Coll 30/86(2) 'Persia. Relations with Iraq. Shatt-el-Arab: Internationalisation of, and establishment of a Conservancy Board.' [‎177r] (364/944)

THIS DOCUMENT IS THE PROPERTY OF HIS BRITANNIC MAJESTY’S GOVERNMENT
EASTERN (Iraq). j
6915
! Q ^ 6
August 24, 1936.
A
CONFIDENTIAL.
Section 1.
E 5336/481/93]
Copy No.
117
Mr. Bateman to Mr. Eden.—{Received August 24.)
(No. 398 E.)
Sir, ^ Bagdad, August 1, 1936.
IN my despatch No. 357 E. o f the 15th July last, statistics were furnished
showing the financial worlang oi me Port of Basra and of the Fao Bar Dredging
Scheme for the year ended the 31st March, 1936.
2. I have now the honour to transmit to you the budget estimates in abridged
form of these two undertakings for the financial year 1936-37.(')
3. The total estimated revenue of the port is higher by some I.D. 36,000
than the estimate for 1935-36. Several factors have contributed to this increase.
The inclusion of a full year’s provision for sanitary dues has helped to swell the
marine revenues by some I.D. 11,000. In 1935-36, although provision for three
months’ collection of these dues was inserted in the estimate, no dues were in
fact received, as the necessary enabling legislation had not been enacted. The
position is unaltered in this respect, but it is hoped that parliamentary sanction
wull shortly be obtained.
4. Traffic revenue is estimated to produce I.D. 6,000 more than in 1935-36,
in anticipation of increased import tonnage, whilst miscellaneous revenues
account for an increase of a further I.D. 6,000, derived in the main from
anticipated recoveries, from the Central Power House and Central Water
Purification Scheme, on account of service of capital debt.
5. On the expenditure side the estimates are also higher by I.D. 36,000.
This increase is due in part to the enhanced provision made (under £C Salaries ”)
to cover the cost of the additional staff required to run the airport, and in part
to the expenditure required in connexion with the airport and the Central Water
Purification Scheme, which have not previously figured in budget estimates. For
the rest, provision has been inserted, on a conservative scale, for increased
expenditure resulting from the growing activity of the port. Provision is also
made for the payment of I.D. 33,360, the thirteenth annual instalment of the
capital debt, including interest due to His Majesty’s Government.
6. Estimates of receipts and expenditure of the Eao Bar Dredging Scheme
are both lower by approximately I.D. 32,000. On the basis of actual collections
in 1935-36, it is estimated that dredging dues for the current financial year would
amount to I.D. 150,000, but allowance has been made for a contemplated reduction
of 3 per cent, in the scale of charges, and revenue from this source is therefore
estimated at I.D. 171,000.
7. In the estimates of expenditure no provision for new dredgers, such as
appeared in the estimates for the preceding year (I.D. 62,000) is inserted, although
I understand that Colonel Ward has, in fact, secured the Prime Minister’s
consent to the purchase of a fourth dredger. All other heads show increases, the
most important of which are I.D. 10 550 for renewals and repairs, and I.D. 9,500
for mino r works. In the former case adequate provision has been made for the
proper maintenance of the three existing dredgers. Minor works include
additional beacons and lights to be installed, at an estimated cost of I.D. 2,500, in
the dredged channel, and the provision at Fao of facilities (also estimated to cost
I.D. 2,500) for minor repairs to and overhaul of port craft, hitherto dependent in
this respect on the Anglo-Iranian Oil Company at Abadan.
8. I am sending a copy of this despatch to the Department of Overseas
Trade.
I have, &c.
C. H. BATEMAN.
(9 Not printed.
[781 aa—1]