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Workmen were brought out by the Government, our firm and many others concluded that the Government intended to have their work done in the colony; and, as the men were of little use without machinery, we were induced to make and erect additional machines of many kinds, suitable for the class of work likely to be done. We, like the workmen, have been much disappointed at the action of the Government. Our machinery is and has been standing idle, and the tradesmen walking about the streets, or taking to pick and shovel or other work they may get to do. The machinery we have at present erected is capable of employing from GOO to 700 hands, while we have not been able to get work for more than 120 to 150, and lately not more than half that number. We need not point out to the Commissioners that, if we could keep all our machinery going, we would bo in a position to turn out our work much cheaper; and, of course, tho same fact applies to other manufacturing firms. We had almost forgot to mention a fact which further bears out our opinion that work can be done as cheaply in the colony as elsewhere. Some five years ago the Government called for tenders for points and crossings, and the contract was taken up at very little over the imported cost. Afterwards tenders were called for a larger quantity, which were taken up at a much lower price, and, we believe, less than the cost of the imported ones ; and all contracts since have been taken at or below that price. We enclose with this a certificate obtained from the District Engineer, which refers to the dredge built by us for the Greymouth Harbour. The successful working and satisfactory results of this dredge are worthy of mention. The Government have shown their appreciation of it by calling for tenders for a dredge double its capacity and power. Our firm have again secured the contract; this dredge also being for Greymouth; and we have confidence that the results will be satisfactory to all concerned. We mention this to prove that, where the Government has given local industries a fair trial, the results have been satisfactory. We therefore sincerely trust that the present and future Government will avoid the errors of the past, and do all possible to foster these institutions in our midst, We have, &c, Kincaid, McQueen, and Co.

Memorandum for Engineer in Charge of Middle Island, re Dredge at Greymouth. District Engineer's Office, Greymouth, Bth January, 1879. I hate the honor to report that the dredge, as provided for in the contract with Messrs. Kincaid, McQueen, and Co., has been completed in a thoroughly workmanlike manner, to my entire satisfaction ; and that it works well in all its parts, and does the duty for which it was ordered in a most satisfactory manner. This is all the more creditable to Messrs. Kincaid, McQueen, and Co., both as engineers and contractors, for the reason that the contract and specification were such as to leave it to their professional standing and reputation, rather than to make it legally obligatory, that they should furnish a really creditable machine ; and I hope that their having so honorably fulfilled the spirit of their contract in this instance will redound as it should do to their future profit, by similar trusts being reposed in them hereafter. I should also wish to state that Mr. Alexander Low, the contractors' foreman who has erected the dredge here, has been most obliging and careful to meet our requirements in every possible way, so that, besides a thorough knowledge of his business as a practical engineer, which he so evidently possesses, ho has united the most untiring energy and anxiety to make the work a success, and to facilitate our carrying it on hereafter in his absence. C. J. O'Connor, District Engineer.

Memorandum for W. N. Blaib, Esq., Dunedin, re Greymouth Dredge. Public Works Office, Hokitika, 7th July, 1879. I think it but fair to Messrs. Kincaid, McQueen, and Co. to report for your information that the dredge at Greymouth has been even more than fulfilling the terms of specification under which she was built —namely, to dredge 50 tons per hour; the quantity dredged during June having been 13,286 tons, giving an average of 511 tons per day of nine hours, equivalent to nearly 57 tons an hour on the average all through, notwithstanding the fact that there T were two days during which very little work was done, in consequence of floods, &c. C. J. O'Connor, District Engineer.

We may mention that these memoranda were handed to us for perusal by the Resident Engineer at Dunedin. X., McQ., and Co.

No. 129. Mr. Ciiarles Hawkeswood to the Chairman of the Commission on Local Industries, at Timaru. Sir, — Staffordshire Ironworks, Auckland, 16th April, 1880. In answer to circular re Royal Commission on Local Industries, I beg to forward you a list of articles in my business which I consider can be manufactured with advantage in New Zealand, provided a protective duty as below be put upon the imported articles. In addition, I beg to recommend a small bonus to coal-field proprietors in New Zealand, to produce an article fit for coking and working iron in general, similar to the Grey River coal, which possesses these properties, and is, in my opinion, superior to Newcastle; and a bonus offered for its production would have the effect of keeping its price within bounds, and enable it to be carried to all parts of the colony for manufacturing purposes. This, I think, would have the effect of inducing coal-field proprietors to sink deeper, in order to obtain a better quality of coal, which I consider the most essential article in all iron and steel manufactures At the Miranda and other places, T am given to understand that there are large beds of iron ore, limestone, fireclay, and coal, sufficient to last New Zealand for a considerable number of years. These, I think, are the mainsprings of all industries, and, to insure their success, should be at once attended to ;