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GJ UNIVERSITY o r •-•T-IAND LIBRARIES JMAIN LIBRARY. ' 1 M L 0 E 2 "An obsession of coconut plant THE6227. 13/09/88 WAIN THE contemporary view of Kulon plantation, Gazelle Peninsula "An obsession of coconut planting": expropriated plantations on the Gazelle Peninsula of the Mandated Territory of New Guinea 1914 - 1942 by Peter Henry Cahill* MA A thesis submitted to the University of Queensland for the degree of Doctor of Philosophy Department of History, August 1987 'NiiVERSITY OF QUEENSLAND LIBRARIES J MAIN LIBRARY The work described in this thesis is, to the best of my knowledge and belief, original except as acknowledged. I hereby declare that I have not submitted this material in whole or in part for a degree at this or any other university. ABSTRACT This thesis is an examination of those coconut plantations on the Gazelle Peninsula of New Britain which were expropriated from their German owners as a result of the Australian occupation of New Guinea in September 1914. The period covered is from that date until the Japanese occupation of New Guinea in January 1942. As an historical study the thesis is concerned with those plantations (although comparisons are made with plantations in other areas of New Guinea), rather than with an individual plantation or all the plantations on the Gazelle Peninsula or in New Guinea. Three distinct divisions fall within the period examined: those of the Military Administration (1914 - 1921), the Expropriation Board (1921 - 1927), and the Civil Administration (1927 - 1942). The Gazelle Peninsula was selected for examination as it was developed as the centre of the coconut plantation industry, and at the time of military occupation by Australia most of the important plantations had been laid out there. Others had been established on nearby island groups and parts of the mainland. There are two main themes. The first is that because the economy of New Guinea depended almost entirely on the production and export of copra from coconuts, and the ancillary and auxiliary services this generated, the plantation industry was vital to it. Yet the Australian government allowed expropriated plantations to be seriously neglected whilst under the "care" of the Expropriation Board, and then permitted the Australian firms of Burns, Philp & Co. (hereafter "Burns, Philp"), and W.R. Carpenter Pty Ltd (hereafter "Carpenters"), to control most of the industry either through acquiring plantations or enjoying the monopolies of shipping services and commercial trading. The second theme is that after enthusiasm for the "new possessions" had faded, Australia realised that New Guinea was an encumbrance rather than an asset. On several occasions it was suggested that all or part of New Guinea might be given away, but the mandate was irreversible and Australia was compelled to carry on administering its "sacred trust". From the date of occupation the Australian government made it very clear that New Guinea had to be self-sufficient through the revenue it raised, but the world depression of the 1930s and the collapse of the copra market meant that Australia had to provide very considerable assistance to plantations to keep them from bankruptcy. As they were the main source of government revenue through taxes and initially the main source of employment for villagers to earn money to pay their annual head tax, the influence of plantations remained strong and the planters of the Gazelle Peninsula became the most vociferous group of Europeans in New Guinea. Chapter One of this thesis is a background summary of German interest in the Pacific which resulted in the search for labour along the New Britain coasts and the recognition of trade possibilities there, the annexing of New Guinea as a Protectorate for the Neu Guinea Kompagnie to administer, the settling of traders and their acquisition of land to plant coconuts, and the withdrawal of the Neu Guinea Kompagnie in favour of the Imperial German government which saw certain areas of the Protectorate pacified, settled and laid out as coconut plantations. Chapter Two examines the occupation of New Guinea by an Australian military force, the administrative confusion following the lack of positive direction from the Australian government and the effects of this on the established plantations, and the gradual realisation that Australia intended to keep the colony at the end of the war. Chapter Three looks at the expropriation of German plantations, how appeals were handled, the position of Christian Mission plantations, the end of the Military Administration and the commencement of the civil Administration, and the early problems of the Expropriation Board. Chapter Four tells of mounting criticism of the deterioriation of valuable plantations under the "care" of the Expropriation Board, the preparation of inventories of expropriated properties for international tender, the way in which they were put up for tender and the first suspicions that Burns, Philp and Carpenters were moving behind the scenes to acquire as many plantations