SUGAR SUPPLIES.

Manawatu Herald, Volume XLIV, Issue 2433, 25 May 1922, Page 3

SUGAR SUPPLIES.

A THREATENED SHORTAGE. Wellington, Last Night. Referring this morning to the position regarding sugar supplies, the Minister of Industries and Commerce (Hon. E.. P. Lee) stated the present contract between the Government and Colonial Sugar Refining Coy. would terminate on July 31st. next. “Arrangements during the past year,” said Air Lee, “have in all respects bqen satisfactory, and a regular and plentiful supply of high grade sugar has been maintained. The financial results have involved no encroachment on the consolidated fund, and at the same price the article has compared favourably with imported sugar, thus enabling New Zealanders to continue to enjoy the cheapest sugar in the world. Present stocks of sugar at Chelsea will probably be sufficient to meet- the Dominion’s needs until the end of August. Labour troubles in Fiji for some time past, have adversely affected the sugar industry, with the result that the crop for the coming season is exceedingly problematical, from present indications, it is fairly certain it will barely exceed 50 per cent, of the normal output. As Fiji is New Zealand’s main source of supply, the future position is decidedly uncertain. It is not desirable that there should be a shortage immediately following the termination of the Government’s contract with the sugar Company, and to avoid this, ,an arrangement has been effected whereby sufficient supplies will be secured to meet the Dominion’s needs until the end of October. This, arrangement will obviate any dislocation of trade, dependent on sugar for at least three months from the expiry of the contract.”