Lower
pp. 9-10 · Read in the full issue
Copra Market
Iniquity of the MOF Price
REPORTING through its Produce Circular at the end of July, the London Branch of the Bank of New Zealand said that the general tendency in the copra market during the past two or three months had been downwards, with some minor fluctuations. It was steady at the end of July.
The quotation for Straits, GIF European port, was £BB Stg. per ton.
For Philippines, it was 195 US dol lars per ton. This is equal to about £lOO per ton, Australian.
Under the MOF contract, the British Government is buying, from South Pacific planters, for about £5O-£6O Stg. per ton. a product that is worth £BB Stg.
Demand For Contract
Revision
Increasing pressure is now being directed upon the British Govern ment, on behalf of the copra pro ducers of the South Pacific, in the hope that the British MOF copra contract price will be revised.
The planters insist that the British Government, when it de valued Sterling by about 30 per cent., in terms of gold or dollars, actually broke the terms of the MOF contract, and that they are entitled to about 30 per cent, more than they have been getting in the last two years.
They also contend that, in the second year of the contract, the price should have risen by 10 per cent., instead of 10/- per ton. This would have made a difference of many pounds per ton now, in the third year of the contract. (The price was raised by 10 per cent, at the end of the second year.) Representatives of the New Guinea Planters’ Association saw the Minister for Territories (Mr.
Hasluck) in Sydney on his return from New Guinea, and placed these representations before him. The Minister appeared to be impressed, asked for further details on some points, and promised consideration.
Appeal To Mr Dugdale
When Mr. John Dugdale, British Minister for Colonial Affairs, was in Sydney, on August 16, on his way from Fiji to the Solomons, he was interviewed by the following depu tation: Colonel H. T. Allan, New Guinea Planters’ Association; Mr. J.
Bryan, BSIP Planters and Traders: and Messrs. Young and Bullpit. director and secretary, respectively, of the Fairymead Co., operating in the Solomons.
When they made their represen tations regarding the inequity of the MOF contract, Mr. Dugdale argued that as the copra producers
now were making so much money, they were not really entitled to ask for more.
Fortunately, the deputation had facts and figures ready to show that, owing to the steep rises in all costs, the planters’ profits are not excessive; and the British Govern ment could not escape the conse quences of devaluing Sterling after making a contract to buy at a cer tain price. The cases of Australian wheat and meat especially were cited.
Briefed by the Sydney represen tatives referred to, it is expected that Mr. Charles Sullivan, well known Islands merchant, will make certain representations to the British Ministry of Food in London, where Mr. Sullivan is at present.
The Fiji Planters Union are mak ing similar representations to London, through the Fiji Copra Board. (Mr. Dugdale’s Reply To BSI Planters:
See Page 13)