as possible, and also outlines the attempt of the German-sponsored Melanesia Company to regain German equity in the plantations. Chapter Five traces the way Australian civil Administration struggled to maintain New Guinea after the Expropriation Board was wound up, the problems of the world depression, the steadily increasing grip of Burns, Philp and Carpenters on New Guinea, and its vulnerable position dependent on a one-crop economy. Chapter Six sums up and offers conclusions based on the preceding chapters which, with the benefit of hindsight, appear self evident. But it is always easy to be wise after an event, and easier still to criticise actions of nearly seventy years ago from the vantage point of today. CONTENTS Chapter One - The German background 1882-1914 THE ADMINISTRATION OF THE NEU GUINEA KOMPAGNIE . Introduction 1 . German colonialism 2 . Annexation 5 . Land 5 . The Neu Guinea Kompagnie 10 . The official move to the Gazelle Peninsula 13 . Labour 15 . Trade 18 . Missions 19 . The end of the Company period 22 THE IMPERIAL GERMAN ADMINISTRATION . Land 23 . European plantations 34 . Mission plantations 44 . Native plantations 46 . Labour 51 . Chinese labour 53 . Trade 54 Chapter Two - The Australian Military Administration 1914-1921 . Capitulation and occupation 61 . Plantations 7 3 . Labour 87 . Commerce 103 . Trading 109 Chapter Three - The early Board years 1920-1923 . The mechanics of expropriation 120 . The prize 123 . "Kicking out the Hun" 125 . Appeals against prescription 132 . The Military Administration ends 135 . The Board commences operations 137 . Land titles 140 . Labour 146 . Expropriation Board staff 156 Chapter Four - The later Board years 1923-1927 . Criticism of conditions 167 . Plantations 173 . Disposing of the plantations 181 . Selling the plantations 188 . Labour 202 . Economic development 213 . The end of the Board 233 Chapter Five - The Australian Civil Administration 1928-1942 . Developing the plantations 236 . Compensation for incorrect palm counts 240 . The economics of the industry 241 . Native plantations 251 . Labour 253 . Copra 266 . Economic development 277 . The industry in trouble 286 . Relief for planters 288 . The depression years 302 . The eruption 307 . Dummying revisited 310 . The destruction of titles records 313 . The end of an era 314 Conclusion 315 Appendix A purchasers of First Group properties 332 Appendix B purchasers of Second Group properties 333 Appendix C Third group properties 335 Appendix D extracts from "Sepik River Expedition" 336 Bibliography 338 PLATES Contemporary view of Kulon plantation Gazelle Peninsula frontispiece Staining the Australian flag 95 Natives undergoing N o.l Field Punishment in the gaol at Rabaul 98 Diagram of one type of Ceylon copra drier 270 MAPS Sketch survey of the north-east portion of New Britain 1878-9 11 Approximate plantation locations on Duke of York islands 1900 20 Native reserves and plantation areas on the Gazelle Peninsula 1914 27 European plantations on the Gazelle Peninsula and Duke of York islands, ca. 1906 38 Approximate plantation locations on Duke of York islands 1940 267 Plantations on the Gazelle Peninsula as at January 1942 331 TABLES Native lands acquired by the German government 28/30 Coconut plantation areas 1901/1913 Gazelle Peninsula 50 Gazelle Peninsula coconut plantations - 1920 155 New Guinea copra production 1913/1928 217 New Guinea copra exports 1928/1940 245 Government plantations in New Guinea 247 New Guinea - number of plantations 250 Labour employed on all plantations in New Guinea, 1929-1940 260 New Guinea copra exports 1913/1928 272 Dessicated coconut production in New Guinea 280 Comparative values of gold and copra production and percentage of total annual exports 1914-1940 284 Plantations alleged by T.L. McAlpine to have been acquired by dummies for W.R. Carpenter & Co. 311 INTRODUCTION Early movements of European1 adventurers, trading vessels, naval o explorers and missionaries in New Guinea are well recorded, but the country remained of only casual interest to European settlers until the successes of German trading firms in Samoa demanded more labour for the coconut plantations being established there. In the search for labour, ships of the firm of Godeffroy <5c Son visited the coasts of New Britain, the Duke of York islands and the west coast of New Ireland. Their captains saw the trade possibilities with the natives and by about 1870 traders were settled along the coasts, usually close to Port Hunter in the Duke of Yorks (see map p. 11) which was then the hub of European activity in the New Britain Archipelago. Traders soon realised that buying land and planting coconuts on it (as was done in Samoa) would guarantee a regular and reliable source of copra, and this caused a demand for land which the Duke of Yorks could not meet. The more adventurous Europeans crossed to the Gazelle Peninsula where land was acquired and the first commercial coconut plantation laid out in 1882. New Guinea was annexed by Germany in 1884 and given to the Neu Guinea O Kompagnie to operate as a commercial venture.