Show Italy taly Feels eels the Pinch of Sanctions II noo OJ e Y l' l rt i t t tS i I r S J t I 6 i 4 J i Ii i I i I. I 1 I s i a s i a c- c Olli The precious fuel shown gushIng flushing forth from the earth at the right Is la the biggest need today of MusS Mus- Mus shown S nil In Inse Inset How young Una italians Italian take ak pride In turnIng over their valued private Priva possessions Possession to toX the gov to help It beat the pressure of sanctions be may seen at the upper left Lower left are Romano a and rf Anna Marle Anna Marie children of the dictator turning over their personal Jewels to the government By WILLIAM C. C UTLEY AN oil sanctions stop the C CAN war The answer seems to be beyes beyes beyes yes If It the league can con succeed succeed suc sue coed In cutting off oft all oil shipments to Italy Estimates of ot the experts recently assigned by the League of ot Nations to make a survey of at the sItuation situation sit alt indicate that sIx Biz or seven months of ot a complete ol oil oil embargo would bring II n Duce to cease his operations operations' In Ethiopia Many qualifying factors may alter niter ni al- ter the situation As a matter of ot fact the toe longer the League of ot Nations Nations Na Na- ponders the advisability of ot applying applying applyIng ap ap- plying oil sanctions the sanctions the longer the delay the delay the longer Italy will be able to bold hold out after sanctions begin to tobe tobe tobe be enforced For she Is reported to tobe tobe tobe be storing oil at a rapidly IncreasIng Increasing ing lag rate the way in which American Ameri Amerl can oil shipments to Italy have hare more than doubled normal proportions proportions proportions is an indication of what Is happening g between Italy and other nations Even Rumania one of ot the staunchest supporters of the sanctions sanctions sanctions sanc sanc- idea Is Increasing her petrol shipments to Italy Normally Italy uses 1 tons of or oil annually With Whit the war operations now going forward In Ethiopia Ethl pla she now Is burning It up at the rate of ot tons tous Of her normal importations of 1 1500 GOO tons annually Rumania furnIshes furnishes furnishes fur fur- about 35 per cent Russia 22 per cent cent Persian sources controlled con con- I trolled by Great Britain 12 per percent cent Latin American sources also controlled by Great BritaIn to a large extent 14 per cent the United Unit Unit- I ed States 10 per cent and all nil other sources 7 1 per cent During the past year when Italy Imported tons Rumanian shipments leaped to 41 per cent of the total Russia shipped 10 la per percent percent cent Persia 15 per cent Latin Latin- I America 15 per cent the United States 0 a per cent and other sources 7 per cent Because of ot the delay In the application application application ap ap- of oil sanctions it Is believed believed believed be be- that Italy can go along through the rainy season and pick pickup pickup pickup up her ber military operations in au au- Fresh Supplies Are Problem The temporary let down In fighting fight ing lag will make possible the saving sa of ot considerable oil and ond will thus thus thus' stretch out the period of ot Italy's reprieve re a few tew more months How lIow Howlong Howlong lon long after that time Mussolini can keep going depends upon his success In IB securing fresh tresh supplies The answer to this lies III's largely with the nations who are not members mem mem- bers bere of ot the league The United States has not yet made up Its mind whether Its new neutrality act will contain the provision that exports to belligerent nations must not exceed ex ex- Geed their normal proportions One of ot the things gs holding up th the league embargo of ot course is s the fact that member mem nations are waiting until Itcan it itcan itcan can be determined what kind of action action ac ac- tion thou will be taken by the nonmember non mem ber bee nations If U Italy can ca can 1 keep buying oil from non-member non nations the members will face tace the possibility of losing a good share of ot their oil b business for tor fora tora a long time to come If It not perma perma- Some of ot them are trying to console themselves into thinking that immediate losses will not be bevery bevery very Important because a settlement settlement settlement settle settle- ment may be effected within the next few months mouths Italy is la attempting to ameliorate its own situation through the adoption tion of substitutes for oil and the building of new factories Installation Installation tion of transformers and similar preparations are well under way The process even een when It gets gels moving ing lag well is le a a costly one however and aDd It Is doubtful whether Italy's solution to the problem of oil sanctions sanc sanc- sanctions lies In that direction Some estimates place the total annual saving sa In oil by that means could be only about tons tOilS Limit U U. U S. S Export If It the United States docs does adopt the kind of ot neutrality law advocated advocated by President Roosevelt and Secretary of ot State Slate Hull the League could then be assured that Italy would not receive more than tons of ot oil annually from American American Ameri Amen can producers If It American shipments are unlimited unlimited un un- un limited the League has another card which It could play however howe Most of ot the oil tankers In use are owned by British and Scandinavian Interests American shipments might be materially cut by lIy denying the United States the use of ot these tank ers ens Meanwhile Italy has been adding addingto I to her own fleet of ot tankers AccordIng Accord Accord- Ing to the League transport subs subcommittees subcommittee's sub sub- committees committee's estimate Italy now has 8 82 snips ships which total approximately 3 tons There are tankers In Inthe Inthe inthe the Italian navy which might be Included Included In In- and aud which would add another tons It has been lIeen estimated I that Italy might herself herselt be able to transport some tons annually annually annually annu annu- ally from flOD ports on the Gulf of ot Mex ico leo Undoubtedly If tf sanctions on oil are declared the League Lealue would declare declare declare de de- de- de clare clarea a prohibition pa the sale of or tankers to Italy thus preventing