COLONIAL ITEMS BY THE MAIL.

New Zealand Herald, Volume XXI, Issue 6963, 12 March 1884, Page 6

COLONIAL ITEMS BY THE MAIL.

£*kom oub own correspondent.] London', January 31, THE RECIDIVIST QUESTION. Tbxbb appear to be some grounds for believing that this much-vexed question is arriving at a stage at which something approaching a satisfactory solution may be reached. It is, however, idle to expect that the French Government will subject themselves to the humiliation of being taunted with having surrendered to English pressure. To do so would be a political blunder which might produce unpleasant personal consequences. Bnt though there are no indications that the Recidivist Bill will be materially modified in its passage through the Chambers, a very evident desire exists— unless officialdom ia woefully at fault—to make substantial concessions to English and colonial prejudices, by administering the new Act in a manner calculated to offend as little as possible. This, of course, is only partially satisfactory, as it still leaves a weapon in the hands of France which may at any time be used against the colonies, should the sensitiveness of our Gallic neighbours be unpleasantly aroused. The representations of Lord Lyons, based upon the able despatch which Sir Francis Bell sent to Lord Derby about six weeks ago, have certainly produced an effect upon the Frenoh Government, and the outspoken policy proclaimed by the Convention has not been disregarded either by French politicians or commercial men. The latter are awakening to the value of the rich British colonies in the Southern seas, and do riot' desire to see them virtually closed against French enterprise. It is therefore believed in official circles that the powers oon;erred under the Recidivist Bill will not be put in foroe, at least in so far as sending large numbers of habitual criminals to the Western Pacific is concerned. It is even hoped that the transportation to New Caledonia may be stopped, in which case the importance whioh the French profess to attach to the New Hebrides will certainly decline. The rumours that this conciliatory feeling exists have again revived the suggestion that possibly France might accept the Falkland Islands and a money compensation, in exchange for her olaims in regard to New Caledonia and the adjutant groups. This project has warm sympathisers* in the Colonial Office, Colonial enterprise, if assured of a fair field and no favour, would soon develop the undoubted mineral resources of New Caledonia to an extent which would make any reasonable amount of compensation a mere bagatelle. Nothing may come of this soheme at present, but it may be well to bear it in mind. The French nation are evidently becoming riok of oostly colonial adventures. Only a few days ago, when making a financial explanation to the Chamber, M. Teraud, the Treasurer, plainly intimated that the only way to avoid deficits was to abandon such ■ohemea as Colonial Army Bills, Habitual Criminals Bills, &c. The latter Bill is not the Recidivist Bill, but a wider measure, intended to prevent the development of habitual criminals rsither than their exile when araated. The committee of the Senate have already held sixteen sittings for the consideration of the Recidivist Bill. Xhey have applied to the Minister of Marine for exact information as to the place where recidivists are to be sent, and pending •he reoeipt of that will withhold their report. The originators of the Recidivist Bill are strongly impressed with the idea that the Anitsralasian colonies owe almost all thetr prosperity to the supposed fact that they ware for many years the receptacle for English criminals. M. the refuter of tho Bill, urged these views upon the Chamber of Deputies with great ingenuity, made a distinct impression. Transportation, he asserted, had unquestionably endowed England with her Empire in the Southern Seas. If this absurd view were correct, France should soon build up a great and prosperous colonial empire in the Paoific, for every year the number of habitual criminals brought before the French tribunals is between 80,000 or 100,000, and all these are eligible for relegation or exile. The Parisian Press have been making fun of the irresolution displayed by the British Government in Egypt. _ The Intransigent laughingly predicts continued saoeesseA for the Mahdi, and asserts that when he encamps at Assouan, England will be compelled' to cede the New Hebrides to France. But "when the sky falls we may catch larks."

