9. Legal opinion on effect of Belgian legislation published in cases of general interest.— When legislation affecting or likely to affect the interests, commercial or otherwise, of the English or American communities in Belgium is adopted by the Belgian Government, the practice of the chamber will be to obtain for the benefit of members legal opinion as to the effect of such legislation. And such opinion will be published and distributed gratuitously to members in the shape of special circulars. 10. Participation in exhibitions.—The chamber does everything in its power to further the interests of British and American traders wishing to take part in exhibitions held in Belgium, and to render them every possible assistance.

EXPORTATION OF FIREARMS FROM BELGIUM.

I notice in a report on Belgian exports to the United States, dated April 1, 1898, and published on page 276 of CONSULAR REPORTS NO. 213 (June, 1898), under the title of firearms, Consul Gilbert, of Liege, calls attention to what appear to be errors in the report on the same subject written by me and published in CONSULAR REPORTS No. 210 (March, 1898), page 428. Consul Gilbert states that the figures given by me for the exports of firearms from Belgium to the United States are too small.

I only beg leave to quote my authority for the statements made by me. All the statistics in my report were drawn from the official publication of the Belgian Minister of Finance known as the General Statement of Commerce with Foreign Countries, published annually. This work contains the official valuation of Belgian imports and exports, as determined by the custom-house authorities of this country. It is the only publication of the Belgian Government. giving such statistics, and it is thus the only work of reference to which anyone desirous of studying this trade may in general have

recourse.

For all trade reports treating of many countries, it is preferable to take statistics from the same source, so that they may be based upon the same relative valuation. Upon a previous occasion, when I called attention to the variations between the statistics of the Belgian Minister of Finance and those existing upon the records of this consulate, it led to a lengthy and unavailing discussion with the Belgian authorities. While, therefore, the figures of the Belgian Minister of Finance and those of our own consulates may vary as to the amount of the United States trade in every article, still in all general reports treating of our trade and at the same time of that of other foreign countries, we must use the Belgian figures or become irretrievably lost when we come to compare the respective amounts in question.

GHENT, June 28, 1898.

HENRY C. MORRIS,

Consul.

STRAW AND FLAX GOODS IN BELGIUM.

The declared value of the annual exports of straw goods-braids for making or ornamenting hats-from the consular district of Liege to the United States averages $62,000. About an equal amount of these goods, made in this consular district, is received at the port of New York via England.

The Societé Anonyme Liniere de Saint Leonard, located in Liege, employs 2,000 workmen (capital, $900,000) and produces annually 900,000 bundles of flax and tow thread. A bundle equals 60,000 yards. The Directeur Gérant of these spinning mills informs me that all exports from his mills to the United States are made through London houses, and consequently no such goods are invoiced at this consulate.

The Liniere Gantoise, situated in Ghent, has a capital of $1,500,ooo and puts upon the market annually about $1,800,000 of manufactured merchandise. These spinning mills are among the largest in Belgium, employing 2,600 operatives. The manager of these works writes me that they have exported directly to the United States goods to the value of only $20,000. He says:

A great part of our product passes to the United States by the intermediary of English houses, especially in the form of thread, linen, and damask goods.

The braiding of straw and the manufacture of straw hats is a specialty of the valley of the Geer, which is one of the most productive agricultural sections of Belgium. Straw braiding is a house industry and gives profitable employment to all the peasants of the valley. During the inclement weather the whole family is occupied in selecting and braiding the straw, which is sold for cash or exchanged for provisions, etc.

If the braiding of straw goods could be established in agricultural districts in the United States, it would afford a light, agreeable, and profitable occupation for our people.

HENRY W. GILBERT,

LIEGE, April 22, 1898.

Consul.

THE ROUND COTTON BALE AT GHENT.

The cotton industry at Ghent is of importance; there are 22 establishments, with 565,202 spinning spindles and 84,642 twisting spindles. The amount of cotton bought and sold in this city is therefore considerable, and the possibility of supplying this demand

is worth the attention of American growers. As a matter of fact, cotton has in recent years been imported here in considerable quantities directly from the United States, some also arriving by way of Antwerp. Egyptian and Indian cotton, however, has always strongly competed with the American product. One of the causes retarding the development of American trade has been the great annoyance occasioned by the arrival of the bales in bad condition. Cotton spinners have for many years looked forward to some improvement in the method of packing cotton which should insure its arrival in foreign markets in good condition. The invention of the round bale has therefore attracted much attention. It would seem

as if this method of packing cotton were destined to do away with the complaints against the condition of our cotton upon arrival in foreign warehouses.

