'File 19/176 III (C 51) Bahrain Finances' [‎149r] (313/687)

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own territority has been vindicated, and the evasive
tactteof the Nejdy marchants have been properly checked;
considerable assistance to the B.I.3.N.Go. has been
rendered; and although this Company has at last reduced
its freight rates to a figure reasonably consistent
with the value of the imports having regard to the
current depression, it is yet to be seen if this Com
pany will reciprocate the assistance given them by the
Bahrain government especially in the matter of bringing
their steamers to a more convenient anchorage•
The transhipments at sea within the port limits
of cargo intended for the mainland proceed steadily
and the merchants concerned pay their dues without any
demur, and the local employment of native craft is
ensured, I therefore consider myself justified in
reporting thot the mainland trade will proceed steadily
as long as there is any such trade to be done, the great
est factor in its favour being the regular weekly
calling here of the upmail steamers, thus enabling the
merchants concerned to replenish their stocks regularly
at a saving of considerable sums in interest payable
on over due accounts in India if such consignments were
to come forward irregularly by sailing craft; another
factor is the local reeling of security in dealing with
Ihe Bahrain customs. Thus, during the past year the
2% duty so collected has amounted to Its 13,652/*-,
The saving point is; how long will such transit
trade continue? This is doubtful, for one of the
main reasons for the transhipment trade in rice, and
especially in piecegoods, was that the rates of Import
Duty levied on the mainland were very much less than
the rates of Import Duty levied at Jeddah, the greatest
port in the Kingdom of oaudia. It appears to be
cheaper to bring goods from India to Arabia via Bahrain
than to import them via Jeddah; and this fact has created
a falling-off in the imports into Jeddah with a corres
ponding outcry from the interested merchants there.
I understand now that H. M. King ixbdulaziz ibn
Saud has ordered the rates of Inmort Duty on the
eastern ports of his realm to be similar to those in
force at Jeddah on the west, with the exception of
Japanese goods, which are said to be subject to a dis
tinctive nigh rate of Imnort Duty. This action epy^ears
to be due to the activity of Shaikh Muhammad Tawil, who
in the Shareefian regime, used to be the Collector of
Customs in Jeddah, and who maintains an agent in
Bahrain to deal with his business here, this latter
carrying on en Import-transit business in his own
name. It now remains to be seen how these new rates
of Import Duty will affect the transit trade via Bahrain
to the mainland.
itedjagthe difficulty of the mewv above descxih^
tr o ri a hipm c> r' f: ^ TMl11 '' 1 'lengthyc^^gf^ligence
and negotiations whidesirable
to acknowledge I In 1,111 um 1 i M'l i i I Mini irnni in, n ill i'iih (
given to government by H. B. M ? s Poll'li 'aajL
-^wrtT^IaDtain C.Cr,Prior, I.ii.