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The army's first real test came at Kompong Thom, where about 1,000 men broke a three-month siege in early September. The Communists slipped away and moved down Route Six, a crucially important supply line in the north. Encouraged by their success at Kompong Thom, the Cambodians went after the enemy. After a two-week battle, Cambodian troops entered Taing Kauk, much of which had been reduced with the help of air strikes to rubble. After the initial battle, one of the 36 women volunteers involved in the action reported: "I'm very happy that it's over." Actually, it was not. A large North Vietnamese force massed last week to renew the fight.
Real Shortages. Military problems are not the only ones plaguing Lon Nol, but they rate high on his list. Last week, for example, the Communists held sway over at least half of the country. The economy is almost as worrying. The inflation rate is currently at least 20%. An expected 50% reduction in rice and rubber exports has helped to drain foreign reserves. The price of rice is rapidly rising, and the next harvest is expected to be 35% lower. The flight of Vietnamese refugees has cost Cambodia its professional fishermen, cutting down the amount of fish available. "Real shortages will begin to develop in the next few months," said a Western diplomat. "I'm just not sure how the government is going to deal with the problem." Though the U.S. has pitched in with $49,000,000 in aid this year, more is likely to be needed.
But those were problems to be coped with later. Last week the first order of business was three days of feasting and dancing to celebrate the end of a kingdom and the birth of a republic.