HC Deb 31 May 1937 vol 324 cc667-9
41 and 42. Mr. McEntee

asked the Secretary of State for the Colonies (1) how he proposes to allocate amongst the various sugar-producing Colonies the estimated increase of sugar consumption in the British Empire during the next five years which is assumed to be between 30,000 and 50,000 tons; and whether he is aware that the Uganda sugar producers alone estimate that at their present planting the exports of Uganda could, if not curtailed, expand from L000 to 42,000 tons per annum during the next few years?

(2) whether his attention has been called to the anxiety of Uganda sugar producers as a result of the statement which has been officially sent to them with regard to the outcome of the Sugar Conference; and if he can now state definitely what precise steps it is proposed to take to prevent Uganda from exporting during the next few years the greatly increased production of sugar which has been planted?

The Secretary of State for the Colonies (Mr. Ormsby-Gore)

I have now set up a permanent committee representative of all Colonial sugar producers to advise me on questions arising out of the application to the Colonial Empire of the International Sugar Agreement, and in particular the allocation between individual Colonies of the total export quota available for the Colonial Empire. The position of Uganda, together with the position of all other territories in the Colonial Empire, will be considered by that committee, which held its first meeting on 28th May; but until I receive its recommendations I cannot say exactly what quota will be available for Uganda. I should explain that the addition to the Colonial quota representing their share of the estimated increase in sugar consumption in the British Empire is expected to be between 30,000 and 50,000 tons in the first quota year. It is hoped that it may be larger in subsequent years as a result of the recent tendency for increase in consumption.

Mr. Morgan Jones

Is it a Departmental Committee?

Mr. Ormsby-Gore

It meets at the Colonial Office. It is representative of people connected with the sugar industry and the sugar business of all the sugar-producing Colonies.

Mr. Jones

Have the names of the Committee been made public?

Mr. Ormsby-Gore

I think I made some of them public on their recent arrival from the West Indies.

43. Mr. McEntee

asked the Secretary of State for the Colonies whether, in view of the fact that, under the International Sugar Agreement, it will be necessary to curtail drastically the export of Colonial sugar and also the stocks of sugar in the Colonies, arrangements will be made to compensate Colonial sugar producers who suffer loss or damage through having to cease sugar production or destroy their crops or plant?

Mr. Ormsby-Gore

I do not anticipate that the exports of Colonial sugar permissible under the International Sugar Agreement will fall short by any appreciable amount of the high record figure reached in 1936, while the provisions of that Agreement as to stocks permit the holding of stocks very substantially in excess of those normally held by Colonial producers in the past. In these circumstances no question seems to arise of compensating Colonial producers, who will of course benefit among other ways by the more stable prices which are expected to result from the Agreement.

Mr. McEntee

Is it not true that the growers in Uganda were encouraged to lay down larger stocks and more machinery, and is there not reason for compensation for growers and natives; and is alternative employment to be found for natives?

Mr. Ormsby-Gore

The hon. Member raises a great many questions which it is difficult to answer in reply to a supplementary question, but I would point out that Colonial sugar production has grown enormously in the last four years. The whole question is whether there should be further expansion at the expense of coming to an agreement with all foreign countries for future regulation of the sugar market.

Mr. McEntee

Will the right hon. Gentleman answer the last part of my question?

Mr. Ormsby-Gore

I do not see any likelihood of anyone being thrown out of work, as I have explained, under the International Agreement.