COLONIAL FINANCE. It is too long after the event to say much about the successful floating of the New Zealand loan on the 11th inat. The result probably created considerable surprise in the eolony ; it certainly did here. Nobody dreamt that 600 tenderers, or even a third of that mmber, would compete for the loan, or that the million reqnired would be more than subscribed fivefold. However, money was known to be cheap, tho amount asked for was not excessive, and the oolony was under a pledge not to apply for another million until 1885. The small loan of £100,000 required by the city of Auckland was opened the day preceding the larger application of the oolony. It was subscribed sevenfold, at prices varying from the minimum, £101,' to £108 15s. The lowest price to secure allotment was £102 7s 6d, which took 4 per cent. The average price was £102 lis 4d. Though the New Zealand loan was offered at a nominal minimum of 9SA per coat., yet it *m*M upon terms which really rcduced the price to about 97J. When the AgentGeneral and Sir Penrose July an arrived at the Bank of England, shortly before two o'clock, they found that tenliterally pouring in. This oonciderably delayed the announcement. The severe punctuality, whioh is one of the characteristics of the Bank of England, was lor once at fault. It was not until five and twenty minutes after two o'olock, instead Of at two precisely, that the first tender was 1 opened. The great hall of the bank was fairly fall of interested spectators.' Quite a titter .was audible when the bank clerks were gees bearing in four or five baskets of tenders. AH. anxiety was quickly at an end, for amongst the eirly announcements was the tender of Sorimgenir and Co. for £1,000,000 at £100 5s 6d. This, of course, settled the •access of the loan, and there was instantly fc rur,h from the room, and the result of the operation was on its way to New Zealand at one minute past the half-hour. It was then announced that it was useless to read out all the tenders belowpar, so, instead of announcing the whole of the 600 and odd tenders, only thehighest ones were given. It happened that over half a million was tendered at prices higher than £100 5s 6d, so that the " monster tender" only received about £600,000 after all. More than £3,000,000 was tendered above £99 10s, and a very small amount below that price. The average was £100 6s 4d. The highest tender given was £100163 6d. The resnlt is that the large colonial stock-brokers retain their control over the market, and have again succeeded in preventing the small investors breaking down their monopoly and depriving them of the J per cent, that they prize so highly. The price obtained contrasts most favourably with the operation in January, 1883, when the actual prioe obtained was £97 5s lid. The Viotorian loan of £4,000,000 was announced almost immediately after the New Zealand was disposed of. It was originally proposed to float only £3)200,000, leaving debentureholders an opportunity of converting the £800,000 which has to be paid off next October into 4 per cent, inscribed stook at par. The brokers, however, evinced a preference to have the whole operation concluded at onoe, and the Government yielded. Later on the brokers became somewhat anxious about the amount. They felt pretty oonfident of floating £3,000,000, but owing to ihe stiffening of the money market, caused by tha extraordinary withdrawals of gold for [export to Australia, they desired that the "Associated Banks should guarantee to take ,ujp a portion of the loan. This proposal was not accepted with complete unanimity by the banking magnates, one of whom was especially averse to it. This hesitation, •vrbiah estended up to the very day of issue, helped to prejudice the loan, and the result wh certainly not so successful as in the case ■j)l NeW Zealand or New South Wales, the latter having been offered £7,539, iOO, at an otvarage .price of about £100' 12s 6d, when only £3,000,000 was required. There were in all 626 tenders for £5,548,900, at prices Tanking from par up to £101 12s 6d, with two ontside tenders for small amounts at £102 and £102' ss. It is stated that "£2,500,000 of the loan was syndicated ; =»t any rate, there was one tender for *760,000 at £100 Is 6d ; one for £500,000, at £100; one for £400.000, at £100 Is 6d ; one for £200,000 at £100 2s 6d, and 22 la mums from £30.000 to £106; 000. Mr.

L&rnach, the Chairman of the Bank of New South .Wales, who is regarded as a marvel of accuracy, announced that tenderers at £100 4s 6d would receive in full, but, in the course of a few minutes it was discovered that he should have stated that the £100 Is 6d would receive about 90 per cent., and above in full, the average price being £100 3s.

It will, perhaps, be scarcely credited, but is nevertheless a fact, that between the Sth of June, 1882, and the 22nd of January, 1884 —a year and seven months—the Australasian colonies have borrowed over £25,500.000. Victoria h»B borrowed £10,000,000, and repaid £3,824,100; New South Wales, £8,000,000; South Australia, £2,438,500 ; Queensland, £2,500,000; Tasmania, £500,000; Western Australia, £254,000 ; New Zealand, £3,832,000 (including the conversion of £1,832,000, local Treasury Bills). Victorian undertakings, other than Government, have absorbed £818,750, while similar New Zealand projects have taken £960,000. GOLD WITHDRAWALS FOR AUSTRALIA. The shipments of gold now being made to Australia have been more than an agreeable surprise to the money market. So constant have been the imports of gold from Australia for the last thirty years, that even the exportation of £400,000 is regarded as serious. The Times even asserts that the money market consider the shipment of even £100,000 to Australia as of more importance than the export of say £500,000 to the United States. Many speculative reasons have been assigned in explanation of the unusual phenomenon. As the colonists, no doubt, are perfectly acquainted with the reasons which have influenced the unexpected action of their financiers, it would be useless to trouble you with them. But I will quote the opinion of one correspondent of the Times, wbo, I think, may be identified as one of the shrewdest Australian financial agents now in London, as. his explanation of the cause of the shipments, and the probability of their continuance. After assigning banking statistics in support of his contention, he writes :—

