British Mandate: A Survey of Palestine: Volume II - Page 988

CHAPTER XXVI.

BOARD'S WAR WORK

8. In pursuance of the discharge of the duties entrusted to it, the Hoard, in conjunction with the various control authorities, has during the war years devoted itself to the encouragement of local production with a view to meeting military demands and providing substitutes for goods unobtainable from overseas or the procurement of which from abroad would be wasteful of shipping space; to the restriction of imports to the minimum required to maintain the population on an emergency basis within the limits of quotas allocated to Palestine; and to enforcement of control over internal distribution and prices. The investigations carried out by the Cost Accountant into Army and R.A.F. contracts have resulted in savings to the military authorities amounting to cover £P.1,000,000 and have had, in general, a stabilizing influence on price levels.

NATURE OF PRESENT FUNCTIONS OF BOARD.

9. Following the cessation of hostilities and the consequent improvement in the shipping and supply position, the original terms of reference of the War Supply Board, in so far as they relate to the manufacture of military stores and the conservation of shipping space in the interests of the war effort, have largely become inapplicable to existing conditions. The emphasis of the Board's activities has accordingly passed from measures necessitated by wartime exigencies to the procurement of supplies for the civilian population with a view to lowering the cost of living; assistance to local industry, including the importation of raw materials; the development of export trade; the grant of support to the citrus industry; and a number of other matters appertaining to the reversion of Palestine economy to normal conditions. In view of the nature of these last services and the likelihood of their being maintained as a permanent feature of the Palestine administration, the transformation of the War Supply Board into a Department of Commerce and Industry has been decided upon in principle by Government and the date of the implementation of this decision is now under consideration.

RELATIONS WITH M.E.S.C. AND B.S.M. (M.E.).

10. Prior to the dissolution of the Middle East Supply Centre on the 1st November, 1945, the War Supply Board worked in close collaboration with the Centre and acted as its territorial representative in Palestine.

11. The Middle East Supply Centre was set up in Cairo in April, 1941, as a partly civilian and partly military organization under the control of the Ministry of War Transport in the U.IL As from

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