would be able to find a market for their production. On this latter account, and the panic of April and May, the pickings were scant when the tree was in its primest state. The same remarks, it is feared, must be made in regard to the cultivation of the mulberry and silk-worms, and picking of cocoons; still neither may be true. The cotton crop this year, it is hopefully anticipated, will be largely in excess of any year in the history of its production in the empire. Its growth has been immensely stimulated by the price per bale (usually about one picul as it comes rudely prepared to market) going up from $13 50 to $18. 50 and $20, as in quality, per picul; and the demand or supply has not so far slackened, showing that the resources of the country are in one sense unlimited. Indeed it is quite marvellous where all the supply comes from, and more particularly so when it is remembered that less than two years ago raw cotton was imported here from China to supply absolute deficiencies, (the Japanese never buy any article unless they need it,) and found purchasers for it at $18 per picul. The staple of the Japanese cotton is short, fibre very fine, color white, and far superior to China or Surat, and better than the best India cotton, unless very choicely selected. The manufactured cottons of the country are narrow widths, like denims, all narrow cloths, many checks and stripes, but no prints. The art of printing cottons is clearly not understood here. The quantity consumed may be estimated when it is remembered that, of the masses, say seven-tenths of the entire population of 40,000,000 of people wear nothing but cotton, and never had, and perhaps never heard of, or saw, at least, a sheep or a piece of woollen cloth-no woollen being used, except very rarely by the higher classes, and that, of course, imported. All house bedding, blankets, coats and wearing apparel of the masses, and sails for vessels, (except where they are matting,) are made of cotton. Some of their duck is considered

an excellent article.

Tobacco grows in almost every part of the empire, and is a more universal article of consumption among this people than even cotton, and is not used in so filthy a manner as with us. No chewing, snuff-taking, or "dipping," is known here; but both sexes smoke ad libitum. The quality is light brown Manila, and said to be indigenous to the country, though that is doubtful. It was probably introduced by the Dutch or Portuguese from Java or Manila. Some little is exported, perhaps $100,000 worth, this last year; but not being desirable for European use, it finds little favor, except it may be for mixing in manufacturing.

The rice, wheat, and millet crops are abundant, and satisfactory in prices. Flour averages the year round about $2 50 per picul, and is of very fair qual ity, say equal to our No. 1 western spring wheat flour. Rice averages about $1 85 per picul to foreigners, and one-third to one-half of each of the foregoing prices to the native population, and all other articles for domestic consumption in proportion. The economy of the agricultural departments of this country is well worthy careful study, and more time for examination than I am at present able to give it. The crops are diversified and plentiful, as the country is everywhere fresh and beautiful. Of the financial condition of this country we can learn little, though it is well understood that there is no such thing as a "national blessing" in the shape of a "national debt." Every man must settle his accounts in full before the commencement of the new year, or he loses both caste and credit.

Bankruptcy is almost considered an ineffaceable disgrace. There is a perfect system of banking and exchange, and of pawnbrokers' establishments not a few. The currency of the country is still gold, silver, copper, and iron. No paper bills are used as in China. The rate of foreign exchange here is so variable that I can give no reliable information on the subject.

The gold coins of the country have disappeared from use, and we only see H. Ex. Doc. 41

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A

in mercantile transactions Mexican dollars or silver itzibus. The value of the former is undoubtedly depreciated below its true worth, but time, trade, or a new treaty, must regulate this already much vexed question, while the value of the latter is above its true standard. At present, the currency is 241 itzibus for 100 Mexican dollars, while it takes three of the present circulation (itzibus) to weigh one dollar. And such is the high price of silver per ounce in London, that no man can lay down dollars here now at a less cost than 126 cents for each Mexican of our standard to the dollar; or, in other words, each Mexican dollar is worth a premium of 26 cents; this fact enters into and governs all commercial transactions.

HAKODADI-E. E. RICE, Commercial Agent.

Statement showing the description, quantity, and value of the imports at the port of Hakodadi during the year ended December 31, 1862.

Statement showing the description, quantity, and value of the exports from the port of Hakodadi during the year ended December 31, 1862.

Statement showing the description, &c, of exports from Hakodadi-Continued.

Statement showing the number and nationality of merchant vessels and vesselsof-war arrived at the port of Hakodadi during the year ended December 31,

The city of Zanzibar is situated on a small cape projecting from the eastern hore of the island, and covers an area of about 450 acres, or three-fourths of a quare mile. The principal buildings are of undressed coral rock, and plastered

within and without and above with white lime, which, under the beams of a vertical sun, give to the town a glaring appearance.

ZANZIBAR TERRITORY.

