88. I consider it a great honour and responsibility to speak from this world rostrum of the United Nations in the annual debate on the international situation and world order, a debate having as Its purpose the building of peace and understanding among all nations. This duty would be simple enough if I confined myself to discoursing on Peru's mission of peace and civilization on the southern continent; on its accession, from the outset, to the agreements which initiated the juridical organization of Spanish America in the days of the emancipation; and on its unwavering contribution to the establishment and maintenance of the great moral and mediatory power of the United Nations. This duty is, on the other hand, an arduous and difficult one to discharge with all the sincerity that must govern our conduct if I have to take into account the confusion and contradiction of principles and interests, the changeable and unexpected situations which arise, the lassitude and perplexity of the masses in our time, a time described by a European humanist as a difficult era when no one can speak or be silent with Impunity. 89. The anxiety of our age is certainly not without precedent. There have been other times of uncertainty and anguish, of deterioration in ethical and political standards, of danger to the forces of intelligence and freedom, of waves of political and moral violence, both within nations and between them. History shows that the forces of the spirit have ultimately overcome all threats of violence and intolerance arising from destructive self-interest and that, although truth and freedom no triumph completely, it has always been possible, alter Irreconcilable struggles and hostilities, to maintain the fundamental balance of nations within the creative dialectic of humanism and civilization. 90. Like the gravest of the periods of historical upheaval, this is a time of continuing anxiety in which short periods of comparative respite are followed by others in which the cold war, indirect aggression or surprise attack loom dangerously over the trouble spots of the world. As in the times of the religious wars, the danger of internal and foreign inquisitions again arises, and the bitterness of language and argumentation weighted by dogma are a far cry from the prudence, discretion and courtesy which were achieved over the centuries as the flower of civilization. This time, however, the struggle on the brink of disaster jeopardizes the existence not only of the two powerful antagonists in this tragedy and of the great Powers in the front ranks on each side, but it also compromises the life and well-being of all mankind and Indeed the future of civilization on this earth. 91. Direct discussion between the great Powers, whether it be on the tragic divisions of Eastern Europe or of the Far East, on disarmament or the discontinuance of nuclear tests, or on spheres of influence, is not bringing about a relaxation of world tension, as we have repeatedly discovered, because those Powers are incapable of agreeing even on an agenda for a conference. The reason is that every step they take, every word they speak involves a question of prestige. Their fear is that any concession, any flexible approach, may be interpreted as weakness by the propaganda of the opposing party. The prospect of a great-Power conference is being obstructed by the fear that such a conference may serve the propaganda purposes of the other side. 92. This is where the so-called small nations, whose vital interests are as much at stake as those of the powerful States, can play a role and serve usefully as intermediaries. They could consider possible methods and practices for relaxing tension even though that might have to be on a modest scale at the beginning. Of course, some of the problems dividing the world are difficult to settle, for the time being, and some are virtually insoluble. That is true with regard to the peoples deprived of their Independence in Europe, the dramatic case of Hungary, the unification of Germany and those peoples who are seeking international recognition in the Far East. These situations will continue to be of concern to all free men. As, however, genuine and complete peace is for the time being unattainable, an attempt must be made to encompass the cold war by blunting some of the sharper edges and thus opening the way to gradual solutions at some later stage. In the event that the negotiations auspiciously opened at Warsaw should fail, the United Nations should assume its function under the Charter in respect of threats to the peace, since the Security Council has not been given jurisdiction in the matter and is prevented by the veto from taking action. In assuming jurisdiction, the General Assembly might recommend that the parties should refrain from any act of violence likely to aggravate the present dispute over Formosa. That would provide the opportunity for the small nations to plan and work out an agenda for a meeting of the great Powers, restricting it to questions likely to produce agreement, but. with a view to a permanent solution. If that first endeavour should prove successful, however modest it might appear, a great deal would actually have been achieved in reducing the danger of war, in giving some hope to the world and in softening the rigidity of the respective positions. 93. Accordingly, the Peruvian delegation, in coming to this Assembly, has entertained the idea of proposing that the Assembly should appoint a committee composed of an equal number of members to that of the nations not directly involved in disputes, such as the Afro-Asian States, the neutral countries of Europe and the Latin-American Republics. While it is true that the lust-named category is irrevocably part of Western civilization in ideals, spirit and culture, its members are eminently peace-loving and in establishing the regional American system have provided themselves with the most complete and effective juridical organization for the solution of international problems that exists anywhere in the world. This proposal is not in any way rigid or narrow and is open to all sorts of amendments. Our sole intention is to take the initiative in a useful undertaking based on the necessity stated by my country for the so-called small nations to assume an active and constructive role in world development on which, in the last analysis, their fate and their existence depend. That position was made manifest in America by the President of Peru when he asked that the Latin nations of both continents should be kept informed of Western policy, and by the President of Brazil in his reply to President Eisenhower in launching Operation Pan-America. 