Motives in the Middle East (1958)

From the September 1958 issue of the Socialist Standard

Following the Iraq coup d'etat, the working class has been subjected to a tremendous amount of propaganda. The press and radio have been calling for varying degrees of support or antagonism according to whichever sectional or national interest they represent. It falls to the Socialist Party, with our unqualified opposition to every capitalist faction, to interpret the events objectively and to state the true position of the workers in relation to them.

Throughout history the Middle East has been invaded or dominated, due to its location as the bridge between Europe, Africa and the Far East. Since the demand for oil has arisen, its strategic importance has been almost eclipsed by this most essential of fuels. These are the causes of the struggle for supremacy in this area. The conflict between American and British oil interests has been overshadowed now by the threat of Russian encroachment. In 1950 the U.S. controlled only 44 per cent. of production against 53 per cent. by Britain and Holland (in Royal Dutch Shell), but by 1956 the American percentage had grown to 57 per cent, while the U.K.'s share had fallen to 35 per cent. The outstanding example is Iran. Before the Abadan incident, all Iranian oil passed through British hands. The agreement reached after the failure of out-and-out nationalisation saw the establishment of an International Consortium to buy the oil from the Iranian Government. The Consortium is divided as between Britain 54 per cent., U.S. 40 per cent., France 6 per cent. Production throughout the Middle East has doubled since 1950 so that U.K. companies are showing increased profits, but this only masks the real decline of British holdings.

In keeping with its status as a world power, the Soviet Union is greatly interested in the Middle East. As with all capitalist states, Russian foreign policy is directed at seizure of the fields. This aim—an extension of Czarist policies—came close to partial achievement following the Second World War. In 1946 a treaty was forced on the Iranian Government, forming a Soviet dominated company with concessions in Northern Iran—this area still being under Russian military occupation. After the troops withdrew Iran, with Anglo-U.S. backing, repudiated the agreement. Now posing as the Arabs' friend, Russia has increased its propaganda in the hope of building Communist parties capable of taking over and attaching the oil nations to the Soviet bloc.

The Egyptian capitalist class, spear-headed by Nasser, is also trying to gain access to the oil sources. To gain this object they have some indisputable advantages over their rivals. Most Arab workers feel that the sole barrier to better conditions is the dominance of Western nations. Exploiting this conviction, Nasser has persuaded many Arabs that he is the only man capable of obtaining and maintaining their departure. He has been greatly assisted by Russia, which has supplied arms and money, and by the abortive Anglo-French Suez landing. Although Russia and Egypt are momentarily allied doubtless time will generate the usual frictions

Although Egyptian policy has won many supporters among the Arab workers, the capitalists of the Middle East oil producing nations are not enthusiastic about coming under Egyptian dominance. This lack of enthusiasm has led to a reluctance to join the United Arab Republic and so share the revenues with the Egyptians. Even the new Iraq Government shows no desire for integration.

Against this sordid background, shorn of the normal camouflage about “safeguarding our national livelihood” or “safeguarding the political independence of the Arab peoples,” the Iraqi rising and the subsequent manoeuvring can be seen in their true perspective. At the overthrow of the monarchy, agreements between the Royal Government and the oil companies were on the standard 50/50 basis. This 50/50 division of the spoils has recently been cracking. Earlier this year contracts between the Japanese and Saudi Arabia and Kuwait led to the Arab States receiving a 56 per cent. and 57 per cent. share respectively. Much speculation has been aroused on the outcome of these and similar agreements. In its March publication the Petroleum Press Service asked, “Are we going to see governments of some of the main producing countries seeking changes in the existing agreements?” Shortly before the revolution the Iraq Minister of Economics held talks with the Iraq Petroleum Co., after which it was announced that the Iraq Petroleum Co. would surrender certain areas held under concession. No doubt Feisal’s Government intended to lease these areas to other companies in keeping with the new rates, but as the 50/50 still applied to the I.P.C., which controls the majority of the output, the net gain was somewhat niggardly. The report on these talks was announced on the 13th July— the coup began on the 14th! Though reports suggest that the revolution was planned in advance, the timing appears more than coincidental. The rebels felt, no doubt, that Feisal and Nuri-es-Said were too bound by their earlier agreements to obtain better terms and a completely new government would have more success. Premier Kassen has stated “the new Iraqi Government would be able better to safeguard oil interests than previous governments.” We can now expect the Republicans to negotiate a fresh agreement with the I.P.C. on a par with the recent precedents.

