of Bounty

Rubber Industry In

Papua

Planters Plead for Permanence of Bounty

From Our Own Correspondent

Port Moresby, June 23.

THE rubber planters of Papua are A taking advantage of the forthcoming visit of the Commonwealth Minister for Trade and Customs to advance a plea for the permanence of the rubber bounty which at present is paid from year to year and may be withdrawn at any time.

The deputation can do little more than repeat the arguments that Sir Hubert Murray has already used.

The position may be stated quite simply. With a satisfactory and assured price for rubber there is some hope that Papua may continue to produce market able products, and even that new capital may be invested here. Without such an assured price, not only will potential in vestors be discouraged, but existing plan tations must struggle to continue, and copra, Papua’s only other product, must suffer the burden of rising costs that the collapse of rubber .would cause.

Federal Govt.’S Proposal

A proposal was recently submitted to the Administration by the authorities at Canberra, with regard to the rubber bounty. The proposal is that payment of the bounty shall cease forthwith, in view of the satisfactory price of rubber on the market at the present time.

It is further proposed that a fund be created by payments from the Australian import duty on rubber; and that this fund shall be drawn upon to assist Papuan rubber planters at any time when a fall in the market price of rubber would otherwise inflict hardship upon them.

To the disinterested observer the pro posal seems adequate, as it ensures a profitable price for the product, what ever the state of the market. Thus it means security, which is exactly what planters have been asking for. If the details of the scheme are satisfactorily fixed, there should be ample encourage ment in the rubber industry for new in vestors.