More Civilians Return To
pp. 13-65 · Read in the full issue
New Guinea
Enlarged Functions For PC Board are Officially Announced
AT last, the Australian Government is beginning to put into opera tion a policy that gives some thought to the needs of the Europeans—and especially to the urgent matter of
rehabilitating the European settlers
and their industries.
For three years, the Australian Government has been so intoxicated with its plans for shifting natives from the Stone Age to the Machine Age within 10 years that it has appeared incapable of thinking about
anything else.
Whether the new policy is the re sult of trial and error, or whether it is the first fruits of Colonel Murray’s Civil Administration; or whether it is just a natural return to common sense and realities, no man can say.
The effect of the stupidities and the muddled thinking of the past three years will handicap Territories re habilitation for many long months.
Already, it is being referred to as “the Anthropological Era.”
The new outlook and policy may be seen in the following: • Former Territorians especially planters—are now being encouraged and assisted to return to the Territories. • The original Government control over all trading activities is slowly being reduced to a mere check upon sales to natives. Facilities are being given to traders generally to make both supplies and services available to Europeans and natives. • More facilities are being provided for the employment of native labourers, and it is believed that steps will be taken to ease the impact of the new native labour laws. But the labour position re mains acute. • A far-reaching and beneficial change in the scope and purpose of the Production Control Board appears to be under way, with the object of making the Board of real help to all classes in solv ing the problems of rehabilitation. • Canberra is working hard on the problem of transport—especially in rela tion to a regular shipping service between Australia and the Territories but is not making much progress. (That is be cause overseas shipping actually is con trolled by authorities outside of Aus tralia, and because the Minister is cling ing stubbornly to his original plan, under which coastal and inter-island shipping is a Government monopoly.) • Pending the development of a regular shipping service, the temporary shipping arrangements have been ex tended, with the result that the “Ormis- “Montoro,” “Kanimbla,” and “Muliama” have all been sent from East Australian ports to the Australian Ter ritories in May with passengers and cargo. It is hoped to continue this en larged service, for the time being. • The rapid shipment of Jap pris oners to Japan probably will allow the Army to move out and Civil Administra tion to take over the remainder of the Mandated Territory (New Briain, New Ireland and Bougainville) in the next month.
Some people are inclined to praise Can berra for “a more reasonable frame of mind.” Actually, Australia’s Territorians never should forget that their return and rehabilitation have been delayed by at least a year, because Minister Ward sur rounded himself with “Yes” men, and allowed himself to be guided by sociolo gical planners, missionary theorists, an thropologists and various kinds of scientists.
If the task of restoring Papua-New Guinea to its pre-war condition had been handed over to practical and experienced men, and to private enterprise, most Ter ritorians would be back in their homes to-day, and badly-needed supplies of copra and rubber and perhaps even some gold—would be going south.
Urgent Demand For Copra
CANBERRA’S readiness to grant Terri torians especially planters per mission to return to the Territories is believed to be related to Australia’s urgent need for copra.
Australia, not long ago, finding her self short of vegetable oils for soap-mak ing, margarine, etc., went into the world markets after copra. The world authority responsible for food distribution, trying to feed a starving Europe and Asia, was shocked. Australia was very pertinently asked :“Why are you here, seeking copra, when you can produce your full require ments, and more, in your own Pacific Territories?”
It is a notorious fact that at that moment, New Guinea sheds were full of copra that could not be shipped.
No one knows what happened; but one can believe that the Australian Ministers who received the kick-back from Wash ington or London, promptly passed the kick on to Mr. Ward, whose fantastic planning in relation to the Territories greatly delayed the Territories’ return to production. Normally, New Guinea has produced from 50,000 to 70,000 tons of copra per annum. Some 100,000 tons per annum have come out of New Guinea, Papua and Solomons, combined.
So now all planters are being given quick despatch to both Territories; and, in sharp contrast with their treatment of last year, they are being given almost all the facilities they ask for.
