lying un- conscious among the storage area debris. The first launch was also aflam. The cause of the explosion is being investigated, although it is thought that drums of sodium hy- drosulfite blew up when they came into contact with the flames. La tills Workers Join Ufco Strike 0. TEGUCIGALPA. —(UP)— Al- though a 48-hou period given by | | striking workers to employers for | la reply to worker demands had | elapsed, no change had taken place | |in a situation featured by a strike | lof the local Transportation Com- | pany employes. | The strikers are asking for aj) 50 percent wage increase over pre- | Sunday work. The number of strikers has been steadily increasing, while other | workers can been seen maing their tracks, with no sort of rail trans- portation available. The strikers have requested of- fice workers and domestic help to remain at home, while law stud- ents extended a mass invitation to other students to meet at a general assembly. Reports from the northern part of Honduras said that banana plan- tation workers of the Standard Fruit Company in La Ceiba had gone on strike. The government has taken steps to control the situation. GUATEMALA CITY. —(UP)— Colonel Amadeo Chinchilla, the | Guatemalan ambassador to Hon- duras, arrived here, According to the paper El Im- parcial, “It is thought he has re- turned to report to the foreign office about the situation in Hon- duras, including the expulsion from that country of the Guatemalan consuls at San Pedro Sula and Puerto Cortes.” GOOD RESULTS ON CUBAN OIL SEARCH Cuban Minister of Agriculture Alfredo Jacomino has officially announced that oil explorations which have been carried for some time by a private company in co- operation with the government in the Jatibonico area of Camaguey’ province have proven successful. The minister added that in ac- cordance with technical data on hand the first well which was drilled to a depth of around 1,000 to 1,300 feet is producing an aver- age of 250 barrels of good guality oil every day. Jacomino is of the opinion that prospects are good for the near future, TopF BI Man Marks Today Thirty Years Of Service Congratulations fo J. E. Hoover —o-——_ Today marks the thirtieth an- niversary of J, Edgar Hoover, a distinguished American whose fame is one of world-wide as well as of domestic proportions, as director of the Federal Bur- eau of Investigation. Because of his patriotic zeal in protecting the American peo- ple and because of his precise sense of organization and res- ponsibility, J. Edgar Hoover is of infinite importance to the se- curity of the U. S. and to that of the Western world as a whole. We wish to extend our con- gratulations to J. Edgar Hoover on this thirtieth anniversary of his tenure of office as an up- right citizen of the U. S. who has given his all while serving at the head of the F. B. L ORKERS IDLE IN ARGENTIN CONTRACT NEGOTIATIONS BETWEEN LABOR AND MANAGEMENT STALLED Some 2,400 unions with 6 million members are affected. The government hasn’t intervened cessseset J. EDGAR HOOV Romero Pe reira Su cceeds President Chaves As President Of Paraguay Official announcement made by Asuncion radio station Ousted President Chaves is reported under arrest BUENOS AIRES —(UP)— The Paraguayan radio at Asuncion re- ported that the ruling Colorado party had solved the country’s go- vernment crisis with an agreement to name Tomas Romero Pereira temporary president. Pereira, a civil engineer and a party leader, was head of the jun- ta that was named to run the country earlier this week. BUENOS AIRES —(UP)— Tra- velers reaching here from Asun- cion said that President Federico Chaves had been deposed and was under arrest. They added that the comman- {sent levels and double pay for der-in-chief of the army, General Alfredo Stroener, was apparently master of the situation, but that a group of rebel officers were still resisting. The travelers reached Beunos Ai- Mexican Senator Assails C. of C. serene | Vere mens MEXICO CITY. —(UP)— In an attack on “businessmen and_in- dustrialists,” Senator Alberto Tru- eba Urbina described as “criminal” the voices of alarm which have been raised in connection with the recent devaluation of the Mex- ican peso. The senator launched a direct assault against the national Cham- ber of Commerce, which had point- ed out that if a study and remedy for the causes of the recent de- valuation weren't carried out, an- other devaluation would be in- evitable. In 1949 a devaluation depres- sed the exchange rate from 20.5 to 11.6 American cents to a peso, while last month another devalua- tion lowered the exchange rate to 8 cents to a peso —the lowest the Mexican peso has ever dropped in value. The senator said he was