94. The functions of this committee, which would be determined by experts, would be basically to prepare the agenda for a possible great-Power meeting, to maintain contact among the great Powers and to serve as a repository for proposals aimed at reconciling the various positions or bringing about a temporary adjustment which would pave the way for a fair and lasting solution. 95. The disarmament question is without doubt the most urgent and Important problem before the United Nations and the one which most seriously jeopardizes human progress and the cause of peace. Its solution is essential if there is to be any kind of legal order in the world, for legal order presupposes a regulation and limitation of power. We are living at a crucial time which may lead either to peace and prosperity or to war and universal destruction. Conditions favorable to an agreement may exist, although no definite solution is discernible. There is agreement between the USSR and the West on ceilings for conventional armaments, and the recent Conference of Experts at Geneva showed that an inspection system to detect violations of a possible agreement on the suspension of nuclear tests, which would mean the beginning of some measure of control, is quite feasible. 96. The forthcoming conference of experts at Geneva on surprise attack has been welcomed by mankind, and the nuclear Powers are prepared to study a system for the control of cosmic space, the conquest of which would be directed to peaceful purposes. The Peruvian delegation took part in the work of the Sub-Committee of the Disarmament Commission and proposed a mediatory body to negotiate on the discontinuance of nuclear arms production and nuclear tests, but It considers that a prohibition not linked to a control organ would be a theoretical, empty and merely spectacular gesture which would appear to the world as nothing more than insincere propaganda. Consequently, the Peruvian delegation, consistent with its position on this question, believes that all measures having any prospects of success-reduction of conventional armaments, land and air inspection, co-operation in the conquest of space — are contingent upon the central problem of the discontinuance of nuclear production and of the stockpiling of nuclear weapons under effective International control. So long as the production of nuclear arms remains under the discretional, absolute or uncontrollable power of a given State or person, the danger of war will continue to hover over mankind, and a small unforeseeable Incident, an error of judgement, a mistake in calculation or even a canard may bring about disaster, even though the opposing parties may not want it to happen, 97. There can be no denying the importance of economic problems in the development of the morale of nations and in their international position. As the Foreign Minister of Brazil told the Assembly [749th meeting], under-development Is the. most real threat to collective security because it drives peoples and nations into a policy of despair. In Latin America, the danger of defection on the part of democratic regimes arises from disregard of their economic and social problems. In the non-industrialized areas of Latin America, there is an ever greater disparity between the urgent needs of a rapidly growing population and the inadequate development of the resources required to meet those needs. Latin America is anxious to raise its low level of living but will barely be able to maintain it unless sufficient centres of production and sources of employment are created to absorb its growing population, which is increasing at the highest rate in the world. 98. Peru, which as a ration is small in international politics but in area is larger than several European nations combined, is both a rich and a desolate country: arid and barren on the surface, with a scarcity of arable land, but possessing in the mineral resources of its subsoil the fabulous wealth which gave rise to the legend of El Dorado. Its topography, which shows the most unexpected variety, with deserts alternating with mountains and jungle, makes communications and social unity difficult. It is a country lacking in sufficient food where the rate of population increase is no less than 2.5 per cent per annum. As a Frenchman, Professor Baudin, said, weighing the civilizing work of the Peruvian Incas against the challenge of nature, "Everything had been foreseen in Peru except man". The most difficult problem is to feed the undernourished masses of the indigenous population, and an attempt is being made to keep them on their native land through Irrigation systems and the mechanization of farming. After thousands of years of labour, Peru has succeeded in intensifying and extending the development of its natural resources, in building roads across its formidable mountainous regions, in bringing civilization to its Amazon valley and in undertaking projects of such magnitude as the iron and steel and the hydroelectric plant of the Santa. However, like other under-developed peoples, it needs the assistance of international development banks and private investors. Private investments are favoured in Peru by its system of free enterprise and its encouragement and non-discriminatory treatment of foreign capital under conditions that are the most liberal in Latin America, 99. In addition to loans for financing development, however, Peru — like the other Latin-American countries — must have just treatment and free trade. The prices of raw materials must, as a matter of urgency, be stabilized in relation to the prices of manufactured products. The basic commodities produced in our countries are in fact our money; when the price of basic commodities declines, this means not only a drop in prices but also in the value of the money. Instability and violent fluctuations in commodity prices produce currency depreciation, and this in turn brings on unemployment, under-employment, a decline in the per caput income and bad social conditions. There can be no economic health nor any possibility of private investment or industrial expansion when the currency is depressed. The economic disequilibrium between the industrialized countries and the primary producers is aggravated by such restrictions on International trade as customs barriers, unilaterally-imposed quotas and domestic subsidizing which leads to the accumulation of enormous surpluses and to dumping as a form of economic aggression advocated by the protectionists in the industrialized countries. 