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          financial.—The present prosperity which is re­  Communications and  Tranxptrt.—Motor roads
        flected in the greatly increased trade of Bahrain   suitable for c-ara and lorries exist over most of the
        b due almost solely to the operations of the Bahrain   two main islands. There arc 31*5 motor care, 80
        Petroleum Company’, Limited, which employs (in   busts, 71 lorries of various tjjes and 18 motor
        round numbers) 300 Europeans and Americans,   cycles, which arc almost exclarively of American
        820 Asiatic foreigners and 2,030 Bahrainis. A very   manufacture. Motor boats pljr regularly between
        considerable proportion of the total wages corned   Bahrain, Qataf and 'Oqair and occasionally to other
        is of course spent in Bahrain.         port3 on the mainland. The fares arc cheap. There
                                               is a regular weekly steamer service (British India
          There is a branch of the Eastern Bonk Limited   Steam Navigation Company) fnm and to India
        in Bahrain which transacts all types of business.   and Iraq. This Company’s fn.*t mail also calls at
        The hundi system is used by the Hindu merchants.  Bahrain fortnightly, in addition the Strick, Hansa,
                                               Stiver Java Pacific and Mitsui lines maintain regular
          Taxation.—Private property is free from taxation   services from British, Continental, American and
        but there oro municipal taxes in the towns of Manama   Japanese ports. The Imperial Airways halt at
        and Muharraq. A considerable proportion of the   Bahrain five times weekly on tleir ea*t and west
        total State income is derived from Oil Royalties,   bound flights-
        and most of the balance comes from Customs duties.
        The Customs tariff is fixed at 5 per cent, ad valorem   General.—Manamab, the c&pnal town contains
        on general merchandise and 10 per cent, on certain   two hospitals (shortly to be irereased to three),
        luxury articles such as carpets, gillims, cycles, clocks   three schools and a technical school, a Post Office
        and watches, electrical goods, furniture, gramo­  maintained by the Indian Posul Department, a
        phones, gold and artificial gold thread, hosiery,   wireless and cable station, and a branch of Messrs.
        henna, motor cars, perfumery, toilet soaps, silken   Gray, Mackenzie and Company, Limited, who act
        goods, sewing machines, rubber tyre* and tubes,   as agents for the British India Steam Navigation
        typewriters, boots and shoes, playing cards, etc.   Company, Limited.
        Alcohol, tobacco and cigarettes pay 15 per cent. duty.
                                                 There are municipal councils in Mnharraq and
          Transit dues on goods landed at Bahrain for the   Manama. There in an electric power station at
        mainland are charged at 1J per cent, and export
        duty of Bs. 10 per bundle is paid on hides and two   Man a ra ah and power is carried along tie causeway
                                                said by submarine cable to Mahorraq.
        annas per basket of dates.
                                                 The Political Agent, Bahratix, who is in close
          The Customs Department is undeT the direction
        of an European Director of Customs, who is an   tocch with Bocal and mainland affairs, will be glad
        official of the Bahrain Government.     to answer any enquiries regarding trade from  mer-
                                               chants in the United Kingdom through the Depart­
          Agricullure.—The area of Bahrain is roughly   ment of Overseas Trade.
        1,38,000 acres, of which roughly l/12th is cultivable   Enquiries from India should bt made through the
        a°d      is at present under cultivation. The  Director General of Commercial Ixtelligence, Calcutta.
        principal crops grown are dates and lucerne. As a   Tine probably would be saved by addressing the
        result of greatly increased demand, more attention   latter official direct, as informatim on most ordinary
        is now being paid to the cultivation of vegetables.
                                               matters is available in his records.
          Industry.—Bahrain is famous throughout the
        world for its pearl industry, on which great numbers
        of people still depend for their livelihood. During
        the diving season, which is from June to September,
        Bahrain is visited by numerous Indian and Arab           Sd/- H. VEIGHTMAN.
        pearl merchants and also by one or two European           Politics! Agent, Bahrain.
        pearl merchant*.
         The possibilities of the mother-of-pearl industry
        deserves attention.

          Mina.—The  Bahrain Petroleum Company.
                   °Via ft my developed oil field,    Attested.
        winch m 1938 produced over a million tons of crude
        oil. A very modern refinery, capable of dealing with   B. 8. HAYIN8.
        over 25,000 barrels of oil daily, is in full operation.
                                               Amtart Political Agent, Bahrmin.
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