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country and others, and he believed that if New Zealand sent an authorised representative to Washington during the Congress an advantageous arrange- ment could be made.

Turning to the political situation in New Zealand, Sir Joseph Ward said there must be a new Cabinet, and it must be a strong one, but he could not speak yet of its constitution. He bore eulogistic testimony to Mr. Hall-Jones's ability in the Premiership, and denied emphatically that there was any unfriendliness between them. Speaking generally, he believed that the cardinal features of the late Mr. Seddon's policy should be followed, but he would make a definite policy statement shortly.

Sir Joseph Ward had nothing to do with the negotiations for the new mail line. Mr. Chapman conducted them. Sir Joseph Ward will ask Parliament to renew the San Francisco mail subsidy. He had a long interview with the Oceanic Company, which had encountered difficulties. overcome, and he believed the service would be continued, with the assistance These would be of New Zealand.

42501.

No. 20.

The HIGH COMMISSIONER FOR SOUTH AFRICA to the SECRETARY"

OF STATE.

(No. 950.)

MY LORD,

(Received November 15, 1906.)

[Answered by No. 21.]

High Commissioner's Office,

Johannesburg, October 29, 1906. WITH reference to my despatch No. 447 of May 28th,* I have the honour to transmit to your Lordship copies of the replies of the various Governments to my circular despatch of April 28th, inquiring what had been the effects of the preference accorded to British goods imported into the South African Customs Union since it came into operation in 1903.

I have, &c.,

SELBORNE,

Schedule of Enclosures.

High Commissioner.

1. Lieutenant-Governor, Orange River Colony, No. 30, May 11, 1906.

2. Governor, Natal, No. 160, May 21, 1906.

3. Acting Lieutenant-Governor, Transvaal, No. 25/26, May 28, 1906.

4. Governor, Cape, No. 193, June 19, 1906.

5. Administrator, Southern Rhodesia, No. 202, October 18, 1906.

Enclosure 1 in No. 20.

(Orange River Colony, No. 30.)

MY LORD,

Lieutenant-Governor's Office,

Bloemfontein, May 11, 1906. WITH reference to your despatch Orange River Colony No. 15/91, dated April 28, I have the honour to forward to you, for your information, a copy of a statement by the Collector of Customs, Orange River Colony, showing the growth of British trade with South Africa.

It is regretted that it has not been found possible to show more exactly the effect of the preference accorded to British imports into the Orange River Colony.

His Excellency

The Earl of Selborne, P.C., G.C.M.G.,

&c. &c. &c.,

I have, &c.,

H. GOOLD-ADAMS,

Lieutenant-Governor...

Governor, Orange River Colony, Johannesburg.

21541; not printed..

SIR,

79

Collector of Customs Office,

Bloemfontein, May 10, 1906. With regard to the request of his Excellency the High Commissioner to be furnished with a statement which would show the effect so far as that is possible of the preference accorded to British imports into this Colony in the last few years, I have the honour to state that previous to the establishment of the Statistical Bureau, the Maritime Colonies, in the posting of goods entered for consumption in this Colony, did not discriminate between British and foreign goods; consequently it would be impossible to show in detail the increase in the volume of imports from Great Britain during the first two years in which the preference has been in operation.

A review, however, of British trade with South Africa as a whole might be of interest.

In 1903 the value of imports into South Africa reached high-water mark, amounting to 53,000,000l., of which 60 per cent. was British goods from the United Kingdom, 10 per cent. from British Possessions, 20 per cent. competing goods and 10 per cent. non-competing goods from foreign countries.

In 1904 the volume of trade receded to more normal proportions, the value of imports being 35 million pounds, of which 62 per cent. was from the United Kingdom, 14 per cent. from British Possessions, and 16 per cent. competing goods and 8 per cent. non-competing goods from foreign countries.

In 1905 the total value of imports amounted to 34 millions, 63 per cent. British, 21 per cent. from British Possessions, and 16 per cent. from foreign

countries.

In the Cape Colony and in the Transvaal the British Imperial share of the trade in 1905 was 75 6 per cent.; in Natal, 74 1 per cent. ; in the Orange River Colony, 92 5 per cent.; and in Rhodesia, 74.7 per cent.; while the foreign share (including goods shipped from British ports) in the Cape Colony was 24 4 per cent.; in Natal, 25 9 per cent.; in the Transvaal, 24 4 per cent.; in the Orange River Colony, 7.5 per cent.; and in Rhodesia, 25.3 per cent., which shows that, from a British point of view, the trading tendencies of South Africa generally, and the Orange River Colony particularly, were of a very healthy character.

Of course it would be impossible to say to what extent the preference accorded to British goods was a contributory cause to this satisfactory condition of British trade with this Colony, but, taking into consideration that notwithstanding the shrinkage in the volume of trade in general since 1903, the British position in the market has not only been maintained, but gradually improved, it is reasonable to assume that this is largely due to the preference.

The Hon. Colonial Secretary,

Bloemfontein,

Enclosure 2 in No. 20.

(No. 160, Natal.)

I have, &c.,

J. H. MEIRING, Collector of Customs.

Government House,

Pietermaritzburg, Natal,

May 21, 1906.

MY LORD,

WITH reference to your despatch No. 13 of the 28th April, I have the 'honour to transmit to you a copy of a memorandum by the Collector of Customs dealing with the effect of the preferential treatment accorded to British goods imported into this Colony.

His Excellency the High Commissioner

for South Africa,

&c. Johannesburg.

&c.

&c.

I have, &c.,

HENRY MCCALLUM.