con- fident that the country’s farm and industrial workers “would put their heart into working for their coun- try, even if they are without any funds.” Meanwhile, the ministry of na- tional economy reported that it is considering the possibility of increasing prices for medicine, cof- fee and other products. It is felt that prices may rise on the aver- age by approximately 20 percent as a result of increases in produc- tion costs. Ministry inspectors are busy checking price lists all over the country with an aim to halting inflation. The public as well as state and municipal authorities and to cooperate by denouncing any ————_0. res on the first regularly schedul jed seaplane flight to have left Asuncion since the fighting began last Wednesday. The travelers reached Buenos Ai not seen any police officers on the streets of Asuncion and that the officers were apparently under ar- rest at the naval barracks. They al- so sai¢ that telephone service w. still out of order in Asuncion, al- though service outside the country was goperating under censorship regulations. The travelers added that they had heard the sound of shooting in the downtown area of the capi- tal city of Paraguay during the early morning hours near the Campo Grande garrison. General Stroener evidently en- joys te support of the country’s naval and air forces and of most of the army. The travelers id that when they left, the rebel First Cavalry Division forces at the Campo Grande barracks were still resistin, but that General Stroener was at the scene trying to crush their resistance. No reports have been forth com- ing as to the side taken by the Concepcion garrison, in the nor- thern part of the country, or by the Chaco garrisons in the western sector of Paraguay. The travelers said that the key known number of civilians had been wounded or killed by stray bullets. The casualties suffered by the army and the police are also unknown. The travelers said that they key to the situation depends on the {speed with which General Stroner can overcome resistance of the re- bel forces at the Campo Grande garrison. Meanwhile, Asuncion re- sidents have been staying inside their homes, the streets presenting a deserted appearance because of the absence of vehicles. The radio stations don’t broadeast except for communiqués urging stores and theatres to open for business and exhorting workers to return to their labors, while reports on pro- gress of the fighting are complete- ly lacking. CHILE SEEKS SUPPORT /FOR CARLOS DAVILA AS CANDIDATE TO THE OAS SANTIAGO, Chile (UP) — For- eign Minister Tobias Barros Ortiz told a press conference here that Chile had requested several other | Latin American nations to support the candidacy of Dr. Carlos Davi- la, former president of Chile, as a successor to Dr. Alberto Lleras Camargo, secretary general of the Organization of American States who recently resigned from that post los Davila, an acknowledg- ed specialist in international af- fairs, is currently serving as chair- | man of the board of directors and editor of the government paper La Nacion of Santiago. While residing in the U. S., Da- vila was specially summoned by Chilean President Carlos Ibanez to assume the leadership of La Na- cion. Ship officers and crew HOUSTON, Texas.—(UP)— Cus- toms agents here seized part of an arms shipment and detained a ves- sel of South American registry car- rying the weapons. Officers and several crew mem- bers of the boat —called the “Rep- ublica del Ecuador’’— were inter- rogated by customs agent Alvin | Scharff and his helpers. | The nationality of the crew mem- | bers has not been disclosed. Customs officials said that they \had surprised two men who were | loading 2,500 rounds of ammuni- tion aboard the vessel, and said | they felt that at least 1,000 other | army officials has been requested | rounds had already been laden aboard the ship. By the time agents} violation of official price ceilings. reached the wharf, according to Ecuador, via the Panama Canal. 3,500 Rounds of Aianinition Found Aboard Ecuadorean Ship in Texas questioned by customs -O-————— Scharff, the ammunition —deserib. ed by Scharff as “for pistols’— was already on board. After preventing the ship from departing various agents took ship officers and crew members to the federal building for questioning, while other agents went aboard the vessel to look for the ammuni- tion. It was learned that a total of 3,500 rounds was involved, and | according to Scharff, his agents |had succeeded in seizing only part” of them. Customs officials | believe that the ammunition was purchased in the Houston area. The “Republica del Ecuador” to have ieft Houston for Gal- on, New Orleans and finally wi eee