23

A.—3

respectively, as against £24,862 and £27,819 for the previous year. This, 1 submit, is a very satisfactory result, for the orange andjcoffee crop of 1902 was a very small one, and the expansion of our exports must of necessity be a slow process, since it will depend for the most part on the increased production of copra, an increase that can "only be looked for six years hence. Copra. For the last fifteen years the Island of Penrhyn has not exported ■ copra, indeed the numerous trees have not produced sufficent nuts for home consumption ; but now, from some unexplained cause, the palms have suddenly regained their old fertility, and this year no less than 100 tons of copra has been exported, and thousands of young trees planted on land only a few feet above sealevel, where they are growing as vigorously as those planted on the best alluvial land of Earotonga. From Manihiki 135 tons, and from Eakahanga 160 tons, of copra have been exported during the past year, under circumstances very unfavourable to the production of that article of commerce. In most of the islands we have reason to complain of the lethargy of the inhabitants, who will not plant their lands; but in these two islands there are at least five palms growing where there should be but one, and it is a difficult matter to prevail on the owners to thin out the trees, for they deem it an act of vandalism to cut down a cocoa palm. It is however probable that the people will follow the example of our Resident Agent, Mr. H. Williams, who has reduced the number of the trees on his property, with the result that those remaining bear a much greater number of nuts per acre than the neighbouring lands. This fact is already impressed on the Native mind, and when once they find that increased production follows the thinning out process they will adopt it. At Eakahanga the Resident Agent is one Panapa, a teacher of the London Mission Society, and a man of great influence with his people. He may be relied upon to adopt any measure that will tend to the advantage of the island and its people. For many years the Island of Manihiki has been governed by a most rascally lot of men, who formed the self-appointed Au or Council of the island, who would seem to have taken pleasure in every act of misgovernment, even to the extent of acting as agents for the sale of spirits, imported by certain Tahitian traders. On one occasion this Au placed a rahui over the coeoanuts for ten months and refused to allow the people to clear their lands, so that the nuts that fell during that year have now formed a forest round the older trees. Mr. Williams has, however, altered all these things, and the people now gather the nuts and clean the land from undergrowth every three months. Aitutaki, though a small island, produced no less than 303 tons of copra last year, and have, moreover, planted to such an extent that the export of copra must be doubled within the next seven years. Even Earotonga has planted largely, especially on the land leased to Europeans, and I have to report that the Maori mind now turns in the direction of,, leasing the waste lands to suitable men for terms not exceeding sixty years. On my first arrival in this Group I found that of all the Arikis, Makea was the most conservative, and therefore opposed to the alienation of land. Now she is in favour of both surveys and leases, and has already alienated some good land, that will be planted forthwith. Takutea is an island of from 300 to 400 acres, and produces not more than 10 tons of copra per annum. As, however, this island has now been presented to His Majesty for the use of the Group, I propose to plant it throughout, for it should produce at least 200 tons each year. Mangaia, and the other windward islands, are not progressing in the same measure as those islands I have already mentioned. The first named has not only poor soil, but a very narrowminded and conservative people, who are wedded to their own way of doing things, and are but servants of the so-called aronga mana (leading men of the island). Eesident Agents are required in all such islands to protect the small people and urge upon them habits of industry, and indicate to them the best methods whereby they may improve their own position and that of the island generally. The copra trade of the northern islands is for the most part in the hands of Tahiti firms, who ship both to New Zealand and to San Francisco. It is said that fairly remunerative prices are obtainable at the latter place, and if such is the case the copra of the Cook and Society Islands will probably gravitate in that direction, unless the Levers Pacific Plantation Company should establish oil-mills in Fiji. This firm has already purchased all the copra islands lately in possession of the Pacific Islands Company, and as they require something like 60,000 tons of copra annually for their own works, their competition in the trade may prove of great value to these islands. Bananas. During the last two years the banana has assumed a leading position among the exports of the Cook Group. In 1901 this item was valued at £2,494, and in 1902 the value had risen to £4,150, and it may be said that there is hardly any limit to this product, for no island in the world is better suited to the growth of the banana than Earotonga. Coffee. The crop of last year was small, and sold for the most part either in Tahiti or Australia. This year we have not only a very heavy crop but the beans are well grown and even in quality. The prices offered are, however, so low that it seems doubtful whether one-third of the beans will be gathered.