FEDERATED
MALAY STATES
The Protected States comprise four Residences, namely, Perak, Selangor, Negri Sembilan, and Pahang. These have been federated, the federation taking effect from the 1st July, 1896, and the administration is presided over by a British Officer styled the Resident-General. Each State has its own Resident and the native rulers retain their titles and dignity. The head offices are at Kwala Lumpur, Selangor,
The record of these States is one of progress and prosperty. They enjoy to-day a revenue of $20,000,000, and an ordinary expenditure of a little over half that sum, while the trade is worth £10,000,000 sterling per annum, and the States have a credit balance of $10,000,000 and no debt. The High Commissioner in a despatch to the Colonial Office, published in November, 1903, remarks that these States have now 350 miles of railway (which have been paid for out of current revenue), yielding good income; they have 2,000 miles of roads ; and over 1,000 miles of telegraphs, Waterworks, Wharves, Hospitals, Prisons, Schools, and many other public buildings have been con- structed, while the Government of Perak is engaged upon an important scheme of Irrigation which will benefit about 60,000 acres of land and cost about $100,000. The principal sources of revenue and prosperity are the alluvial tin deposits which, at the present price of the metal, can be worked at considerable profit. About 600,000 tons of Tin, worth over £50,000,000 sterling, have been exported during the last fifteen Tin has been worked in the Malay Peninsula for centuries, and it is believed it will still be produced there centuries hence. The industry has grown of recent years to very large proportions, but it would take a long time to work out the alluvial deposits in the lands already alienated, and these comprise but a fraction of the unexplored lands which still remain, where there is every reason to believe the mineral will be found in payable quantities. This only applies to alluvial deposits, No one can guess what are the reserves of ore in underground rock formations, as at Kuantan in Pahang, Slin in Perak, and Jelebu in the Negri Sembilan. The Government has not, however, over- looked the fact that in the export of Tin its capital was being reduced, and it has made an effort to supply another and more useful investment by the construction of Railways, with part at least of the revenue. Since British Protection the royalty on Tin has yielded a total of over $60,000,000, and the Federated States have in the same time expended $29,000,000 in the construction of Railways. The profits give a return of over 6 per cent. on the capital expended.
Planting enterprise in the Federated Malay States has not hitherto proved very successful, but that has not been due to any lack of enterprise or hard work on the part of the planters, who, when one product failed tried another. The prospects of rubber according to the High Commissioner, are so good that, unless some unforseen disaster happens, the future is full of promise for those who have taken up this cultivation. The area at present under rubber (principally the Para variety) is given approximately as 16,000 acres. The sugar estates have done well, and will continue to earn fair profit so long as their machinery and methods of treatment are kept up-to-date. Over 40,000 acres of land are under cocoanuts, for which the soil and climate of these States are peculiarly well suited and cultivation of rice is only a question of irrigation and labour. The irrigation scheme in Perak is making but slow progress, but the success of every form of agriculture and of all the efforts of the Government to develop the country by means of railways, irrigation, and other great public works, depend upon an adequate supply of labour. To meet the demand the Federated Malay States have endeavoured, hitherto without success, to arrange for a direct line of steamers to carry Chinese labour from Canton to the ports of the Malay States. As regards Indian labour, the Govern- ments of the Colony and the Federated Malay States, supported by the planters, are making every possible effort, by an new system of recruiting and by offering higher wages and other advantages, to secure an adequate supply of Indian labour. The question of creating an agricultural department to foster agricultural interests, encourage the cultivation of new products, to conduct experiments and be a general source of information for planters is now under consideration. At the close of 1902 about 382 acres of land were under cultivation, and it may be mentioned that during the 12 months this land produced amongst other things about 14 million bushels of rice (unhusked), over 100,000 cwts. of tapioca, 57,000 cwts. of coffee, sugar worth a million and a half dollars. and
over 20 million cocoanuts.