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C. 74567/30 (No. 25].

No. 33.

THE OFFICER ADMINISTERING THE GOVERNMENT to THE SECRETARY

OF STATE.

(Received 12.20 p.m., 8th August, 1930.)

TELEGRAM.

[Answered by No. 34.]

8TH AUGUST. No. 77. Confidential. Your telegram of 7th August, No. 47.* It is my considered opinion and that of my advisers that proposals stated in my telegram of 21st July, No. 65,t are fully justified owing to (1) present condition of the sugar industry which is rapidly approaching a crisis due to considerable increase between cost of production and selling price since Watts' Report, and (2) reduction of labourers' wages to bare living wages.

Consider it essential that an announcement of any forthcoming help should be made at the earliest possible moment in order to prevent partial or complete collapse, which according to best information available and which is considered reliable is imminent.

Manner of distribution of proposed relief can be considered later when Trinidad scheme and method of payment have been studied.

C. 74567/30 [No. 26].

No. 34.

THE SECRETARY OF STATE to THE OFFICER ADMINISTERING THE GOVERNMENT.

(Sent 1.15 p.m., 9th August, 1930.)

TELEGRAM.

[Answered by No. 36.]

No. 49. YOUR telegram 8th August, No. 77. You are authorized to announce forthwith that assistance will be given to sugar industry from Improvement and Develop- ment Fund and that further announcement will be made as soon as possible.- PASSFIELD.

C. 74567/30 [No. 27].

No. 35.

THE SECRETARY OF STATE to THE OFFICER ADMINISTERING

THE GOVERNMENT.

(Sent 1.15 p.m., 9th August, 1930.)

TELEGRAM.

[Answered by No. 37.]

No. 50. My telegram 7th August, No. 47.* Following are particulars of Trinidad scheme :-

Begins-Loans are to be made to sugar manufacturers of £2 per ton of sugar exported during 1930, conditionally on manufacturers agreeing to carry on next year, continuing to pay price of 12 shillings per ton for farmers' canes in 1931, and agreeing not to reduce wages of labourers until 30th June, 1931, pro- vided that if average selling price of 96 degrees grey crystals falls below 10 guineas per ton f.o.b. minimum price paid to farmers to be reduced 6d. for every 10 shillings fall, and if f.o.b. price exceeds £15 per ton extra bonus to farmers to be reduced by one-third. Loan will be first charge on properties subject to existing charges and yearly crop advances. Loan to be repaid only after f.o.b, price exceeds £14 per ton and at the rate of half the difference between £14 and the figure realized. No interest to be charged until f.o.b. price reaches £15 when it becomes payable at five per cent. per annum on unpaid portion of loan during any year when £15 and over is the average selling price. Period of loan limited to 15 years.-Ends.-PASSFIELD.

* No. 32.

† No. 27.

No. 33.

C. 74567/30 [No. 28].

No. 36.

THE OFFICER ADMINISTERING THE GOVERNMENT to THE SECRETARY

OF STATE.

(Received 3.13 p.m., 12th August, 1930.)

TELEGRAM.

12TH AUGUST. No. 80. Your telegram of 9th August, No. 49.* Bureau of Chamber of Agriculture request me to convey to your their most grateful appreciation of announcement that assistance will be given to sugar industry from Improvement and Development Fund.

C. 74567/30 [No. 29].

No. 37.

THE OFFICER ADMINISTERING THE GOVERNMENT to THE SECRETARY OF STATE.

(Received 12.7 p.m., 18th August, 1930.)

TELEGRAM.

[Answered by No. 41.]

18TH AUGUST. No. 82. Confidential. Your telegram of 9th August, No. 50.† After careful consideration of Trinidad scheme am of the opinion, in which my advisers concur, that repayment by the means of an export duty on the lines of Ordinance 15, 1929, would be more appropriate to Mauritius.

As already suggested in my telegram No. 65, Confidential, ‡ loan should be without interest.

As regards the price paid for small planter canes please see paragraph 11, Watts' Report, with which I entirely agree.

In regard to labourers' wages assistance will inevitably react on the labour market ensuring return to more normal conditions. Assistance will involve sale of securities in London and India. Exchange could be effected through banks and payment made in rupees to factories in Mauritius by the Receiver-General.

C. 74581/30 [No. 15].

tial.

No. 38.

THE OFFICER ADMINISTERING THE GOVERNMENT to THE SECRETARY OF STATE.

(Received 1.30 p.m., 18th August, 1930.)

TELEGRAM.

[Answered by No. 40.]

No. 83. CONFIDENTIAL. 18th August. Your despatch of 26th June, Confiden- Subject to your approval propose to introduce legislation on the lines indicated

in paragraph 8 my despatch of 21st May, No. 206, Reserved. Following on passing

of this legislation propose repealing Ordinance No. 24, 1929, as regards export duties and deferring repayment of loan under Ordinance No. 15, 1929.

C. 74581/30 [No. 14].

No. 39.

THE SECRETARY OF STATE to THE OFFICER ADMINISTERING THE GOVERNMENT.

(Sent 3 p.m., 19th August, 1930.)

TELEGRAM.

No. 52. CONFIDENTIAL. Your telegram of 25th July, No. 72.1 Please inform Bureau of Chamber of Agriculture that I cannot consent to proposal to divert Improve- ment and Development Fund for purposes of general administration in view of the intention, which has already been announced, to use the Fund for direct assistance to the sugar industry.--PASSFIELD.

* No. 34.

No. 35. No. 27. No. 22. C. 74583/30 [No. 5]: not printed. No, 28.

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