CO885-(18-19) — Page 206

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restriction of her coasting trade to British ships. Newfoundland could however, withdraw from the treaty with Greece on giving twelve months notice.

The treaties with the following countries prevent the Colony from restricting its inter-imperial trade to British ships :-Austria-Hungary, Russia, Italy, Colombia, Salvador, Egypt, Greece, Japan, Uruguay, and probably also Paraguay.

The same treaties, with the addition of those with Liberia and Morocco, preclude Newfoundland from confining preference to British goods carried in British ships.

In the cases of the Greek and Uruguayan treaties, Newfoundland could withdraw on the termination of due notice.

Cape of Good Hope.-The treaty with Austria-Hungary prevents the Cape from restricting her coasting trade, and it may be held that that with Paraguay does so also.

The treaties with Austria-Hungary, Russia, and Colombia, and probably that with Paraguay, prevent the Cape from restricting her inter-imperial trade.

As to confining preference to British goods in British ships, the treaties which prevent this are those with Austria-Hungary, Russia, Colombia, Liberia, Morocco, and probably Paraguay.

Natal. The right of Natal to restrict her coasting trade to British ships is affected by the treaties with Salvador and Greece, and probably also by that with Paraguay.

The treaties which prevent her from restricting her inter-imperial trade in the same way are those with Austria-Hungary, Italy, Russia, Colombia, Salvador, Egypt, Greece, Japan, and probably also Paraguay.

The same treaties, with the addition of those with Liberia and Morocco, prevent the Colony from confining preferences to British goods carried in .British ships.

Natal could withdraw from the Greek treaty on giving twelve months' notice.

New Zealand.--The only treaty affecting the right of New Zealand to restrict her coasting trade to British ships that with Greece, but the Colony could, if she thought fit, withdraw from it on giving twelve months' notice. She has, in fact, already enacted the restriction in question.

The treaties with the following countries preclude the Colony from restricting her inter-imperial trade in the same way: Austria-Hungary, Italy, Russia, Colombia, Egypt, Greece, and Uruguay.

As to confining preferences to British goods in British ships, the treaties which prevent this are those mentioned in the preceding paragraph, with the addition of those with Liberia and Morocco.

New Zealand could withdraw from the Greek and Uruguayan treaties on giving twelve months' notice.

Australia. The position in regard to the Australian coasting trade is somewhat complicated by the fact that all the treaties which affect it were concluded prior to the formation of the Commonwealth. The treaties con- sequently, so far as they accorded rights in respect of coasting trade, only had originally in view the local coasting trade of the various States, the inter- State trade at the time being in the same position as foreign trade or trade between one British possession and another.

The treaties which affect the restriction of the Australian coasting trade to British ships are those with the following countries :-Salvador (applicable to the whole of Australia); Greece (applicable to all States except New South Wales); and Austria-Hungary so far as regards the coasting trade of Victoria. The treaties with Honduras (applicable to the whole of Australia) and with Paraguay (applicable to all States except South Australia and New South Wales) might also be impodiments in the way of such

restriction.

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