At a Meeting of the Committee, held on Friday, Nov. 12, 1858, Present:

SIR MACDONALD STEPHENSON, in the Chair.

Read and confirmed Minutes of last Meeting,

The consideration of the "Cahier des Charges" was proceeded with, and Clauses 49 to 87 were read and approved of, with amendments in Clauses 50 to 62 inclusive, 68, 69, 71, 72, 78, 83, 86.

Clause 68. In fourth paragraph, 200 Paras to be substituted for 100 Paras. In last paragraph, "La Compagnie pourra to be substituted for "La Compagnie ne pourra." Clause 69. Insert "ne" before "pourra."

Clause 71. After "exploitation," introduce "sans un arrangement préalable avec le Gouvernement," and compare with Article 9 of Smyrna and Aidin Concession.

Clause 72. Telegraph agents to travel at same rate as military and marines, in Article 63.

Clause 78. Paragraph 2. Strike out from "à moins" to "constatés," inclusive also "d'une manière sérieuse."

Clause 83. Insert 70,000 archines, or thirty miles.

Clause 86. To be expunged.

A new Clause (88) to be added, which will define the meaning of the term "supervision.'

Another Clause (89) to be added, declaring susceptibility of modification of any of the clauses of the Cahier des Charges based upon the future experience of the various companies.

It was proposed by Sir Macdonald Stephenson, seconded by M. Posno, and carried unanimously, that during the absence of Mr. Bowlby, Mr. Barkley be requested to fulfil the duties of Honorary Secretary, to which Mr. Barkley acceded.

The Committee then adjourned until it received communications from the Committee to be formed in London.

(Signed) MACDONALD STEPHENSON,

Chairman.

F.

EXTRACT FROM MR. ALISON'S REPORT OF 1858.

The Custom-houses in the capital, and the other principal ports of the empire, are ludicrously inadequate in extent to accommodate the trade. By far the greater part of the goods landed is exposed on the quays, to all the injury which the weather can inflict; while the cargoes of different ships are thrown pêle-mêle together, and piled one over the other, in inextricable confusion. The same description applies to the interior of the building. The operation of opening and examining the goods goes forward unregulated by any apparent system, or the most ordinary supervision of the superior authorities. No available register of the goods is kept; indeed, the whole business is conducted in a manner, and amid a scene of inconceivable confusion, which is utterly unintelligible, and which deters all persons, except those fully conversant with the strategy of the place, from attempting to investigate the reason of any charge however exorbitant, or any conduct however eccentric. The loss of goods, or their misappropriation by dishonest applicants, is very great.

It is, indeed, impossible to imagine anything more unbusinesslike than the means in use. No mechanical appliances for the discharge or loading of ships are available; and, with the exception of one used by small craft, no quay at Constantinople exists for vessels to go alongside. Nothing, indeed, has been done, except in one instance, to forward the despatch of business. Everything, besides, tends to occasion, or does actually occasion, injury to the merchandise; loss to the merchants; and detention to the ships employed in the trade.

The instance of improvement alluded to, has arisen fron the concessions to the Messagerie Impériale Steam Navigation Company of Marseilles, of the right of erecting wharves and bonded warehouses at their own cost, whereat Customs' officers are stationed for the examination of the merchandise passing to and from the steamers of the Company. On these premises, the most perfect order reigns, and every proper facility is given for the rapid transaction of the business of a Custom-house, and for the discharge of vessels. This example shows what can be done, and the direction in which reform should work.

There can be, indeed, no question of the perfect readiness with which a thorough change can be brought about. The simple permission granted, on proper application, for the erection of as

many bonded warehouses and wharves as are required to accommodate the trade, would at once do all that is necessary. Within some of these warehouses, merchandise of a special class or kind might be stored; while others might be licensed to receive the importations of special countries, or those goods (as is now done with the Messagerie Impériale) which are imported by special Companies.

The introduction of this system would not cost the Government one para, and would decrease even the cost of collection, by exonerating the officials from all responsibility and charge of the merchandise, and restricting their duty to examining the goods, and collecting the proper dues thereon. All the Government has to do, in order to bring about this reform, is to authorise the erection of the necessary buildings, and to leave it to private enterprise to erect them, furnish them with all the necessary appliances, and conduct their administration on the best known system. Of course the persons erecting these buildings would charge wharfage, and warehouse-rent, on the goods deposited with them; but no fear need be entertained of this charge being exorbitant, as long as the right of erection is freely granted, and thus a healthy competition is insured; and that, moreover, importers and exporters of merchandise can fall back on the general Custom-house.

The convenience to trade in England, which such a system has afforded, is stated, by the best authorities, to be very great; and the discouragement to smuggling which it allows of, owing to the more particular supervision which the trade receives, also, obtains their approbation.

