Page 219 - Historical Summaries (Persian Gulf - Vol II) 1907-1953

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(/) Currency
110. The Indian Rupee is the currency in general use in the ports of Muscat
and Matrah and in Gwadur territory but elsewhere the Maria Theresa dollar is
preferred and in the interior and in Dhofar nothing else is accepted The Pakistan
Rupee is ordinarily only accepted by the Pakistan Post Office at Gwadur the
Maria Theresa dollar is a silver coin minted commercially as opportunity offers
Its value vis-a-vis the Indian rupee fluctuates greatly. At the beginning of the
last war it was for a time worth less than one Indian Rupee; according to the latest
reports it is now worth about three-and-a-half. The Sultan was once reported
to be accumulating as many of these dollars as possible in his Treasury with a
view to making them so scarce that the tribes of the interior would be forced to
accept the Indian Rupee. It was also reported at the time that large quantities
of dollars were being exported from Sultanate territory for their silver content.
111. There is a subsidiary coin known as the baiza in which the retail
prices of local food-stuffs and other produce are usually fixed. Its value varies
vis-a-vis both the rupee and the dollar. In 1948 the Sultan had his own nickel
baiza coinage minted and issued a communique (Appendix J) fixing the baiza rate
at 200 to the Maria Theresa dollar and 100 to the Indian rupee. He proposed
to issue further communiques varying the rate vis-a-vis the rupee to accord with
changes in the rate between the rupee and the Maria Theresa dollar but so far as is
known has never done so. At the end of 1950 the baiza rate vis-a-vis the rupee
was reported to be 64 at Muscat and 48 at Matrah.

(ni) Protocol and Consular Privileges
112. The Political Resident and Her Majesty’s Consul-General call first on
the Sultan or the person appointed to represent him during his absences. If the
call is made officially in uniform it is always returned at Her Majesty’s Consulate;
otherwise it is often returned as a matter of courtesy, but not of obligation, unless
the call is a private one to discuss business. It is customary for the Consul-General
to pay formal calls on the Sultan or his representative on the two ’Ids, and for
the Sultan or his representative to pay similar calls on the Consul-General on
New Years’ Day and Her Majesty’s Birthday, which in the Persian Gulf is
celebrated on April 21. On the latter occasion the shore batteries fire a royal
salute. These calls are not returned. Her Majesty’s ships salute the country on
arrival at Muscat and the salute is returned by the shore batteries. Commanding
Officers call formally on the Sultan or his representative and the call is usually
returned in person on board and invariably so if the Commanding Officer is of
or above the rank of Captain. Elsewhere in the Sultanate the Walis call first upon
the Political Resident and Consular or other visiting officers call first upon
the Walis.
113. In 1938 the Sultan agreed in writing to exempt from Customs dues,
goods imported for the specific use of His Majestys Consulate and the personal
use of His Majesty’s Consul (Appendix K (i)). In 1948 he issued a decree
prohibiting the import of all kinds of alcoholic liquor. At the same time he agreed
orally to make a special exemption in favour of His Majesty’s Consulate, and to
allow a reasonable supply of liquor to Europeans and Anglo-Indians under a
permit system for which His Majesty’s Consulate would be responsible^1"0) He
refused to grant a similar concession to the Hindus. His oral undertaking is
referred to in a letter which he wrote at the time of the signing of the 1951 Treaty
(Appendix K (ii)). In that letter he confirmed the privileges granted in 1938, and
agreed that the term “ Consul ” used in his letter of that year should be read as
including Consul-General, Consul, Vice-Consul and Consular Agent.
(n) Lighterage at Muscat
114. The firm of Haji Bhacker has for many years held a contract forr all
lighterage at Muscat harbour. Its methods were antiquated and inefficient and at
the instance of Messrs. Gray Mackenzie and Co. the Sultan has on several
occasions been pressed to allow the latter firm to make their own arrange;™™\sn*°dr
lighterage in respect of ships for which they are acting as agents, buthzsTttusea
to Hn w('“) The firm of Haji Bhacker has recently imported a motor tug ana
improved its methods and Messrs. Gray Mackenzie and Co. have for the time
being ceased to complain.
p Pifo BssS^J;rr^TOV4V/2"/9/.9fW-
(••') P.r! w FO. 81/15/50 of May 29, 1950 (EA 1392/8 of 1950).