Guilds, to which have been assigned the duties of regulating prices and wages, authorizing the opening of new plants or the enlargement of those in existence, regulating investments, and planning economic policies with a view to increasing the national wealth. Japan.-Legislation in Japan in 1937 and 1938 increasing Governmental authority over industry and trade, included: the Temporary Fund Adjustment Law, controlling new industrial investments which has been applied to a number of industries, namely, airplanes, metal production machinery, munitions, steel ships, iron and steel, gold, coal, and petroleum; the Emergency Import and Export Control Law, authorizing the Government to control imports and exports, production, distribution and consumption of commodities, during the SinoJapanese hostilities and for a year after their termination; the Ship Control Law; the Law Concerning Emergency Rice Measures to replenish stocks of Government-owned rice; the Fertilizer Distribution Control Law; the Application of Armament Industries Mobilization. Law; the Imperial Fuel Investment Company Law; the Iron and Steel Industry Investment Company Law; the Iron and Steel Industry Law, which contemplates doubling the output of the mills, effecting compulsory extension of plants and furnaces, and granting to new plants exemption from taxation for a period of 10 years; the Gold Mining Act of August 10, 1937, providing for regulation of mining activities and the sale of ores, under a license plan, with subsidies to miners and refiners; the China Incident Taxation Law; and the Anti-Profiteering Amendment Law, which revived an ordinance issued in 1917 in prevention of price increase. Measures adopted in October 1937 placed all stages of the cotton industry under State control. An Imperial ordinance on May 7, 1938, provided for a Materials Adjustment Bureau to adjust the supply and demand of important materials, including iron and steel, other metals, coal, machinery, fibers, chemicals, and articles in foreign trade. Price committees will enforce official quotations and standard prices. Latvia.-Under the Chambers of Commerce and Industry Law of 1934, State control of industrial activities has been extended to cover many important productive lines, including railways, airplanes, telephones, and radio service, hydroelectric power, forest lands, sugar, flax, grain, wool fabrics, confectionery, alcohol, beer, tobacco, refined oil, cellulose, plywood, iron and steel products, wire, bricks, lime, peat, and films. The State also owns the Bank of Latvia, a number of credit institutions, two resort hotels, a life insurance company, a shipping company, and a travel bureau. Special attention is given to export commodities, such as butter, seeds, flax, and lumber. Plants for the packing and export of bacon, hams, butter, and eggs, have been erected under State control. A price inspector has authority to supervise the production of all merchandise and to regulate prices in all lines of trade and industry, including housing. The value of State owned property is estimated at one-third of the national wealth. Manchukuo.-The Law for the Control of Important Industries effective on May 10, 1937, gave wide power over industries designated as important, of which more than 20 have been named; changes in equipment or production, and any agreements relating to production, price, or sales, must be approved by the Government. An Emergency Trade Control Law was passed in June 1937, for protecting agricultural products, adjusting internal prices, and controlling imports. A Foreign Trade Control Law passed in December 1937, went farther toward adjustment of supply and demand. An Iron and Steel Control Law became effective on April 1, 1938. Mexico. In addition to the program of land distribution and the organization of rural communities for collective farming under Government supervision, a number of important decrees were issued in 1937, including decrees in June 1937, for control of the silk and artificial silk industries, providing also that imports of certain textile materials and thread, and machinery for knitting and weaving thereof, shall be placed under license control by the Department of National Economy; a decree effective on June 24, 1937, for expropriation of the railways (under the Expropriation Law of November 23, 1936); a decree effective on June 25, 1937, establishing control of production, importation, distribution and prices of all commodities which may be declared to be of fundamental importance and requiring the formation of state producers' associations and national producers' unions; a decree under which a foreign trade bank was set up on June 28, 1937, and a workers' bank in July, to finance syndicates of employees and small merchants and manufacturers; and in August 1937, a decree authorizing creation of a Federal Electrical Commission to organize and administer a national system of electric generation, transmission, and distribution. A Petroleum Council was formed in March 1938, to administer property expropriated from the petroleum companies. Netherlands.