HC Deb 29 May 1940 vol 361 cc526-7
15. Mr. Sorensen

asked the Under-Secretary of State for the Colonies whether he can make a statement regarding the disposal of the surplus of the present season's West African cocoa crop?

Mr. George Hall

As the answer is rather long I will, with my hon. Friend's permission, circulate it in the OFFICIAL REPORT.

Following is the answer:

The accumulation of stocks of cocoa in West Africa consequent upon the loss of normal pre-war markets, particularly in Germany, Holland and Scandinavia, has already created serious pressure on available storage space. The purchasing of the mid-crop is to begin next week and His Majesty's Government have had to reach a decision as to the best method of its disposal. Possible outlets in this country are limited both by the natural limitations of demand and by the difficulties of rendering available additional shipping for cocoa, except at the expense of more essential commodities. Every effort has been, and will continue to be, made to effect sales in the markets which still remain open, but it is unfortunately impossible to hope for any large immediate increase in those sales. The possibility of local utilisation, for example by conversion into cocoa butter, is unfortunately ruled out by the absence of plant and the impossibility of obtaining it at the present moment.

In these circumstances His Majesty's Government have decided, after full consultation with the Governments of the Gold Coast and Nigeria that the most economical procedure will be to destroy the mid-crop as it is purchased and those Governments have been authorised to proceed accordingly. The mid-crop cocoa is inferior in quality to the main crop and even if it could be stored locally any attempt to dispose of it concurrently with the new main crop which will be available later in the year would be merely postponing difficulties. It is also intended to destroy, as circumstances require, such other cocoa already in store, as is found on inspection to have become unfit for marketing. Losses of this kind always occur, though not on the scale expected this year, since normally little cocoa remains in West Africa so late in the year as this. If cocoa of inferior quality is not destroyed at this season it quickly breeds insect pests and becomes a menace to the new crop.

The total quantity which will eventually be destroyed cannot be stated at present. It will naturally depend upon the progress of sales in over sea markets during the remainder of the season. The position will be reviewed each month to ensure that the proper balance is maintained between destruction and sales.