Value per 

 Year. Imports. Exports. Total. inhabitant. 



1906 44,745,000 69,738,000 114,483,000 f28. 3.10. 



1907 51,809,000 72,824,000 124,633,000 30. 4. 5. 



1908 49,799,000 64,311,000 114,110,000 27. 4. i. 



1909 51,172,000 65,319,000 116,491,000 27. 5. o. 



1910 60,014,000 74,491,000 134,505,000 30.15. 6. 



1911 66,973,000 79,483,000 146,436,000 32.12. 5. 



The unfavourable figures for 1908 were due in a large measure to the financial crisis in 

 the United States causing a lower range of world prices for wool and metals. The total 

 public indebtedness of Australia is 267,127,283 most of it borrowed abroad on which 

 an average rate of interest of 3. 14.4% per annum is paid. The payment of this interest 

 affects the export figures. The import figures on the other hand are swollen by the con- 

 tinuance of public borrowing from abroad, which averaged for the nine years to 1911 about 

 6,000,000 a year. Probably in a normal year one item nearly balances the other. 



The bulk of Australia's trade is with Great Britain and with British possessions. Of 

 the imports in 1910, totalling 60,014,351, 36,646,441 were from the United Kingdom, 

 71865,649 from British possessions, and 15,502,261 (not much more than one quarter) 

 from foreign countries. Of the exports in 1910, totalling 74,491,156, 37,698,312 were 

 to the United Kingdom, 8,323,486 to British possessions, and 28,469,352 (more than one 

 third) to foreign countries. British imports to Australia have preferential tariff treatment. 

 A profitable future is promised for Australian trade in supplying Asiatic countries with 

 food products, minerals, and raw materials for textiles. Steps are being taken to foster this 

 trade, and it has grown in value from 2,298,000 in 1904 to 3,121,000 in 1910. 



.Communications. There were at the end of 1911 a total of 18,012 miles of railways open 

 for traffic in Australia, showing an increase of nearly 1,000 miles over the previous year. 

 Practically all the railways are owned by the state governments. There are four different 

 gauges in use, broad, standard, narrow and very narrow. The Commonwealth has con- 

 stitutional power, with the states' consent, to take over the railway systems and unify the 

 gauges; but the power is not likely to be exercised for some time. At present Queensland 

 and New South Wales are foremost in railway development. The Commonwealth Govern- 

 ment has acquired from South Australia the railway line from Port Augusta to Oodnadatta, 

 and has taken over with the Northern Territory the short railway from Port Darwin to Pine 

 Creek. It is intended to connect Pine Creek with Oodnadatta, thus making a north-to- 

 south trans-continental railway. Other proposed Commonwealth lines will connect the 

 new Federal Capital with the Sydney to Melbourne main line, and with the Federal port 

 of Jervis Bay. In a more advanced stage is the line which will complete railway com- 

 munication between east and west. This trans-continental line from Port Augusta in South 

 Australia to Kalgoorlie in West Australia will stretch over I.IOO miles; and the estimated 

 cost is 3,988,000. The work is being carried out by the Government without the interven- 

 tion of contractors, and was put in hand in September 1912. 



The capital cost of the Government railways in Australia had reached to 152,855,000 

 in 1911. They are the chief asset standing against the public indebtedness of various states. 

 The net revenue of these railways provides 4.44 % for interest and sinking fund on the capital 

 invested. After payment of all working expenses and interest there was calculated to be a 

 profit of 1,424,000 in 1911 available for debt redemption. 



Several great shipping companies have arisen in Australia to carry on the coastal trade; 

 the trans-oceanic trade is mostly in the hands of British companies, though Australian, 

 German, French, Italian, Norwegian and American lines have some share. The policy of 

 the Australian Government is to seek to secure as much as possible of the coastal trade for 

 Australian vessels, and to banish coloured labour from all ships trading to Australia. Since 

 shipping legislation can only be carried out with the assent of the Imperial Government, 

 these ideals cannot be fully realised, but the Commonwealth enforces white labour con- 

 ditions to some extent by refusing postal subsidies to vessels employing coloured crews. 

 A new Navigation Bill, drafted after several consultations with the Imperial Government, 

 passed through its final stages in the Commonwealth Parliament in 1912. In this measure 

 there are elaborate provisions for the safety of ships and the comfort of crews. The coastal 

 trade is confined to Australian ships and to foreign ships licensed to engage in that trade; 

 licenses are subject to the payment whilst on the Australian coast of Australian wage rates 

 to seamen, and a further condition is that the ship receives no bonus or subsidy except from 

 the Australian Government. 



The proportion of British to foreign shipping entering and clearing Commonwealth ports 

 is roughly 77.4 to 22.5. 



Finance (Public). The prosperity of Australia during the last quinquennium is reflected 

 in the public revenues. The Commonwealth collects the revenue from Customs, Excise, 

 Land Tax, Posts, Telegraphs and Telephones, Coinage (including Bank-note issue), arid 

 fees from various; small services such as the Patents Office. It has to meet from this revenue 

 the cost of naval and military defence, of its services (such as postal and telegraph), and of 



