65° - 01.09.1967, Page 7

Iceland Periscope
by
JON MAGNUSSON
Elections for the Icelandic Parliament took place
in June 1967. Of the total voting population,
90.4% participated — 10,000 more people than
voted in the 1963 elections.
During the last two election periods, the coun-
try has been ruled by a coalition of the largest
and the smallest parties: the Independent Party
and the Social Democratic Party. Four years ago,
this coalition held 32 of 60 electorals seats in the
Aiding. The number of seats remained the same
in the 1967 elections, but the Independent Party
lost one seat and the Social Democrats gained
one. Election gains were as follows:
Social Democratic Party 9 seats (+1), 15.7% of total
(last time 14.2%).
People’s Party 10 seats (+1), 17.6% of total (last time
16.0%).
Progressive Party 18 seats (—1), 28.1% of total (last
time 28.2%).
Independent Party 23 seats (—1), 37.5% of total (last
time 41.4%).
After the elections, the ruling parties announc-
ed they would follow the same general policies as
before, according to the will of the voters. It was
said that talks would be initiated concerning a
new agreement on policy matters which had been
subject to changing factors, and that the solution
of most pressing problems would be urged. These
talks were to be finished before the next Aiding
convened in October, 1967.
*
Chief problems in the spotlight are financial,
particularly the fact that the prices of Icelandic
fish products have dropped considerably on the
foreign market.
Fish catches were lean in the first months of
the year, causing local freezing plants trouble.
Mr. Magnusson has been news editor of the State
Radio System since 1941.
The importance of fish catches to the national
economy can be gathered from the fact that dur-
ing 1966 the export of frozen fish was 1612
million kronur (43 kronur = $1.00 U.S.) and
comprised 26% of the total export of the country.
Over 90% of Iceland’s annual export is fish:
fresh, frozen, salted, and dried, as well as fish
products such as meals and oils.
The prices of herring meal and herring oil have
dropped considerably, nor have the herring come
near the shores this summer, but have been caught
far to the north and east of Iceland, e.g. on the
banks near Jan Mayen. By late August, no herring
had been salted. Salted herring is the most im-
portant part of the herring export, and contracts
have been made to sell 322,000 barrels of it to
seven countries.
Because of price-freezing laws made during the
year, prices have remained stationary and both
the cost of living index and wage index have been
unchanged for many months. The demand for
labor has also fallen sharply, but as yet there is
no unemployment to speak of. The trading bal-
ance has been falling short, e.g. 1500 million
kronur the first six months of the year as com-
pared with a deficit of 617 million kronur for the
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