Imperial Valley press., 1925-08-08
RECOGNITION Is
CITED AS NEED
FOR RED CREDIT
President Coolidge Gives
Opinion on Status of
Russia
Ey LUDWELL DENNY
tied Press Staff Correspondent

OIAbCu L iS:S 'oJdll COLltopoiiNSHt
WNSiliNGTON, Aug. 7. -- Large
scale American credits asked by
Leon Trot2ky TO rehabilitate Rus
sian industry and agriculture must
wait ON diplomatic recognition,
which is delayed by the Soviets' al
Though President Coolidge has
been persuaded by political and bus
mess interests that the Soviet gov
ernmemt is relat:vclv stable and its
recognition desirable he will not act
until the international situation is
n'orc propitious, especially in the
east.
These administrative opinions
were brought forth IN informed cir
clos here today by the exclusive
United States interview wiA
HrotZky III which he made the first
ctficiaI appral for "rapprochemcnt
with America
Trotzky's ciaims for the rapid de-
velopmcnt Of Russian industry and
agriculture during the last six
months are ia Il largo part support
ed by information in the hands of
this government. There WAS no
disposition today to, dispute this
contention that III the future Rus
sia will become cone Of the most
important sectors of the world mar.
l;rt
Whilo diplomatic recognition Will
rcgularize and facilitate trade be-
tween the two countries, officials
pointed out that meanwhile trade
relations are not prevented By non
recognition.
This was Indicated also by fi9-
ares released bv the Russian in
formation bureau here. showing that
American Russian trade in the half
ycai' ending July | was equal to the
Iui! year 1924, and nearly two and
IA lalf times that of the correspond
ing six months of 1913. The total
given was sos, 1856, of which $522,
6i0,645 represented exports from
this country to Russia.
Though American banks and
firms in the last six months extend
ed credits Of about $35,o00,000 to
the Soviet government, for purchase
Of thnse cHpOrts, experts here said
today that Trotzky's 5 proposed large
-ra.e loans for "mcchanization and
oIrrtrificatiou of Russia would
rrohably await diplomatic rrcogni-
zion.
DHc Of the chief economic factors
WIS entirely overlooked by TroiZky
ia h.s United Press statement, ac-
eording tos these experts. While
Russia IA increasingly an impor-
t"ut market for American Industrial
products, she is a potential agri
cultural competitor. The hard
pressed American farmer will suffer
directly when Russia recla;ms it.
sh#rr Of the rapidly diminishing
fo'cign agricultural markets, they
satq. Increase in Russia 5 cotton
a,~,agc, which jumped 2S per cent
This wear. viii diminish th" Ameri
can cotton shipped to Russia-now
hall of the total export. or about
$4,000, 900 Il year. Already i'm
proved Soviet crops have about
wired out-RuSsia : flour purchase
here.
There WAS apparent agreement
howcvw. with Trotzky' 5 argument
that the general trade between th,
countries viii increase through pollt
icai relations.
Ihough the administration ia ap
rrehensive regarding the indirec
Influence of Russia in the anti-for
. cign wave sweeping China, the feal
of alleged Bolshevist propagand;
aud revolt in this country has no
l,ocn determining factor here sine,
Charles Evans Hughes left th'
STATE dcuarfmcut.