Evening star., 1947-08-17
Rising Import Curbs
Reduce Trade With
Latin America
By WiIIiom D. Horeon
Assoeios.d Press Financial Writer

NEW YORK. Aug. 16.-The cream
of Latin American trade has been
skinned by the United States. I'M
port restrictions, born Of dollar
gold shortages, are blocking many q
business deal and are expected to
block more.
There's still plenty of nourishment
for thriving commerce between
North and South America but the
rich diet that followed Immediately
after the war will not be main
tanned, in the opinion of most busi-
neSsmen.
Fast use of gold and dollar re-
serves, plus the desire of many OF
the Latin countries to build up an
industrial life of their own, has
resulted in series of import curbs
and exchange controls which have
snapped North-South trade ties for
many articles Of commerce and
strained others to the breaking
point.
Argentina Most Active.
Argentina probably has been the
most active Of any nation in cutting
imports to the bone. That nation
will not issue exchange permits for
a list of goods that stretches from
radios and refrigerators to razor
blades and champagne.
One North American merchandise
ing industry trading in Latin Amer
lea. which declined. to permit the
use OF its name because of possible
repercussions, said that in Argen-
tina payments due in United States
dollars were not always made in full.
To Illustrate: The company might
be owed $1,000. Half would be paid
In United States dollars and the
balance credited to the company in
pesos, either Tor future conversion
into dollars with the danger of a
cheaper peso at the. time of CONVEX
sion or marked for use in Argen-
tina.
The recent series OF Argentine re-
strictions, incidentally, has alarmed
the United States business colony in
Buenos Aires with the possibility
that still more restrictions might be
in the off1ng.
Chile was the latest of the south
ern nations to expand its control
list. Others that have one sort of
control or another over their foreign
trade include Brazil. Peru, Uruguay,
Ecuador, Colombia and Mexico.
Venezuela Not Worried.
Oil-rich Venezuela has a sizable
stack OF dollars at her command and
foreign commerce is on a compara-
lively free basis.
The effect Of widening restrictions
OF United States producers of goods
for export ranges from none at all
at present" to moderate"
General Motors Corp, for in
stance, exports a fixed percentage
OF total production and has done so
for months. That percentage, the
company expects, will be maintained
at least through 1947.
Westinghouse Electric Interna-
tional Corp, on the other hand, re-
ports a decline of 10 to Is per cent
in total products exported since
trade curbs started piling up several
ago. ..
An export firm which does a for
eign business at an annual rate run
ming into miAions of dollars reports
declining Latin American sales of
such items as refrigerators, radios.
household appliances and motor
cycles. ".'.. - - ~.
Consumer goods and other articles
rated as "nonessential," head almost
every list Of curbs. But-and this
Is a big ''but"-most exporters re-
port only minor or no declines In
total export volume.
The goods they are not allowed to
sell In Latin America, according to
q number of concerns, find a ready
market elsewhere.