Page 15 - Bahrain Gov Annual Reports (III)_Neat

7

merchants were more interested in importing goods from India to other States
where no control existed and profiteering was not restricted. The local merchants,
most of them foreigners or of foreign origin, with one or two exceptions, failed com­
pletely in this emergency and made no attempt to co-operate with the Government
of the country in which most of them had made their fortunes. Finally, in the
interests of the public, not with any wish to compete with the mercantile commu­
nity, the Bahrain Government was compelled to become the purchaser, the im­
porter and the seller of most of the essential foodstuffs, such as wheat, sugar, dates,
rice and flour. It was found that by these means supplies were obtained and could
be sold to the public at reasonable cost. For this reason the surplus revenue for
the year which would normally have been added to the Reserve Fund was kept
available for purchasing food for the country. There was no time during the year
when essential food was not available, though sometimes one commodity was
unobtainable, but in spite of controlled prices the cost of living increased and in
most cases the incomes of the purchasers remained stationary. Towards the end
of the year the condition of the poor, especially in some of the villages, obviously
deteriorated and cases were reported in which people were said to have died of
starvation. The food position in the villages would not have been so bad if Bahrain
landowners had not deliberately hoarded most of the date crop in the hopes of
making great profits at the end of the season.
Lack of employment and difficult conditions among the people was respon­
sible for an increase of crime but not of a serious type. Most of the cases which
were dealt with were thieving and pilfering. Frequently people on trial in court
asked to be sent to jail because they were unable to feed themselves. The cheap­
ness of food in Bahrain, especially sugar, in comparison to prices in neighbouring
States was a powerful incentive to smuggling. The Police were responsible for
detecting many cases of smuggling food out of Bahrain which were severely
punished by the Bahrain courts. Smuggling into Bahrain became a thing of the
past and smugglers concentrated their skill and ingenuity on removing foodstuffs
from Bahrain to Kuwait or Iraq.
There were no important changes in local administration during the year.
Medical work and anti-malaria measures continued to develop. The last block
of the State Hospital was completed and a new Lady Doctor was appointed to the
Women’s Hospital. The schools had a successful year and the Secondary School
was transferred to new quarters. The Municipalities co-operated actively with the
Government in rationing and food control.
There was a decrease in revenue during the year and an increase in the cost
of administration owing mainly to the general rise in prices.
The Budget for 1362 contains no abnormal items ; the revenue, especially
from customs sources, has been estimated on a very conservative basis owing to
the uncertainty of imports. Expenditure consists almost entirely of the usual
recurrent items and no public works of any magnitude have been contemplated.

C. DALRYMPLE BELGRAVE, C.B.E.,
I
Bahrain, Adviser to the Government of Bahrain.
Dated, 19th May 1943.