Investigation Into

Commonwealth Investigation Into Papuan Rubber Industry Temporary Assistance for Planters

THE Commonwealth Government an nounced in September that it has agreed temporarily to assist the pro ducers of Papua in the marketing of rubber. The Minister for External Ter ritories stated that this step had been taken owing to the difficulties experi enced since March this year by Papuan rubber producers in disposing of the produce in Australia.

Rubber has not been shipped from the Territory since the end of March as, from that date, most of the No. 1 grade rubber (comprising about 85 per cent, of the output of the Territory) could be sold only at the price for No. 2 grade.

The planters declined to sell at that price and stocks have been accumulated in Port Moresby and Sydney.

The Australian Government has now arranged for a complete investigation to be undertaken by technical officers into the cost of production in the Territory and other aspects of the industry, and pending the results of that investigation, the Government has advised planters that it will purchase No. 1 grade rubber at the price appropriate to that grade and sell it to the best advantage ac cording to the market.

The Minister said that rubber grow ing was commenced in Papua in 1916 and is regarded as an important industry in the development of the Territory and as a source of supply of an essential raw. material for Australia.

The normal output of rubber from the Territory is about 1,200 tons per annum, but during the war this rate of production was increased by at least 50 per cent, and made a valuable con tribution to allied war supplies.

It is hoped that as a result of the in vestigation that is being undertaken it will be possible for the industry to be firmly established as a permanent source of supply for Australia.