France Plans Tax

On Copra

... ——— Bonus for French Planters ... ———

From Our Own Correspondent.

Papeete, Nov. 25.

COPRA producers in French Oceania are eagerly anticipating some financial relief as the result of an original piece of legislation now under consideration in the French Senate.

Reports to hand state that it is proposed to levy an impost tax of 200 francs per ton on all copra entering France, and that the toal sum accruing from same is to be returned in the shape of a bonus to planters in French Territories. As the amount of copra produced in the French colonies is only a small proportion of the total importations—about 30,000 tons out of 190,000 tons, so far as can be gathered from the information available — it would appear that the scheme would ensure a preference of more than 1,000 francs per ton for the French planters.

With copra standing at round about 75 centimes per kilo, the proposition sounds a little fantastic. Representatives of the Papeete Chamber of Commerce also take this view of it. Nevertheless, they consider it fairly certain that the scheme will go through in a modified form.

Incidentally, the oil-millers and manufacturers of Marseilles, who export large quantities of coconut oil, soap and other coconut products, in competition with the rest of the world, doubtless will have something to say about the matter, for 200 francs per ton, added to the present price of copra, would put them at a decided disadvantage in the export market.

Highly protective legislation of the kind outlined above is already operative in France, particularly in regard to coffee and some other tropical products.

It only remains to add copra to the list.

Copra prices in France have been consistently better than in America for some time past, yet the lion's share of Tahiti exports have hitherto gone to America. Several reasons have contributed to bring this about— cheaper freights, the convenience and saving achieved in bank charges by sending copra instead of cash in exchange for American goods, of which Tahiti imports large quantities; and the time factor. By shipping to America, the Tahiti exporter can realise his copra in about ten days, with a minimum weight shrinkage; whereas the voyage to Marseilles, from Tahiti, by Messageries steamer, occupies six weeks, which means a heavy percentage of loss—probably enough to more than offset the better price obtainable.

This week, however, the Ville de Verdun took away something like 1,700 tons from Papeete, for France, and, if this new legislation comes into operation it may reasonably be expected that a largely increased share of the copra business will go to France, and thus, incidentally, bring more freights to the Messageries Company, to the detriment of the Union S.S. Co., which now carries most of the American cargo.