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need not charter from a London house : you might charter a Liverpool vessel, as Messrs. Shaw, Savill, and Co. did the " Douglas." lam prepared to admit that the chartering a ship outright would be an exceptional course; but, nevertheless, you must clearly understand the Government did desire you should adopt it, rather than be at the mercy of one firm, and be forced to enter into permanent contracts with them, or pay them exorbitant rates. You must not, however, suppose that I agree with you that shipping brokers would be unable to procure you, without Messrs. Shaw, Savill, and Co.'s knowledge, the exact freight and passenger accommodation you require. Seeing how large a portion of the ship you are able to engage, and tho profitable nature of the round trip after calling at a New Zealand port, I am of opinion that a broker would be able to arrange for your requirements, ship by ship, though he might not be able to get persons to run the risk of possible competition during a prolonged period. The contract with the New Zealand Shipping Company will shortly expire, and it is necessary I should place you in possession of the views of the Government on the course you should subsequently adopt. I may add, that the prolonged correspondence on the subject which has recently taken place has been of so little use, that I have to ask you to consider what I am about to write as instructions to which the Government desire you to give preciss effect. The references which I have made in the first part of this letter were not designed to re-open a controversy, but to place you in possession of my views in case you should again be threatened with a dominating monopoly. Tho Government desire you will do all that can be done to prevent a monopoly of the London and New Zealand shipping trade again coming into existence. With this view, they instruct you, after the expiration of the present contract with the New Zealand Shipping Company, not to enter into any exclusive contract with that Company, with Messrs. Shaw, Savill, and Co., or with any other Company. I am aware that Messrs. Shaw, Savill, and Co. have offered to carry passengers at a low rate, for tho exclusive privilege of carrying them. You are to refuso any offers of the kind, without reference to their being favourable in price. The Government are willing that you should pay a fair price for emigrants' passages. They neither want the shipowner to lose nor to gain inordinately. They desire that tho business should be divided between distinct proprietaries engaged in the trade, working without collusion. They therefore wisli you to oft'er your business to the New Zealand Company, Messrs. Shaw, Savill, and Company, and to the Albion Company if it matures, as well as to any other firm inclined to go into the trade and able to conduct the business properly. You are to pay what you consider fair rates, and to require tho accommodation and the ships you think desirable. The Government wish you to take a commanding position. This you can do if you will recollect that you are empowered to expend money, if necessary, to prevent your being subjected to another monopoly. I give you the following alternatives, if you find that you have to contend with a fresh monopoly :— You may either withdraw altogether from shipment from London, and ship from Liverpool and Glasgow, or you may charter vessels from London through brokers. You may, if practicable, charter them only to the extent of your requirements ; or you may charter them outright for a voyage to New Zealand, and, at your option, for a return voyago. Supposing you charter a ship outright, you will have to put in the fittings and provide the food and stores yourself. With respect to the spare freight, you would be able, through a shipping broker, to offer to take it at market rates, or, if there was a combination against you, at such reduced rates aa would make it the interest of independent shippers to take advantage of them. Should you, however, not be able to procure more freight than that which you yourself have to ship, you must despatch the ship short loaded. If you continue to show yourself determined, there would be no risk but that you would be able to dispose of all freight you could spare. Understand clearly, therefore, that you are to divide your London business between whatever firms arc willing to take it on reasonable terms ; and that if threatened witli an exacting monopoly, that refuses to do your business fairly, and requires you to enter into an exclusive contract extending over a period of time, you are either to withdraw all shipping business from London, or to charter ships yourself, if necessary chartering them upon terms that would- necessitate your fitting and providing them. Whether or not you continue to do business with London, the Government desire you to engage ships and to dispatch a portion of your emigrants from Glasgow, Quoenstown, and Belfast. Upon tho question of charter-parties, the Attorney-General advises that in future they should bo in the name of the Queen and the Agent-General severally, and in order that, in any case of breach of contract, proceedings may be taken in the Colony, the following clause should be inserted: — " The party of the second part hereby appoints as his agent in New Zealand to accept service in New Zealand of any writ of summons or other legal process or proceeding issued there at the suit of the Queen or the Agent-General for any breach of this contract or any penalty payable hercunder; and the party hereto of the second part contracts with the party hereto of the first part, that such party of the second part will not revoke such appointment without the permission of the party hereto of the first part first had and obtained, and that the said shall and will accept service of any such writ, process, or proceeding as aforesaid." I have, &c, The Agent-General for Now Zealand, London, Julius Yogel.

No. 19. The Hon. J. Yogel to the Agent-Ge^eeal. (No. 252.) Sir, — Immigration Office, Wellington, 18th November, 1873. I have the honor to inform you that the Government have decided to permit, under certain circumstances, nominations by trade or calling, to be made by persons desirous of availing themselves