The Hague, Mar. 19.
The Netherlands government, in 'a communique to-day states that the British and Netherlands governments have come to the conclusion that it is impossible in Present conditions to frame and operate an international scheme to guarantee the effective regulation of the production and export of similar statement, it is learned, was made by the Colonial Office in' London to-day.
During the past two years no Jess than 144 different rubber restriction schemes have been submitted to the Netherlands Government, most of which were useless declares. a Netherlands rubber authority "when interviewed by Reuter, This authority added that the quota" scheme hada change but examination " showed. that fMcultics in Malaya were in-mountable.
Av large increase in the world's stocks will result from the situation arented by. the decision of the British and Dutch governments that no restriction scheme is feasible Reuter.
London, March 20 In connection with the British and "Netherlands "governments? rejection of rubber restriction Schemes evolved by British and Netherlands interest it is pointed out. that conditions now are. very; alifferent from those in which the Stevenson restriction scheme" was inaugurated, The United States is the largest consumer of rubber and she has accumulated an enormous. amount 6f. rubber while the potential out-larger, mut of the world is mow much
in suggested that the decision of the two governments" may lue to disagreement in regard to the form of restriction, and they may have been influenced by the fact that no scheme for the restriction of output of any commodity has been successful during the present world slump.
The opinion is expressed that the decision may mean the failing of the vapid expansion of for: rubber and. that the Seales demand
will "ber forced out of "it ie understood thatthe final scheme rejected by the British and Netherlands governments provided for restriction of production Huropenn plantations to 45. per: ent. of the 1020 output anda Proportionate reduction in" the in native output, Mar. 30 Tt. is, authoritatively stated' tonight that no. further conferences In'regard to effecting an agreement for regulation of the production and export of rubber "are -contemplated, That the rubber industry will now have to work out. its own salvation, without the least prospect of aimittion of production, is the low "in well-informed quarters, who declare that a tentative agreenent between. Britain and. the Netherlands could have been reachced but for difficulties In estimating the "production of. native-grown rubber in the Netherlands - East Indies. It was in this connection, itis stated, that. the negotiations definitely broke down.
From a variety of complexities it learnt that the negotiators agreed to three fundamental points A scheme which led would more "harmful to. thi industry than'no scheme at ball 2. No scheme woul be of any use that woul not vestrier, both native and European production.
Any scheme must reduce production to. such an extent" that, within a reasonable period, exist: ing. stocks -sheuld be reduced normal proportions, namely, east fifty, per cent.
The announcement that no further "rubber conferences are contempted "has "been received here h'a. certain feeling of relict Gave Reuter, from Batavia) because, whatever the decision, it is considered better than the uncertainty prevailing in past months. The decision is suid to agree with the. view of the: majority of the advisors tothe Government of the Netherlands Hast Indies.
Great importance. is. attached in Batavia to. the fact that' England and the Netherlands are not de-Pendent upon each to agree on non-intervention. This means that there will be no ill-feelings.
The announcement, it is believed in Batavia, means 'a sentence of b death to small and_uneconomi equipped plantations and the survival of the fittest.
Native growers will be pri unaffected. They have
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