The process of packing consists in pressing the lint cotton into a thin layer, which is subsequently rolled by special machinery into. a cylindrical bale of the desired size. This bale is finally completely enveloped in closely woven Hessian cloth.

The advantages of this method of packing are evident and manifold. The covering insures the preservation of the cotton and prevents any loss by handling. All marks and numbers are likewise well preserved; thus one of the chief difficulties of the cotton trade, the fraudulent substitution of bales en route, is entirely obviated. Owing to the regular form, greater density, and smaller dimension, these bales are also much more easily handled, packed, and reshipped. They are almost entirely fire and water proof, a fact which should reduce the rate of insurance. For a given quantity of raw cotton, they are naturally much smaller in volume than the old-fashioned bales. I am also told that the suppression of the iron bands reduces the tare from 6 per cent to 1 per cent.

At Ghent and in other cotton-manufacturing districts of Belgium, as in many other European countries, the round bale has been introduced. After due trial, spinners generally agree that this method. of packing evinces progress, and that it is destined to increase the export trade in American cotton.

GHENT, June 2, 1898.

HENRY C. MORRIS,

Consul.

THE FOREIGN TRADE OF AUSTRIA-HUNGARY. The total value of the imports of Austria-Hungary (exclusive of precious metals) amounted during the calendar year 1897 to 760,300,000 florins ($308,680,000), and that of the exports to 773,400,000 florins ($314,000,000). The balance of the trade in favor of the

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Monarchy was therefore 13,100,000 florins ($5,318,600), a loss of 55,000,000 florins ($22,330,000) as compared with 1896.

The following tables show the value of the principal commodities imported and exported in 1896 and 1897:

The value of raw products imported in 1897 was 430,000,000 florins ($174,580,000), or 40,000,000 florins more than the year previous; and that of manufactured products was 219,000,000 florins, or 15,000,000 florins more than the year previous. The value of partly manufactured products was the same in 1897 as in 1896, viz, 110,000,000 florins.

The raw material exported by Austria-Hungary represented a value of 318,000,000 florins in 1896 and 321,000,000 in 1897. There was also an increase in the value of the partly manufactured products imported, from 103,000,000 florins in 1896 to 114,000,000 florins in 1897.

But the declared exports of manufactured products show

a noteworthy decrease-from 352,000,000 florins in 1896 to 338,000,ooo florins in 1897.

That the manufacturing industry of Austria-Hungary (or rather that of Austria, for Hungary has always been solely an agricultural State) is losing ground, there can be no doubt. There are many causes which combine to bring about this result. Among the principal ones may be mentioned the following:

(1) The conservatism of the people. While the English and German manufacturers are largely cosmopolitan, the Austrian remains provincial and strongly conservative. Innovations are still painful to him. He accordingly fails to keep abreast of the times. and is distanced in the race for industrial and commercial supremacy.

(2) High railroad rates. This is a mountainous country; the construction, as well as the operation, of railroads is expensive, and rates are correspondingly high. Austria's manufacturing centers, lying in the very heart of the European continent, are favorably situated with respect to inland traffic, but are at a great disadvantage in export trade. Moreover, while Austria furnishes Germany with a great deal of through traffic, and thus lowers the general cost of transportation in the latter country, she receives very little through. freight from Germany in return.

(3) There is a lack of mechanical skill in the southern and eastern portions of the Monarchy, and, as such skill is largely the product of evolution, manufacturers have found that they can not afford to train a race to the manual arts.

(4) High taxes. It is said that industrial enterprises are taxed more heavily in Austria than in Germany; and, as capital, like water, always follows the course of least resistance, it is not strange that movable plants occasionally cross the frontier.

(5) Internal dissentions. Much of the energy of Austria which might be used in the development of her industries and foreign commerce seems to be consumed in race animosities at home. While in the German Empire we find new industrial and export associations daily springing into life, the people of Austria seem to be absorbed just now in founding German, Slavic, or Italian clubs. Moreover, in the industrial centers of Bohemia, there is constant friction between the German manufacturer and his Slavic workmen, greatly impairing the efficiency of both.

There is now a movement on foot in Hungary to bring about her "economic emancipation" from Austria. It must be remembered that since the "Ausgleich" of 1867 the tariff union of the two halves of the Monarchy rests only upon the precarious foundation of a treaty. Should the Hungarians refuse to continue the present arrangement, Austria's industries would doubtless sustain a terrible