HC Deb 01 November 1946 vol 428 cc161-2W
Sir G. Fox

asked the Secretary of State for the Colonies on what grounds it has been decided to close down rubber production in East Africa; and how the cost of production in that territory compared with the cost of production in Malaya.

Mr. Creech Jones

The hon. and gallant Member has been misinformed. There is no ban on the production of rubber in East Africa. In view of the greater supplies of rubber becoming available from liberated areas in the Far East, it has no longer been necessary to continue the wartime arrangements whereby certain rubber properties were requisitioned and worked on Government account. East African producers are at present receiving 1s. 2d. per lb. from South Africa and the Board of Trade have supported this price by offering to purchase at 1s. 2d. f.o.b. all rubber which can be shipped before the end of the year. The cost of production of rubber, though it differs considerably between individual producers in both territories, tends to be considerably higher in East Africa than in Malaya. The recent decline in production in East Africa compared with the rapid increase in Malaya at current prices is a measure of the difference in their respective costs.