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we ask for a three years' extension it would lead to a great deal more correspondence, and we should probably not get what we asked. It would therefore be very much better for us to have an extension for one year, which would really mean one year and nine months. We should then have plenty of time to go into all these matters, and come to a satisfactory conclusion. Hon. Mr Ward (New Zealand) On behalf of Tasmania, I desire to say that I shall support the Hon. Mr Wynne in the view he takes of this matter The Tasmanian Government ask me to do this, and state in the cablegram they have sent me as well, " That it should be conditional with the new ocean mail-contract that the steamers should be required to afford conveniences for the carriage of frozen meat, butter, fruit, and other products of Australia at stipulated maximum rates for freights for the same, and to state what cold storage they will be prepared to supply, having due regard to the requirements of each colony Of course, while I support on behalf of Tasmania the view the Hon. Mr Wynne takes of it, at the same time I wish to express my own opinion on this matter. I think every effort should be made by the colonies to secure trade for the continuance of trade for the frozen meat, butter, fruit, and other produce that may be sent to England, at the same time I feel it is only right to tell you what our experience in regard to the carriage of frozen meat has been in this colony Our experience has been that by the subsidised regular mail-carriers this class of business was not very workable, the whole of our frozen meat and products of this colony are carried by steamers that are not subsidised at all. It is a very remarkable thing that, while our mails are going by steamers which we subsidise, the whole of the lines which are carrying our frozen meat and other produce are unsubsidised. The result of that is a keen competition between the liners to secure the frozen-meat business, quite independent of any assistance by mailsubsidies. Whereas, if you give an enormous subsidy to one particular line, you at once prevent any other line of steamers from coming to compete on even terms, with the result that you have in all probability to pay a higher rate for sending produce Home than you would have to pay if, by not giving subsidies, you allow free competition for the trade upon even terms. Here, in this colony, we have got no less than four lines of steamers, not one of which has a subsidy, and, as a result of their competition, I am sure we have a lower rate to pay than if we had subsidised one of those lines of steamers, and thus prevented other lines from coming in. I think it is highly important that to enable the rapid transit of mails the Eederal line of steamers should be subsidised, though I still entertain the opinion that there should be no fixed subsidy, but that payment should be on the basis of the weight of mails carried. At the same time you, gentlemen, being all interested in the frozen-meat business from Australia, should carefully consider whether it is a desirable thing to make the mail-steamers such strong competitors by paying a subsidy which would prevent a large number of the slower class of steamers from coming in to carry our frozen meat. I think the broad aspect of this should be carefully considered, and under any circumstances I am of opinion that the service should not be extended for longer than one year; in the meantime, the whole question should be gone into carefully and fully Our freight arrangements are very good from New Zealand, but any assistance I can give you in dealing with the matter will be readily given. Hon. Mr Kidd (New South Wales) In answer to what has been said in opposition to my proposal for a two-years extension, I would like to point out that the reason why the Imperial authorities ask us, in the letter of 26th September, to agree to three years is not because it is going to be any convenience for us to wait until the termination of their India and China contract. We have nothing at all to do with those contracts. The service under which our mails are carried now is a Direct service, so that there is no reason at all why we should fall in with the suggestion of the Imperial authorities to extend it for three years if we do not think it convenient for us to do so, and my only reason for suggesting an extension of two years is that I thought one year too short to give other companies an opportunity of coming into the field and tendering for this mail-service, otherwise we might actually be in the hands of two large companies. However, lam quite agreeable to amend my resolution, and make it one year But I am certainly very much opposed to what Mr. Wynne suggests, namely, that we should try and clog this extension with any new conditions. lam quite sure that they would not agree to any new conditions for one moment. I think it would be almost foolishness for us to embody any new conditions with regard to the operation of one year. If we thought fit to extend it for three years it would be a different matter We might be able to secure greater advantages from them for three years, but they realise as well as we do that an alteration for one year would be simply making a convenience of them. Another reason would be that it might be better for them to cut us off without extending it at all, because they are the two most powerful companies that are likely to secure the contract if between this and 31st January next we invite tenders. However, as it appears to be the expressed wish of the Conference to reduce it to one year, we might, if we do not meet again before the usual time next year, make some arrangement to communicate in the course of a few months with the Home authorities to invite tenders, and in the meantime agree as to what conditions we would desire to be imposed on those tendering. We should not wait until the meeting of the Conference next year, because we will then be in just about the same position as we are now I think, therefore, it is necessary for us to take some action before this Conference breaks up to decide as to what we require in the interests of the colonies, and come to a common agreement, and have it embodied in the new contracts. It will not do to wait until a year has elapsed, but we will have to take action at a very early date to get the Imperial authorities to invite fresh tenders. It is not the same as any ordinary service. This is a very important service to the colonies, and of course all are fully alive to that. If we are going to have any special conditions beyond those embodied, the sooner we set to work to draw up these conditions the better I think within the next few months action should be taken to set the Imperial authorities in motion to call for fresh tenders to take up the running under a new contract on the expiration of this extension which has been proposed—that is, the extension for one year I ask leave to amend my motion accordingly Hon. Mr. Wynne (Victoria) I move, That there be added to this resolution a condition that the steamship companies furnish sufficient cool-storage space for the products of the various colonies in