Page 416 - Bahrain Gov Annual Reports (I)_Neat

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ovm territority has been vindicated, and the evasive
tact^of the Eejdy merchants^ have been pro-erly checked;
considerable assistance to the 3.1.3.IT.Co. has been
rendered; and although this Com-nany has at last reduced
its freight rotes to a figure reasonably consistent
with the~value of the imports having regard to the
current degression, it-is yet to be^seeh if this Com­
pany will reciprocate the assistance dven 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 cergo intended for the mainland proceed steadily
and the merchants concerned pay their dues without any
demur, and the local employment of native graft is
ensured. I therefore consider myself justified in
reporting that 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 cor.eforward irregularly by sailing craft; another
factor is the local feeling cf security in dealing with
hhe Bahrain customs. Thus, during the oast year the
duty so collected has amounted to ns 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 Saudia. It arrears 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. Xing Abdulaziz ibn
Saud has ordered the rates of Lnuort Duty on the
eestern ports of his realm to be" similar to tnose^in
force at Jeddah on the west, with the exception of
Japanese goods, which are said to be subject to a dis­
tinctive High rate of Import Duty. This action appears
to be' 'due-to* the activity of Sheikh Muhammad Tawil, who
in the Shareefian regime, U3ed to be the Colle^or of
Customs in Jeddah,' and who maintains en agent in
Bahrain to deal with his business here, this latter
carrying on cn Import-transit business in his own
nene. It new remains to be seen how these new rates b
of Import Duty will affect the transit trade via Bahrain
to the mainland.
Durinc the difficulty of the above described
transhipment position and the lengthy correspondence
end negotiations which ocurred, it is very desirable
to acknowledge the close interest and active assistance
given to the^Bahrain rovernment by E. B. Kfs Political
Sgent, Ceotain C.G.Prior, I.A.