A BAD OUTLOOK. SOUTH AFRICAN AFFAIRS.

Evening Post, Volume LXXIV, Issue 78, 28 September 1907, Page 11

A BAD OUTLOOK.

SOUTH AFRICAN AFFAIRS.

JJEI'KKHSION AT UAPKTOWN. Tho gonornl frdinjt wliicli obtains in comnwrcinl circlos in Capetown (bays a despatch <la(orl 20th Aupust) is Unit the iinuncinl position must yot become considerably worse boforo bettorment comes about. Tho dismal hopo is expressed that tho sooner tho inovitabb crash comes tho better, us tho ixir will be cleared the hoonor. Thcro have- been several recent insolvencies on a considerable scale, which go to show to whafc extent tho present depression is duo, not to natural but artificial causes brought about by speculation gone mud. One man refused an offer of a certain institution, made at tho height of tho boom, of £75,000 for a corner property which he picked! up at a. comparatively low figure. Ho wanted another £5000. After a few days he reconsidered his decision, and intimated his willingness to reopen negotiations. He was told he need not trouble, as the institution had meanwhile bought another propeity at £75,000. To-day probably neither property would fetch half that. There is a. considerable section in Capetown today, half of whom arc vainly legretting that they refused, offers received during the boom, and tho other half are vainly regretting the acceptance of offers they made. THE EX-STEIKERS. A deputation, representing those Rand strikers who are still out of employment, had a private interview with tho Prime Minister last month. No official statement as to the result had been made, but the News understands that the subjects put forward for consideration included i proposals in connection with repatriation. It was suggested that, as enquiries were being made in No\v Zealand for a thousand miners, the Government should assist that number in their passages to . that country, on tho understanding that tho men would refund as soon as they were able, after getting employment. It was further suggested' that those unable to take advantage of the New Zsaland offer should I be repatriated to England at the Government's expense. Petitions wero submitted in suppoit of the&e proposals, including one from Germiston with 300 signatures. Other matters discussed included the amelioration of the conditions of working on the mines. A DE WET SPEECH. Speaking at a meeting at Viljoen's Drift, reports the Bloemfontein Fxicnd, Mr. De Wet said he wished to see a branch of the "Unio" formed. The aim of the "Orangia Unie" was to have in its fold persons of all nationalities. The "Unie" knew no nationality. All would b-3 welcomed to membership. Viljoen's Drift lay very close to historical Vereenignig, where he accepted tho British flag. At that time Lord Kitchener had s-aid : "Do Wet; if it -tfere not for your obstinacy we could now make peace," and his (De Wet's) answer was : "I still have my weapon in my hand." He had been accused of obstinacy, but since lie had surrendered no ono could accuse him of disloyalty to the British flag. They most work on the lines of the old Free State. The day for calling each other Boer and' Englishman had gone ; if not yet gone, then_ it was time it had gone. He was barn independent, and his idea was that when they hact come to a position wh-an every member of the Orange River Colony Parliament was a "Unio" man, then he would say, "Disband the Unie," and they would all bo independent. This could not be done now, because the unfortunate war had caused a split amongst themselves, and in order to become united again they must stretch out the hand of friendship to each other under the banner of the Orangia Unie," which organisation invited one and all to help to organise and conciliate with th.? object of becoming one groat independent body. Referring to the relations with the Transvaal, Mr. De Wet said he did not think it wou.'d take very longbefore the Orange River Colony and the Transvaal would feel that they needed each other's friendship and help. The Transvaal had gold. They, had mealies and diamonds. When once two colonies felt the. need of federation the two others (Cap© Colony and Natal) would soon follow. THE RAND OUTPUT. The gold output of the Rand has now returned to the normal pre-striko level. During July the Transvaal mines produced gold to the value of over two and a quarter millions sterling — or £2,262,813, to bo exact. The contribution of the Rand was 513,655 ounces, valued at £2,181,867. Compared with those of June, these figures represent an increased yield equal to £109,160. We are constantly reminded (says the Johannesburg Star) that though "the output keeps up," the depression becomes more and more acute. The inference is that the mines are of comparatively little benefit to the section of the community that is not engaged by, or directly dependent on, the mines. The Volkstem, in a particularly venomous article entitled "The Aftermath of Milnerism," bewails "the flood of profils that is stf.l pouring out of the country," and d< clares that "the profits of the mines, whatever their staggering and swelling bulk, have no influence whatever upon the economic condition of' the Transvaal." The fallacy underlying both these contentions will be obvious to any, one who gives the subject a moment's thought. It can bo illustrated by a simple calculation. Various authorities have estimated that of tho gold won from tho mines, between three-quarters and four-fifths of the gross value are spent in the country, lea\'ing dividends out of account altogether. Taking the lower of these estimates and confining our enquiry to the Rand, we find that in -July tho producing mines weio the means of putting into circulation locally a sum of not less than £1,650,000. This golden stream is at present the one thing that- saves the bulk of the community from absolute bankruptcy. SINKING. The local market sinks daily to greater depths of depression (says the commercial writer in the Johannesburg Star towards the end of August), the absence of London activity being felt far more acutely now than would otherwise have been the case had local conditions been better. The condition of the general public is distressing ; they do not gamble, for the very obvious reason that' though the desire to do so is perhaps still as keen as ever, they have not tho money to do it. High 'Change has become ;i pure farce. In tho gold list very seldom a tiansaction takes place, while in syndicates a desultory Rambling of it purely professional kind takes jiUce. "During tho last two month syndicate prices have shrunk tremendously, diamonds being the chief offenders. Among diamond pioducers the Luce and Roboits Victor slump have been Bevero.y felt, und iiio a very serious blow to nn already exhausted market. On the whole, the less said about the local market the better. A revival will certainly take place some time, but everybody is agreed that it is rery far distant. NAVAL DEFENCE. In the Natal House of Assembly last month tho Premier eaid that about £13.000 ox £15.000 was xeauked lor th.9 ,

upkeep of the nucleus crew and the training of tho naval volunteers along the coast, to be deducted from the Cape and Nafcul contributions to the Navy. The proportion of the cost payable by Natal woulo bo fixed upon a basis settled by the Admiralty. If the Cape and Natal desired, the lomainder of the subsidies of £50,000 and £30,000 respectively might be devoted to naval defence, such as submarines or destroyers., subject to the Admiralty's approval. NEWSPAPERS CEASE PUBLICATION. The Transvaal Advertiser did not appear at Pretoria at the end of last month, und it was understood that it had been decided to stop publication of Land en Yolk at the end of the month. Regret was freely expressed at this decision, since il was felt that the disappearance of a Dutch journal of independent views was a serious loss to the community. In both cases the suspension of business waß attributed to the effect of commercial depression, which was becoming deeper every month.