Western capitalism is probably resigned to this course in moderation (“any Iraq Government will make greater demands on the producing companies" — Financial Times, 16/7/58), but exorbitant demands will be strongly resisted. The landings in Lebanon and Jordan after the revolt were ostensibly to bolster friendly governments, but it has not escaped the attention of the U.K. and U.S. authorities that there are advantages in controlling these countries should discussions break down. The head of the main pipeline from Iraq is situated in Lebanon and could be closed to impede any attempt by the Iraqis to market the oil themselves. And the British troops in Jordan are on hand should intervention be deemed necessary. The stakes are high enough for our masters to contemplate it!

The turnover has been approximately £150 million annually and attempts are being made to double production by 1960. As has been stated, the overwhelming proportion of Iraki oil passes through the Irak Petroleum Co. and its subsidiaries. 95 per cent. of the I.P.C.’s shares are divided equally between British Petroleum, Shell, the Cie. Francaise de Petroles (in which the French Government has a large interest), and the North Eastern Development Corporation—an American company controlled by Socony Mobil Oil and Esso. The remaining 5 per cent. is owned by the Gulkenkian Foundation, although negotiations are afoot to buy 1¼ per cent. of these by the C. F. de P. This would then make the French organisation the largest individual shareholder. The interest of the West in the welfare of the I.P.C. is evident.

Previous examples have shown that when nations are competing for such a richprize open hostilities can result. Although it is by no means certain that armed conflict, either local or world-wide, will immediately arise out of the present situation, it IS certain it will be the working class who will bear the brunt of any fighting—AND FOR NOTHING! It will make no difference to the working class whichever capitalist group controls the oil fields. Arabs, who believe that complete national control of a country’s resources will benefit the workers, are advised to study the contemporary histories of the Sudan, Indonesia, etc. Supporters of the Communist Party should compare current Russian Middle East behaviour with the Soviet/Persian Treaty of Friendship of 1921, before lending support to its imperialist policy. Article 8 of this treaty contains the following: “Federal Russia finally renounces the economic policy pursued in the East by the Czarist Government, which consisted in lending money to the Persian Government, not with a view to the economic development of the country, but rather for the purposes of political subjugation.” Western workers, instead of being bellicose on the masters’ behalf, should be concerned with the struggle against both Eastern and Western capitalism and for the establishment of Socialism; only then will oil cease to feed the flames of hatred.

Essig.

You have it all wrong! (1958)

From the August 1958 issue of the Socialist Standard

For the well-being of the people of these islands the S.P.G.B. advocates:—

Unemployment!

Abolition of the Dole!

Abolition of Old Age Pensions!

Abolition of Maternity Benefits!

Disbanding of Trade Unions!

Although the declaration of principles is printed in every publication we issue, the S.P.G.B. receives numerous requests to declare itself, to put forward constructive and concrete proposals instead of destructive attacks on all the other political parties. These, therefore, are some of our aims put in a “concrete” manner. Our reasons for pursuing such a policy follow—a policy which we believe will further the well-being of the working class; not only of this country but of the whole world.

Our object is Socialism: A social system under which the means of production and distribution are commonly owned. With common ownership it naturally follows that there can be no employers and no employees; therefore no employment, i.e., unemployment Socialists are surprised how workers who consider themselves “fly” continue to fall for this employment racket. Workers, to whom it would be impossible to sell “a gold brick” or Trafalgar Square, are still sold this greatest of all confidence tricks. On going to work the boss provides one with a desk or machine and pays for only part of the work done. Were a shop assistant to give short change, the injured party would swiftly take steps to rectify it but under capitalism not only do die injured parties tolerate this system of short-changing, but even support it by voting for political parties which will perpetuate the system. People who allow themselves to be swindled acquire the just title of “suckers.”

