Business and Development

Like A 'Sinless Sheep Slain'-Samoa's

Finance Minister Saili Sacked

Western Samoa Prime Minister apua Tamasese Lealofi has sacked s Finance Minister Sam Saili. The eking, and that of the Agriculture inister, Muagututia Pinati, came ter the Public Accounts Committee id accused both men of impro ieties connected with unpaid duties, md fees, import control and, in the se of Mr Pinati, the disappearance $1.3 million from the Copra abilisation Fund.

The committee, which had also cused Mr Saili of illegal distribution planting materials from a diseased antation and failure to settle a debt him to the Produce Marketing vision, asked the Fono to pass a te of no-confidence in Saili and aati.

Mr Saili, who, outwardly at least, In’t get hot under the collar over ; dismissal (technically, he and Mr aati resigned) later said he was the :tim of a “political manoeuvre”.

The chairman of the Public Accounts •mmittee is Vaai Kolone, who has sn severely critical of Mr Saili, 10 told the Fono he was innocent all the allegations made against n. He was being victimised because jealousy and vindictiveness of one rticular committee member.

He added that he “was like a sheep in without a sin”.

Fhe Minister of Works, Aumua me, succeeds Mr Saili as Finance nister, with Vaovasamanaia Filipo Agriculture Minister.

Meanwhile, all is not well with ;stern Samoa’s finances, according the Legislative Assembly Public counts Committee. The committee de stringent comments on the state the economy when it tabled a re t on the first supplementary esti tes for 1975. t said evidence suggested that the momy would be in a far worse ntion than that forecast by Saili. fhe actual deficit for the year aid be much higher than the ,277 given by Mr Saili because enue would be so much lower. * committee said there would be indling returns from copra,

bananas and “invisible” earnings.

In June, revenue from import duties fell by $105,355, compared with the April figure, and $157,905 compared with May. There would be a continuing downward trend in import duties, unless there was a sharp rise in the price of main ex ports.

The chances of a rise must be very dim, as the copra price has dropped from SUS74O a ton to SUS22O a ton.

This has reduced incentives to growers. During the peak price period production was 450-500 tons a week. Early in June production was down to 230 tons a week. The copra reserve fund which was in the black to the tune of $1.3 million in the middle of 1974, was overdrawn by $335,546 by the end of June, 1975. Copra and cocoa earnings for the current year are expected to fall by about $3 million.

Bananas are even worse. Not even the low revised estimate of 50,000 cases for export, compared with 150,000 cases in 1974, is likely to be reached. By the end of June, banana exports were only about 10,000 cases.

The committee concluded from a survey that it was unlikely 20,000 cases would be shipped.

Invisible earnings were expected to drop by about $500,000, the com mittee reported. The committee recommended that merchants and importers should be required to re duce imports even further. The gov ernment should cut back spending to a level the economic position could afford.

Gloomily, the committee reported that until the prices of main exports

and remittances from overseas re* covered, the country was in for a bad time. It recommended that the supplementary estimates should be cut by another $67,000.

Just as the committee made its report, Western Samoa concluded an agreement with New Zealand for a Si million loan. Mr Saili said the terms included a three per cent in terest rate over 25 years. There would be no repayments over the first five years. The money will be used to finance development projects up to 1979.

France to join

AMAX in nickel

The French Government has de cided to help provide the necessary capital to launch the long-awaited new nickel treatment factory planned for northern New Caledonia.

The government would take a major share in the project, possibly 51 per cent, leaving the remaining 49 per cent for US mining group AMAX and others. This was an nounced in Paris in July after inter ministerial talks between President Giscard d’Estaing, the Prime Minis ter, Overseas Territories Minister Olivier Stirn and Minister for Indus try Michel d’Ornano.

The French ministers indicated that France had decided to become the majority shareholder so as to hasten the realisation of this long discussed project. The French Government is already a partner in the only existing nickel factory on the island, since the state-controlled oil company SNPA (Aquitaine)

)ined with the SLN in a project to xpand activities. ournac Pr< tias 1 hllTtmoerZ Tor

! , Ir! hrS hampered

f gh J aCk t — T ndS MAX wS h a H n Trhpr rtl hT atl(?n ' Z v uIrZJ i g r nH fit f ’fT 3 th y but couldn’t find a naroJpr 6 Mr Qfim didn’t «,hpn fa cely to take at least four years to icome operational. it was also announced that as far lateritic nickel developments in uthern New Caledonia were conrned, around Goro and Port Boise, r d’Ornano was shortly to hold rther talks with the Canadian comny INCO.

Meanwhile in Noumea, the Terririal Assembly has approved French avernment changes in fiscal laws ended to tax nickel companies on ;ir profits rather than simply on ; volume of exported nickel.