The (Australian) banks have been transactlngan enormously increased volume of business at the expense of their reserves. A gradual shrinkage in their export* of coin from the colonies during the pax two years should have taken place to keep pace with these steadily increasing liabilities. . TJiii iB now to be rectified by a sharp reverse of the nsual order of business It is absurd to suppose that any very large'amount of coin need he shipperl to Australia. £400,000 hag'gone, and another £1,000,000 should satisfy all wants; but, from a London market point cf view, it muit not be lost sight of that for six months at least the Australian Colonies cannot be In a position to export gold soin or bullion. That period should suffice to replenish the reserves up to 4s to 5s in tbe pound, a limit under which prudent banking should not go.

The leading financial organs in their comments upon the gold efflux to Australia, are rather severe npon the colonial bankers, who they say ought to have foreseen and provided against such an operation being necissary to strengthen their reserves. Yesterday £429,000 more was withdrawn for shipment to Australia by the P. and O. steamer Ballarat to-day. Of this the. Union Bank shipped £200.000 ; the National Bank of Australasia '£150,000, and the London Chartered Bank £50,000. The operation did not affect the market so much as the first withdrawals. It is not expected that the gold efflux will continue, though a few minor shipments may still be made to the colonies.

THE FROZEN MEAT TRADE. Apropos of this question, it will be well to draw the attention of colonial sheep-breeders to a suggestive correspondence which has just appeared in the Live Stock Journal, the butohers' organ. A " Colonist" invited the Editor to try and elicit the opinion of experts as to the type of sheep which breeders in the colonies out to adopt, having in view the refrigerating industry. " Colonist" remarked that— There seems to be a disposition on the part of some judges ia New Zealand to discourage cross-breeding, and apparently to look for the sheep of tha future In the maintenance of the pore breeds and their improvement ia the required direction by means of selection. That is to say, a merino sheep is to be produoed by means of selection and proper Breeding, with the »ame quality and weight of wool as at present, but nearly twice the weight of the existing carcase, or a Lincoln, while retaining its present weight of ca.rcs.ie, is to attain a quality of fleece far in advance of the existing fleeoe by the same process. This may be possible, but la it the short cut to the most profitable animal, and may not tho type required be more rapidly evolved and rendered permanent by some cross of lha bestwoulled and bast-meated kinds ?

This letter promptly elicited a reply from Mr. George Stimpson, one of the oldest salesmen in the metropolitan meat market, and who has been closely associated with the frozen meat industry from its initiation. As his opinion may certainly be accepted as conveying that of the vast majority of the trade, I have'no hesitation ia making the following extract from his letter :—

The sheep which command the highest price in Smithßeld Market are Scotch sheep sent to London in carcase, weighing about 8J stone, and country-killed Su<sex Down sheep of same weight. But as to the be&tstyle of sheep to rervr in New Zealand' for refrigeration and sale here, I have no hesitation in saying that the highest prica would be realised by a cross between a Hampshire Dowq ram and a Merino or cross-bred ew*. The carcase of such a sheep would weigh about 9$ stone. . The ewe might be & cross between a Lincoln and a Merino, ancf eren though it approached very near Lincoln tjpe, the retult would still be satisfactory. If merino or cross-bred ewes were crossed with Shropshire or Sussex Down rams, they would certainly give good quality; but when made up to the weight most sought for here in refrigerated sheeD—viz., 0 to 8$ stone—they would be too fat, and would Uck the flesh and muscle of the former breed. The csrcaseof the merine sheep is not well suited for refrigeration, and it 1* certainly not lilted in this market; but the difference in price between such carcase, if of good quality and weight, and that of a suitable cr6*»*bred is hardly so great aa that quoted by " Colonial," viz., Ijd per lb. But supposing that the difference be taken at say Id per lb., it is for wool experts to say whether the fleeoe of the former is so far superior to the latter as to make the merino the more profitable sheep to breed. Any special suitability of the land in certain drstricU for rearing sheep of the merino type, must of course be taken into aceount, but speaking generally, and subject to any goc-d reasons that wool experts may advance to the contrary, I feel confident that the breed above recommended would be the " short cut to the most profitable animal "of which your correspon* dent speaks.

