HC Deb 04 March 1953 vol 512 cc375-6
20. Mr. Beresford Craddock

asked the Secretary of State for the Colonies the position regarding the establishment of a cement industry in Uganda; the original estimated cost of establishing the industry; the present estimated cost; and how it compares with the capital employed in establishing the cement industry in Northern Rhodesia and in Jamaica.

Mr. Lyttelton

The cement factory at Tororo, which is expected at first to produce 55,000 tons a year, started work last month. In 1948 the cost of establishing the industry was estimated at £1,155,250; the most recent estimate is £2,451,000. The cement industries in Northern Rhodesia and Jamaica cost £1,335,000 and £995,000, respectively.

Mr. Craddock

Is there any explanation for this extraordinary difference between the original estimate and the actuality?

Mr. Lyttelton

There are three main differences. Firstly, it was estimated that a standard cement works would be suitable, but that was found not to be so; secondly, the devaluation of sterling in relation to the Italian lira, by which the plant was purchased; and thirdly, the general rise in costs of labour, transport and machinery during the period.

Mr. Dodds-Parker

Will my right hon. Friend say what the delivery price of cement is compared with imported cement in Uganda?

Mr. Lyttelton

I think I had better see that question on the Order Paper.

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