cHAP: vi] TRADE RELATIONS AND CURRENCY 1167 the Colonial Governments will not regret to have an oppor- tunity afforded them of further friendly discussion of the whole subject after learning the views of Her Majesty’s Government upon it, before any final conclusion is arrived at. I will therefore proceed to notice points which seem to Her Majesty’s Government to require particular examination. The Government of New Zealand appears, from the Bill laid before the House of Representatives and from the financial statement of the Treasurer, to have originally contemplated the granting of special bonuses to goods imported into New Zealand from the other Australasian Colonies. As, however, this expedient was not eventually adopted, I am relieved from the necessity of discussing the objections to such a mode of avoiding the rule against differential duties. The proposal now before me raises the following questions, namely ; 1. Whether a precedent exists in the case of the British North American Colonies for the relaxation of the rule or law now in force ? 2. Whether Her Majesty’s Treaty obligations with any Foreign Power interfere with such relaxation ? 3. Whether a general power should be given to the Australasian Governments to make reciprocal tariff arrange- ments, imposing differential duties, without the consent of the Imperial Government in each particular case ? 4. Whether, on grounds of general Imperial policy, the proposal can properly be adopted ? The Attorney-General of New Zealand, in his Report accompanying the reserved Bill, observes that its main pro- visions are almost a literal copy of provisions which have been for some time past in force in Canada and other North American Colonies ; and I observe that, in the various com- munications before me, the argument is repeatedly pressed that the Australasian Colonies are entitled to the same treat- ment in this respect as the North American Colonies. It may be as well, therefore, to explain what these provisions actually are, I enclose extracts from the Acts of Newfoundland! and Prince Edward Island! of the vear 1856: but I need not * Prince Edward Island, 19 Vict. c. 1 ; Newfoundland, 1856, ¢. 1. The former Act gave preferential terms to Nova Scotia, New Brunswick, New- foundland, and Canada. The latter gave by s. 5 certain preferences exclu- sively to the Maritime Provinces. See Canada Sess. Pap., 1869, No, 47. "ro