Pacific Commerce and Produce

[?]y Not a P-NG Fish Industry?

From a NG Correspondent )t every attempt to establish

;w industry in Papua-New

ea has met with happy re as the record shows: 1 much-vaunted peanut in ustry has yet to shell out big loney. An attempt to establish ip industry produced only a : of sweat. of all the potential industries intried, the one which would t seem to have brightest ects is a fish-canning industry. ; potential value of such an in 7, apart from its earnings, is brought home forcibly at pre as Papua-New Guinea faces sible serious shortage of canned Australia and to other well )ped Pacific countries a short )f canned fish might not be -shattering, but in a territory as P-NG the effects could be ‘aching. med fish, particularly mackerel from Japan, forms a major of ration issues to native ;rs in all parts of the Terri- In addition it is well up on ist of staple foodstuffs which ative buys by choice, whether 't he is on a ration issue. i fact that P-NG has placed reliance on an overseas canned may or may not be wise. But 5 beside the point of the argu now that the shortage is ng. ; shortage has been caused by den depression in the Japanese g industry, where the season’s has been only a fraction of was anticipated.

Fish Orders Refused ie fishing crews are blaming •osition on typhoon conditions i prevailed recently in the rn Pacific. Others say it is a breeding depression which :imes occurs at intervals of 10 to 15 years. ; Japanese Government has sd in to control exports be- Japan herself cannot afford se her internal requirements, r importers are finding their s refused.

Canada, too, there has been a ssion in the seasonal river and this has made the over bid position more serious.

In November, Inquiries were be ing made into the possibility of bringing tinned fish from Europe to

P-Ng.

This naturally leads to the point of why couldn’t P-NG have her own fisheries industry? The Admin istration is already operating—and most successfully—a fisheries train ing and research vessel.

The real necessity, however, is for a survey to determine the potential for setting up a commercial canning industry. The capital needed would be great and the technology re quired would not be picked up at the roadside.

But on present indications two points in favour of the industry seem obvious. The first is that adequate economic labour would be available, and the second is that there is no apparent shortage of fish.

Even the fresh or frozen fish market potential is not used today to the extent that it could be. The average native selling a few fish around the urban areas of P-NG does not even bother to clean the fish.

With the temperature in the 90’s and the fish seven or eight hours out of the water, it is no wonder that consumer reaction is a little jaded!

Future of Fiji's

Gold Industry

As was indicated in December “PIM”, shareholders in Emperor Mines Limited, meeting in Melbourne on December 16, expressed concern over the future of their enterprise in Fiji, in view of the Fiji Government’s decision to discontinue its annual subsidy.

Chairman J. Wren said that further capital expenditure was needed to raise Emperor’s production to an economic level. Development during the past two years showed that the Emperor’s ore bodies were much more extensive than was originally thought. If capital could be found for the necessary operations, it seemed certain that increased mining production could be achieved and main tained over a long period.

The Chairman said that “negotiations are being continued to find a solution to this problem’’—which presumably means that the Fiji Government, in order to ensure the continuance of this important industry in Fiji, will be under pressure in some way to assist in finding finance for the development of the newly-proved, rich, deep lodes.

Emperor GM Co's Profit

Up—But No Dividend

Emperor Gold Mining Co. Ltd., operating company for Emperor Mines Ltd. earned profit of £ A 38.105 for the year to June 30, 1960, comparing with £A22,734 in 1959. No dividend is again recommended.

Ore treated was 177,741 tons against 177,159 in the previous year for 75,464 oz gold (75,991).

Lucky Loloma of Fiji

Loloma Gold Mines NL, of Fiji, are in the remarkable position of having made a loss from mining in the year ended June 30 last of £21,763, while recording a profit of £98,672 —and, of course, distributing rich dividends to shareholders.

The answer, of course, lies in the fact that in its heyday Loloma made phenomenal profits from mining in Fiji— and saved them up in Fiji where they were free from the rather cruel atten tions of the Australian Tax-collector.

Thus, the company accumulated nearly £1,500,000, and made investments with same which now are worth at least £2,500,000. So now the income from those investments are enough to take care of over £20,000 per annum lost in min ing, and still give the fortunate share holders a profit of nearly £lOO,OOO.

All of the company’s mining interests in Fiji have now been transferred to Emperor Mines Ltd. for 234,000 1/- shares, at a premium of 4/- each.

Remarkable Growth of

Bali Plantations Ltd.

Australian stock exchanges are begin ning to take a lively interest in Bali Plantations Limited, which owns and operates an increasing string of coconut and cocoa plantations in New Guinea.

A little time ago Bali acquired Marau and Kolai plantations for £36.000; and last year it purchased Stockholm planta tion for £45,000 from Shew Loon and Co.

The directors are being very careful in relation to share issues. Bali finances are easy, as the result of profitable operations and wise administration; and the purchases of Marau, Kolai and Stockholm have all been made with temporary bank accommodation.

Then the company managed to make a deal with Mr. Jimmy Joyes, and bought the well known Iwi plantation (copra and cocoa) on the east coast of Bougainville, in November, for £70,000.

