A.—4b.

intoxicating liquor in, and its importation into, Western Samoa is now effected by sections 336 to 341 (inclusive) of the Samoa Act, 1921 (New Zealand) as amended by the amending Act of 1923. The prohibition is statutory, and the Administrator must, of course, respect and enforce it. The consideration of this matter is not within the scope of the inquiry which we were directed to hold, and we are not entitled to express an opinion upon it. For convenience sake we attach the evidence heard by us on this question, including the evidence of, and certain valuable returns put in by, Mr. Braisby, Inspector of Police. It appears clear that the legislation has proved effective to prevent, so far as could reasonably be expected, the consumption of intoxicating liquor by Samoans. In any consideration which may be given to this question it is to be remembered that many persons of mixed European and Polynesian descent have, under the Act of 1921 as amended by section 2 of the amending Act of 1926, the status of a European. By these provisions any person being the legitimate child of a father who is a European, either by birth or registration, under the principal Act is, unless such firstmentioned person has been declared a Samoan, excluded from the definition of a " Samoan " and thus becomes a " European." According to the census taken in 1926, the number of persons of pure European blood was 446, and the number of persons of mixed blood was 1916. (2) As to the Complaint relating to the Action taken by the Administrator with regard to the Sale on Consignment as Agent for the Producers of Part of the Copra produced by Samoans known as Native Copra. In order to understand the complaint it is necessary to give some preliminary explanation. The main export of the Territory has been, and is at the present day, copra. Some trader witnesses said that it was the main source of their profits, but others said it represented about one-half of such profits. At one time it was practically the sole export. In recent years there has been added to the Territory's exports cocoa and rubber. Copra is produced at the present time— (a) By the Samoa (New Zealand) Crown Estates, now known as the New Zealand Reparation Estates ; (ib) By private planters, including lessees of some of the Reparation Estates ; and (c) By Samoans. The quantity of copra produced by Samoans and available for export is some 12,000 tons. It is the only source from which the Samoan can obtain ready cash. Every effort is being made to induce the Natives to produce cocoa, for the growth of which the soil and climate of the country are admirably adapted ; but so far the production of cocoa by the Natives is negligible. The country produces bananas of excellent quality, and the Administration fostered a scheme for the planting of a considerable area with that fruit, to be carried, when produced, with pineapples and other suitable fruits by the new motor-vessel now being built for the New Zealand Government to the distributing market in New Zealand. This scheme has unfortunately been checked by the operation of the Mau. Such catch crops would be of the greatest assistance to the Samoan ; but, as things are, lie has to depend for his ready cash upon the sale of his copra. Food for the maintenance of himself and his family is raised by him with the minimum of exertion. For years past the Samoan had to sell his copra to the local traders. The traders made a practice of fixing a price to which all, as a general rule, adhered. The maximum or standard price was the price fixed for copra delivered to the trader at Apia, and the price paid for copra delivered at stations outside Apia was such standard price less a sum which purported to be an allowance for the extra cost of delivery from the out-station to Apia. There was no real dispute amongst the traders who gave evidence before us as to the method of fixing the prices to be paid for copra. At page 26 of the Notes of Proceedings Mr. Voigt, secretary for P. C. Fabricius, Ltd., said: — Well, how do you arrive at that figure [meaning the price to be paid for copra fixed from time to time with reference to the price for the product in the European market] ? —This principle is a very old one, and as far as I can remember, twenty-five years back, it has always been followed.

VII