Concerning the Paris proposals to int greater “decentralisation” of litical power, the Assembly was in hurry to debate the issue, parently waiting to see what more e l ral . Propositions Pans might ike to the more demanding Tahins '

Tahitian swine

dine fine

Dairy farmers in Tahiti are de manding action since their locally produced fresh milk is being sold off to pig farmers for lack of sufficient sales outlets in local shops, which are accustomed to specialising in imported powdered and condensed milk.

While the pigs are only too happy to lap up the troughs full of fresh milk, the local authorities are seek ing a way out to satisfy local pro ducers and distributors. Simplest action would be to place extra taxes or quotas upon the importation of milk, although the authorities would prefer to reduce imports by means of gentle persuasion over the im porters. A longer-range suggestion has been that the fresh milk could be used for producing local cheese and yoghurt.

Certainly, it is urged, in view of local teeth deficiencies a way must be found for the fresh milk to reach Tahitian children rather than pigs.

Meanwhile, reports from Paris in dicate that besides milk, other local resources should receive greater en couragement in future. These include

fisheries and that potential wealth of the sea bed—nodules.

The government marine research centre in Tahiti—CNEXO—is to step up development of aquaculture, in cluding the production of shrimps and other delicacies. At the same time, CNEXO sea-going scientists will continue research into the loca tion of possible oilfields and other mineral deposits at sea.

As far as French Polynesian capi tal works are concerned, two major projects now receiving attention are the construction of a large dam to provide hydro-electricity as well as a study into the possibility of erect ing a nuclear power station in the islands.

Landed with

death duty

The estate of former Caledonian millionaire Edouard Pentecost has posed special problems over the 260 million CEP probate to be paid to the territory.

Mr Pentecost, nickel tycoon, died in 1971. The original probate was estimated at 230 million CEP with charges for staggered payment rais ing the total amount to 260 million

francs ($A2.5 million approx).

Edouard Pentecost is survived by his wife and two sons in Noumea as well as a married daughter in Brussels.

The territory was still awaiting a payment of 150 million CFP when :he estate executor suggested land as i form of payment. This was in view if the current economic climate and n order to avoid winding up existing :ompanies, with people thus losing obs. A property of some 60 hectares ' 150 acres approx) has been pro >osed. Situated near the Baie de St Vlarie in Noumea, it is valued at ipprox SAI.2 million.

The proposition has raised the troblem of whether New Caledonia hould allow other families to settle teath duty by paying in land rather ban cash.

: iji land scheme

nay cut import bill

An intensive livestock and crop ultivation scheme covering 100,000 cres in Ra, Fiji, will help the country 3 cut an import bill for food, a bill diich increases steadily each year. It dll be a Fijian venture, by 117 lataqali (land-owning units). The :heme will be operated by Uluisaivou 'orporation.

The scheme is a new approach to >operative land use in Fiji. While lere will be a number of farming rejects, the accent will be on cattle using. There will be financial and chnical backing from New Zealand, he board of the corporation will >mprise a chairman appointed by e Land Development Authority, ataqali delegates and members )minated by the Ministry for Fijian ffairs, Agriculture Department, ative Land Trust Board, Co )eratives Department and Fiji De lopment Bank.

The scheme will be the most am tious single land project, apart from restry, ever launched by the Fiji overnment.

Australians out

f Noumea hotel

Australian investors have pulled t of a large Noumea hotel with i sale by Lanray Industries of their per cent share in the Nouvata )tel on Anse Vata beach. Lanray d its interest in July for $450,000, er making the initial investment $319,382 in 1963.

Fhe Nouvata was the first of the ilti-storied tourist hotels to be built

in Noumea, with Lanray chairman, L. F. (Fred) Mclnnes of Sydney taking a leading part in the personal supervision of Nouvata affairs. How ever annual dividend was only $5,440 and the company thus sold its share holding to Caledonian partners in the venture. The resultant funds were re-invested in Australia where short term interest rates are currently far more attractive.

Meanwhile, tourist figures in New Caledonia are on the up-turn this year. In 1974 a total of 24,008 tour ists visited the island (excluding cruise passengers) but already for the first six months of 1975 there have been 14,930 visitors, compared with 10,654 for the first half of 1974.

The recent opening of new air links with Nadi and Brisbane (Air Pacific) is seen as a positive move, although the Tokyo-Noumea link opened late last year stays under a cloud: only 761 Japanese tourists

visited the territory in the first half of this year.

In the hope of gaining more US and even Japanese visitors, Cale donian tourist promoters are dream ing of some day creating a type of World War II museum that could exhibit relics of those days and attract former servicemen and their wives back to their old battle stations around New Caledonia.