THE CULTURE OF SALMONID#. The experiments, which I mentioned last month, for the artificial propagation of salmonid® in New Zealand have been a good deal delayed for a variety of reasons, but are now in a fair way of being pushed to a successful issue. The season has not been favourable, the great spawning streams of the north, the Tweed, the Tay, and the Forth being unÜBually bare of ova. It iB doubtful if it would have been possible to have seoured enough ova to test the experiment satisfactorily but for the influence of Sir J. Ramsay Gibson Maitland, of Howietown, near Stirling, who is a perfect enthusiast on the subject of the scientific culture of fißh. It is not every day that a man possessing £25,000 a year is found ready to take the trouble he has done to render the experimental shipment of ova to New Zealand a success. However, a quantity of salmon ova—6o,ooo eggs—in magnificent condition, has been seoured, and on the 23rd inst. it was placed on board the lonio, which has since sailed for New Zealand. It was brought down from the Howieton hatchery by Sir J. R. G. Maitland himself, packed in specially prepared boxes. Each box is fitted with a number of zinc trays on whioh the ova, packed in moss, are placed. An inner lining to the box is filled with Bawdust as a non-conduotor. On the top of the trays is a larger tray to contain the ioe required to maintain the temperature at a ' proper level, and to cause the drip which keepß the necessary humidity in the moss in which the ova are packed. On the 23rd instant-Sir J. R. G. Maitland and Sir Franois Bell spent the greater part of the day at the docks, seeing that every precaution was attended to in the placing of the ova on board tho lonic. It had been intended to send out shipments by the Ruapehu and Florida, but it was impossible to obtain the-ova in time, and now it is unlikely that more than one shipment oan be made this season. Next season Sir Francis Bell is promised ova from Scotland, Ireland, Devonshire, and Northumberland, and also from Canada, so that he hopes to oontinue his experiments then upon a larger scale. The ova on board the lonio will be treated according to two different processes, the object being to keep down the temperature and retard the development of the germ in tho eggs. The method hitherto adopted in sending out consignments of ova to the colonies has beta to surround the caseß in which the eggs are deposited with blocks of ice) which it was too often found, besides taking up a large space and adding much to the oost, malted en route, causing the destruction of the eggs it was intended to preserve. Even if the Bupply of ioe did not become exhausted, the exoessive saturation of the moas in which the eggs are packed by the peroolation of the ioe water, and the impossibility of effecting a ohange of the atmosphere in the packages, led to chemical action, or to the development of fungoid growths which equally often proved fatal to a large proportion, if not the whole, of the eggs. The new system adopted on board the lonic is a modification of Haslam's refrigerating machinery used in the preservation of meats and other perishable produce. The lonic, like the other vesaela of the New Z«a<