Money being a convenient means of measuring property, in a society where all wealth is communally owned, it would automatically fall into disuse. The dole, therefore, would also become obsolete. If certain articles were to be over-produced the workers in those industries would not be penalised for having worked too hard and forced to eke out an existence on the pittance the Government deems fit until the glut had been absorbed. Rather, they would still be able to enjoy the fruits of general production which they would have undoubtedly earned.

Similarly, Old Age Pensions and Maternity Benefits would pass into history, so that when workers decided that their advancing years no longer rendered them capable of doing their job satisfactorily, they, too, would not be deprived of access to the necessities of life, but could spend “the twilight of their lives” (as the reformists like to call it) without fear or worry. Under Socialism couples wanting children would not be oppressed with worry about being able to afford them.

Trade Unions are the defensive weapon in the arsenal of the working class. The offensive weapon, the vote, is grossly misused and the Trade Unions are far from fulfilling their role.

With the advent of Socialism Trade Unions will no longer be required. There will be no wages to fight over or redundancy to worry about and their function will be ended.

Thus it will be seen that our proposals, at first sight Utopian to those whose minds have been conditioned by “the Welfare State,” in fact would be a boon to all mankind. This new social system can be obtained—provided YOU, the reader, understand it and want it. The S.P.G.B. is available to be used by you. Don’t delay its employment longer than necessary.

'Essig'

The Execution of Imre Nagy (1958)

From the August 1958 issue of the Socialist Standard

Since the announcement on June 17th of the execution of Imre Nagy and his associates, various notables outside the Soviet bloc have hastened to express their opinions on these latest Communist murders. Lord Lansdowne in the House of Lords on the 19th June, speaking on behalf of the Conservative Government, welcomed "The opportunity to place on record the horror and indignation which this latest shameful act has aroused." Although these sentiments are, undoubtedly, true, they border on the hypocritical coming from the Tories after their support of two World Wars and many smaller ones; and that the death of four men should induce a feeling of revulsion in the ex-general Eisenhower appears somewhat surprising. Nevertheless, their one-sided wrath at the duplicity of the Communists has aroused members of the working class to demonstrate. Hungarian emigres and Nationals have attacked Soviet Embassies in Germany and Denmark, while Russians have retaliated, in Moscow, at this affront to their "national honour." 

Imre Nagy, the central figure, is lamented in the West for his actions during the Hungarian Revolt of 1956. For those workers who consider that his memory 'is worthy of demonstration or enshrining as a hero in the struggle for emancipation, let us take a closer look at his life and the aims of the 1956 Rebellion. 

Born in 1896, Nagy was an apprentice locksmith until his conscription into the Austro-Hungarian army during the First World War. He fought on the Italian and Russian fronts, where he was taken prisoner and sent to Siberia. When the 1917 Revolution began in Russia be fought for the Bolsheviks and took Soviet citizenship in 1918. Returning to Hungary the following year, he was given a minor post in the Bela Kun communist regime. When this was superseded by the Horthy Regency in 1921, Nagy fled to France. He was ordered back soon after and was subsequently arrested. On his release he went to Russia and studied agricultural reform. During the Second World War he was employed on the propaganda Kossuth Radio in Moscow, and when Hungary exchanged the joys of German Capitalism for the delights of the Soviet variety in 1944, Nagy was appointed Minister of Agriculture. "He took an important part in planning and enforcing Communist agrarian reform" (Times, 25/8/56). This "reform" entailed the forcible collectivisation of farms and the elimination of any opposition in the usual callous Soviet method. 

The year 1953 saw cracks appear in the colonial empire of Russia, culminating in the Berlin Uprising of June. In order to preserve their domination, the Communists began instituting "lenient" policies throughout Eastern Europe. Nagy, who enjoyed the mysterious reputation of a "moderate." became Premier in July to implement the policy in Hungary. This position he retained until April, 1955, when he was made a scapegoat for the failure of this policy to satisfy the demands of the Hungarian population and the Soviet war-machine, The ups and downs of Communist political manoeuvring led to his "rehabilitation" in August, 1956, and his formal re-acceptance into the Party on October 14th. 

