COLONIAL SUGAR BUSINESS

Timaru Herald, Volume CXXXVII, Issue 19642, 9 November 1933, Page 7

COLONIAL SUGAR BUSINESS

RECORD CROPS LAST YEAR OVER-SUPPLIED MARKETS EXPLOITED United Press Association—By Electric Telegraph—Copyright (Received November 8, 9.50 p.m.) SYDNEY, November 8. The Colonial Sugar Refining Company’s profits for the half-year ended September 30, totalled £468,112, from which the company Is paying a dividend of 20/- and a bonus of 5/- per share, which absorbs £365,625. The balance, £102,487, when added to the balance at March 31, of £368,296, makes £470,783 at the credit of the profit and loss account. The Board is placing £IOO,OOO to the reserve fund. Report on Operations. The report says that weather conditions in Queensland and New South Wales have been very satisfactory, and the yield of sugar only slightly below the record of last season. There was a shortage of rain in Fiji, which will affect the 1934 crop more than the current crop. At the shareholders’ meeting to-day, the chairman, Mr E. R. Knox, in moving the adoption of the report, referred to the severe loss experienced by the company by the death of Sir E. W. Knox, late chairman and managing director. He said the present Board would do all in its power to maintain the standard and traditions set up by the late esteemed chief. The cane crops in Australia this season would yield over 600,000 tons of sugar, which was a record. Arrangements had been made to sell the surplus sugar overseas. Approximately 280,000 tons were being shipped to Great Britain and Canada. The prospects for next year also indicate another heavy output. The outlook in Fiji, however, was not promising, owing to the long dry spell. Outlook Reviewed. Referring to the position generally, the chairman said: “We still find ourselves offering abroad our surplus sugar in a dead and over-supplied market, due to increased plantings of sugar beet in Europe and elsewhere, stimulated by high protective tariffs. This is certainly most embarrassing to Cuba and Java, which have hitherto supplied a large proportion of the world’s requirements. We, however, have the advantage of the British and Canadian preferential tariffs, without which our position would be almost disastrous. Heavy Taxation Abroad. The chairman added: The continuous resistance to the excessive taxation on the company’s lands in various States had been reasonably successful. Mr David Wilson was appointed to the vacancy on the Board caused by the resignation of Mr J. W. MacArthur Onslow. The report was adopted. The meeting resolved that the further remuneration to the directors should be fixed at £250 each year, and provision made for an additional allowance to the chairman for the extra services and responsibilities attaching to his post, above those of the other directors. Widening Scope of Company. A special general meeting followed, at which the chairman submitted a resolution making amendments in the deed of settlement, the main object of which is to permit the company to extend its activities and avenues for investment beyond the present sphere and territory, thus affording greater freedom of action, whether inside or outside Australia, New Zealand or Fiji.

The meeting agreed to the whole of the amendments.