British Mandate: A Survey of Palestine: Supplement - Page 105

(p. 833) (§ 28)

Gross expenditure on subsidization of essential commodities in 1944/46 AND 1946/47.

Commodity or service

1944/45

1945/46

I 1946-47 Estimate

LP. LP-.-- LP.
Cereals 2,878,680 1,818,740 1,820,000
Meat 2,758,259 1,595,131 215,000
Fats and oils 17,005 4,169 27,000
Dairy produce, vegetables 242,488 ) 99,780 32,000
Pulses 13,410
Sugar and beverages 1,783 8,239 -
Textiles 184,627 271,845 257,000
Fish S0,010 17,496 -
Transport 429,889 102,945 -
Total 6,555,651 3,918,345 2,351,000

All surcharges were removed early in In 1947 as Government's contribution to the reduction of the cost of living.

(§ 29)

The meat subsidy was discontinued as from the 1st April, 1946 and subsidization is now (May, 1947) mainly devoted to the production of standard flour for bread at an estimated cost to Government of about £P.2,000,000 a year. The quantity of bread grains imported in the last three financial years was as follows :-

1944/45 1945/46 1946/47
Wheat 106,875 129, 154 102,000
Barley 64,498 59,876 58,000
Wheat flour 25,715 4,221 18,000
Other flour 15,085
Millet 1,672
Total 213,845 193,251 178,000 (§ 31)

There is little doubt that the subsidization policy has been successful in mitigating inflationary tendencies. The fact that the very strong inflationary forces were not allowed to exert their full influence on the price level of essential foodstuffs in Palestine, is illustrated in the following table :-

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