Ten days later, following the outbreak of the Rebellion, he was reinstated as Prime Minister on the demands of sources within the Party in an attempt to placate the insurgents. Nagy's conduct throughout the fighting altered from determined opposition to final support even to the extent of the dissolution of the one-party system, as he was out-manoeuvred by events. His first action on being confirmed in office was to speak over Budapest radio demanding the cessation of the revolt: "Many misguided workers have turned against the state. I am calling on all Hungarians to be firm against these provocateurs," quoted the Manchester Guardian of the 25th October, 1956. The report goes on: "Therefore we have decided that all who surrender their arms and stop fighting will not be affected by martial law." The next day this paper commented on a later speech: "The announcement by Mr. Nagy, that Soviet troops would withdraw from the fighting as soon as peace and order were restored, implies a determination to rely on the Russians to the very end." 

By the 28th the rebels appeared to be winning and a cease-fire order was given to Government troops. It was also announced that Russian troops were withdrawing. The rebels demanded the following terms from the Nagy Government:- 

(1) The establishment of a democracy of the Western type.
(2) The free formation of parties of all types.
(3) Free elections.
(4) An armistice for the insurgents and complete withdrawal of all Soviet forces. 

Nagy, still hoping to retain some vestiges of the Communist dictatorship, side-stepped the first three demands and attempted to placate the Nationalist sentiment of the insurrectionists with his counter-proposals:- 

(1) An armistice for all who took part in the fighting.
(2) The creation of a new police force based on the Army and workers' and youth groups.
(3) Dissolution of the Secret Police.
(4) The reinstatement of the Kossuth coat-of-arms in place of the Communist insignia.
(5) The restoration of the 15th March as a national holiday. 

This date is the anniversary of the Kossuth rebellion of 1848, which was put down by the then Russian Czar. 

Sudden developments once again forced Nagy to adopt a different stand, so that on the 30th October, he announced the abolition of the one party system and formed a Government, including Agrarians and Social Democrats. Nagy had thus appeared to have overcome a difficult situation while still retaining the Premiership. 

On the 31st October, 1956, Britain and France attacked Suez, forfeiting their "holier than thou" advantage over the Russians. Regrouping its forces the Soviet Union recommenced the occupation of Hungary the following day. By the 4th November the revolt "bad been ruthlessly crushed and Russian domination was firmly reimposed. Nagy foolishly left the Yugoslav Embassy, where he had taken refuge, after promise of safe-conduct and was imprisoned until his recent execution. (From his long experience, he should have known better than to trust fellow Communists.) 

Much speculation has been forthcoming on the identity of the person who requested Russian aid, as he gave them the scant "legality" they required to "justify" their intervention and consequently helped make certain the failure of the rebellion. This call was made on October 24th—the day of Nagy's investiture as Premier. Subsequently it was stated that they were not summoned by Nagy, but by Hegedus, the then Prime Minister, and Geroe, the Party Secretary. Victor Zorgan in the Manchester Guardian, of the 31st October, does not appear convinced of the truth of the statement and hints at another reason for its publication. "This, if the population believes it—as it is quite likely to—will greatly enhance Mr. Nagy's shaken prestige and will help him to remain at the head of the government." Whether Nagy enlisted Soviet help or not, as has been shown he was willing to condone its employment. 

For workers the conclusion is obvious. Although winning the sympathy of the Western Powers, who will support anything against Soviet interests, Nagy is not worthy of working class commiseration. He was a lifelong Communist and was as thoroughly steeped in blood and misery as those who have invariably toed the Party line. While the 1956 Uprising in its widest form would have made no fundamental difference to the workers, its object being to leave the Hungarian capitalist class to exploit them unfettered by the demands of their Soviet counterparts. Their sole gain would have been the ability to cry their grievances unchallenged, but without Socialist knowledge this concession is useless. And the conditions which give rise to dictatorship would still remain. 

'Essig'