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A.—2

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Enclosure. Treaty of Feiendship, Commerce, and Navigation between Her Majesty and the Republic of the Equator.'—(Signed at Quito 18th October, 1880. Eatifications exchanged at Quito 19th February, 1886.) Her Majesty the Queen of the United Kingdom of Great Britain and Ireland, and the Eepublic of the Equator, being desirous of extending and facilitating the relations of commerce between their respective territories and subjects and citizens, have resolved to conclude a treaty for that purpose, and have named as their respective plenipotentiaries, that is to say,—Her Majesty the Queen of the United Kingdom of Great Britain and Ireland, Frederic Douglas Hamilton, Esquire, Her Minister Resident to the Republic of the Equator; and his Excellency the President of the Republic of the Equator, General Cornelio E. Vernaza, Minister of Foreign Affairs ; who, after having communicated to each other their respective full powers, found in good and due form, have agreed upon and concluded the following articles : — Article I.—There shall be perpetual friendship between the dominions and subjects of Her Majesty the Queen of the United Kingdom of Great Britain and Ireland, her heirs and successors, and the Republic of the Equator and its citizens. Article ll.—There shall be between all the dominions and possessions of the two high contracting parties reciprocal freedom of commerce and navigation. The subjects and citizens of each of the two contracting parties, respectively, shall have liberty freely and securely to come, with their ships and cargoes, to all places, ports, and livers in the dominions and possessions of the other to which other foreigners are, or may be, permitted to come, and shall, throughout the whole extent of the dominions and possessions of the other, enjoy the same rights, privileges, liberties, favours, immunities, and exemptions in matters of commerce and navigation which are or may be enjoyed by native subjects or citizens generally. Article III.—No other or higher duties shall be imposed on the importation into the dominions and possessions of Her Britannic Majesty of any article the produce or manufacture of the dominions and possessions of the Republic of the Equator, from whatever place arriving, and no other or higher duties shall be imposed on the importation into the dominions and possessions of the Republic of the Equator of any article the produce or manufacture of Her Britannic Majesty's dominions and possessions, from whatever place arriving, than are or shall bo payable on the like article the produce or manufacture of any other foreign country ; nor shall any prohibition be imposed on the importation of any article the pioduce or manufacture of the dominions and possessions of either of the two contracting parties into the dominions and possessions of the other, which shall not equally extend to the importation of the like articles being the produce or manufacture of any other country. Auticle IV. —No other or higher duties or charges shall be imposed in the dominions and possessions of either of the contracting parties, on the exportation of any article to the dominions and possessions of the other, than such as are or may be payable on the exportation of the like article to any other foreign country ; nor shall any prohibition be imposed on the exportation of any article from the dominions and possessions of either of the two contracting parties to the dominions and possessions of the other, which shall not equally extend to the exportation of the like article to any other country. Article V. —Goods, in respect of which import duties shall have been paid upon the importation thereof by a subject or citizen of either country at a port of the United Kingdom or the Republic of the Equator, shall not be liable to the payment of any further import duty in the event of such goods being conveyed by sea to any other port of the United Kingdom or Republic : Provided always that both in the United Kingdom and in the Republic of the Equator such reshipments shall have been made in conformity with the laws of the two countries respectively for the regulation of the coasting trade. Article VI. —Equality of treatment in regard to warehousing and to the transit trade, and also in regard to bounties, facilities, and drawbacks, shall be enjoyed by the subjects and citizens of the high contracting parties reciprocally. Article VII. —All articles the produce or manufacture of the dominions and possessions of either of the contracting parties, or of any other country, which are or may be legally importable into the ports of the dominions and possessions of Her Britannic Majesty in British vessels, may likewise be imported into those ports in Equatorian vessels, without being liable to any other or higher duties or charges, of whatever denomination, than if such articles were imported in British vessels; and, reciprocally, all articles the produce or manufacture of the dominions and possessions of either of the contracting parties, or of any other country, which are or may be legally importable into the ports of the dominions and possessions of the Republic of the Equator in Equatorian vessels, may likewise be imported into those ports in British vessels, without being liable to any other or higher duties or charges, of whatever denomination, than if such articles were imported in Equatorian vessels. Such reciprocal equality of treatment shall take effect without distinction, whether such articles come directly from the place of origin or from any other place. In the same manner there shall be perfect equality of treatment in regard to exportation; so that the same export duties shall be paid, and the same bounties and drawbacks allowed, in the dominions and possessions of either of the high contracting parties on the exportation of any article which is or may be legally exportable therefrom, without distinction whether such exportation shall take place in British or in Equatorian vessels, and whatever may be the place of destination, whether a port of either of the contracting parties or of any third Power. Article VIII.—No duties of tonnage* harbour, pilotage, lighthouse, quarantine, or other similar or corresponding duties of whatever nature or under whatever denomination, levied in the name or for the profit; of Government, public functionaries, private individuals, corporations, or establishments of any kind, shall be imposed in the ports of the dominions and possessions of either

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