Trading Company's

Hamstrung !

Trading Company's Papuan Troubles

HAVING carried on planting, but no trading, under extreme difficulties, in Papua, for 12 months, the report of Steamships Trading Co., Ltd., of Papua, for the year ended July 31, is unusually interesting. The company’s total sub scribed capital is £143,633; and the net profit for the year was £7,34o—allowing 7% dividend on prefs., and 2\% on ordinaries.

In their report, the directors give the following summary of their difficulties; “The company’s main store is occupied by the Production Control Board, who run a business there similar in nature to the company’s, prior to the Military tak ing over. Other stores of the company are similarly occupied, selling to natives at considerable profit. The company’s slip is occupied by the Navy, and does considerable work. The company’s wharf is used by the military, also all the com pany’s merchandise bulk store buildings and three produce stores are being used to full capacity. Associated companies owning mills, etc., are occupied by the Army. No rents or other monies have been paid, or liability admitted in con nection with same.

“During the past six months, two plan tations, owned by the company at the Eastern end, have been worked by the Army and produce taken off them; but no account of same has been given although they have been requested to do so.

“Small vessels, formerly owned by the company, are the principal means of communication with plantations. The control of such vessels' by the Army tehds to make management of plantations difficult.

“Prices of stores and foodstuffs have increased, in many cases, over 100%, which has mitigated against the higher market value of produce.

“Natives for work on plantations are now the monopoly of the Military Ad ministration, and the costs of supplying same are greatly in excess of previous costs, when the company secured its own volunteer labour; also the quality was much better.”

The miserable prices paid by the mili tary government to planters, and the difficulties of carrying on any kind of private or civilian enterprise in Papua, under present conditions, are described in another article in this issue.