Page 27 - 1 Persian Trade rep Bahrain 1_Neat

No. 40.3, dated Bali rain, the 31st July (received 10th August) 1907-
From-CAmn P. B. TRinksux, I.A., Political Agent, Bahrain,
To—Tho Secretary to tho Government of India in the Foreign Department, SiitfH.
Under inslruclions from (lie Political Resident in tho Persian Gulf, I have
tlic honour to submit tho trade report of .the Bahrain Islands for tiro year 1906,
together with statomcnls of imports and exports and shipping returns.

Report on the trade of the Bahrain Islands for the year 190G.
The year under report has been a remarkably prosperous ono not only
superficially but actually, as is evidenced by tho fact thrjt the volume of the
general trade, excluding tho entries regarding pearls, has risen from
Ft. MMJ.235
S^^inl905 to Us. £l,4ji,M9 iu 190G, showing an increase of 30*29 per
cent
The volume of the wholo trade (including pearls), which was shown at
Rs. 4,47,62,1 G2 (£2,983,578) in 1905, is estimated at Rs. 4,73,18,202
(£3,154,549) for 190G, giving an increase of 5*73 percent It should bo observed,
however, that the figures for 1905 were considerably swollen by the value of
pearls imported into Bahrain by steamer from Trueial Oman, Persia and India,
for sale and re-exported toludia, while the figures for 190G deal practically with
only the quantities drawn direct from the sea by the people of Bahrain, Koweit,
Katif and Katar.
The price of pearls given in these statistics is that paid by the wholesale
buyers and exporters to the producer. In the latter months of the year it was
recognized that rates had been abnormally inflated and that the purchases
could not be disposed of in Bombay or Europe except at a heavy loss, which
up to the close of the year was never mentioned at less than 30 per cent. The
majority of tho wholesale traders have still retained possession of their stocks
in the hope of prices rising later on. If such an event dees not occur within a
reasonable period, it will certainly follow that the smaller initial vendors, who
were paid partly in drafts which have been returned, will he compelled to con­
sent to a general revision of the sums given to them, under tho threat of a
declaration of insolvency. It may be added that the astuter Hindu pearl-
merchants have generally succeeded in disposing of their pearls without loss,
if without profit, and that the largest dealer in Katar is the Arab whose
solvency seems to be most seriously endangered- At the time of writing this
report no improvement is apparent in the foreign markets, but the productive­
ness of.the pearling season of 1907 seems unlikely to exceed the average,
which is much lower than the results of 1£05 and 1906.
The year 1906 was an exceptionally healthy one, and the influx of foreigners,
both merchants and labourers, has steadily continued. The supply of the
latter is, however, still less than the demand; The prices of most commodities,
including the necessaries of life, have steadily risen in spite of the fact that the
net tonnage of vessels entering the port has increased by 13*6 percent
The firms of Gray Paul and Company (British) and Robert WGnckhaus
and Company (German) Lave done business steadily throughout the year. The
former have been appointed Agents of the Standard Oil Company of New
York, who introduced a large stock of their kerosine oil in August, with the
intention of permanently replacing the Russian oil which had hitherto been
imported by British Indian subjects. In the same month Messrs. Robert
"Wonckbaus snd Company became Agents for the Hamburg-America Steamer
line, of which Company four vessels brought an average of 738 packages to the
port between August and December 1900. In this connection it may be men-
tiqncd that it has been found impossible to show accurately in the available
statistics the countries of origin of the cargo carried by theso steamers, as also
similarly for the vessola ownod by tho British India Steam Navigation Company.
A considerable quantity of -the cargo carried by the German steamers has
come from Prance, Austria, East Africa and Maskat, while much of the cargo
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