N.G. Moratorium.

Government Wants Interest Payments Resumed from January 1.

IT was reported early in January that the Federal Government had decided that there should be no renewal of the Moratorium extended in 1931 to the purchasers of plantations in New Guinea, and, that as from January 1, the payments of interest and prin cipal should be resumed —although on a modified scale (4 per cent.) No one in Sydney appeared to know the position, so on January 20 we tele graphed to Canberra, to the Custodian of Expropriated Estates, for informa tion; and Mr. Thomas very courteously replied as follows-- “Government has reduced rates of interest by one per cent., and is ask

ing purchasers of plantations to make

payment of interest at reduced rate from January 1. Repayments of principal are still deferred.”

It was an unfortunate moment to end the Moratorium, as copra, during the past month, has fallen steadily down to £13/2/6 per ton, c.i.f., London. If it had remained in the vicinity of £15, there would have been justification for the Government’s decision. As a conse quence, it is likely that the New Guinea planters will urgently ask that the com plete Moratorium be allowed to remain for a few more months.

It is possible that the matter will be left in abeyance for a little while longer pending the early visit to the Territory of Major C. W. C. Marr, Minister in charge of Islands Terri tories, who will investigate on the spot the general position of the planters.

It is likely that at the same time the Minister will consider the whole ques tion of the re-appraisement of plan tation values which has been a live subject ever since copra fell away from the high rates which justified the high purchase prices agreed on for planta tions in the boom years.

The Minister is expected to leave for Papua and New Guinea by an early steamer. It is probable that, while he is in New Guinea, he will see the com mencement of the new system of administration recently introduced namely the appointment of a Legisla tive and Executive Council.

The “Montoro,” which left Pt.

Moresby for south on November 17, shipped 903 cases of desiccated coconut, 1,016 packages of rubber, 18 bags of Mauritius beans, 140 bags of copra, 58 bags of coffee, four bags 6f mangrove bark, and 18 packages of sandalwood.