Napping

Planters Not Caught Napping Low Prices in 1938, Compared With 1933-4

ALTHOUGH the New Guinea Admini stration set up a committee to report on whether the Mortgagors’ Relief Bill should be re-introduced, in view of the low price of copra, the New Guinea planters generally showed surprising apathy, and it is not expected now that anything will be done.

The fact of the matter seems to be that although the price of copra has been down almost to the levels of the de pression years, the effect has not been calamitous. In 1933-34 the planting in dustry never had contemplated, and cer tainly had made no provision for. such low prices as prevailed. But the position had to be faced. Capital costs and pro duction organisation were re-adjusted to the new conditions, where re-adjustment was possible. Where it was not, planters were “wiped out”—hundreds of them.

The planters who survived, and those who started up again, and the merchants who financed them, had learned their lesson. They kept their plantation econ omy on the new basis and, for the most part, they refused to regard the prices of 1937 and early 1938 as permanent. Con sequently. when the market sagged again, they were not caught napping. The wise, farseeing ones have been able to set the high prices of 1936-37 against the lower prices of 1938, and few are seriously dis tressed.

Prices, probably, will improve during 1939: but the wise planters and mer chants will put a proportion of the in crease away in the old sock, again, as a reserve against the inevitable swing-back. report not accepted.

The Mortgagors Relief Committee pre sented, to the Executive Council in Ra baul, in February, its report, with a find ing “that it is not necessary or advisable to introduce legislation for the relief of mortgagors”. The Council rejected the report which now will go to the Legis lative Council.

It is expected that the official majority there, acting to instructions, will also re ject the report.

Mr. R. AshweU, of Bulolo Gold Dredg ing, Ltd., departed from Sydney for Sala maua, New Guinea, by the “Bulolo” on February 8, after holidays in Sydney.