pre her from building up UI her tanker fleet any more than she has already done Also It Is probable that the League would forbid the movement of ot tankers sailing to Italian ports To 10 accomplish this and to prevent pre the shipment of ot oil in containers carried by hy other types of vessels it would probably be necessary to declare declare de de- clare naval blockades This is too much like war and the League Is exceedingly wary about Invoking the blockade There Is little likelihood that tho t new ne tankers would be purchased by American Interests to carry carryon on a wartime trade with Italy The polIcy policy pol icy of ot the administration Is ts too clear against aiding a nation at war at any time The usual amount of at regimentation tion lion of ot a people under a dictatorship dictatorship dictator dictator- ship has multiplied many times since the 53 63 nations declared economic eco ceo sanctions on Italy The government has declared Import Im lm port monopolies on cn hundreds of ot Items from meat and fish ash to things like moving picture films alms To protect protect protect pro pro- the gold reserve the National Institute for Foreign Exchange was authorized to control all nil transactions Involving the precious metal Citizens or corporations may not sell or exchange gold old until they have offered It to the government which agrees to return It In the same amount and quality within a at 5 cent year car with pith Ith Interest per Royalty Sets Example Italy's king an and queen set an example ex ex- ample by s sending their wedding rings to Mussolini and the populace quickly took up the Idea thousands upon thousands of persons turning and receIving receiving receiving re re- over oyer their own o gold rings Iron rings In exchange In tn colorful and indeed pitiful ceremonies ceremonies cere cere- monies throughout the country After the depletion of the gold Johl re- re rOoseve seve seeve to a point sni somewhat it under d dl nut Ht the Treasury lIry meat ment IIII has Insisted that It has hns main maln of that reserve tanned 1 most tie the floating of Increased tl taxation bond Issues the lure ailing iM rings new loans the t of vern Bj-vern govern govern- government lord imd the Ihl realization of ment nt credits credits held by private foreign 1 citizens Prices of ot foods and l othet l items skyrocketed after lifter use common in n Italy had felt the pinch of sanctions sanctions sanctions sanc sanc- for tor a little while Gasoline rose from 80 85 cents to 10 it h a gallon went up 20 Tires a quintal Coal soap and textiles followed Factories shut down because there were no raw materials to manufacture ture or because of ot the prohibitive prices on raw materials Appeals wore were made to the emotions emotions emotions emo emo- of the people peoples Boycotts were declared on goods Roods coming from sane sane- countries Grent Great engines of economy and conservation of ot sanctioned sane sanc tinned articles were set In motion There were were and and are are- plenty nn-plenty plenty of ot the meatless days and antI days Jays that we e Americans knew durin during the war except that the Italians p probably oh ably observe e them more rigl illy and more frequently The populace was was encouraged to eat lat more fish and ond poultry that beet beef pork and mutton could be he conserved or sent to the thelIo's boys hoys In the African trenches tr Newspapers Newspapers News New papers and periodicals perlo even en refused to accept nay any more contributions from authors of ot the countries and textbooks from those countries were removed from the I schools To meet the needs of ot the poorer people who were hardest hit by the rising prices which followed fol tot lowed the application of at sanctions commissions of doctors and dieticians clans Issued pamphlets on the maintenance main main- of proper diet and living conditions under the difficulties The people were not to be den dented denied It'd bread for the fine tine wheat harvest of ot 1035 was 21 per cent greater grenter than that of ot 1031 In the last five years the total area arEn sown In wheat wheat has been heln Increased hy by about acres acrs Another acres were wera added during 1935 1035 Policy of Secrecy The Treasury department eventually eventually event event- began a policy of at secrecy asto asto as ns to Its exact status and It was believed believed believed be be- that this status was none too good In the face of ot the fact that publication of all statements of ot the Treasury department and the Bank of Italy lInly were suspended The Italian deficit last tast year was about with nearly half halt of this accounted accounted ac ac- ac- ac counted for tor by the campaign In Af Af- Af rica It Is not in n foodstuffs but In raw materials that Italy faces the most dangerous threats of ot sanctions Italy Imports nearly of ot cotton annually three annually three three- fourths of ot It from the United States States States-Bs as against a production of ot only quintals at home She also imports five times as much I wool as she produces but much of I this Imp import can be canceled by the substitution of silk rayon and other materials The nation Imports practically all of ot Its requirements In seeds rubber and of ot course oil The home production of oil probably ly does not exceed 1 per cent ather of at her normal needs Italy's n needs Cds in timber are not faring any serious threats for she ahe can still import practically all aU she needs from Austria Austria Is also helping In fortifying Italy against the pressure of vf sanctions on min min- Needs of ot scrap Iron are diminishing di dl as the result of national drives to corral all the old Iron In Inthe Inthe Inthe the nation Italy's own production of Iron ore can ran be Increased about two-thirds two Its normal needs With other minerals It Is not the same Italy must Import all of her tin and nearly all of her heir co lOPI ier er from sane sane- countries Aluminum may moy be substituted for some of these prod nets The nation Is fairly rich In tn She Imports about half halt haltof of t ter Ir lend She Khe must Import about ten times II HS ea much coal us liS she pro- pro lures about half halt of the total Import Im Its port coming coining from coun Cohn tries Her lIer own o coal U is of poor ity O t V. o Union |