A.—s.

Sir WILFRID LAURIER : You could not do it with cargo; that is impossible. Mr. LLOYD GEORGE : So I should have thought. Sir WILLIAM LYNE : But it would increase the trade between Canada and Australia. Sir WILFRID LAURIER : All express goods could be discharged very promptly. Mr. ASQUITH : It would be mainly a passenger and mail route, I take it ? Sir WILFRID LAURIER : Yes, and perishable goods also —fruits and things of that kind. Mr. ASQUITH : How do you make your 20 days '. It seems rather a short time. Mr. LLOYD GEORGE : Four at Halifax, four across Canada, and 12 upon the Pacific, I understand < Mr. ASQUITH : That gets you to Auckland, I suppose. Sir JOSEPH WARD : Either to Auckland or to Wellington as the steamers elected. We could do it easily in 20 days. It may to some people seem a dream, but I am persuaded it is capable of being practically worked, and lam positive in saying that the Colonies want it. We are anxious for it because we recognise the value to our people of being able to come to the Old Country and meet your people here. We recognise the enormous advantage of rapidity of mail communication even allowing for the speed that can now be attained across the cables. We know all these facilities mean increased avenues for obtaining and developing trade. The more you bring the teeming millions of England into touch with the Colonies— Canada, Australia, and New Zealand—with their enormous fields for the absorption of people, the greater chance you have of having those countries settled by the excess of your British people from time to time whom you do not require, and the more rapidly that will be brought about, and the more rapidly will the trade between them expand. From the point of view of Canada, Australia, and New Zealand it is most important, because there will be an enormous trade development between those countries on their own account. If we could do the two things at once and also reduce the charge for cable messages, it all goes in the direction of bringing about a preference of trade under the British flag between the outlying portions of the Empire and the Old Country. Sir WILLIAM LYNE : You would require to have an arrangement regarding the service right through via the Suez Canal and via Canada fortnightly, because you could not keep up a double service of boats. We have boats coming through the Canal now. Sir JOSEPH WARD : It is a matter worthy of consideration.

Ninth Day. 1 May 1907.

Preferential Trade.

278