Disposal of BSI's

Clearing the Decks for— Disposal of BSI's Trade Scheme

SPECIAL legislation will shortly be

enacted in the BSIP to in corporate the Government Trade Scheme as a separate institution. At present it is just a Department of Government.

After the war, BSl’s Trade Scheme (not - so - affectionately known as the Trade Shame; took the place of the Big Firms which functioned in the Solomons pre viously. The post-war condition of the Solomons; the policy of the then Socialist UK Government in regard to the Protectorate; and the fact that there was no war-damage conspensation scheme were factors in the Firms’ decision not to re establish themselves there.

The Trade Scheme therefore, runs retail stores, buys produce, conducts a lighter service and has various other functions previously taken care of by private enterprise.

It has not operated at a profit.

In recent years the BSI Govern ment has been anxious to dispose of the Scheme—but to date there have been no takers.

In his address at the October

meeting of the Advisory Council the High Commissioner said that the Government believed that it should not trade in competition with private enterprise and that Govern ment therefore wanted to dispose of the Scheme altogether or re organise it to permit Government partnership with private investors To these ends the Scheme’s

finances must be strengthened to an extent that would provide in ducement for purchase or invest ment; and it must cease being a Department of Government and assume its own legal identity. In order to achieve the latter, certain legislation would shortly be brought down.