The dominions of the sultan of Zanzibar consist of the islands of Zanzibar, Pemba, Latham, (rich in guano,) all the islets lying off the main land of Africa, from 2° north latitude to 12° 22' south latitude, and the whole of the east African coast included within the parallels named, and extending westward indefinitely into the interior of the continent, embracing some 1,200 miles of sea-coast.

COMMERCE.

Aliens of all nations are allowed to land here unquestioned, to reside unmolested, and to depart at their pleasure; they may not, however, violate the laws of the land.

A stranger having no friend here, and desirous of entering into traffic, on application to the sultan, to the master of customs, or to the city governor, is furnished with an intelligent guide to assist him in the purchase or sale of cargo; and he is expected, when these services are rendered, to make a present to the guide by way of compensation.

RATE OF COMMISSION.

Agents resident here charge 24 per cent. on all moneys passing through their hands.

The commission for the purchase of a cargo here, or on the coast, is 23 per cent. Transactions in cash or on credit.

There is no duty on specie.

Cash transactions are the rule, but credits of six months can be had at 43 per

cent.

Brokerage is unknown in a country having no currency of a fluctuating value. The premium or rate of exchange between this city and New York is 20 per

cent.

An agent guaranteeing the payment of credits charges 2 per cent. in addition to the 2 per cent. commission.

The commission of 23 per cent. covers all cost for weighing, gauging, measuring, packing, and storage. Storage is per cent.

FREIGHT.

The rate of freight to the United States is unknown. All merchants in this trade ship in their own vessels.

RENTS.

Rents are very low. A trader may hire a most comfortable and commodious house, suitable for a dwelling, store-room, and all his purposes, for $250 per an

num.

DUTIES.

There is no export duty on goods shipped from Zanzibar to any quarter. The duty on imports of every description is five per cent. All goods pass through the custom-house, and the duty is collected before their removal. The expense of passing goods through the custom-house lies upon the owner.

The transhipment of goods in the harbor does not subject the goods to the duty of five per cent. The sultan has given me this assurance in writing. But the formers of the revenue compel all dows or native vessels to land their cargo and pay duty; thus forcing our merchants from direct trade with the

coast, only twenty miles distant. A cargo collected on the coast, and worth say $100,000, must, before being loaded into the ship waiting to receive it, pass through the custom-house and pay $5,000-a matter that should be regulated by treaty stipulations forthwith. Our merchants used to run schooners to the coast, to avoid this unnecessary tariff, and appealed to the treaty. But they had it to pay. There is no interior duty on goods of any description, nor on the privilege of selling them. Disputes seldom arise at the custom-house as to the value of the goods landed. If the owner is unwilling to pay five per cent. upon the assessed value, he is at liberty to leave one-twentieth of the cargo in rule; such is the rule that prevails at the custom-house. The duties are almost always paid in coin. The invoice an agent or the captain is likely to exhibit as the basis for calculating the amount of the five per cent. duty, will hardly make the tariff bill extravagant. The value assessed on the goods is always moderate; and from my estimation of the people, I should be disposed to presume any one in the wrong who should have a difficulty with them. They are, beyond question, a harmless and accommodating people—a timid, gentle race.

PILOTAGE.

I cannot ascertain that any of our merchant ships employ pilots in this harbor or channel. There are many professional pilots, but they are all unauthorized, save one—his Majesty's government pilot. Doubtless American whalers putting into this port require the services of a pilot, but by the terms of the treaty the pilots cannot collect pilotage from the ship's captain, only as an act of grace, or as a present. The treaty stipulation should read that American vessels shall pay pilotage only, where a pilot is actually employed.

LIGHT-HOUSES.

There are no light-houses within these dominions. There are some buoys in the channel.

No sentries are stationed on ships to prevent smuggling.

There are no quarantine regulations for any port in the Zanzibar dominions. There is no board of health, even.

There is no boarding officer for the harbor.

CURRENCY.

I had some difficulty in ascertaining what is the currency of Zanzibar; it is exclusively metallic. I doubt if there is a bank note in the city. Foreign coins find their way to this port, but do not enter largely into the circulation. The English sovereign is current at $4 75; the French five-franc silver, 94 cents; the French five-franc gold, 933; the French ten-franc gold, $1 871; the French twenty-franc gold, $3 75. I have seen no American gold on this island. With the above and similar exceptions, the currency here is the "pice" and the Austrian rix or black dollar.

The pice is an iron-copper coin, of the size of our small copper cents, and is worth 8 mills. 120 pices make one dollar.

The Austrian rix dollar is worth 973 cents. As iron enters into its composition, the coin when buried, (the universal practice here,) turns black.

There is something resembling a board of trade here. It is held every day at the custom-house.

IMPORTS.

*

From Muscat the imports are dates, cheese, butter, salt fish, turbuces, Arabian longees, shirtings, and horses.