GERMANY IN THE PACIFIC

Otago Witness, Issue 2669, 10 May 1905, Page 28

GERMANY IN THE PACIFIC

THE MARSHALL ISLAND DISPUTE

LONDON, May 4.

The Times' Berlin correspondent says that after April, 1906, the German colonial authorities will administer the Marshall Islands, collecting taxes and Customs. The Times fears the North German Lloyd's new South Sea service is likely to outweigh any advantages accruing to Australian shipping by direct Government administration. Germans consider the new arrangement will completely paralyse the Australian shipping trade with the South Seas. It is reported in Berlin that the S3'dney press recognises the legality and masterliness of this example of German enterprise.

BERLIN, May 4.

The Lokal Anzeiger learns that the Marshall Island dispute is settled. A fresh agreement has been concluded between the German Government and the Jaluit Company, commencing on April 1, 1906. The Government has withdrawn the subsidy paid for the cost of administration, and will reduce the Customs as from next October.

The German Colonial Office is reticent, alleging that the negotiations with Great Britain are not definitely concluded, though there is little doubt of a satisfactory agreement being reached.

MELBOURNE, May 4.

Recently a statement was circulated that Germany was negotiating for the purchase of the island of Timor. The Commonwealth communicated with the Imperial authorities, who have replied that inquiries made did not show any grounds for the rumour.

SYDNEY, May 4.

A section of the press regards the North German Company's action as a shrewd business coup. The Herald considers the local sliipping company was outmanoeuvred, which is not to be wondered at considering how it is handicapped by competing against a heavily subsidised) company.