Page 52 - Bahrain Gov Annual Reports (III)_Neat
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                             from Bahrain, usually in the name of local merchants who had already sold the goods to the Kuwaitis
                             and sold at huge profits in the war inflated markets of Basrah and Baghdad. When the Kuwaitis
                             had been exploiting this trade for some time the Government tightened control of piece-goods exports
                             some of which were of Japanese make, as the local market would have to be restocked from India and
                             all shipping space was required for foodstuffs exported from India to Bahrain. Piece-goods of the
                             type used in Persia continued to be exported in Persian craft which brought meat on the hoof, wood
                             and charcoal to Bahrain. At first exports amounting to half the value of the imports were allowed,
                             this was revised later and exports equal to the imports were allowed.
                                  Owing to the difficulties in maintaining food supplies through local merchants at reasonable
                             prices the Government began to purchase foodstuffs cither direct from India or from the importers in
                             Bahrain. In April the Government ordered 10,000 bags of wheat from Canada which arrived in
                             August, supplies of sugar sufficient to last about six months were also bought. There were incessant
                             complaints from merchants that ro per cent profit on imported foodstuffs was not sufficient. They
                             argued that the money which they were compelled to pay out in India in order to obtain export
                             permits and facilities, which could not be shown on invoices, reduced the profit to a negligible
                             amount. When the quota system, allocating definite quantities of foodstuffs from India for Bahrain,
                             was being introduced the Government allowed 20 per cent profit on goods outside the quota and
                             10 per cent profit on quota goods. This arrangement was revised again before the end of the year when
                             merchants who imported under the quota were allowed 5 per cent profit and 10 per cent profit on
                             goods outside the quota.
                                  Rationing began in June. It became necessary in order to ensure that people could buy their
                             food at the controlled price and to prevent hoarding and profiteering by selling in the '* black market
                             In the beginning the use of ration cards was optional, later it became universal in the towns of
                             Manamah, Muharraq and Hedd. Until the end of the year the ration card system was not applied in
                             the villages.
                                 Rationing was based upon the population as determined by the census which was taken in 1941
                             and upon the amount of foodstuffs allowed out of India under the quota for Bahrain. Unfortunately
                             the quota for cereals was less than the actual consumption as the figure for the quota was based upon
                             an inaccurate estimate. The introduction of rationing in Bahrain was not such a difficult matter as
                             might have been expected. The census provided the information which enabled the authorities to
                             issue ration cards to householders with only slight adjustments, price control was an accepted thing
                             and people were already accustomed to buying sugar at Government shops. Rice, sugar, flour and
                             wheat were rationed. Only certain shops were permitted to sell these commodities and each month
                             the shops were changed giving all shopkeepers, in rotation, the chance to trade. Shops were stocked
                             either from Government supplies or by direct importers who were ordered by the Food Controller to
                             sell to retail merchants.
                                 Ration cards were issued on application to all householders ; they showed the number ot
                             residents, one adult being equal to two children. With each ration card a sale order was issued showing
                             the total quantity of rationed foodstuffs which the householder was entitled to buy in one month.
                             The sale card was endorsed by the seller and retained by the shopkeeper when he had sold the
                             authorized quantity. Eventually the sale cards were checked against the shopkeeper’s stock and were
                             also used to check the entries in the shopkeeper's ledger. For a short time rations were issued on the
                             scale of the police rations, 221 lbs. rice, 14 lbs. flour and 2 lbs. sugar per head per month but this  was
                             soon  reduced to 12 lbs. rice, 8 lbs. of flour or wheat, the sugar ration was increased to 4 lbs. It became
                             evident that this ration was sufficient as bakers and sweetmakers in Manamah and Muharraq ha\e
                             always been able to purchase sugar and flour from people who do not use all their rations in order to
                             make bread, cakes and sweets which they sell to the public.
                                 Ration cards were not issued in villages. An authorized shop in each village was supplied whh
                             foodstuffs from.Manamah according to the requirements of the inhabitants of the village,
                             end of the year this method appeared to be satisfactory. Before the war only three or four of the largest
                             villages possessed shops, country people were accustomed to doing their shopping either in Manama \
                             or at the weekly village markets. The opening of shops in the villages will decentralise trade rom
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