Pacific Commerce and Produce

New American

Interest In

Fiji Fishing

tar Kist Foods, which has its

iquarters in California, has

stered a new company in Fiji,

-Kist Fiji Limited, with a

dnal capital of £5,000 in £1

es. is interested in fishing and cold

torage in Fiji.

i articles of association reveal its aims include the acquisition, essing and selling of fish also in r Pacific Island territories, and

acquiring, buying, selling,

:ing and packing any food, fish

marine products and by-products,

le directors, all of California,

Joseph J. Bogdanovich, John J. and Nicholas F. Trutanic. ar Kist will operate a tuna

ing factory in Pago Pago soon,

I Japanese tuna fleets,

hether the Fiji company is being

orted by Japanese interests is not vn.

ey Says NZ Not

ly for Air Freighters

v Zealand is not ready yet to air it its goods overseas, an inter tmental survey team, reinforced by e representatives, has reported to *Z Government. A freighter service 1 have to work for a time at a loss, at present only 15 per cent, of ible cargo space is used on outbound nger flights. team, formed several months ago, led senior officials of TEAL, National lys Corporation, Civil Aviation nistration and the Department of itries and Commerce. . G. N. Roberts, now deputy chair of TEAL, has been one of the est advocates for increased air it. e team assessed NZ’s potential air i traffic to Australia and the Pacific served by TEAL, and interviewed than 100 primary producers, manu rers and exporters, suits indicated that there was no bility for some years of sufficient i to fill the present capacity of luled outwardbound passenger air- Also, the coincidence of the NZ Australian growing seasons largely nated development of an out-of n trans-Tasman market.

\. "Looking For Ways to

mrage P-NG Investment"

f-government for a Papua-New ea unable to support itself economic would be a “sham”, the Territories

Minister, Mr. Paul Hasluck, told a Press conference during his January-February P-NG tour. “One has to face the reality that this country will be economically dependent long after it wishes to become politically independent”, he said.

“Australians have got to work for the advancement of this country,” he said, “and the economic advancement being sought is not possible without invest ment from outside. The aim is not only for original investment, but re investment.”

Mr. Hasluck said the Australian Gov ernment had not found any single scheme proposed so far to protect P-NG invest ment “that appeals to us as workable”.

The Government was investigating the possibility of encouraging investment by granting inducements in taxation and tariffs. One suggestion—and no decisions had been reached —was for a deprecia tion scheme enabling investors to write off assets in a comparatively short period.

But Mr. Hasluck repeated a point he had hammered at during his visit to the Territory last September; That security rested on confidence that the present gov ernment and future governments could be counted on to act in a reasonable and honourable way.

In a speech at Pt. Moresby last year, Mr. Hasluck said it had been reported to him that there was disquiet and un certainty in the Territory among both natives and Europeans. Asked whether the situation had changed, he replied: “I think in the Territory today there is a feeling of greater stability than there was after events in West New Guinea and after the report of the UN visiting mission”.

How to Promote Confidence

In P-NG—The Opposition View

While Territories Minister Paul Hasluck was on tour in P-NG (see above), Mr. E.

G. Whitlam, Deputy Opposition leader, was there also. At the end of his trip he had this to say: Australia should no longer hesitate to follow Britain’s example in accepting offers of financial and expert assistance from UNESCO, the International Labour Organisation, World Health Organisation and the International Development As sociation (an affiliate of the World Bank, which is expected to make an economic survey of the Territory this year).

The administration and private business shared the blame for lack of more positive action in rr’scting and training natives for positions of responsibility.

Australia’s allies with Pacific respon sibility—USA, Britain, NZ and France— had acted much more spontaneously and far more promptly in providing such training. It was the duty of Australians to train the population for positions of responsibility in all walks of life. It was also in Australia’s interest to give this

training in order to have future co operative neighbours.

The Australian Government could pro mote confidence in two ways. Firstly, it could prepare and announce plans for public works and projects for some years ahead. Secondly, the Australian Govern ment could establish or guarantee an Investment Corporation and Development Bank to finance new economic prospects and joint ventures.

First Tongan Desiccated

Coconut on Sale in NZ

First shipment of desiccated coconut from the factory and plant established in Nukualofa, Tonga, late last year, went on sale in Auckland, NZ, in February.

The initial consignment arrived in 25 lb tins, but the next shipment is expected to include 50 lb containers. From April, the coconut will be packed in 25 lb and 50 lb multiwall paper bags.

Eventually, Tonga hopes to become the main supplier of desiccated coconut to NZ—at present, the Dominion’s 1,200 tons imported yearly come from Ceylon and the Philippines.

Later on, as Tonga’s desiccated coconut production is increased from the factory, exports will go also to Australia.

Pacific Mines Strikes

A New Lode

An upwards move in quotations for Pacific Island Mines Ltd. probably is due to a cautious report issued by chair man G. W. Noe on February 18. The Company is driving an adit on its Misima Island lease (Eastern Papua), seeking the famous Umuna lode, which gave such phenomenal returns prior to World War 11. It is calculated that the lode will be intercepted some 900 feet in, about the end of May.

But, early in February, 408 feet in, the adit intercepted a lode “which con tains sulphides of copper, lead, zinc and iron”. The report says; “Although not visible, gold and silver probably are associated with the sulphides”.

Samples were air-freighted to Port Moresby for analysis.

Prospect of Declining Copra

Supplies; Oils and Fats, too

Early in the year UK prices reached a level that made copra less attractive in relation to competitive oilseeds, so Philippines interests reduced prices in order to maintain the demand, thus giving a monthly average of £Stg. 66/2/6 per ton, which was the price February ship ments from P-NG were effected at, stated Mr. I. McDonald, chairman of the P-NG Copra Marketing Board in his latest report.

