A.—6

4

External Trade. $ c. Pearl-shell and produce from other islands have also been exported to the value of 16,880 70 Of the goods imported into Earotonga, there has been exported beyond the Federation, after paying duty ... ... ... ... ... ... 13,046 24 Goods have also been imported in bond and exported beyond the Federation ... 13,572 01 Specie. The imports have been. ... ... .. ... ... ... ... 4,689 00 The exports have been ... ... ... ... ... ... ... 8,600 00 Before Parliament separated last year, after establishing the Federation and providing a revenue for its support, you passed the Provisional Powers Act, authorising the Government to do certain things in order to carry out the objects of the Federation. This Act expires on the 30th June, 1893. Under it the Government have made regulations : (1.) For giving effect to the Import Duty Acts (Nos. 1 and 2); (2.) For preventing the introduction of disease; (3.) For establishing a Post Office ; (4.) For the management of Public Schools ; (5.) For a Shipping-master's Office ; and (6.) Appropriation of the revenue. These regulations and the Appropriation have already been published, and are now laid before you. Officers. We have also appointed officers to carry out the work of the Government. A list of these officers, and of their salaries, will be laid before you in accordance with the law. Supreme Court. By virtue of the powers conferred upon the Government by the Supreme Court Act, we have appointed Tepou-o-te-Eangi as Chief Judge. We do not think the Assistant Judges are yet required. Post Office. We have to thank the New Zealand Government for helping us in arrangements with other countries to receive letters with the Cook Island postage-stamps upon them. We have to thank them also for much kindness in other -ways since we became connected with New Zealand. The Post Office is now in full working order. Begistry of Deeds. A registry of deeds has been established and is found useful. The Eegistrar is paid by fees, and receives no salary. Public Schools. We are informed that the London Missionary Society intend making the teaching of English a fixed part of their school-work in the Cook Islands, and that the first teacher will soon be here. You will be glad to hear of this. Our people have often, as missionaries, carried religion to distant islands. They will then be able also to carry the knowledge which the power of reading English books will give them. We are sure you will give to the Society all the help in this good work that you can. Birds and Plants. Various kinds have been introduced from New Zealand. The plants are being taken care of, and will be distributed, when ready, among all the islands. The birds have been let loose, and it is to be hoped will thrive, so that numerous insects may be destroyed. The young of these birds will also be distributed. We advise a good many more birds being introduced at suitable times next year. Coffee-plants. We intended getting new kinds of coffee-plants, but did not do so, as there are diseases killing the coffee-trees in other countries, and we feared the plants might bring those diseases with them. Our coffee is already very fine when the berry is properly cured and allowed to get a suitable age before it is used. If we are careful about that, we can go on planting the seed of our own coffee with the certainty that our coffee will always find a good market. Money. We should like to have introduced English money, and to do away with the inferior South American silver dollars which we have always used for currency. But, after carefully thinking this over, we asked, who will bring us the English money whenever we have need for it'? Some people hoard money when they get it, and others send it out of the country, so that, unless it is being continually brought in, we should soon have none to do our trade with. So we have not done anything in this matter yet. If a bank were here, it would be different. We now come to the work which we wish to place before you for consideration: — 1. To make permanent the Provisional Powers Act of last year, with the exception of the clause giving power to the Government to appropriate the revenue. That work the Parliament will hereafter do for itself. 2. To establish a Government registry for births, deaths, and marriages. 3. To make a divorce law to apply to all the Islands of the Federation. 4. To appoint a federal flag, to be used by all Native vessels going to other countries. On shore we will hoist the Union-jack given to us by the Queen, when the Protectorate of Great Britain was proclaimed, and under which we hope to live for ever.