114. The delegation which I lead considers it a most wise decision to elect Ambassador Pazhwak as President of the twenty-first session of the General Assembly. He has called upon the serene guidance of reason to govern his term of office, and he may rest assured that we share with him the hope that the highest of human faculties will prevail in the deliberations of this world forum of nations. We have full confidence in his experience and in the exhaustive knowledge of international affairs which he has acquired during his long and worthy activities in the United Nations.
115. I am happy to have this opportunity of mentioning the President of the last session, Mr. Amintore Fanfani, Foreign Minister of the Italian Republic, who carried out with skill and intelligence the difficult tasks inherent in that high post, while at the same time bringing into these solemn halls a touch of Mediterranean gaiety.
116. Once again, I wish to put on record the satisfaction of the people and Government of Venezuela at the independence of Guyana. We were particularly happy to welcome our neighbors into the community of sovereign nations and hope to develop ever closer links of friendship and co-operation with them. It is in this spirit that we have fully supported the admission of Guyana to the United Nations, without prejudice, of course, to the territorial rights claimed by Venezuela.
117. During the general debate at the twentieth session of the General Assembly, I offered to inform the United Nations of the developments in the territorial dispute between Venezuela and the United Kingdom regarding the frontier of British Guiana, In this connexion, I am happy to say that a conference was held in London in December 1965, at which both countries were represented as was the then British Guiana, the result of which was a decision to hold a further meeting in Geneva in February of this year. This led to the signature on 17 February 1966, of an "Agreement to resolve the controversy between Venezuela and the United Kingdom of Great Britain and Northern Ireland over the frontier between Venezuela and British Guiana". This agreement, to which Guyana became a party on its accession to independence, opens the way to a peaceful solution of the controversy and gives the United Nations, in the person of its Secretary-General, a very important part to play. The Joint Commission established under the Agreement has already held two meetings, the first at Caracas and the second at Georgetown, Venezuela trusts that good faith in the fulfilment of the provisions of the Geneva Agreement will lead to a definitive settlement of these differences in conformity with justice and law.
118. My delegation wishes to express its satisfaction at the return of Indonesia to membership of the United Nations, where, we are sure, it will contribute, together with the other States, to the progress of this Organization.
"This has been a year in which, to all those looking and working towards larger international co-operation for the peace and well-being of mankind, the disappointments will seem to have outweighed once more the modest gains made in some directions."
119. Such are the opening words of the Secretary-General in the introduction to his annual report [A/630l/Add.1, p. 1], The moderate tone is not enough to allay the feelings of frustration that they arouse in the hopes for peace and progress of the peoples of the earth.
120. The fear of a disastrous future, if failures continue on the road to disarmament, the improvement of living standards, the ending of conflicts and the easing of tension is becoming increasingly man's constant companion. Our great poet, Andres Eloy Blanco, then Chancellor of Venezuela, stated from this very rostrum that fear is a creator of mythologies and religions, but a very poor adviser for solving problems. Nothing good can come from the mind of the faint-hearted statesman who thinks only of maintaining defensive positions.
121. Venezuela wishes to reaffirm once again at this forum of the nations its fervent desire for peace. The conflicts which are at present bathing in blood some regions of the world are a constant grief to the Venezuelan people and Government. It is our most sincere desire that a way may be found to resolve peacefully the war now being waged in Viet- Nam which, as time goes on, becomes ever more complex and more likely to assume world-wide proportions.
122. Would that Venezuela could put forward some formula for the settlement of the conflict, but the interest and ideologies involved are so many and so varied that it is impossible for countries on the sidelines to participate directly in a solution, and their contribution must be confined to an appeal for the restoration of peace. Venezuela is, of course, prepared at all times to give its moral support to the use of appropriate peaceful means to put an end to that war, since it is becoming more obvious every day that the problem can have no military solution but only a political one.
123. It is distressing to see that after so many centuries of unremitting struggle for understanding and toleration, attempts are still being made to impose by blood and fire ideologies and systems which man will certainly have transcended within a few years. The rapprochement, based on tolerance and understanding, of the great religions is a significant phenomenon which should be heeded. Why should not the world's political leaders follow this salutary example and work actively and sincerely to undermine the obdurate positions arising from racial prejudice, economic and political systems or any other transient beliefs, products of ambition and sources of disastrous and destructive power? The precincts of this great world Organization would present a very different picture if delegations brought with them from their leaders instructions to conciliate and understand, rather than to try and impose their viewpoints by threats, as is their custom.
124. It has often been said before, but bears repetition, that the present tension in the world would be reduced if positive progress could be made in the three following fields: in disarmament, in the elimination or, at least, a significant diminution in racial and ideological intolerance, and in the reorganization of international markets.