Papua-New Guinea production on the basis of actual receivals into the Copra Board depots, totalled 110,639 tons during 1962—about IV2 per cent, up on 1961, he reported.

There appears to be some nervousness and lack of certainty on overseas oil seed markets at present, commented Mr.

McDonald. Perhaps this results from the fact that after some years when pro

duction has been increasing regularly, there is now the prospect of slightly declining supplies, with, at the same time, an increase in consumption require ments. This opposite development of world demand and supply will probably swing the market in favour of sellers, as buyers are now inclined to build up stocks, thus creating a demand bigger than would have been justified by actual consumption requirements alone. Despite this, it is not expected that anything spectacular will happen in the market.

Should there be any continuation of the dry weather experienced in late 1962 in the Philippines, there will be a further downward trend in copra supplies from June onward. This, added to continued low supplies from Indonesia, might have an effect on prices.

This year’s ground nut crop in the 13 large exporting countries is expected to be down about 325,000 metric tons on last year’s total. Similarly, the soyabean crop will be smaller by around 600,000 metric tons, although there is still a size able carry-over to be dealt with.

Palm kernels and palm oil exports from the Republic of Congo increased during 1962 and Malayan palm oil production was also up.

In marine oils, the first Antarctic catch has been disappointing, Australian pro duction has declined, as has been the case with Japan.

Over-all, 1962-63 production of oils and fats raw materials is expected to reach 33.465.000 metric tons compared with 33.506.000 metric tons in 1961-62—not a great drop, but enough to worry con sumers as it could mean the beginning of a trend.

Norfolk Is. Whaling Co.

Up For Sale

Because of a scarcity of migrating whales, the several whaling stations of Norfolk Island and Byron Bay Whaling Co. Ltd. in recent years have had a lean time of it, culminating finally in the liquidation of the company at the end of last year.

One of the liquidators, Mr. A. D.

Bridges (the other is Mr. A. W. Butterell) visited Norfolk Island in January to look over the whaling station conducted by its Nl-registered subsidiary, Norfolk Island Whaling Co. Ltd., and assess the possibility of continuing the industry there.

As a result, NI Whaling was put up for sale in February, tenders for its 170.000 £1 shares being called for until March 6. Assets of NI Whaling are: Land, buildings £23,604 Ships (tanker and 4 chasers) . . 49,216 Plant, furniture, and vehicles . . 57,515 Stocks and stores 22,603 £152,938 At the same time, tenders were called for 150,000 £1 shares in North Coast Whaling Pty. Ltd. (a NSW company with unappropriated losses for taxation purposes and assets listed as £182,010) and 25,000 £1 shares in Barrier Whal ing Co. Ltd. (in receivership), the NZ subsidiary.

Offers were called for the shares as a whole or in respect of each separate

company “with preference being given for a sale to permit of their continuance as going concerns”. It was pointed out that all the companies in the group are subject to joint and several guarantees in favour of certain unnamed creditors aggregating £81,663.

On Norfolk Island at the end of January, Mr. Bridges told the Administra tor that “it was his desire that the industry should continue here and that he would make every effort to see that it did continue”.

The Administrator was told that if certain negotiations in Australia were successful the whaling station would either operate on a restricted basis dur ing the 1963 season or be mothballed for opiating at a future date, possibly in Mr. Bridges was accompanied to Norfolk by Mr. M. J. Thomas, a senior executive of BP (Australia) Ltd.

Sangara (Holdings) Ltd.

Retains Its Board

Moves to replace some of the existing directors of Sangara (Holdings) Ltd. were defeated at an extraordinary general meeting of shareholders held in Port Moresby, Papua, on February 20.

The meeting was called by Mr. H. H.

Stitt, Hamac Holdings Ltd., and the receiver for Territory Finance Corporation Ltd., Mr. D. M. Allen, who claimed to hold “not less than 10 per cent, of the paid capital of the company”, and they sought to remove Messrs. E. H. Tyther leigh, J. H. Wallace, G. H. Notson, D.

Southerland, and Dr. A. M. Dan (Latec Investments Ltd.). Dr. Dan later announced publicly that he was not a director of Sangara. In mid-1962 Latec Investments was considering a finance transaction with Sangara, involving his joining the board, but the arrangement was not concluded, he said.

In a circular to shareholders before the meeting, Sangara (Holdings) directors pointed out that the three subsidiaries.

Hotel Cecil Ltd., Morobe Hotels Ltd. and Sangara Plantation Development Co. Ltd., which are now under receivership, are currently earning profits of about £3,000 per month. Native drinking in NG had substantially increased turnover at all the company’s hotels, and they hoped the improved results would influence creditors to agree to operate the companies until the amounts owing have been paid in full.

The complex company affairs of Sangara (Holdings) Ltd., Hamac Holdings Ltd. and a number of other allied P-NG concerns have occupied the attention of Territories residents for a year or so now, with move and counter-move—but the end still does not appear to be in sight.

Oil Search Selects

Second Well Site

Oil Search Ltd. is pressing on with the search for oil in Papua, despite disappointing results from the lamara No. 1 well. The site for a second lamara well will be located about 12 miles south of the No. 1 hole.

A reconnaissance party in February left for the area to examine the problems of access and water supply for drilling.

The new well is prompted by traces of hydrocarbons found in the No. 1 well.

Burmah-Murphy will not exercise its option to take up 50 per cent, of the Papuan licence areas of Oil Search Ltd.

The option expired on February 10. The Burmah-Murphy group is a partner ship of the Burmah Oil Co. of London and Murphy Corp. of El Dorado, Arkansas, USA.