104 ITALIAN SOMALILAND - AGRICUI.TURAI. ECONOMY IN GENERAL 



to the limits of the cultivated area whenever, at the termination of one 

 of these periods, the grantee is found not to have fulfilled the obligations 

 imposed by his contract ; and finalh^ grantees whose land borders on rivers 

 or canals, constructed or to be constructed, must receive such land so dis- 

 posed that the greatest possible mrmber will enjoy the use of the water 

 for agricultural and industrial purposes. 



These informing principles have been translated into provisions which,' 

 while they do not alter them integrally, arrange for their-application within 

 clearly fixed limits, and under the direction of the governor's wise discern- 

 ment helped by a technical commission nominated for such end. ■ 



As regards the term for which they are valid (ninety-nine years) and 

 in other respects the contracts of concession have the character proper 

 to temporar}' leases. 



The rent is fixed by the contract and remains unchanged for thirty 

 years, after which an exemption for five j^ears from rent or taxes is granted, 

 and this exemption may be continued for ten years if the concessionarj^ per- 

 manently employ at least one family of Italian cultivators for every hundred 

 hectares he holds. The tax will be fixed in accordance with the profits the 

 concession derives from public works of hydraulics, roadmaking etc., which 

 may increase the value of its land. vSimilarh' the criteria are established 

 which the government can apply in order to recover unpaid rent and taxes, 

 and the contract fee is fixed at one lira (i). Machines and implements used 

 on the concession are exempt from customs duties. The State's right of pro- 

 i:)erty is affirmed in minerals below the soil, watercourses and canals. The 

 rules for taking possession of granted land are fixed, as is the due paA'able 

 in the case of reserves of the administration — in discharge of rights which 

 native populations may have in the conceded land, if it has been impossible 

 previously to establish and recognize these rights. The alienation of conces- 

 sions is forbidden while the^^ have not been granted definitely, that is to 

 say before their value has been fully developed. This prohibition is intend- 

 ed obviously to guard against speculation in land not yet developed by tech- 

 nical ability and a wise investment of capital. On the other hand lots on 

 a concession may be let or granted to metayers with the governor's permis- 

 sion. The transmission of concessions by inheritance is organized as in 

 Erythrea. Since it is not only Italians who may receive concessions the 

 provision is opportune which establishes that questions and disputes to 

 which concessions may give rise, whatever the scope of the disputes and 

 whatever the nationality^ of the contracting societies or individuals, shall 

 be within the competence of the Italian tribunals. 



Applications for concessions of the second category are examined in 

 Somaliland, in the case of resident applicants, by the Minister of the Colo- 

 nies if the applicant persons or societies be domiciled outside the colony. 

 Three tenths of the capital required to be invested in the concession must 

 be paid when the contract is signed into one of the State treasuries. This 

 sum will be gradually returned to the concessionary as he proves that he 



(i) lira = g^/g d. at par. 



