If you asked me to discuss the position, I would like to take a Boer child and give him a picture of the present Transvaal government, and I feel sure that the child would say to his father, "Father, that doesn't exist in this country. You are not telling me the truth. That might have happened six hundred years ago, but it is impossible now."

And that is the judgment of the world. I will repeat something which has struck those in high places more than anything. Consider the small output of the new country of Rhodesia, which has had everything against it, but has every confidence in its administration, and the fact that I have obtained nine millions of money. With the greatest production of gold in the world, a most beautiful climate, a most energetic people producing seventeen millions per annum, my neighboring friend could not get two millions of money. The whole of the world's money is not in London. There were Berlin and Paris to apply to also; but the financial people felt that the Transvaal system of administration was so bad that they would not even part with two millions, no matter what terms were offered.

Well, we hope it will change. Of course it is going to change. Her Majesty's government are determined to have a redress of the Uitlanders' grievances. The President is doing the usual thing, he is playing up to the Raad. I wish to be quite clear on what I state. I have talked to no Ministers on the subject, and I do not wish it to be inferred that I have spoken to the Cabinet. But I have talked to people in London during the last three months, and I can say that her Majesty's government are determined to have a redress of the Uitlanders' grievances.

The matter throws my recollection back to the Drifts

question, when the Drifts were closed against our trade, and you know that if such a thing were allowed the trade of the Colony would be cut off. You know the story, and I would say this, that there was no one stronger in the Cabinet than the present Prime Minister. The Cape government, having demanded intervention, were asked were they prepared to give a passage for troops and pay half the expenses of the undertaking, the argument being that it was the affair of the Cape and not of Great Britain.

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After considerable discussion the Cabinet decided unanimously that they were prepared to pay half the expense of introducing British troops, to use violence if necessary. felt that Mr. Kruger would then give in, and so he did, and I am equally sure that the President is going to give her Majesty the terms which her Majesty now demands.

Some of you may remember the trouble in years past with Bechuanaland, when Kruger desired to cut off the Colony and to have the centre for himself. Well, with the help of your present member [Mr. F. R. Thompson], who threw his ability and determination into the work, the British authorities were successful. I remember one morning, after one of those horrid night journeys in a Cape cart, I arrived at the camp of the head of the Boer commando on the Hartz River. There I was told there was a good deal of "bloodand-thunder" talk, and I was asked by the commandant. "Who are you?"

I replied, "My name is Cecil Rhodes," and the leader retorted, "Oh, you're the Administrator," and thereafter there were some more threats and the statement bloed zal vloeien "blood will flow.

I said to him, "Don't talk nonsense; I'm very hungry; come and give me some breakfast.”

I stopped there a week, and on my departure there was a little function; I became the godfather of the Boer commandant's grandchild. The same sort of thing is going to happen just now.

Before I leave the subject I will say that there is not the slightest chance of war, but her Majesty's government are going to get the terms which are demanded as being fair and right to the Uitlanders. I will leave that question now, because, as I have said, it is only a temporary trouble in Africa.

But there is a much more serious question. You have been congratulating me upon my work in the North, and have supported me most admirably during my time of trouble, when I had to suffer for certain conduct of my own. I have steadily gone on with the work in the North on the basis of equal rights for every class of citizen, and have been trying to obtain as much money for development as I can secure. have been most fortunate in that, but still I have to look at the future.

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You will recognize the enormous changes here, and the prosperity of the country, especially in this place, because the railways of Africa have been made like the palm of my hand, and we propose to continue that policy of extension. But you have to remember that there are ports on the East and West, and that the only certain security for keeping the position in the South is a union of the States of South Africa.

I was a little alarmed when some measures were submitted to the new Council in Rhodesia, at the feeling shown about that fact that Cape products were being treated on a different footing. It was demanded that rates should be imposed against the Cape, just the same as against other countries. I know, without desiring in the least to threaten, that there is

a tendency in the North, as there always is with new States, to be independent.

And I may say, in this connection, that in the Transvaal there is no love for Jan Hofmeyr; they will use him, but they do not care about him. You have never got one sixpence from the Transvaal. You have indulged in a good deal of sentiment, but got nothing in return. Well, the whole solution for the Cape is a simple one. We are getting far into the interior of Africa, but there is a time coming in the ordinary course of nature for my disappearance, and you must not let this North drift away from you. On the North depends the Transvaal, because it is surrounded. You need not think about this temporary difficulty in the Transvaal; but I believe that with the great community which has arisen in that State, amounting to about 80,000; knowing the extent of the deep-levels and the distance to which the gold-belts stretch, I may say there will be half a million of people there in course of time.

If we are to realize our dream of a South African Union (I can speak frankly now, because the question of the value of the North is settled, and if some of you really believed that it would only produce whip-sticks, we know now that it is rich in gold), one has to consider that the time has arrived for you to work for a solution.

I know Natal is ready for it, and I think the people in the North would consider it; although, when they had a large output, goodness knew what they would do, people got so uplifted. As to the Transvaal, I believe the new population, if they had their rights, would work for union in Africa. There is a practical point in it. They know that whatever Rhodesia possesses it will possess the whole labor factor; that north and south of the Zambesi we have native laborers in

millions, and labor is the question. We have thus an asset for bargaining with.

I am aware that in thinking out this question of Union a charge will be made in relation to the flag question in the neighboring States. To that I reply, Go and read Mr. Bryce's book on South Africa, and you will find it shown that there have been federations in Europe with different flags. We can federate without bringing up that awful question of the flag. One knows in the end what flag will fly.

What does that confederation mean? It means a great future for your children. It means a distribution of thought in your families, between mining, commercial, and political work-all those classes of work which are given to human beings to accomplish. It means that in a great area of territory which compares very favorably with any other portion of the world, you have gold, diamonds, copper, coal, wine, sheep, everything almost you can think of; and you only want a united people for the proper development of that huge extent of country.

How is that idea to be brought about? Are the majority of the people south of the Zambesi in favor of it? Most distinctly they are.

I wonder if any one has gone into figures. I would not make the charge for one moment that the Dutch are against you. I do not believe that. There is a bold section, like my friend, Mr. Louw, and a few others. These have spoken out their thoughts and have suffered for it. But even if I were to take it that the whole of the Dutch race was against us, let us count up the States of Africa and their population, taking it on a basis of males.

We have already 12,000 with us in Matabeleland. It is only a commencement of the mining industry, and it is a