Copra Rises Sharply

Now £20 (A)—But All Australian Planters Out Of It

A SHARP increase in the value of copra forecast in the December “PIM” as a result of the Japanese occupation of the Philippines and the attack upon the East Indies—was an nounced in Suva on February 17.

The official price is now £lB per ton Fijian (equal to £2O/10/- Australian) f.o.b. at port of shipment; and we hear that better prices than that are available when ships are available. Except for a few weeks in 1937, this is the best price known for 20 years.

The position was outlined in this jour nal in February. The Philippines were the world’s largest producer of copra, and all their production went to the United States. Dutch East Indies produc tion is almost as large, and when the Philippines were over-run, American con sumers began to get cargoes from the large stores accumulated by the Dutch in the East Indies.

But, now that both of those great copra-producing territories are in enemy hands, copra consumers in North America, Mexico, and Australia (which has devel oped a greatly increased market) have had to turn for supplies to the remaining South Pacific territories—namely New Hebrides, Fiji, Tonga, Samoa Cook Is lands, and Tahiti. None of those terri tories was ever a large producer (not to be compared with New Guinea s 75,000 tons p.a. for example) but Fiji could m average years produce 30,000 tons per annum.

Since the 1939 fall in the price of copra, the coconut plantations in most of the South Pacific territories have been some what neglected; but under the stimulus of the new price, every tree that can produce will now receive careful attention.

The elimination of Philippines and Dutch East Indies for the time being, from the copra market, has placed the unoccupied South Pacific territories, so to speak, “on the pig’s back”; and the shrewd Governor of the British South Seas Territories (Sir Harry Luke) has not been slow to make the most of the situation (see his statement, below).

It is a happy and most unexpected windfall for the coconut planters pf Poly nesia, but it must be a bitter sight for the planters of New Guinea, Papua, and Solomons, who have been driven out by the Japanese. They now see this most profitable copra price developing after years of starvation, and just at a time when they needed it most, and in cir cumstances which do not allow them to get any benefit from it whatever.

Fiji Governor’S Announcement

THE following is the announcement of the new copra price made in Suva by Sir Harry Luke on February 17 Copra producers know that last year we were negotiating with other Governments with the object of establishing a Pacific Copra Marketing Pool. Befpre we could put that scheme into operation, the posi tion with regard to copra in the Pacific completely changed and it has been nec essary to approach the problem from a new angle.

For some weeks nast I have, in rny capacities of Governor of Fiji and High Commissioner for the Western Pacific, been in touch with the Home Govern ment and the Governments of Australia

and Canada on this important matter.

The upshot is that I am in the happy position to-day of being able to announce that the Ministry of Food in London has arranged to purchase the whole of the future copra production of Fiji and Tonga at an f.o.b. price per ton of £lB Fiji currency, or its equivalent.

In pressing for this price, I had in mind the very hard times that producers had been through for some years, and also the need to expand production to the maximum possible, as rapidly as possible, in the interests of the Allied war effort.

The sale to the Ministry of Food is to be one between the local Governments concerned and the Ministry, and it there fore becomes necessary for those Gov ernments to become the sole purchasers of copra within their territories.

In the case of Fiji, it is hoped to come to an arrangement with the merchants whereby they will continue to handle the trade right through from the inter- Island vessels to the overseas steamer, on an agency basis, thus possibly avoiding the setting up of Government machinery.

I think I have given producers suffi cient information to show that it is in their interest to take all possible steps immediately to get their plantations into such a state of efficiency as will permit a rapid expansion of production.

This means, amongst other things, en gaging more labour. I am aware that seme estates have recently been experi encing difficulty in procuring sufficient labour. That is partly because the brisk demand for labour on Viti Levu has at tracted a good many Fijians from copra areas, but it is also due to the low wages which the parlous state of the industry has for some time made unavoidable. I am anxious to see the wages and rations of labourers on copra estates restored to a reasonable level, and indeed this was one of the arguments we used in asking for an f.o.b. price of £lB a ton. I hope that, with the new prices, the good sense and fairness of employers will bring this about without any dictation from Gov ernment. I would especially appeal to employers to make any new wage rate they adopt applicable to existing labour contracts as well as to new ones.