Sugar Down £1/6/8 Stg.

First Post-War Fall

FOLLOWING recent negotiations in London between the UK Ministry of Food and represen atives of British Commonwealth ugar-producing countries, the price or sugar for 1954 was fixed at £4l tg. c.i.f. London.

This is a drop of £l/6/8 from the 953 price—the first fall since the British Commonwealth sugar agree nent began operating.

The price to be paid to millers of ugar in Fiji—and the price paid or sugar-cane which varies with be price received for raw sugar— -5 not yet known. The price of ane will most likely fall a few billings. In 1953 when the price ose by £3/16 8 per ton over the 352 price, Fijian cane farmers ob lined about 9/- more per ton for leir cane.

Fiji Stabilisation Fund

Fiji’s sugar stabilisation fund is round £1,500,000 now. The Fund as started in 1946 with the inten on of providing an economic iffer to millers and growers alike lould the price of sugar fall below certain level. The price will, of mrse, have to fall a great deal irther than at present, before the und is called upon to fill the gap.

The fund is made up of the 35/rijian) Government deduction on ich ton of sugar exported from Lji. The accumulated funds are eld in London where they are in vested.

There has been a certain amour in Fiji for a redistribution ' the fund. However sensible they •e in theory, stabilisation funds •e looked" upon with a certain nount of suspicion by producers r ery where.

Both New Guinea and Fiji are rvered by stabilisation funds for teir main exports—respectively ipra and sugar. But in neither mntry is this insurance regarded ith total approval by those most mcerned.