FEDERATION.

Auckland Star, Volume XXII, Issue 87, 14 April 1891, Page 2

FEDERATION.

(To the Editor.)

Sir,—Being very much pleased with your leader of the 9i*h instant on the above subject, would you allow me space for a few remarks ? I agree with you that it ia time the people of this colony were showing some active interest in this great question. The first thing is, how will ib affect us financially? It appears to me from the information at hand, assuming that there will be free trade between the federated colonies, that ib would stand thus:—l am not sure what is tha exact amount of duty paid on our bwo millions of exports, but ib will not average less than 15 per cent. That being so, the sum we pay will be £300,000. Then, if our loans were converted into three per cent, stock, our expenditure for interest would be reduced by about £400,000; and the burden of defence being taken off our shoulders would save another £150,000, as from 1884 to 1889 ib has average £179,000 per annum, These items total a sum of £850,000 that would ba saved by federating. From which we must deduct loss of revenue on imports from the other colonies (one and a-quarter million) at 15 per cento., £188,000 ; and our share of the Federal Government, 11s 5d per head, and a population of 650,000, would be in round numbers £372,000, in all £570,000, still leaving a balance in our favour of £280,000; and there can be little doubt that with our known superiority as an agricultural country, and free trade, the two millions that we now export to thoßO colonies would soon swell to four or more millions, and in all other industrial pursuits we can hold our own. Then we must nob ignore the effecb of the sympathy thab would be created between the different parts of the Federation, as a factor in drawing capital from other parts of the Federation to New Zealand, but also as drawing attention to ib in many other ways, especially in the direction of tho sanatorium of the Federation.

On the other hand if we elect to play a lone hand, we will have to meeb our own defence unaided, we will not be able to renew our loans at so low a rate, and our exports will have to pay such heavy duties that the markets of the Federation will be closed as effectually to all our industrial entsrpriee as if it were surrounded wibh a cordon of warships, for except in years of famine we could not compete, and even if we could, see bhe enormous loss to our people and how it would cripple our commerce, and consequently retard our progress. I have watched the doings of the Convention with very great interesb, and seeing thab by the Constitution Bill each colony will have complete control over its own internal affairs, it seems to me we have everything to gain by joining the Federation. And if it be nob shown at the nexfe meeting of Parliament that thero are other reasons more weighty why we should not do so, than the arguments which have hitherto been advanced, it would be folly to remain outside. —I am, etc.,

Nathaniel Wilson, Warkworth, April 13th, 1891.