PART V. 27] 
territories as it was able to use oxen for transport purposes and 
undoubtedly for the movement of produce of ordinary value, it was 
a great advantage to possess ox transport. 
With regard to the suggestions made by Mr. Kirby, he noticed 
that Mr. Kirby wisely used the word ** aids '’; the position in Kenya 
was that motor lorries did come in free of Customs duty. The other 
aspect of the case had been discussed by the Economic and Finance 
Committee and evidence had been brought before that Committee 
which indicated that the prime cost of fuel oils landed at Mombasa, 
compared not unfavourably with the price at which similar fuel oils 
were landed at South African ports. They, therefore, did not see 
that a case could be made against the supplying companies, having 
regard to the conditions under which they had to supply the oil; but 
it was noted that the railway freight rates represented a considerable 
proportion of the cost and that there was an enhanced cost in supplying 
the oil to the consumer by the manner in which it was supplied. With 
regard to the railway rates, he stated that as far as the Kenya and 
Uganda Railway was concerned the rates compared favourably with 
the South African rates and that if the administration reduced the 
class rates, say by two classes, on petrol and kerosene, it would lose 
a revenue approximately of £50,000 or £60,000 a year. The Economic 
and Finance Committee recommended that the Railway Administra- 
tion should consider the reduction of the rates. Substantial help 
could also be afforded through carriage of oils in bulk and installations 
for supply in bulk instead of in tins. One company in particular was 
interesting itself in the provision of bulk supplies at important centres 
and the Railway Administration was offering the necessary facilities. 
It was hoped in that way, to some extent anyway, that the cost of 
fuel oils would be reduced. 
The other suggestion made by the Economic and Finance 
Committee dealt with the Customs and Excise duties. One had to 
look at the subject from the different points of view. If the Customs 
duty on petrol or kerosene, or both was reduced a large amount 
of revenue would be lost and it was not considered practicable to 
reduce it on petrol and kerosene used for agricultural purposes without 
reducing it for the whole community and a large percentage of the 
total consumption of these oils was used for other than agricultural 
purposes. The Economic and Finance Committee had made a 
recommendation that the excise duty on petrol should be removed 
and that the revenue derived therefrom should be obtained in another 
way, with exemption of agricultural tractors used on farms. 
Mr. KIRBY stated that transport by mechanica. means was 
important in Tanganyika owing to the existence of tsetse fly which 
prevented the use of oxen, but that what Mr. Holm had said with 
regard to the position in Kenya cleared the matter up. 
Mr. MILLIGAN said that trials had been made by a special 
Committee of the Empire Cotton Growing Corporation with various 
types of road transport. That Committee came to the conclusion 
that the semi-caterpillar type of tractor was the most suitable for 
colonial conditions. Further trials were now being undertaken in 
Northern Nigeria to decide between indiarubber and metal tracks. 
> 2