100. This discriminatory policy has affected Peru in a special way as a result of the quotas established for lead and zinc. In contrast to the restrictive effects of such quotas on our trade, there is a growing tendency for great international industrial combines to exploit the living resources of the sea in the South Pacific. The recent establishment of quotas on imports of lead and zinc has been a serious blow to Peru, as these metals are the foundation of Peru's mining industry. The possibility of providing a livelihood for a great proportion of our working population, and of obtaining the means to purchase not only machinery and industrial goods but also essential articles of food, is largely dependent on the unrestricted sale of mineral products in foreign markets. The measure just referred to has had very adverse effects in Peru, leaving thousands of workers without employment and producing losses in foreign exchange. It is seriously damaging to the moral and material well-being of my country and undermines the confidence of the Latin- American peoples in international co-operation. 101. The protection of the living resources of the sea in the South Pacific is also of vital importance to Peru. The lack of rainfall on our coasts and the infertility of the soil are compensated for by the presence of sea birds which produce guano, a natural manure that has great potency as a fertilizer and is one of the pillars of the Peruvian economy. As a result of the ecological complex of the Peruvian coast, there is a tremendous growth of vegetable plankton harbouring the small fish on which the sea birds feed. The invasion of our coasts by powerful and insatiable fishing fleets with every sort of modern equipment is resulting in the extinction of the fish and consequently in the death of the sea birds and a reduction in the fertilizer found on our coasts. It is also reducing the supplies of shellfish, fish and sea birds eaten by the Peruvian coastal populations. 102. Therein lies the great importance of the United Nations Conference on the Law of the Sea that was held earlier this year at Geneva by decision of the eleventh session of the General Assembly [resolution 1105 (XI)], the purpose of that Conference having been to examine new juridical rules which might eventually be incorporated in the international law of the sea, taking into account the geo-biological, economic, technical and human aspects of the problem. It should be pointed out that In this as in other matters relating to international law, the geographical and political patterns created for the Mediterranean civilization cannot be applied to the vast and varied American scene. The classical concept of mare nostrum in the civilization of Europe involves ideas which are out-dated and inapplicable to our circumstances, such as the three-mile limit for the old territorial sea. In the modern world, however, which is the world of Magellan and not the world of Ptolemy, with an Atlantic and a Pacific Ocean and distances as great as those separating Australia and Peru, that is to say thousands of miles, the breadth we claim is necessary to protect the biological and economic interests of Peru's coastal populations. Whatever the decision adopted on this point, the peculiar situation of Peru and the immemorial human rights of its coastal population must be taken into account. 103. Although the United Nations Conference on the Law of the Sea did not result in any general agreements, which are very difficult to achieve, it may be said to have made certain innovations in traditional concepts by endorsing the special right of the coastal State to take conservation measures against predators and to protect the living resources of the sea on which depend the food supplies and economic development of the people, without in anyway affecting the principle of freedom of the high seas. The small number of States which have so far signed the conventions prepared at Geneva shows that these agreements have not found general acceptance, nor did any formula obtain a clear majority. 104. Peru is also deeply interested in the technical assistance work that is being carried on by the United Nations through the Technical Assistance Administration and by the Technical Assistance Board, which co-ordinates the efforts of the United Nations specialized agencies. To this work is now being added the Special Fund for financial assistance, which will soon be established [resolution 1219 (XII)], an idea initiated by the United States at the twelfth session and warmly supported by Peru. The Assembly is now about to give full effect to this project, which will do much to raise the level of living in the under-developed countries in the spirit of Article 55 of the Charter. The Government of Peru is greatly interested in this welcome endeavour and will co-operate to the full in establishing the bodies proposed by the Preparatory Committee so as to enable the United Nations to take effective action in this vast field. 105. International co-operation for purposes of economic development is based on the principles underlying the world Organization and on the idea, of the mutual give and take of the economically advanced and economically under-developed countries. Thus, the assistance is not unilateral. We therefore hope that at this session the Assembly will establish the body that will give effect to the proposal just mentioned. We are ready to do our part in contributing to the success of this body which will work to the advantage of all the countries which, like Peru, have ample but as yet under-developed natural resources and are at present facing heavy pressure as the result of a greatly increased rate of population growth. The Peruvian Government intends to submit to the Special Fund a request for assistance in developing its fisheries and in providing supervised fisheries credits for the purpose of helping small industrial operators, facilitating scientific research and making possible the purchase of technical equipment that will improve the output and utilization of all the living resources of the sea. In this way, international co-operation would render effective assistance to the fishing industry and would help to improve and vary the Peruvian people's diet through this source of food rich in protein and fats. 106. It almost goes without saying that another factor contributing to poor social conditions and underdevelopment in Latin America is the armaments race, which unduly and increasingly inflates national budgets as each State seeks to outdo the other. Money that should be spent on improving the health and wellbeing of our people is used to buy war materials which, in view of the harmonious relations prevailing between Latin-American States, is quite unnecessary. Peru is prepared to sponsor a regional agreement which would check the armaments Inflation and the resulting technical, economic and military tension. 