N.G. Plantations.

Scheme To Adjust Purchase Price to Changed Economic Conditions.

From Our Own Correspondent.

Rabaul, July 30.

THE annual council meeting of the Planters’ Association of New Guinea, which is at present being held in Rabaul, has had under consideration the question of relief to purchasers of Ex propriated Properties to enable them to meet the changed economic condi tions.

It is generally agreed that some more definite form or relief than the present arrangement, whereby the interest por tion of instalments is written off by the custodian and the principal portion de ferred indefinitely, is necessary.

The Association proposed to the cus todian and the Commonwealth Govern ment, in 1930, a scheme of permanent adjustment of instalments, based on the rise and fall in the price of copra in Rabaul from time to time, in compari son with the price prevailing at the time the properties were sold. That scheme was based wholly on the pur chaser’s ability to pay. The council of the Association, after very careful con sideration, has decided to again urge the custodian to adopt that scheme as being the best permanent way of re habilitating the planters of the Terri tory who hold expropriated properties, and of securing to the custodian in the form of reduced instalments, the maxi mum amount which the planter can pay.

Simultaneously, the council will submit to the custodian alternative proposals, one of which he will be asked to adopt should he be unfavourable to the prin cipal scheme.

The council is very conscious of the generous treatment which the planters

have received from the Government; but, nevertheless, members are con vinced that the best interests of all will be served if some definite scheme of adjustment to meet changed economic conditions is introduced. The present moratorium is of great immediate benefit: but, unfortunately, while it lasts, the purchaser’s equity remains stationary and the unpaid principal portion of instalments is accumulating and will eventually have to be met.