'File 9/24 I Post-war trade' [‎6r] (11/20)

V
CONFIDENTIAL .
No.3076-36/43.b.
Political Agency An office of the East India Company and, later, of the British Raj, headed by an agent. , Bahrain,
The 30th July, 1945.
From
To
Esq.,
C.J. Pelly, n 0.B,E., I.C.S.,
Political Agent A mid-ranking political representative (equivalent to a Consul) from the diplomatic corps of the Government of India or one of its subordinate provincial governments, in charge of a Political Agency. ,
Bahrain.
The IIon f ble the Political Resident A senior ranking political representative (equivalent to a Consul General) from the diplomatic corps of the Government of India or one of its subordinate provincial governments, in charge of a Political Residency.
in the Persian Gulf The historical term used to describe the body of water between the Arabian Peninsula and Iran. ,
Bushlre.
jm
Sub.1ect» Cotton placegoods from the United Kln/.;, 0 !a.
Sir,
I have the honour to say that some merchants in Bahrain
have had samples of cotton piecegoods sent to tht.m, without any
request being made by them, from American firms in the United
States of America. One merchant in particular, Mr. J.K. Khedouri,
who has for many years dealt entirely in British piecegoods has
expressed the fear that unless more piecegoods are made available
from the United Kingdom, American manufactures may, during the
period of restriction of imports from the United Kingdom, capture
the market. He points out that a particular pattern or design
of piecegcods, if once established in Bahrain and once having
acquired popularity with the people, would be difficult to oust
from the market.
2. The posJ tion regarding piecegood supplies for Bahrain
as I understand it (and I am liable to correction not being in
possession of all the facts) is somewhat as follows. Bahrain,
for her essential requirements during the war, has been considered
to be dependent on India and has been allotted a quota of 400
tons for 1945. At the same time there is an allotment of 96 tons
for 1945 from the United Kingdom and 76 tons from the Uaited States
of America. Imports from all sources for the years 1935-36,
1936-37 and 1937-38 were 2067 tons, 1672 tons and 1878 tons
respectively of which an average of 13# was from India, 3# from
the United Kingdom and 84# from Japan. Imports from the United
States of America were negligible.
3. Middle East Countries, through the Middle East Supply
Centre, are entitled to Cotton Board Replacement Certificates for
yarn, and manufacturers in the United Kingdom are able more
easily to supply their demands than is the case for Bahrain for
which releases of yarn are not provided foi. In effect, manu
facturers of piGcegoods in the United Kingdom report that without
yam releases they, even if they succeed in obtaining the piece-
goods for export, cannot supply them in any quantity or at a
price comparable with that for Middle East Countries for instance!-
Voil quality No.18944 has been quoted at 17i d. per yard
for Saudi Arabia.
Voil quality No.3j8944 has been Quoted at 30 to 36 d. per
yard for Bahrain.
4. Whilst therefore it may be desirable for Inaia to retain
her responsibility for meeting Bahraini essential requirements,
I am of opinion that every assistance should be given to merchants
to obtain a higher proportion of piecegoods from the United King
dom in order to retain what was at one time a predominantly
British market - a market which was last invaded by the Japanese