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3. I am informed that owing to the high cost of coal, and expensive
transport, the cement manufactured in this factory An East India Company trading post. will be of little use except
in the proximity of Tehran. Railway contractors are, in accordance with
their contracts, entitled to purchase cement from Government stores at 400
rials (£5) per ton : the actual cost of production at the local factory An East India Company trading post. is said
to be considerably over this figure. The Japanese have delivered cement
GIF Gulf port at about 28<s. a ton.
4. There is no further news of the erection of the four new factories,
the call for tenders for which was reported in my despatch No. (B) 184 of 16th
October 1936. It is more than likely that the project has been postponed
indefinitely on account of the financial crisis. The Soci6te GOierale de Con
struction, which issued the call for tenders, has been liquidated.
5. A copy of this despatch is being sent to the Foreign Secretary to the
Government of India under No. C. 1. and the Commerical Secretary, British
Embassy at Baghdad under No. C. 3, of todays’ date.
( 34 )
Despatch from His Majesty’s Minister, Tehran, to His Majesty’s
Secretary of State for Foreign Affairs, London, No. 48-E/E.
31-2-37, DATED THE 8TH FEBRUARY 1937.
With reference to your despatch No. 475 (E 7367/345/34) of 1st December
last, and previous correspondence relating to conditions at Bandar Shahpur
and at Khorramshahr since the fire at the Customs at the latter port, I have
the honour to transmit herewith a note by the Commercial Secretary to this
Legation on the congestion and confusion reported to exist at these two ports
at the present time.
2. I am sending copies of this despatch to the Department of Overseas
Trade No. 231/2/37 and to His Majesty’s Consul-General at Bushire No. 10
and to His Majesty’s Consul at Ahwaz No. 10 in case the latter are able to
supply additional information on this subject.
p. —Since this despatch was drafted, I have been informed by the
Tehran manager of the Anglo-Iranian Oil Company Limited, who has just
returned from Abadan, that the Iranian Government recently made an
appeal to the Company to assist them in reducing the congestion. Asa
result the company made arrangements to instal cranes and other necessary
machinery and a few days ago the clearance of motor cars and spare parts
was proceeding at satisfactory pace.
Enclosure to S. No. 34.
Note by the Commercial Secretary, British Legation, Tehran, on
Congestion at Gulf ports.
I was told yesterday that the congestion and confusion at Gulf ports is
getting worse. One British steamer with cargo for Khorramshahr landed it
all at Basra ; a German steamer after waiting for four days (at a cost of £80
per diem) reported that it would have to land its cargo elsewhere. At Bandar
Shahpur where only one ship can come alongside at once, five were in
port the other day. A report in to-day’s Journal de Teheran says that an
Italian and German steamer were damaged at Bandar Shahpur during a sud
den storm. Unloading facilities have changed little recently, though to
day instead of the ordinary hand-hauled cases, huge pieces of machinery,
Diesel engines etc., are daily being imported owing to railway construction and
industrialisation.
2. At Khorramshahr fifty meter cars fell into the sea. Two lighters full
of motor spare parts which had been waiting indefinitely to be unloaded,
gradually filled with water and sank. Total losses are said to amount to
460,00 tomans 10,000 Persian dinars, or a gold coin of that value. (£50,000). The loss of spare parts is particularly important