Returned-soldier

Concessions to N.G.

Returned-soldier Planters

Letter to the Editor.

An article appeared in your December issue stating that the two large trading firms in New Guinea had arranged to waive interest to planters from October to March, when the London price of copra averaged under £10 per ton.

It stated that this was an equivalent to a gift of at least £20,000 to the planters, mostly returned soldiers.

From figures available, I would estimate that the saving to actual returned soldier planters would be less than half this amount.

While it is not policy “to look a gift horse in the mouth,” this gesture to returned soldier planters is not before its time. The Government has been giving purchasers of expropriated properties a moratorium for the last 3½ years, and this must have helped those firms considerably, in reducing the majority of returned soldier overdrafts.

Also, those firms to-day are collecting from the tied returned-soldier planter almost the same profit margin on copra at £8 London as they were at £14 per ton, London, which would compensate considerably for foregoing the interest, which in some cases they probably would never get, as their only security, as far as the expropriated properties are concerned, is an equity that disappeared three years ago.

The firms are greatly responsible for the position of returned soldier debtors to-day, through their boom financing, and it is very probable that they will be compelled to make still further concessions to them, before the depression lifts from the industry.

I am, etc.

W. M. Middleton.

“Kulili,” Madang, T.N.G.