If copra production does not come up to Canberra’s hopes, Canberra might have a look at Mr. Ward’s new laws gov erning native labour.
The available labour is thousands— probably tens of thousands—short of re quirements; one cannot run copra plan tations without labour.
Slow Recovery Of Goldmining
A STEADY trickle of skilled men are now being sent into New Guinea by the goldmining companies, to pre pare for the restoration and resumption of the industry. Plans are being made in all directions. Everyone concerned is naturally eager to get the advantage of the high price of gold.
But there will be little goldmining for another year at least. All the concerns require new machinery—and that is hard to find. Shipping to New Guinea is limited; transport in New Guinea is worse. Hydro-electric power will not be available for a long time to come. But the chief problem is labour. There still is very little native labour to be had.
New Powers For Production
Control Board?
AN official statement (see elsewhere) has cleared the air in relation to the Production Control Board. That body apparently is to be clothed with new powers, and given expanded responsibility in relation to rehabilitation and develop ment.
As stated elsewhere, Brigadier Graham has retired from the Board, and his place has been taken by Colonel H. T, (“Blue”) Allan. The Board now consists of Messrs. J, C. Archer, F. L. McKenzie, H. T. Allan and A. J. Gaskin, four well known men, thoroughly experienced in Territories affairs, and all favourably known there.
So far as Europeans are concerned, re patriation and rehabilitation are the most important things still to be done in New Guinea.
Practically every man who was fit to serve, did serve in the New Guinea and related campaigns. Most of the unfit men are veterans of World War I. The New Guinea Branch of the Returned Soldiers organisation has been reminding Canberra that it is the Australian Government’s job to repatriate and rehabilitate these Servicemen, who represent most of the white population of New Guinea.
Both Colonel Allan and Mr. Gaskin are nominees of the returned soldiers.
Colonel Allan went to Canberra in April, for instance, at their instance to urge that surplus Army goods and equipment in New Guinea be made available, first, to the Administration and to the Territor ians, before mainland dealers were allowed to go in and bid.
Mr. Gaskin did a wonderful job for the “evacuated” residents of New Guinea and Papua in the grim vears between 1942 and 1946.
Both men will fight hard for all Terri torian civilians, and especially ex-Service men.
What Pcb Might Do
SINCE the Production Control Board is to be the agency through which re patriation, rehabilitation and the dis tribution of surplus Army stores is to be carried out, it must mean that the PCB now will become the Australian Govern ment’s chief instrumentality in develop
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mg and settling these Territories. That represents a most important stage in the history of Papua-New Guinea.
The PCB probably will oversee the re establishment of the various industries in both Territories, especially planting and mining; and that arrangement appar ently places upon the PCB the following direct responsibilities:— • To provide sufficient labour to operate the industries. • To provide sufficient transport to bring in stores and labour, and get produce away to the markets. • To provide finance and security of tenure. • To provide the men engaged in the industries with an income, in the shape either of a guaranteed price or a subsidy—such as the pre-war bounty on rubber, cocoa, etc., im ported into Australia from the Territories.
In other words, the Board would have to exercise complete power over the sup ply of labour, transport and finance.
Position Of Expro Board
rIS inevitably brings in a series of questions relating to Expropriated Plantations (the former German plantations bought on terms by ex-Aus tralian soldiers after World War I) The Expropriation Board still functions —but at present is convulsed with head aches. Here is a typical case: Mr. A bought a plantation in 1926 for £B,OOO. He paid £l,OOO and contracted to pay the balance over the years, the Expro Board holding a first mortgage. A re duced his debt by another £3,000, and then met a copra slump. He went for assistance to one of the Big Firms in Rabaul, and got assistance to the extent of £1,500, the Big Firm taking the second mortgage bearing 7 per cent. The planter struggled along, with ups and downs.
