WORLD'S SUGAR.

Auckland Star, Volume LXVIII, Issue 100, 29 April 1937, Page 7

WORLD'S SUGAR.

Conference Reaches Stage of

Agreement. TEXT OF CONVENTION. (Received 12.30 p.m.) LONDON, April 28. A communique from the International Sugar Conference, now sitting in London, announces that a stage has been reached where it is possible to indicate the main lines of an agreement to be embodied in a convention. The communique says the aim is maintenance and extension of a free market, the latter by promoting increased consumption.

It is proposed that the agreement shall run for five years. Delegations are agreed on the basic quota figures, with a special arrangement on the first year. Some countries are willing not to use parts of the quota for 1937-38.

It is also expected that some will be unable to export the whole of their allotted quota during the first year, but all exporting countries agree in the first two years to a general and proportionate reduction of quotas not exceeding 5 per cent a year, if a permanent controlling body, to be established, decides that this is necessary.

On the contrary, if requirements of a free market exceed the aggregate quotas, the permanent body may increase all quotas proportionately.

The communique adds that quotas are not so restricted as to arouse fears that supplies will be inadequate or prices forced up unduly to the prejudice of consumers.