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CALLY WITHQUI PERMISSION OF THE BE REPRODUCED PHOTOGRAPHIC- COPYRIGHT PHOTOGRAPH-NOL 101
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[PUBLIC RECORD OFFICE, LONDON,
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difficulties about making any suggestion as from the Secretary of State that assistance should be granted. It might embarrass the position of the Secretary of State vis-à-vis the West Indian Colonies, and he thought it desirable that the first public suggestion should come from Mauritius. MR. JACKSON said that he quite understood this, and in any case he must leave it to Sir E. A. Grannum to decide whether any announcement at all was actually necessary at the moment. The only thing that he wanted was that Sir E. Grannum should be made aware that if he thought some immediate action was necessary he need not wait for his (Mr. Jackson's) arrival, and that he should be aware of the kind of thing that Mr. Jackson had in mind.
After further discussion it was agreed that a personal message from Mr. Jackson to Sir E. Grannum should be telegraphed through the Colonial Office, and MR. JACKSON promised to let the Department have the draft of such a message. It was contemplated that if Sir E. A. Grannum thought fit he would submit in a public telegram proposals to the Secretary of State which, if approved, could then he published in Mauritius.
10th July, 1930.
C. 74581/30 No. 11].
No. 25.
E. C.
THE SECRETARY OF STATE to THE OFFICER ADMINISTERING THE
(Paraphrase.)
GOVERNMENT.
(Sent 7 p.m., 15th July, 1930.) TELEGRAM.
FOLLOWING personal message from Jackson to you :-
Begins: I have discussed fully, with Colonial Office and Watts, Mauritius sugar position and.it is clear that no financial assistance can be expected at present from Imperial Government.
Only other source of temporary assistance available appears to be the local Improvement and Development Fund. If you consider that assistance should be made available from the Fund I suggest you telegraph your views to the Secretary of State immediately stating nature of assistance you recommend and on what condition. I feel confident Colonial Office will be prepared to consider any such proposals from you carefully and sympathetically.
I cannot, of course, without knowledge of local conditions reach definite conclusions but am inclined at present, after full discussion with Watts, to the view that in addition to remission and postponement of export dues already proposed it may, by a payment at a fixed rate per ton on present crop recoverable later on easy terms by an export duty or otherwise, be advisable to ease local situation but I hope such payment could be fixed at not more than £1 per ton. Watts concurs fully in this.
If you think local conditions render early steps desirable on these lines I should be quite prepared to support such a course and suggest that if so you should inform Secretary of State without delay without awaiting my arrival and make any announcement you consider desirable on receiving his decision.
I am due to leave Durban about 5th August by City of Pittsburg but date of arrival Mauritius uncertain.-Ends.-Passfield
C. 74581/30 [No. 12].
No. 26.
THE SECRETARY OF STATE to THE OFFICER ADMINISTERING THE
GOVERNMENT.
(Sent 5.30 p.m., 18th July, 1930.)
TELEGRAM.
[Answered by No. 28.]
No. 39. Your telegram of the 1st July, No. 52.* Please inform the Bureau of the Chamber of Agriculture that in agreeing to the remission for the 1930-31 crop of the export duty of 30 cents raised for general revenue purposes it was necessary to take into consideration the likelihood that unless compensating economies in public
* No. 23.
17
expenditure were practicable this would cause a deficit, or would increase an already contemplated deficit in the Colony's finances for the year 1930-31. While recognizing that the economic position may make it difficult to raise sufficient revenue to meet essential expenditure it was considered essential that every endeavour should be made to do this rather tlían use up the already much diminished surplus balances. It was accordingly felt that every possible alternative source of revenue bearing less hardly upon the sugar industry should be explored. It is not, however, intended that the raising of revenue completely to replace that from the export duty should be made an absolute condition of the remission.-PASSFIELD.
C. 74567/30 [No. 20].
No. 27.
THE OFFICER ADMINISTERING THE GOVERNMENT to THE SECRETARY OF STATE.
(Received 3.49
p.m., 21st July, 1930.) TELEGRAM.
[Answered by No. 32.]
21ST JULY. No. 65. Confidential. I am advised that the following was the position of the Improvements and Development Fund at 30th June. Unappropriated balance 3,784,000, appropriated balance 2,878,000, these two balances giving a total unspent balance of 0,662,000. These figures may be subject to slight adjustment on closing of annual account. I am further advised that estimated revente for 1930- 1931 is Rupees 433,340 and estimated expenditure from unappropriated amount Rupees 265,330
The unappropriated balance of 3.784,000 is inclusive of sum of Rupees 76,868 approved in your telegram 9th July, No. 35, Confidential,* and of sum of Rupees 300,000 mentioned in my telegram 14th July, Nor 59, Confidential.† Taking these sums into account unappropriated balance to-day Rupees 3,407,000. In view of the existing grave financial situation, I would suggest for your consideration grant, from unappropriated balance mentioned, of temporary assistance to the sugar industry at the rate of £1 per ton for 1929-1930 crop which was 238,000 tons, or if considered preferable for 1930-1931 crop estimated at 230,000 tons, payment in eithe case to be effected in manner suggested by Watts in paragraph 11 of his Report. This proposal involves, of course, the sale of securities in England and India. The local Bank's present buying rate is between Rupees 14 cents 30 and Rupees 14 cents 35 per Pound sterling, but in this connection please see your telegram 18th July, No. 38, authorizing removal of embargo on silver.
I would also suggest that no interest be charged on proposed assistance and that its repayment be provided for by an Ordinance on the lines of Ordinance No. 15 of 1929.
Assistance now proposed is intended in addition to remission referred to in corre- spondence ending with your telegram 18th July, No. 39.§ In my considered opinion present situation justifies above proposals. Should you concur. would be grateful for line on which announcement should be made.
C. 74581/30 (No 13].
No. 28.
THE OFFICER ADMINISTERING THE GOVERNMENT to THE SECRETARY
No. 72.
OF STATE.
(Received 12.31 p.m., 25th July, 1930.)
TELEGRAM.
[Answered by No. 39.]
CONFIDENTIAL..
25th July. Have informed the Bureau of the Chamber of Agriculture in accordance with your telegram 18th July, No. 39.§ Have since received communication from them of which the following is the substance :-
Begins: The Bureau of the Chamber of Agriculture after anxious con- sideration beg. leave to state that they can only reiterate that no new taxation in
* C. 74513/30 [No. 23]: not printed. + C. 74513/30 [No. 27] not printed.
C. 70215/30 [No. 48]: not printed.
§ No. 26.