Bali’s chairman, Mr. J. Dunbar-Reid, stated in December that, to take care of the Iwi purchase, it had been necessary to raise more share capital. But it appears to have been shrewdly done— -110,000 shares, nominally worth 10/-, were placed in Sydney at a premium.

The New Guinea Islands District will not be happy at the news that Iwi is sold. Jimmy Joyes has been a highly regarded citizen in those parts for many years, and his place will not be easily filled. (over)

Cook Is. Find New Markets

A Cook Islands co-operative society is reported to have established an excellent market for candied pineapple in Italy.

Prices received for produce sent last year produced a very encouraging financial return.

Recently a small consignment of pea nuts despatched to New Zealand from Aitutaki found the market in short supply and brought a satisfactory return.

Virginia Bunch realized from 2/- to 2/3 per lb and the smaller Red Spanish brought 1/9. These prices are above average but they are likely to encourage further activity on the part of Cook Islands growers.

Southern Pacific Insurance

Is Still Growing

Southern Pacific Insurance Co.. Ltd., established very modestly in 1934 by the late Sir Walter Carpenter to take care of the insurance of the increasing Car penter interests in the Pacific Is., recently issued its 25th annual report. It has grown hugely since the ‘Thirties, and it is still growing.

Its gross premium income in 1959-60 was £1,792,146, and its operations pro duced a net profit for the year of £64,156 —all figures being a substantial increase over the previous year.

The issued share capital is £200,000, and there is an accumulation of un appropriated profits (used, of course, in the insurance business) of some £280,000.

The company pays its shareholders a steady 12 per cent.

Takeover Bid for

Ni Whaling Co.

A takeover offer for Norfolk Island and Byron Bay Whaling Co. Ltd. was made by Whale Industries Ltd., Sydney, early in January.

Norfolk directors said the bid of 1 WI 5/- ord. share for every 2 NI 5/- shares

and/or convertible notes was too low.

They declined to recommend it to share holders. Whale Co. will now make offer direct to NI shareholders.

Capital comprises £420,000 in 5/- shares (quoted on Sydney Stock Exchange at b5/-, s6/9). There is also £50,000 in 5/- 10 per cent, convertible notes.

The company omitted a divedend for the year ending October 31, 1960, although the year’s profit of £63,609 actually showed an increase over the previous year when 10 per cent, was paid.

Reason given by directors was the company’s continued dependence on bank accommodation plus the Australian Gov ernment’s action “of a restrictive nature” affecting the banking system.

New Plan for Manihiki

Pearl Shell

Under a new plan to conserve the valuable mother-of-pearl shell resources of Manihiki lagoon, Northern Cooks, only a maximum of 100 tons can be taken from the lagoon each calendar year.

Six licenses will be issued this year in respect of diving suits or other forms of air supply, to operate below the 15-fathom level. There is no limit on the number of licenses issued to divers not using equipment. The whole of the lagoon will be fished each year—and not alternate halves as had earlier been considered— and minimum shell size will be five inches across the broadest part.

The plan is experimental. It appears to be a compromise between those who consider that Manihiki has not been over fished, and that the closure of the lagoon in recent years has been unnecessary; and the Government’s more cautious view.

Two More Plantations

For Dylup

Dylup Plantations Ltd. has added two more Madang plantations to its empire.

They are Wagol and Meiro Plantations, between them having an area of over 900 acres and producing coconuts and cocoa.

The purchase was financed by the placement of 52,000 five-shilling stock units at a substantial premium.

Watkins Consolidated Issue

Watkins Consolidated Ltd., announced a new share issue of 500,000 5/- ordinary shares and 500,000 5/- seven per cent, notes late in 1960. All applications must be for an equal number of shares and notes, the latter being convertible at par in 1965 and meanwhile rank with ordinary shares for new issues.

Watkins Consolidated is a holding company that has acquired all the issued capital of T. J. Watkins Ltd. which operates in Queensland and D. C. Watkins Ltd. which operates in Papua-New Guinea.

The group has eight subsidiaries which are interested in contracting, ready-mixed concrete, the distribution of builders’ supplies and a number of allied products and services.

The new issue is to finance general expansion in these fields—but especially in ready-mixed concrete.

Best Pearl Shell Still

Brings Good Price

Torres Strait pearlers have been receiv ing around £9OO a ton for their best shell, reported Mr. J. L. Dunwoodie. president of the Master Pearlers’ Association, Thurs day Is., recently.

Most top grade shell was coming from the dangerous Darnley Deeps, known locally at TI as a “diver’s graveyard”; but nowa

days the Darnley area did not woi divers, provided they were “staged” to I surface.

Okinawans have been doing well j divers, he said. Two years ago, when th first joined the luggers, they were pn tically useless and brought up too ma pieces of rock, but they have learnt th trade now just as well as an islanders Most of the ordinary shell fetch around £550 a ton, he added. Few boi were fishing for trochus.

Big Profit for Q'ld. Ins.

The Queensland Insurance Company] subsidiary of Burns Philp and Compai again earned record profits in the y( ending September 30, 1960. Overall pn from investments and underwriting v £663,368 —about two-thirds of it frj investments.

A dividend of 12y 2 per cent, was dedal —for the 12th successive year.