7

H.—l7

- . COLD-STORAGE. Cold-storage, which at one time promised to be an El Dorado, and into which many NewZealanders were anxious to put their money, is in by no means a flourishing condition. Many of the best plants are lying idle, and the shares are worth so little that in some cases I fear shareholders would be glad to give them away. Huge sums have been sunk in these ventures. No more need be said to prove that the New Zealand Government is to be commended for its caution in connection with this matter at a time when almost pressure was tried to induce it to secure cold-storage inJ3outh Africa. Federals and Imperials can be bought at 10s. and 10s. 6d. respectively. Bkan. In the past there has been small demand for outside bran. In consequence of the German war in West Africa, the Germans are buying up large amounts of bran in Cape Town. The Transvaal buyers have now to draw their supplies from Durban. Whilst the war continues the demand will probably be the same. Timber. This is a matter of great importance to both countries, and, during the year I have been able to gam good insight and much information of the Trade. The samples sent to Johannesburg are serving a good purpose as a local advertisement. As might have been anticipated from the demand on the one hand and the small local supply on the other, the trade in timber is a large one, and will in all probability so continue. But it must be remembered that quality is not in all cases the first consideration, perhaps because many of the structures are intended for a temporary purpose only. Price is generally the first consideration, except where a special class of wood is absolutely necessary. New Zealand prices have made against the trade. Enormous stocks from the Baltic prevented anything like large orders from other countries. So far as the quality goes in the matter of the timbers suited to this climate, there is no fault to find with the New Zealand product; but, first, labour being so costly, there is little chance of the finer kinds being worked up, and, besides, so much cheap furniture comes in from other parts. The New Zealand freights are also too high. The samples I had made into office-furni-ture are much admired as furniture, as they were much admired by the wood-workers. With regard to sleepers, the Chief Engineer of the C.S.A.R. made an application for particulars in detail, so as to be able to form an opinion ; the Manager of the Timber Department, Cape Town, also sought information re our timbers. Kauri-pine has of course established itself, and, if we can send suitable sleepers, we may do a good business in that matter also. Shipping. There have been many improvements in connection with the shipping between New Zealand and South Africa, as there have been many improvements locally. During the past year such improvements have been made in Durban that the very largest vessels of the Union-Castle Company—that is, 13,000 tons —can now come right up to the wharf. I think the New Zealand Government are to be congratulated upon the attention they have paid to this matter. The Department of Commerce and Industries has been quick to respond to any suggestions for the improvement of matters ; the latest being the cabling of the times of loading at New Zealand ports ; this is very much appreciated by the importers generally. In June, 1904, the s.s. " Devon " landed 200 sheep and twenty rams in excellent condition, and the management of the matter called forth considerable commendation. In July, the s.s. " Suffolk " brought good cargo and landed her stock in very good condition without mortality. The s.s. " Buteshire " put out her cargo in such excellent condition that I did not hear a single complaint, although some complained that their goods had been left behind whilst the steamer had taken in cargo at Australian ports ; I explained that the company had a right to reserve space for Australian cagro. In November the s.s. " Surrey " landed her cargo well. Her poultry was an excellent sample, and evoked the highest 'praise. The s.s. " Banffshire" brought over a fine lot of sheep under the care of Mr. McColl; the loss was less than 1 per cent. ; these sheep were intended for Mombasa. The arrangement by which the importers can know the date of loading will, I have no doubt, help to facilitate trade. In connection with shipping, I should like to call attention to the necessity of making Delagoa Bay a port of call for the delivery of our produce. The Rand trade is fast going in that direction, and the Rand interests are so extensive there, that it is not at all likely that the port will be overlooked or allowed to go down. The Transvaal Government will require a certain portion of next year's oats to be delivered via Delagoa Bay. The attached figures, supplied to me by the Portuguese Consul, Captain J. B. Rosa, will give some idea of the trade with Delagoa Bay. When I was at the Cape, I met Mr. Rose, the travelling representative of the New Zealand and South African Shipping Company, and discussed the question of the steamers calling at Delagoa Bay ; he fully recognised the importance of the matter, and promised to bring it before the directors. . - Butter. It seems almost superfluous to say that butter from New Zealand has made very satisfactory headway in South Africa. Such complaints as were made at the outset may have been more or less inevitable, still, matters, as referred to by Mr. Kinsella in his report, created a very great prejudice. Ido not think the present position of New Zealand butter can be attributed to any accident, but to sheer merit. Twelve months ago in many places the Argentine and Victorian product was much more in evidence than our own; to-day, the inquiry is much more for our own, merchants maintain