'File 11/57 Political Situation in India & Pakistan' [‎9r] (17/26)

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on the matter in the United Nations Assembly was considered a moral
victory for India, although a two-thirds majority was not obtained*
19* The opening of Ceylon's Dominion Parliament was greeted with
optimism, but the status of Indians in Ceylon is to be taken up at
the earliest opportunity.
20. pandit Nehru made a statement in the Legislature on India's
foreign policy, in the course of which he emphasised the necessity
for India to avoid big power entanglements.
21• Pood Policy . On 10th December a new food policy was announced
by the Government of India, amounting to a progressive de-control of
food grains. Rationing and controlled prices will disappear "as soon
as may be feasible" but de-control is to be backed by a main reserve
central stock of 500 thousand tons of imported food grains. The
skeleton of the food control organisation is to be retained in case
this experiment should prove a failure,
22. Industries Conference . At an Industries Conference held in Delhi
under the auspices of the Government of India, emphasis v/as laid on
the grave economic condition of the country arising in large measure
from the decline in industrial production caused by transport
difficulties, labour troubles and shortages of raw materials.
23, Shipping . The Government of India’s proposals for the expansion
of the mercantile marine are reported to have been accepted with certaii
reservations by the Indian Shipping Companies,
Import Control . Owing to continued shortage of foreign exchange,
the main features of the present import control restrictions are to
continue during January to June 1948, In addition open general
licences for imports of certain goods from the sterling area have been
cancelled and import licences for them are now reauired,
CL PAKISTAN
25. Internal Political Situation . At the end of the month the
Pakistan Cabinet was enlarged by the inclusion of Sir Mahommad
/Zafrullah