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by the Director-General of the French Post Offices to make use of the San Francisco mail steamers for the transmission of closed mails between France and New Caledonia. 2. In compliance with your request, I have to state that generally I concur with your views, and approve of the course you propose should be adopted. I have to suggest, however, that before a final reply is forwarded to the General Post Office, London, it would be desirable to await until such time as the terms of the new contract have been arranged, should circumstances render it necessary that, a fresh contract be entered into. I have, &c, The Hon. the Postmaster-General, New South Wales. J. Vogel.

No. 29. The Hon. H. Pabkes to the Hon. the Colonial Seceetaby. Sib, — Colonial Secretary's Office, Sydney, 3rd August, 1874. I have the honor to enclose, for the consideration of your Government, a copy of a minute by the Hon. Saul Samuel, Postmaster-General of this colony, on the subject of the charge for postage of letters, &c., despatched from the United Kingdom to Fiji, together with a copy of the correspondence to which Mr. Samuel refers as having been initiated by him when he was in London, relative to the necessity of some arrangement for the conveyance of mail matter from the United Kingdom, addressed to Fiji and other islands in the Pacific Ocean, by the mail service via San Francisco. I have, &c., The Hon. the Colonial Secretary of New Zealand, Wellington. Heney Paekes.

Enclosure in No. 29. The Hon. Saul Samuel to the Hon.. the Colonial Secbetaey. Refereing to the despatch of Lord Carnarvon to His Excellency the Governor, covering communications from the Treasury and the Postmaster-G-eneral of England upon the subject of the charge for postage on letters, <fee, from the United Kingdom to Fiji, which have been referred to this department, I forward the enclosed copy of correspondence, initiated by me whilst in London, relative to the necessity of some arrangement being made by the Imperial Q-overnment for the conveyance of mail matter from the United Kingdom, addressed to the Fiji and other islands in the Pacific Ocean, by the mail service established via San Francisco, and suggest that such copy of correspondence be forwarded to the New Zealand Government, whose opinion and concurrence it will be necessary to obtain before any decision can be arrived at, and communicate to the English postal authorities upon the proposal submitted by them. It seems to me that the justice of the case may be met by the London Office accounting to this colony and New Zealand for rates on correspondence posted in the United Kingdom for Fiji, &c, the same as are accounted for on correspondence from the United Kingdom addressed to the Australasian colonies. In the event of this being agreed to, half the amount might be credited by London to the New Zealand Post Office and half to this office. With regard to the mails from Fiji for Great Britain, in the present state of affairs at Fiji perhaps those mails might continue to be conveyed without charge until a Postal Convention can be made with the proper authorities at that place. 31st July, 1874. Saul Samuel. Sub-Enclosure 1 to Enclosure in No. 29. The Hon. Saul Samuel to the Right Hon. the Secbetaby of State for the Colonies. My Lord, — London, 25th November, 1875. Having already informed you of the establishment, by the Governments of the colonies of! New South Wales and New Zealand, of a mail service once in every four weeks between San Francisco and those colonies by way of Honolulu and Kandavau (Fiji), I now do myself the honor to submit for ' your Lordship's consideration the following special circumstances upon which it is deemed a fair claim can be made upon the Imperial Government for some assistance in the shape of a subsidy towards maintaining this service, beyond the aid which has already been granted in the form of the free transit of the Australasian mails between Great Britain and San Francisco, and the outward postage on correspondence forwarded by this route, less the inland British postage. 2. That the establishment of this mail line will afford direct and rapid communication between Great Britain and Honolulu, Fiji, and the islands of the Pacific, and will thus materially promote the annually increasing commerce between those places. In support of this statement, I may mention that the value of produce and manufacture exported from Great Britain to the islands of the Pacific in the nine months ended the 30th September, 1873, is stated in the commercial article in the Times of the 17th instant to be £72,923, against £27,737, the value of the produce and manufacture exported during a corresponding period of the year 1872. These figures show the present magnitude and the growing nature of this trade, which it would appear to be the interest of Her Majesty's Government to foster and encourage by providing regular and speedy mail communication. 3. That amongst the islands of the Pacific Her Majesty maintains a considerable fleet of war ships, which can only be communicated with at the present time by the circuitous route via Suez and Sydney. The establishment of regular communication between San Francisco and Fiji will enable the Imperial Government to communicate direct with this fleet.

Vide F. 2,1874, Enclosures 1, 2, and 3 in No. 5.

F. 2, 1874, Enclosures 1, 2, and 3 in No. 5.