Royalties

Oral Answers to Questions — West Africa – in the House of Commons on 9th December 1942.

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Photo of Mr Reginald Sorensen Mr Reginald Sorensen , Leyton West

asked the Secretary of State for the Colonies the total amount of royalties paid, respectively, to West African Governments and private companies or persons during the past 10 years; and approximately how much of that is transferred to this country.

Photo of Hon. Oliver Stanley Hon. Oliver Stanley , Westmorland

As the reply is rather long and contains a number of figures, I will, with my hon. Friend's permission, circulate it in the OFFICIAL REPORT.

Photo of Mr Reginald Sorensen Mr Reginald Sorensen , Leyton West

Meanwhile could I take it that a larger portion of these royalties comes to this country than is used in the Colonies themselves?

Photo of Hon. Oliver Stanley Hon. Oliver Stanley , Westmorland

No, Sir. By far the greater part of the royalties are paid to the Governments of the respective Colonies in West Africa.

Following is the reply:

The only case in West Africa in which private interests receive a share of Government Royalties is in Nigeria where the successors of the Royal Niger Company receive half the Royalties in respect of a defined area. Their half share during the last ten years amounts to £1,153,744. I have no information as to how much of this sum has been transferred to this country.

As regards Royalties paid to the West African Governments, the following are the figures asked for:

Nigeria£2,378,611
Gold Coast£691,330
Sierra Leone£146,540

In addition to Royalties, the mining industry in the Gold Coast and Sierra Leone also pays to the West African Government taxes in the form of export duties and profits tax. The total amount of these taxes during the last ten years for which figures are available is £3,923,068.