When the Japs came, he owed the Expro Board £4,000 plus interest, and the Big Firm £2,000, plus interest. To-day the
War Damage Commission assesses com pensation payable at, say, £4,000. Now, what happens to the £4,000? Should it all go to the planter, who is prepared to return and start again? Or has either the Expro Board or the Big Firm a claim upon that sum?
Several such cases have arisen; and the echoes of the arguments have been heard all over the Territory.
Would it not be possible for the PCB, as part of its responsibility for rehabilita tion and finance, to take over tne func tions of the Expro Board, and deal equit ably with all these cases on their merits, holding the balance fairly as between the planter, the War Damage Commission and the mortgagors? It would be quite a sound procedure—always providing that the first consideration is the re-estab lishment of the planter under conditions which will give nim a chance to recover and become independent.
The Australian Government must either do something like this, or hand over the responsibility for producing, marketing, financing and transport to private enter prise—in other words, to the Big Firms— and the Australian Ministers’ ideas do not incline that way.
Whatever real progress has been made in Papua and New Guinea is due in a large measure to the foresight, courage and energy of well-financed companies.
But that is all forgotten in these days when demagogues spout their endless theories and capitalism runs around like a dog with a tin tied to its tail.
Future Of The Big Firms
UNDOUBTEDLY, there is a future in New Guinea for the Big Firms.
For most Territorians, it is good news that Burns Philp and Steamships Trading are getting ready to re-build their estab lishments at Samarai, and that Burns Philp are making active preparations to re-open in Lae, Rabaul and Madang. Car penters also will return to the Manadated Territory, although apparently they do not intend to re-open their retail stores.
But, although there has been a consid erable change in policy, Canberra seems determined to limit the Big Firms’ opera tions as much as possible.
Hence, the PCB must either go on and become big—or go out. The former is much more likely.
For example, Canberra is anxious to en courage planting and trading by natives and groups of natives. There must be some agency connected with “outside,” through which the natives may sell and buy. It must be either the PCB or the Big Firms.
Administration And Pcb
IT is a safe guess that, unless the Aus tralian policy in relation to the Ter ritories is completely re-cast by another Government, the PCB will play a very big part in the Territories in the future.
The question then arises; What will be the future relationship between the Civil Administration and the Production Con trol Board? Is the Administrator to be the nominal head of the PCB? Or will the Minister retain his present direct con trol of the PCB and expect the PCB and the Administration to work along parallel lines, the Administration attending to purely Governmental matters, while the Board becomes responsible for the econo mic development of the country, and matters directly related thereto?
If this is the plan, it is exceedingly in teresting. If it is Mr. Ward’s plan, then we must admit in all fairness that “he’s got something there.”
Two Instrumentalities?
rERE has been no greater handicap upon tropical Territories in the past —and Papua and New Guinea are good examples of it—than the fact that responsibility for economic development almost always is laid upon the Adminis
tration. It falls upon the shoulders of men who are trained and equipped for Governmental duties, but who, more often than not, have not got the qualities de manded in the effective exploitation of a Territory’s natural resources.
The New Guinea of the Between-Wars period provides a good example. New Guinea, then, was capable of much greater agricultural development than it enjoyed. Yet it had a large Department of Agriculture, staffed by a team of en thusiastic experts. The men in charge of administration were capable and compe tent, as administrators—but they obviously did not know how to undertake economic development or how to effectivelv use their expensive and valuable Department of Agriculture. If they had been em nloyed and directed by men hard-boiled in tropical commercial life, that Deoart ment would have returned rich dividends.
If Mr. Ward nroposes to divide the Ter ritories’ government into two parts, ad ministrative and developmental; and put the latter in charge of thoroughly ex perienced men, with ample authority, then bis experiment will be watched with keen and sympathetic interest throughout the Pacific.
There is no reason why a tropical Terri tory should not have two Governmental instrumentalities (instead of one), working side by side, one responsible for adminis
tration and the other for development. A few minutes’ thought will show how easily and naturally the Departments of Government could be divided between the two.



