Rubber Front

Disquiet On The

Best Market Behind Iron Curtain

PAPUA’S rubber planters will see another threat to their product in the recent an nouncement from Germany that a new synthetic rubber has been per fected in West Germany.

Production, at present, is only a few tons per month, but it is hoped to increase output soon. All sorts of rosy claims are made for the new synthetic, which is said to be superior to any artificial rubber now on the market. It is claimed that it is particularly useful for shoe soles and heels, cable insulation, bicycle tyres and solid tyres; that it is immune to alcohol, petrol and ozones, and will give ten times the wear of natural rubber.

Basic material is coal and it has oeen developed as a result of years )f research, by Professor Otto Bayer, at the Bayer Works. It is jailed vulcollan. Manufacture calls or entirely new processing methods rom those used for natural or >rdinary synthetic.

British and American firms are aid to be keen to take out licences or the manufacture of this new ynthetic.

Jeylon Sells Rubber To

China

Ceylon has agreed to sell about 50,000 tons of rubber to Red China ver the next five years. The price i variously stated as being from i per pound to 40 per cent better lan the current market price. In Ceylon will take rice om Red China—also at a price Lid to be favourable to Ceylon.

The deal follows the visit of a eylon trade delegation to Peking 'me months ago, and it is not easing to the United States, ■ter negotiations were begun be reen Ceylon and China, the United ates Government offered to buy jylon’s rubber at existing world ices. Ceylon would play ball only the US, in addition, promised 50 illion dollars of economic aid to :ylon in the next five years. When e US refused, the deal was con ided with Red China. [t is generally agreed that the reement, from Peking’s point of ■W, is not just a matter of getting Dber —which it certainly wants — t also is a prestige builder in st Asia. ron Curtain countries’ latest m the Cold War is a con ted trade drive on Asian coun ts- And countries every sre from Egypt to Indonesia seem y too keen to play into Red

hands. These countries are in no mood to be convinced that they are being fattened for the kill.

In terms of potential trouble, this wooing of Asia by trade is probably a bigger threat to Western Civilisa tion than any previous phase of the Muscovite Cold War—especially in view of Eisenhower’s decision to withdraw the US fleet from For mosa, which almost certainly means that the Red China coast will be blockaded, and cargoes from Cey lon (or anywhere else) will be turned back or seized.

Papua’S Rubber Troubles

In the meantime, Papuan rubber planters still have a serious mar keting problem on their hands for, with the exception of very small

consignments, no orders are forth coming from Australian rubber manufacturers.

Territories Minister Hasluck ful filled his promise to find a market for 400 tons, and actually 450 tons haye been shipped to Australia.

This cleared planters’ accumulations up to about the middle of Novem ber, but by the end of December the Territory stockpile was already another 350 tons.

Planters were still in the dark as to any progress made by the Minister towards securing a definite market for the Papuan output. They are hoping, of course, that eventu ally the future of the industry will be assured by the granting of pre ference for Papuan rubber in the Australian market. (Next Page)