land Shipping Company, has been fitted with this apparatus by the Baslam Foundry and Kngineering. Company, of ..Derby, for the importation of "frozen" mutton and other New Zealand product, bat the total absence! of moisture from the chilled air produced by the action of their machines, while absolutely necessary for thepreservation of meat, wonld be fatal to salmon eggs. By an ingenious contrivance invented by Mr. Has lam, the air, though kept at a steady temperature of .from 30 to 34 degrees—low enough to retard the developmeht of the eggs without actually freezing them—is also so thoroughly Saturated with moisture that a piece' of dry 'flannel being hung np in the chamber in which the eggs are deposited becomes quite damp in the course of a few hours. The air, reduced to this condition, is driven into the chamber, and expelled again on the other side, at regular stated short intervals of time, so that all possibility of "mouldiness" and of too great saturation is prevented on the one hand, and of too dry cold or too great heat on the other. The machinery has been warmly approved of by Sir James Gibson Maitland. The moBS in which the ova are packed is pressed until it resembles a compact substance, which can, be rolled up like a Bheet of zinc. Upon this the ova are placed by machinery, as it is con-, sidered essential to avoid any handling by the band. Mr. Haslam and Mr. Johnßton, of the firm of Messrs. Johnston and Greg-, son, who assisted Mr. Yule, C.M.G., in his, experiments in the transportation of salmon ova to the antipodes, were present during the : . packing of tho ova in tha lonic, and rendered all the assistance in their power.. The second experiment was .more single, than the first. One of the boxes packed with ova just as it left Howietown, was inan ice chest, and will not be touched .during', the voyage excepting to take care;, that the supply of ice on the top tray ~iß ;kept up. Both salmon ova and trout ova are ■!shipped: onboard the lonic under, precisely. similar, conditions. Both Sir J. R. G. Maitland'and.. Sir F. Ball appear to be sanguine of success. Should their hopes be realised the Southern; colonies will owe a debt of gratitude to, thej disinterested exertions of these ; gentlemen. It is believed thai the ova did not suffer; from the " knocking about" the lonic'got on her passage down the channel. . ! THE VICTORIAN NAVY. The latest additions to the Victorian navy comprise the two gunboats, Victoria and Albert, and the torpedo boat ChildersV They are now ready for sailing, and will leave Portsmouth on their voyage to Melboure next week. The steaming and gun firing .trials of, the two gunboats, which were built by Hir W. Armstrong, Mitchell and Co:,Vof?Newcastle, took place on Friday last, off the mouth of the Tyne. Both tho boats are of Steel, the plates varying from throe-eighths;: to five-eighths of an inch in thickness;, :arid;. are propellad by twin Bcrews. TheiVictoria, the larger vessel of the two, is, of 530 tons: burden, and is 145 feet long. three Armstrong guns, one 10-inch 25 ton gun, and two twelve pounders. .The; Albert; is a vessel of 350 tons. She is armed with oue 8-inch 12 ton gun, one 6-inch,four : ton;] gun, two nine pounders, and two Nordenfelt' machine guns. The Victoria steamedvl2.:ss.; knots per hour, and the Albert lOrlSiknotsri As the contract speed was 12 knots and 10 knots respectively, these trials are very satisfactory. The guns were found .to work quite smoothly. The bow gun of the Vic- ,j toria is a most formidable weapon, and can pierce at close quarters i: twenty-one inohes of unbacked iron armour plate. The vessels can carry a considerable! spread of sail, so that, at economical-speed, | they will be able to steam 2000 knots with- I out coaling.

NEW ZEALAND TORPEDO BOATS. ; Two of the seoond-class torpedo boats' for the New Zealand Government havo been plaoed on board the ahip' Lyttelton," but the remaining two are not}:yetJquitef ready, and will be lent oat on board one of the Bteamers running to the oolony. MONETARY AND COMMERCIAL. The report of the directors of the* National' Mortgage and Agency Company of NewZealand (Limited), to be presented at the general meeting to be held on the 6fch prox-i;) states that after paying all expenses' at home;; and in the colony, paying interest; on' the ■ debentures to the 31st December, 11 -1883,'' making due provision for bad and .doubtful, debts, writing off depreciations on plant and ; office furniture, and preliminary expenses, the net profits amount to £12,781 8s KM, which, together with the amount of £3589 8s lid from last year, leaves a balance of l £16,370 17s 9d to be disposed of.' From this i amount an interim dividend at the rate :of 5 i per oent., or £5000, was paid on tho Ist of July last, and it is now proposed to pay a further dividend of 5 per cent., or £5000, making 10 per cent, (free of income-tax) for the whole year, and to increase the reserve fund by £5000, carrying forward £1370 17s 9d to next year. The article! of the company are to be altered in accordance with the Act for insuring the validity of colonial registers. The directors of the Union Bank, at the half-yearly meeting, held on the .'2Bth' inst;, were able to announce a dividend.at the rate of IS percent, per annum, a considerable addition at the same time being carried.for- * ward to the reserve account. The Mr. E. P. W. Myles, referred to tbe curioua anomaly of the old country reshipping, gold I to Australia, and explained that it was simply the result of the large and .increasing trade which has grqwn up with the colonies. He referred to the New Zealand frozen meat export trade, and remarked that:,{eventually* the cost would be reduced, aad a lucrative. business established. Ho also alluded to "the plucky manner in which the Now Zealand people havo gone in for a lino of Bteamers," and to the excellent character of the service. The services of Mr. Palmer, the bank's chief offioer in New Zealand, ware acknowledged.