The general conclusions from the foregoing are:

That in Turkey, no means are used to lessen the obstructions which are incidental to the collection of revenue, with the exception of the experiment lately commenced at the wharf of the Messagerie Impériale Company;

That the free extension to other persons of the privileges accorded to that Company-namely, that of erecting wharves and bonded warehouses-would be equivalent to affording all the facilities in practice elsewhere, accompanied by the best system of administration;

That the introduction of this reform would not cost the Government anything; would decrease the cost of collection; and render any evasion of the Customs duties more difficult.

The final division of the subject for consideration refers to the "natural and artificial facilities for the production and transport of merchandise (both raw and manufactured) possessed by Turkey;" always keeping in mind that these facilities are compared with the degree in which they exist in those countries with

which an interchange of productions is made; or which otherwise enter into competition with Turkey in the neutral markets of other States.

As regards the natural facilities possessed by Turkey, it is apparent, even to a superficial inquiry, that few, if any, countries in any part of the world possess the same natural advantages to the same extent.

Throughout the greater part of the Turkish Empire, the soil and climate permit of the almost inexhaustible production (in excess of the wants of the home population) of those ordinary raw materials which form everywhere the great staples of food and manufacture. Grain, wool, hemp, hides, tallow, timber, which form the common staples of European trade, are, everywhere where a market is open to them, produced in abundance in this country; while in addition to these ordinary products (which are also freely produced elsewhere), Turkey yields in profusion those rarer articles of merchandise-drugs, dyes, gums, fruit, vegetable oils, silk cocoons, and tobacco-which can only be abundantly and profitably produced under conditions of special advantage of climate and geographical position.

Under all these circumstances of discouragement and obstruction which surround the producer, a considerable trade in these materials has grown up, and every reason exists for the belief that this branch of commerce might be indefinitely extended, provided it were relieved from those pernicious restrictions and imposts (before entered into) which in so great a degree counteract the bounty of Nature; and provided also that the great natural advantages possessed by Turkey were in some more perfect degree supplemented by those indispensable artificial facilities of transport which can only be supplied either by the direct interposition of the Government, or by the enterprise of the general community.

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As a general conclusion, it may be assumed that, as regards those raw materials which are in constant demand in manufacturing countries, whether classed under general or special headsas food, raw staples, or luxuries-Turkey possesses natural advantages for their cultivation and production, at least not inferior to those enjoyed by the most fertile countries of the world."

The discoveries and improvements made in the great manufacturing countries of Europe, whilst they have created a demand for that raw produce which Turkey can so profitably and easily supply, have also, by that equitable incident of trade which is its most important characteristic, enabled the Western manufacturers to obtain a reciprocal market for their goods in Turkey. All experience goes to show that, as long as a country can freely,

like Turkey, produce a large excess of raw material, which is in constant foreign demand, it is more profitable to direct her capital, skill, and attention, to the supply of that demand, than to enter into a ruinous manufacturing competition with foreign States, in the very field which these latter have selected as best suited to their special advantages.

Artificial facilities for the production and transport of merchandise (whether raw or manufactured), are less employed in Turkey than in any State of Europe or America.

To find examples of similar neglect, reference must be made to those portions of the globe which remain in a state of barbarism or semi-barbarism-to Africa, and to Central Asia.

As regards manufactures, this state of things is, apparently, however, of but little importance to the general welfare (from the reflection that, under present circumstances, Turkey is not in a position to become, with advantage to herself, a manufacturing country), and sinks into absolute insignificance when compared with the magnitude of the loss inflicted on the Empire by the want of artificial means of transport.

It is not too much to say that this latter want, or deficiency, is pre-eminent over all the collective evils which retard the progress of the Empire, in a degree which admits of no comparison.

The latter, bad as they are, but retard the development of the Empire's resources, whereas the former absolutely limits the production of the rich soils and genial climate of the interior to the scanty measure of the local consumption.

With the exception of the coasting transport-trade, carried on by steam and sailing-vessels, the Turkish Empire possesses no means of intercommunication which are not of the most primitive and costly order. The camel, the mule, and, in some flat districts, the bullock-waggon, afford the sole means of transport. There are absolutely no "made" roads, canals, or rivers rendered navigable by art, available for the use of trade, throughout the whole Empire. The Turkish Government has tried to make two roads, and has failed in both instances ;-the one, between Brussa and Gemlik, having been abandoned when about half was completed; the other, from Trebizond, never was extended two miles from the town. Nowhere, indeed, are the great natural advantages of the Empire developed by those ordinary artificial means which are indispensable in all cases to their full, and, in many cases, to their partial development.

In the interior of the Empire, vast districts of the best soils are either shut out altogether from any market, for that portion of their products, which exceeds the local consumption; or are only able to obtain one at a heavy cost, for those rarer special