125. The direct and logical consequence of the liberation of resources through effective disarmament treaties would be to enable the nations to devote the corresponding funds to solving those problems of underdevelopment which bedevil many regions of the world, imposing a sad burden of hunger, discontent and anxiety with a consequent lowering of human dignity. This in turn would ease the pressure of the needy masses and their urgent demands.
126. Are we to give up hope of advancing along the road to disarmament because so many years have been taken up in negotiations, proposals and dilatory measures without positive results? Paradoxically, disarmament would be at once the cause and the effect of a reduction in tension. It will, however, be difficult to achieve until the whole of mankind, with due preparation and with definite objectives, modifies the traditional concepts based on national prestige which is so often upheld by retaliation and force.
127. If the idea of harmony that inspired the creation of the United Nations and of its predecessor, the League of Nations, were carried to its logical conclusion, the Organization would be able to play the moral and material part required of it in solving the problems of peace and war.
128. My Government has offered its fullest support to the projected denuclearization of Latin America and has attended the various meetings held at Mexico City for the purpose of drafting a treaty to ensure the denuclearization of that important geographical area. At these meetings, we maintained that such a measure should be considered within the general context of disarmament and it was emphasized that such an instrument would not be operative unless all the countries in the region participated and the nuclear Powers respected the terms of the treaty,
129. On the initiative of Venezuela, the Fourth Session of the Preparatory Commission for the Denuclearization of Latin America, which was to have been held on 30 August last in Mexico, was postponed until the end of next January. One of the reasons for requesting the postponement was to give more time for Governments to study the draft treaty and to prepare their observations. Furthermore, we believed that the twenty-first session of the General Assembly offered a good opportunity to the representatives of the Governments concerned to exchange views on this important question. We hope that the nuclear Powers will accept this step as a collateral disarmament measure.
130. The universal reaction to the recent Judgment of the International Court of Justice on the problem of South West Africa was one of amazement. Far from resolving the case, the decision, based on subordinate considerations, has made it even more explosive. My delegation considers that the decision should have been to confirm the obligation of the Republic of South Africa to give an account of its Mandate to the United Nations. What has happened is very serious, since no decision was made on the substance of the matter, and this implies the deferment of the problem with all the tension involved.
131. Venezuela avails itself of this opportunity to restate its position of opposition to any form of racial discrimination and similar practices. The people of Venezuela, an example of the coexistence of all the races which have intermingled to form it, rejects the outrageous creed of apartheid which is opposed to its deepest beliefs and practices.
132. The President of my country, Dr. Radi Leoni, recently met the Heads of State of Chile and Colombia in the capital of the Republic of Colombia, the meeting being also attended by personal representatives of the Presidents of Ecuador and Peru. This memorable meeting demonstrated the spirit of international collaboration which animates the President of Venezuela and the other leaders present.
133. Far from restricting to the attendant countries the agreements reached by the meeting, invitations were extended to the sister countries of the continent to continue unfalteringly along the road to social, cultural and economic co-operation and to pursue their efforts for the economic integration of the Latin American nations. On the political side, the Declaration reaffirms the signatories' faith in the United Nations and their belief in the need to resolve the military conflicts existing in various parts of the world today, with particular reference to Viet-Nam. We also fervently reiterated our firm belief in democratic institutions, in respect for human rights and in economic and social development as the essential and inseparable preconditions for guaranteeing the freedom and welfare of the American nations.
134. It is discouraging to observe signs of deterioration in the relative positions of the developing countries Within the framework of the world economy and the part played in that unhappy development by the present system of international trade. This deterioration has been a decisive factor in the slowing down of the Latin American growth rate, and has constituted a major obstacle to the region's development. The existing differences in the economic levels of the developing countries and of the economically developed countries has increased in the last five years. We see more clearly every day that the objectives of the "United Nations Development Decade" will not be achieved, since the gap between countries is widening rather than closing, despite the hopes and efforts of the international community.
135. Venezuela would be failing in Its duty and responsibilities as a Member of the United Nations if it did not put to this Assembly the necessity of reviewing and reforming the foundations on which international aid Is based. Only radical and profound changes in concepts and institutions will change the distressing prospects of the world economy. The deterioration in the terms of trade, the reduction in growth rate, the instability of commodity prices, the restrictions imposed by the industrial countries on the exports of manufactured and semi-manufactured goods, the stagnation of international aid and the "conditional" loans are among the reasons for the alarm with which many international and regional economic organizations view the present situation.
136. There can be no doubt that the promotion of economic development is the most extraordinary and difficult task of our time. Under-development is the cause of political Insecurity and an active agent in the disturbance of world peace. I believe that the economic and social Imbalances of the greater part of the world community have become materially worse.