107. The most profound and significant appeal in recent times to preserve the fundamental values of Americanism and maintain continental unity is to be found in the statement made by the President of Brazil, Mr. Kubitschek, in connexion with the so-called Operation Pan-America and the Conference of Foreign Ministers held at Washington in September. This inspired appeal has been referred to as an examination of the collective conscience of the continent and as a crucial battle against under-development. What it really amounts to is a statement that Latin America has come of age, that it is an adult partner in the community of nations. 108. President Kubitschek called for a more dynamic participation by the peoples of Latin America in world problems and for an end to a period of automatic collaboration in which they played the part of a Greek chorus and were disregarded and ignored. This new voice in the Americas has also proclaimed the economic emancipation of millions of human beings in our continent who live at a sub-human level and has called for respect for our spiritual personality and our own way of life, that is to say, for our cultural values which, without any lessening of our support for universal values, should be preserved, just as political or economic freedom is preserved, against all direct or indirect aggression by other peoples or cultures. 109. Operation Pan-America was connected with the recent Conference of Foreign Ministers at Washington which, although brief, gave rise for the-first time to a frank and sincere exchange of views between Latin America and the United States. Until recently, the leaders and the spokesmen of the people in Latin America had no direct contact with statesmen from the great Power to the North. We had no information other than circumstantial and brief press reports or popular rumour. We lived, in relation to major world problems, like the men In Plato's cave with our backs to the light, seeing only on the back of the cave the fleeting shadows cast by outside events. 110. At the Conference of Foreign Ministers the curtain was drawn as we listened to the clear and explicit explanation of the world situation given by the United States Secretary of State, Mr. Dulles, Notwithstanding the rather discouraging events that coincided with the meeting, there was general agreement, in principle, on the need for reorienting and giving greater impetus to economic co-operation and for taking the first steps in that direction. 111. The greatest and most effective progress was made in connexion with the new system for economic development, and a special committee of representatives was set up to lay the groundwork for the institution recommended at the first Inter-American Economic Conference of Buenos Aires. 112. Of particular importance is the commodities agreement which is based on the principle that the economic structure of most American republics is such that an urgent solution to these problems must be found through bilateral and multilateral negotiations. This view received the frank and unreserved support of the United States. 113. Great interest also attaches to the explicit statement that the United States will co-operate in the work of regional economic Integration which Is a prerequisite for the establishment of broad areas of production and consumption capable of subsequent expansion within the general framework of free and more intensive trade, 114. With regard to its administration, Operation Pan-America, which was based on Brazilian and Argentine proposals, is in the hands of the Organization of American States, a distinguished institution that will undoubtedly be able to make Operation Pan-America effective and will treat its decisions as matters of urgency. It is regrettable, however, that the resolutions adopted at the Conference of Foreign Ministers failed to mention other steps which might strengthen the human bonds between our peoples, make them aware of each other's intellectual and spiritual heritage, promote the dissemination of their scientific, economic and artistic achievements, and further Latin- American disarmament. 115. To strengthen democracy, every effort must be made to combat ignorance and poverty. This means that the cultural exchange and the technical assistance programmes should be as broad as possible so as to bring about a spiritual integration similar to the economic integration. 116. At the Conference of Foreign Ministers I had the honour to take a liberal stand — as I have always done — and to advocate equality for all, and respect for the human rights of our workers, whose wages should be equal to those of the workers in industrial countries so that throughout the world, every man may by his labour earn enough to meet his needs in relation to the cost of living. The regional needs and the regional peculiarities of peoples must also be respected and must not be subjected to rigid and uniform patterns. The basis of all international life is tolerance and the prohibition of any injustice or persecution of ideas, for democracy can only be defended with the democratic weapons of intelligence and reason. 117. If the United Nations is to attain its objective of peace, it must be redeemed from useless conventionalism, dilatory expedients, unfulfilled resolutions and anti-democratic vetos, and it must be set on a truly democratic course. Equal opportunities must be granted to all men and nations, and the human message which is at the basis of our Western civilization must be proclaimed so that this Organization may continue, despite passing perils and anxieties, to serve, through the fruitful interplay of ideas, as the conscience of the world.