Friday, May. 12, 1967
The Possibility of An Instant Jump
Spring sunshine splashed through the glazed west windows of the House of Commons last week as Prime Minister Harold Wilson concluded his speech to a packed Parliament. "This " is a historic decision," he intoned, "which could well determine the future of Britain, of Europe and indeed of the world, for decades to come." The decision was, of course, that of Britain to apply for membership in the Common Market for a second time. Four years ago the Tories applied, and were rudely vetoed by Charles de Gaulle after nine months of nit-picking negotiations in Brussels over such items as East Indian tanned hides and Australian kangaroo meat. In his speech to Parliament, Wilson made it plain that this time Britain's approach to Europe would be far different -- and far more to the point.
Britain wanted, he said, swift negotiations relating only to "the small number of really important issues," such as the special problems of New Zealand trade, Commonwealth sugar and British capital movements. Of the Common Market's common agricultural policy, which, if applied in Britain, could raise food prices as much as 10%, Wilson quietly acknowledged: "We must come to terms with it." Above all, Wilson showed a determination that reflected support from both parties, from British business and from most of the country* -- the kind of national approval that was lacking four years ago, in large part because the Labor Party itself was opposed to the idea. As the London Times observed the next day: "The present situation of Britain has all the inconvenience of the temporary; it is post-imperial and pre-European. No exists." realistic alternative to joining Europe
Streamlining. For ten years, Britons have watched their own economy largely mark time while the six nations of the Common Market, spurred by their growing economic unity, have raced ahead. Trade among the Six has increased by almost half, their industrial output by two-thirds, their gold and foreign exchange reserves by 100%. Thousands of European firms have merged to take advantage of the market of 180 million that the European Economic Community has created, sending Volkswagens to Belgium, French cheese to Munich, Chianti to Holland, Dutch chocolate to Milan, in a great, borderless swirl of what were once national products.
Internal tariffs have been reduced to 20% of their original levels and will disappear entirely on July 1 next year. That is also the date on which a common agricultural policy comes into force, creating a genuine--and irreversible--economic union of the Six. Now the Common Market has begun to harmonize production as well as trade; it is working out a common business-tax system and single laws covering monopolies, capital movements, wage scales, social benefits, and even food and drugs.
To streamline the work of Europe, this summer the EEC will merge with the Common Market's two other institutions, Euratom and the Coal and Steel Community. The long and arduous Kennedy Round of tariff negotiations in Geneva show promise of producing a 20-25% worldwide reduction in tariffs, largely hammered out between the U.S. and the Common Market. In its relations with the outside world, the Common Market already has in force association agreements with Greece, Turkey, Nigeria, the Dutch Antilles, plus 18 former French colonies in Africa. It has trade agreements with Iran, Israel and Lebanon, is also currently negotiating with Austria; Spain and the North African countries are next in line.
Wait & See. Britain's addition to the EEC would produce an instant G.N.P. jump of one-third, and an increase in the Common Market to 235 million people. Nor is that all: Denmark, Ireland and Norway among Britain's European Free Trade Association partners are queueing up right behind London to join the EEC. Of the other EFTA Seven, Austria already has in its application for association, Sweden and Switzerland are likely to apply, and only backward Portugal will be condemned to watch the rush toward a uniting Europe from the sidelines.
Most of Europe wants Britain in, just as it has from the very beginning in 1957, when the British first rejected a role in forming the EEC. But having come so far without Britain, the Europeans rightly feel that London must hold its requests for special privileges to a minimum, and this Wilson has promised to do. The exception to the European welcome is now, as before, Charles de Gaulle, who sees Britain as a threat to France's dominant political role in the little Europe of the Six.
The British bid was taken up last week in De Gaulle's Cabinet meeting, and a spokesman emerged to describe the French government's attitude as "a very British one: wait and see." Since negotiations are not likely to get under way before next fall, De Gaulle has plenty of time to ruminate. Just to keep in his hand, however, he announced that he would hold one of his command performance press conferences on May 16, at which he might--or might not--have something to say about Britain and Europe.
* Though in other matters Wilson was not faring so well: last week's Gallup poll showed that only 42% of Britons are satisfied with the Prime Minister at present, the lowest percentage of approval since he became Labor Party leader more than four years ago.
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