[?]all In Nickel Exports

lits New Cal.

i T the opening of the New \ Caledonian Territorial As sembly’s budget session re mtly, the Governor, M. Aime rimald, again warned New aledonians of the vulnerability pf leir country’s economy. He said le time had come to economise; le alternative would inevitably be period of austerity.

Although the drastic reduction f nickel exports to Japan did not istify saying that an economic risis had arrived, one could cer ainly say that the nickel boom had nded. No grave damage had been one as yet to the country’s economy y the slight “depression” and one ould envisage the future with con dence.

M. Grimald spoke also of the lurcpean Common market which is spected to come into operation dur ig 1958. New Caledonia, as part of he French Union, would benefit onsiderably by the Common market s there would be a ready market cr its products. New Caledonia re amed the right, of course, of im osing duties to protect her economy >ut any application of Customs

duties must be made without dis crimination to all the countries, in cluding France, who are members of the European Common market.

In conclusion, the Governor said that every effort must be made to

develop New Caledonian industries and especially agriculture.

Particular attention must be paid to the cattle industry, which is in a grave position because of the dis astrous drought.