CO885-24 — Page 106

PUBLIC RECORD OFFICE

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C.O. 885

24 PUBLIC RECORD OFFICE, LONDON

ALLY WITHOUT PERMISSION OF THE BE REPRODUCED PHOTOGRAPHIC- COPYRIGHT PHOTOGRÁTIS NOT TO

194

MAURITIUS.

25. On the outbreak of war freights rose considerably, in one case to three times the normal rate, and great difficulty was experienced in securing tonnage for the transport of sugar. Owing to the embargo placed on sugar, and to the fact that His Majesty's Government provided tonnage for the sugar purchased by them in Mauritius, the trade of the Colony has not greatly suffered from the lack of shipping facilities.

26. Information was received on the 12th August that His Majesty's Govern- ment had opened a State War Risks Office, and were insuring cargoes shipped from the United Kingdom. Advantage was at first taken of the arrangement by the Colonial Government in respect of shipments of stores from England.

27. The Colonial Government now participates in the scheme of the Crown Agents for the Colonies, under which, as soon as their information of the move- ments of hostile cruisers appears to justify that step, they will discontinue insuring against war risks in the ordinary way and pay losses due to the war from their On the termination of the war the total of claims BO Marine Insurance Fund. paid, together with the cost of management, will be recovered from the contributing Colonies in shares proportionate to the total value of cargo insured by each throughout the period for which the scheme was in operation.

XI.-Restrictions on Trade.

28. Instructions were received on the 5th of August, 1914, for the modifica- tion of the list of contraband of war, and the instructions to the Collector of Customs Other as to his action under the defence scheme were modified accordingly. alterations in the list of contraband have been notified in accordance with instruc- tions received. The trade of Mauritius has not been affected by the above instruc- tions or by the other restrictions imposed, except as regards sugar. The embargo on sugar is dealt with in Section XII. of this memorandum.

29. The prohibition of the export of warlike stores, in accordance with the instructions in the defence scheme, was proclaimed on 6th August. The Proclama- tion was modified by later instructions. The issue of Proclamations forbidding trading with the enemy was duly notified in the Government Gazette, and Ordinance No. 28 of 1914 was passed to prohibit trading with the enemy.

30. The Secretary of State requested that statistics might be furnished of the trade with Germany and Austria-Hungary, with particulars, and, where possible, samples, of the leading lines of articles imported from those countries, with a view to diverting such business into the hands of British manufacturers and traders. A statement of the imports and exports from and to Germany and Austria-Hungary was transmitted on the 9th September, and the other information asked for is being prepared.

31. Information was received on 31st October that, with a view to hampering the exportation of sugar from Germany and Austria, the importation of all sugar into the United Kingdom had been temporarily prohibited except under licence. Sugar shipped on or before 28th October, or imported under contract made prior to Little inconvenience to 4th August, 1914, was exempted from this prohibition. trade has been felt from this restriction up to the present, the greater part of the sugar sold since the embargo was removed having been exported to India.

XII.-Embargo on Sugar.

32. Instructions were received on the 4th August to prohibit the export of all available supplies of sugar which might be purchased by His Majesty's Government.

The Procureur-General advised that without special legislation there was no power to enforce such a prohibition and the Secretary of State, who was informed of the position, ordered that no further action should be taken in the matter pending further instructions.

39. On the 21st August instructions were received to prohibit all export of sugar, and to seek an indemnity later from the Legislature if necessary. A Proclama- tion which included sugar was issued at 9.30 a.m. on the same day under Ordinance No. 14 of 1858, as amended by Ordinance No. 8 of 1903 (Exportation of Arms).

34. The prohibition of the export of sugar occasioned considerable alarm amongst Late in the afternoon of the 21st August the those engaged in the industry.

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MAURITIUS.

Acting Governor met representatives of the Chambers of Agriculture, Commerce, and Brokers, who stated that they anticipated difficulty in obtaining the money necessary to meet working expenses, and inquired :—

(a) Whether the Government contemplated the purchase of sugar..

(b) If so, what quantity would be purchased, what price would be paid, and what proportion would be paid in advance to meet current expenses. (6) What measures the Government were taking to provide increased accommodation for the storage of sugar detained in the Colony. (d) What price should be paid to small planters for their canes. Reply was made that information had not been received regarding the inten tions of His Majesty's Government, who must exercise unfettered discretion in making use of the resources of the Empire to the best advantage, but that every assistance within the means of Government would be given to enable the industry to follow, so far as practicable, its normal course, and that difficulties would be met as they arose. The meeting was adjourned until Wednesday, 26th August, and in the meantime the preparation of schemes for the purchase of the whole crop by Government, and for the payment to be made for small planters' canes, undertaken.

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35. A further telegram was received from the Secretary of State to the effect that the prohibition should be relaxed in respect of sugar to be exported to British possessions or neutral countries under bona fide contracts entered into before the issue of the Proclamation. The ships "Kwarra" and "Berwick Castle," which were at that time in the harbour loading with sugar for the United Kingdom, were accordingly permitted to sail.

"

The 8.8. "Muttra was also permitted to sail for India on the 4th September with a cargo of sugar.

36. On the 27th August a telegram was received from the Government of India pointing out the inconvenience caused to the trade of India by the prohibi- tion of the export of sugar from Mauritius, and inquiring when the embargo would be withdrawn.

The circumstances in which the embargo had been imposed were explained to the Government of India.

37. On the 9th September the Chamber of Commerce requested that the embargo on sugar might be removed. They pointed out that the purchase of 100,000 tons required by His Majesty's Government had been completed, and urged that the Secretary of State should be approached with a view to the removal of the prohibi- tion on export in order that the balance of the crop might be sold. The Chamber were informed that the decision rested with His Majesty's Government.

38. The embargo on the inferior qualities of sugar was removed on 16th October (see Section XV., paragraph 68).

39. Towards the end of October it was found that the maintenance of the Many of them embargo on vesous inflicted serious hardship on small planters. held stocks of vesou sugar which were too small to sell to His Majesty's Govern- ment, and, owing to the embargo, they were unable either to sell their sugar or to obtain advances on it. Some relief was afforded by assigning a portion of the order of 5,000 tons for local consumption to the small planters.

40. The Secretary of State was requested, on the 31st October, to sanction the removal of the embargo on vesous. Permission was granted, and the exhbargo was withdrawn by Proclamation on the 6th November.

41. An amending Order in Council, of 28th August, 1914, amending the Order in Council of 26th October, 1896, empowering the Governor to prohibit the export from the Colony of any article, was received on the 16th November in the Secretary of State's despatch of 2nd September, 1914, thereby removing the need for seeking an indemnity for the extra-legal prohibition of the export of sugar.

XIII.-Offers of Assistance to His Majesty's Government,

42. On the 18th August the following motion, proposed by the Honourable Dr. Laurent, Senior Member for Port Louis, was unanimously adopted by the Council of Government :-

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That the contribution towards military expenditure incurred by the Imperial authorities in Mauritius be increased by Rs. 150,000, to meet in part the cost of special measures taken for the defence of the island since the outbreak of war between His Majesty and Germany.”