GERMAN TRADING IN TONGA

Star (Christchurch), Issue 11755, 20 July 1916, Page 1

GERMAN TRADING IN TONGA

ENEMY FIRMS TO BE CLOZED DOWN

Tho Nukualofa correspondent of.the Auckland " Star " writes:—

Following close upon tho action of tho British Consul in Tonga in connec-. tion with tho liquidation of the D.H. and P.G., otherwise known as the " German Firm," the other German traders in the group were informed that their business- operations in the Islands must cease. But, apparently, and.' no doubt owing, to tile peculiar local trade conditions, these, business'houses will not closo down immediately. They still carry on, but stocks are gradually being depleted. In some instances the goods 1 are being taken over by some of the British firms. How. long this present arrangement will continue is not luiown, but at the mpment.it appears to stiit local convenience. Although presumably still trading, these enemy firms are prohibited from further importation of goods, so the end for. them is 'well in sight, and it should not- be long before Mr Aldred, tho liquidator, closes their accounts. It has to be remembered that, owing to hurricane visitation and other disastrous climatic disturbances during the' past four years, local trade conditions' have not been of that buoyant nature which turns the island traders' frowns to smiles, and consequently there has been very little copra coming forward. Copra, as is perhaps* known, is the backbone of industry in this group. We have other products, but just now they are not in sufficient quantity for export at agreeable prices. With the tremendous' shrinkage m the output of copra. in. recent years, the spending power of the community is not as business people would like it". Money is certainly scarce, and it is, perhap3, on this account that the German trader still carries. on, for •if these firms were put ; 4nto immediate liquidation, the stocks no doubt would come into *£he hands of the. public at greatly reduced prices, and as .a result the British trader yiews the- position from this, standpoint, and does not raise strong objection to the 1 present proceeding, knowing that the enemy trader will soon quit business.