137. We do not claim that development can be achieved through International co-operation alone. A persistent and orderly domestic effort is essential but the rate of investment required cannot be achieved without an appreciable Improvement in the terms of international trade. Exports must be diversified, Industries promoted, the geographic area of our trade expanded and foreign resources obtained on better terms. Every effort must be made to procure juster and more stable conditions for the foreign trade in our primary commodities. Latin America still depends on the export of primary commodities falling under the headings of foodstuffs, raw materials, and mineral products. We are not prepared to accept Indefinitely an economic system under which the counterpart to our exports, for which we are underpaid, is the import of very highly priced manufactured products.
138. It has been said in this Organization that the Industrialized nations should not dispute the right of less developed countries to markets for their primary commodities. It Is already instrinsically difficult to finance development. The developing countries are faced with a difficult situation with respect to the export of primary commodities, since they are compelled to limit their purchases of capital goods from the industrialized countries.
139. The Secretary-General, U Thant, In the introduction to his annual report, stated:
"The Industrially advanced countries have a particular responsibility in this field because of the magnitude of their resources of technology and capital. They must show the necessary foresight to be able to give up limited short-term interests in favour of the long-term benefits to be derived by the world as a whole from upgrading the productivity of two thirds of mankind to levels that are now technically impossible." [A/6301/Add.1, P. 8.]
140. Referring to the specific case of Latin America which, with minor exceptions, is the same as that of all the developing countries, I want to voice our concern at the inadequate progress achieved in rectifying the economic policy of the industrialized countries with respect to the obstacles hampering the access of primary commodities to those countries' markets, among which are customs tariffs, domestic taxes, quantitative restrictions, and marketing policies for surplus goods. This is reflected in constant changes of prices which affect our foreign-currency earnings and limit the economic and social growth of our countries.
141. The execution of development programmes is sometimes hindered by political and social instability; at other times, by famine and epidemics. In other cases, adverse and unforeseen events affecting our export earnings have compelled us to abandon or suspend our original development plans. In such circumstances, the question of finding a satisfactory solution to the problems affecting trade with the industrialized countries cannot be postponed, especially in so far as the deterioration in the terms of international trade is concerned.
142. In many cases, to the chronic payments deficits must be added the resistance of the industrialized countries to the suggestion that they should abandon their protectionist practices and co-operate in solving the problems raised by primary commodities.
143. The present structure of international trade, based on the division between countries exporting manufactured goods and countries producing raw materials — the former the developed countries and the latter the developing countries — has proved unable to achieve a better balance in international economic relations and has brought with it what the Swedish economist, Myrdal, has called "the disintegration of world economies".
144. I should like to refer now to the financing of economic development, and to draw this Assembly's attention to the well-known paradox that the developing countries are poor because they have very little capital to invest and have very little capital to invest because they are poor. That is why the industrialized countries have an inescapable responsibility to help those weaker economies to improve their capacity for financing their own development.
145. The reduction in the flow of resources towards the developing countries is a reason for disquiet. Not only has that rate not achieved the objective of 1 per cent of the national net income of the developed countries, but it has progressively diminished over the past five years. The conditions for loans must also be liberalized. In some cases, the service on the debts absorbs so great a proportion of hard-currency earnings that it raises doubts as to the efficacy of credits. Moreover, the international capital flow will have to depend less on the balance of payments in the developed market-economy countries and be governed more by the objectives laid down for the United Nations Development Decade.
146. We appeal to the developed countries to supply a more intense and continuous flow of long-term loans while reducing the number of conditional credits, or else grant them at prices which are competitive on the world markets and to accept reimbursement of part of the loan in manufactured goods, services and agricultural surpluses, without prejudice to the normal exports of the beneficiary countries, or tore- invest part of the sums refunded in the debtor countries.
147. Venezuela is fully aware of the need to expand and accelerate the process of Latin American integration. Trade between the Latin American countries is of little significance in comparison with the total volume of their purchases and sales. The results being obtained in the Central American region and the area of the Latin American Free-Trade Association reflect the favourable prospects offered for regional trade.
148. The Bogota Declaration, to which I referred earlier, is not simply an invitation to the countries of America but rather a reaffirmation of the common interests of the developing countries and of their need, in full agreement between themselves, to demand changes and promote conditions that will ensure just treatment and enable them to overcome the various stages of under-development.
149. The difficult circumstances at present prevailing, which I have dealt with partly in this statement to the General Assembly, have given an inevitably pessimistic note to my intervention. Nevertheless, Venezuela, its Government and its people, will spare no effort to secure harmony in the international concert. None of the nations represented here can escape the serious duty of breathing life into the Principles and Purposes that are the very basis of the United Nations Charter.
150. My country has already had occasion to express its views on the announcement by the Secretary-General, U Thant, that he will not accept re-election for a new term. The Secretary-General's decision is grave, as are its consequences for this world Organization. U Thant has said that he does not believe that anyone is indispensable in a given post. There are nevertheless situations in which the circumstances are such as to render a man indispensable: the United Nations and U Thant are faced with one of those situations.