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Ch. 5: Part III: Worst Crisis in Diamond Industry

Ch. 5: Part III: Worst Crisis in Diamond Industry Page of 688 Ch. 5: Part III: Worst Crisis in Diamond Industry Text size:minus plus Restore normal size   Mail page  Print this page
WORLD CRISIS AND WORLD LEADERSHIP                      289
The conclusion to which all this reasoning inevitably led was that it had become
essential for the general stability of the industry and trade that the closest co-operation should be established between the South African Government sales office and the corporation as regards method of selling, parity in prices, assortment, etc.
Certain suggestions were made in the early part of this year regarding the creation of a non-statutory board consisting of representatives of the Government and of the Diamond Corporation. . . .
At the time it was the view that there were certain insuperable objections to the institution of such a board. On further consideration it is now felt that with, perhaps, some minor modifications of the original scheme, the appointment of a consultative body in connexion with diamond sales would be an important and helpful factor in creating closer co-operation with the Government, and perhaps result in consolidation of the two sales offices in South Africa.
It is our intention to discuss this matter with the Honourable the Minister of Mines, Mr. A. P. J. Fourie, in London on his return from the Ottawa conference.
♦ XV ♦
The 'certain suggestions' to which the document cited referred had indeed arisen out of the verbal and written discussions conducted between the consulting engineer to De Beers, Mr. H. T. Dickinson, and Dr. Pirow, the Government Mining Engineer, and had been debated between Mr. Fourie and Ernest Oppenheimer in the critical days before the final break-down of negotiations relative to the closing down of the Kimberley mines and of the Premier Mine. The long account which Ernest Oppenheimer gave to the board of De Beers on 16 February 1932 (which appears to be, it may be added, the sole source of reference for certain aspects of the then situation) makes it clear what the point of difference was, which, at that time, made a settlement impossible. Dickinson reported to the board that 'they had commenced by discussing the question of the formulation of a comĀ­mittee for the purpose of discussing questions which might arise in connexion with standard assortments and the maintenance of parity of prices, and generally to supervise the arrangements in force as far as the supply of diamonds to cutters was concerned . . .'. Mr. Dickinson later reported that 'he had a further discussion with Dr. Pirow a couple
Ch. 5: Part III: Worst Crisis in Diamond Industry Page of 688 Ch. 5: Part III: Worst Crisis in Diamond Industry
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