German-jewish Talks Nearing End; Only Two Points to Settle
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German-jewish Talks Nearing End; Only Two Points to Settle

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Members of the delegation of the Conference on Jewish Material Claims Against Germany today indicated here that the German-Jewish reparations talks may be concluded at the end of this month, while a spokesman for the Israel delegation said that only one point of disagreement prevents conclusion of the Israel-German negotiations.

The point of disagreement is the “stability clause” which the Israel delegation demands in order to secure a guarantee against any loss from possible devaluation of German currency. The Germans oppose this demand on the ground that it casts doubt on the stability of German currency. However, a compromise is expected to be reached after members of the German Cabinet return from their vacation.

The point of difference between the Conference delegation and the Germans is the extension of restitution to Austrian Jews who suffered during Germany’s occupation of Austria. The German delegation claims that Austria had a Nazi government and not the West German Government should be the one to pay reparations to Austrian Jews.

Meanwhile, it was reported today from Bonn that government circles there state there will be no re-export of German goods from Israel received as reparations from Germany. Industrial circles in Germany had feared this might happen, endangering Germany’s overseas markets, but their fears were described as completely unfounded. It is further understood that “safety clauses” have been inserted in the Israel-German agreement to this effect.

It was also reported from Bonn that 45% of the goods to be exported to Israel by Germany will be steel products, while 25% will be ironware and non-farrous products, and 30% chemicals and other products. Terms and methods of export will be decided by the German manufacturers and an Israel purchasing commission. Several German towns have already offered their facilities to the commission for use as its headquarters, but it is believed Cologne will be selected by the Israelis.

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