-A law effective on April 8, 1937, authorized the Minister of Commerce, Industry, and Shipping to control and limit new operators of retail business, trade and small industries. This was supplemented by the Industrial Establishment Law passed in March 1938, for the control of new industrial enterprises or the increase in capacity of those already established. Decree of the Governor General of Netherlands Indies, dated December 30, 1937, extended for an indefinite period the Industrial Control Ordinance of 1934, which has been applied to a number of industries, including dairies, metal foundries, the cigarette industry, ice factories, storage warehouses, the printing industry, the weaving industry, and native rubber smoke houses. New Zealand.-The Primary Products Marketing Amendment Bill presented to the Parliament in December, 1937, would empower the Marketing Department to fix maximum and minimum wholesale and retail prices for dairy produce, fruit, honey, eggs, and other foodstuffs prescribed by Order in Council, and to buy foodstuffs at fixed prices, exporting the surplus over home requirements. A law passed on March 15, 1938, provided for establishment of an iron and steel monopoly, under Government operation, utilizing domestic deposits of iron ore, and constructing new works for manufacturing purposes. Prior to this, iron and steel products have been imported, largely from the United Kingdom and Australia. Newfoundland.-The Act to Amend and Consolidate the Law relating to the Customs and Excise, dated March 26, 1938, included provisions for valuation of goods for duty purposes, and also in case of imports at prices or values involving unfair competition with producers or manufacturers in the British Empire. Nyasaland (Central Africa.)—Under the Tobacco Marketing Law, December 21, 1937, all fire-cured leaf tobacco grown in the country must be marketed through licensed auction warehouses, under a Tobacco Control Board. Panama.-A decree in 1938 required that fixed charges (retail prices) must be asked for all merchandise offered for sale. Each article must bear a tag showing the sales price to be observed by all stores. Peru. A decree of June 17, 1937, required all commercial organizations to report to the Government in January and July of each year, declaring all raw material handled by them in their business undertakings. Portugal.-Law No. 1957, May 20, 1937, placed Portuguese agriculture under direct supervision and control of the State, to be effected through corporate organizations or guilds which will be authorized to promote the sale and marketing of farm products, and to enforce regulations laid down by the State for the protection of the national economy. The guilds also may own and operate stores, granaries, agricultural machinery, and livestock, and install various services for the common interest of the members. Rhodesia, Southern.-The Customs and Excise Amendment Act of May 18, 1937, repeats the antidumping provisions of the Act of 1935. South Africa, Union of.-Marketing Act No. 26, 1937, provides for voluntary regulation of the production and sale of agricultural products, establishment of certain regulatory boards, the grading 101741-38-10 and standardization of agricultural products, and other matters incidental thereto. Spain. The Government has set up a committee to buy all the raw wool produced in the country and to take over imports, which will be placed at the disposal of the spinning industry. The purpose is said to be to reduce the price of wool and to prevent undue increase in the price of manufactured goods. A tobacco monopoly has been created to regulate the production, importation, manufacture, and distribution of tobacco, matches, and lighters. The production of raw tobacco will be increased, manufacturing plants may not be shut down or opened without Governmental consent; and prices to be paid to the growers will be fixed by the Government. Sweden. In an effort to strengthen the Government's control over prices and money market, a number of laws were passed in 1937: (1) extending authorization of the National Debt Office to furnish the Riksbank with treasury bills or other State bonds, for sale in the open market; (2) authorizing the Government to issue special regulations concerning the cash reserves of commercial banks; (3) appropriation of 70,000,000 crowns to purchase commodities for storage; (4) increase of the stamp tax on the transfer of shares, effective to May 31, 1938, and (5) release of the Riksbank from its obligation to redeem its notes in gold, extended to February 28, 1938. Turkey.-Law No. 3003, 1937, authorized the Minister of Economy to control and fix the wholesale and retail prices of industrial products where he considers such action necessary, and to make all inquiries requisite for the purpose. Uruguay. Decree of October 21, 1937, provided for control of retail sales prices of pharmaceutical specialties and dietetic products, in order to safeguard the public health and also to prevent unduly high retail prices. |