Papuan Sugar

New Industry Full of Promise

From Our Own Correspondent.

Port Moresby, June 9.

OF the two sugar companies that are under way in Papua—Sangara Sugar Estates Ltd. and the Papuan Rural Products Ltd. —the Sangara com pany stands out as being especially promising.

It is situated in Buna Bay, North east Papua, 200 miles from Samarai, and comprises an area of 20,000 acres.

Already -25 acres have been planted with cane. It is now six months old and it is expected to nroduce 60 tons to the acre. The cane planted is ex clusively Badila, indigenous to Papua, brought back from Queensland, where it has been extensively grown for 30 years. This planted area is estimated as a nursery “to provide for the future development of 3,000 acres.” The pro posal is to establish a mill with a cap acity of 25,000 tons of sugar per annum.

Arrangements have been completed for a large flotation which calls for a capital of half a million pounds. This contribution is being sought in all States of Australia, in Canada and in the United Kingdom. The company’s proposition has already received sup port in Australia.

A stabilised agreement by a group of the world’s sugar producers, to com bat the falling price of sugar, due to over-production, has already shown a powerful leverage on the sugar market, although there has not been sufficient time for any beneficial results.

Papuan grown sugar would have pre ference on the English market, as an Imperial product, and would, therefore, receive the British preference of £4/5/per ton.

The Hon. A. H. Bunting and Mr. Tom Nevitt, of this Territory, who are dir ectly interested in the Sangara Co. have just lately returned from Australia by the incoming Morinda. They have been down on business connected with the company.