tion that the sacrifices which we and you have made, and have still to make, shall not be in vain, and that the fight which we are waging together for humanity and civilisation shall be fought to a triumphant issue.

We realise that we shall need every man that we can put in the field, every pound that rigid public and private economy can provide, and every effort which a united people can put forth to help the heavy task of our soldiers and sailors. The splendid contributions to the common cause already made by the Dominions give us sure confidence that their determination is no less high than ours, and that, however long the path to final victory, we shall tread it side by side."

The following replies were received:

Canada (Sir Robert Borden).

"On behalf of the Canadian people, I send to our kinsmen of the Motherland assurance that our hearts are as undaunted and our determination as resolute as when we ranged ourselves in the Empire's battleline two years ago. All our sacrifices would be worse than useless unless the purpose for which this was undertaken is achieved in such victory as assures the future peace of the world. Your message reached me in the Western Provinces of Canada while engaged in commending and supporting proposals for the better organisation of our national service and for the more effectual utilisation of our natural resources Atlantic to Pacific.

"I have found everywhere the strongest determination that both human energy and the national resources of this Dominion shall be utilised to such purpose as will throw the full strength of Canada into the struggle. At Regina and at Brandon I read your words to two great gatherings, and the response which they evoked was splendid and inspiring.

"We shall indeed tread the path side by side in full realisation that the sacrifice, however great, is for a cause transcending even the interests and the destiny of our Empire, and in supreme confidence that that path alone can lead to the ultimate triumph of democracy, liberty, and civilisation."

Australia (Mr. W. M. Hughes).

"Australia hails with satisfaction the declaration of policy set out by the Prime Minister in his speech. The Commonwealth has every confidence in Mr. Lloyd George, and is prepared to accord him the fullest support in carrying on a policy necessary in order for speedy victory and lasting peace.'

New Zealand (Lord Liverpool, Governor).

"I desire to associate myself with my acting Prime Minister (Colonel Allen) in sending the following message to the Imperial Prime Minister: -New Zealand congratulates you on taking up the most responsible position of Prime Minister. We thank you for your inspiring message, and we can assure you that the people of New Zealand are very grateful for the recognition of their contributions to the common cause, and will stand firm in their determination to continue their efforts till final victory is won.

South Africa (General Botha).

"I have to thank you for your message on the assumption by you of the high office of Prime Minister. In conveying to you my congratulations, please accept my assurance of co-operation in the aims now before

us. It is gratifying to know that there will be no faltering in the determination to carry the present struggle through to a triumphant issue." Newfoundland (Sir W. E. Davidson, Governor).

"Sir Edward Morris, having laid before Ministers the stirring message from the Prime Minister of the Imperial Government, desires me to convey the assurance that this Colony steadfastly adheres to its declaration made in August, 1914. The sacrifices of the past only intensify its determination for the future till the successful end is reached.'

V. THE HOME SITUATION,

The following is a brief sketch of the home developments during January.

Food Production, Supply and Prices.

The Government and Production.

Mr. Prothero (President of the Board of Agriculture) informed a meeting of farmers at Bedford on January 6th that the Government had fixed the price for wheat, and were about to act similarly with regard to oats and other produce. He added that all the farmers in the United Kingdom were enlisted in the supply army for the national needs. It was his desire to establish clubs for growing potatoes and keeping pigs. He hoped to get the Treasury to allow the Board to advance money for the purpose. Those who came under the scheme for buying pigs and seed potatoes would make a small deposit, and they would be asked for the rest when they got their crop in. He was anxious to enlist the services of all school children of suitable ages to cultivate the village acres. Then an effort would be made towards utilising all our railway sidings. On the whole it would not be very long, he hoped, before there would be one of the greatest revivals in the agricultural industry every known.

Prices for Farmers.

On January 9th it was announced that the Food Controller had fixed the following prices to the growers for wheat, oats, and potatoes of the 1917 crop:

Wheat.-60s. per quarter of 504 lb.

Oats.-38s. 6d. per quarter of 336 lb.

Potatoes (main crops), in quantities of not less than six tons f.o.r. or f.o.b.:

115s. per ton for delivery from September 15th to January 31st. 120s. per ton for delivery in February and March.

130s. per ton for the remainder of the season.

The prices in each case are for produce of first quality delivered, as required, in sound marketable condition.

A few days later came this announcement:

"The announcement appearing in the Press on January 9th as to the fixing of prices by the Food Controller, after consultation with the Agricultural Departments of Great Britain and Ireland, for potatoes

of the 1917 main crop, has been further considered in view of the possibility of an unfavourable season. It has been decided accordingly that the prices named for potatoes shall not be regarded as contract prices, but as minimum prices guaranteed by the Government for potatoes of the first quality."

On January 29th the text was published of two orders by the Food Controller with reference to the return of malt stocks and the price of milk. The first-named order required a return of stocks of malt suitable for use in brewing beer and of barley. The order with reference to milk revoked and replaced the previous Price of Milk Orders in consolidated form, but no changes of importance were made.

Advisory Committee Appointed.

On January 27th it was announced that the President of the Board of Agriculture and Fisheries had appointed a Committee of representative agriculturists to advise him on questions arising in connection with the increased production of food. The Committee is constituted as follows:

The Right Hon. R. E. Prothero, M.P. (Chairman), the Right Hon. Sir Allwyn E. Fellowes, K.C.V.O. (Vice-Chairman), the Right Hon. F. D. Acland, M.P., the Right Hon. Henry Hobhouse, the Hon. Edward G. Strutt, Sir Sydney Olivier, K.C.M.G. (Board of Agriculture), Mr. W. W. Berry (Development Commissioner), Mr. S. W. Farmer, Mr. F. L. C. Floud (Board of Agriculture), Mr. A. D. Hall (Development Commissioner), Mr. S. Kidner, Mr. T. H. Middleton, C.B. (Board of Agriculture), Mr. A. Moscrop, Mr. H. Padwick (National Farmers' Union), Mr. R. G. Paterson, Mr. G. G. Rea, Mr. E. Savill, Mr. Leslie Scott, K.C., M.P., Professor W. Somerville. Mr. E. M. Konstam (who has joined the Department for the duration of the war) is the Secretary of the Committee.

Effect will be given to the President's policy by a special division of the Board-the Department of Food Production-established by Mr. Prothero. Mr. T. H. Middleton has been appointed Director of this Department. The Assistant Directors are Mr. F. L. C. Floud (in charge of the indoor staff), Mr. Sydney Mager (in charge of the outdoor staff), and Professor Bryner Jones, Chairman of the Welsh Agricultural Council (in charge in Wales).

Food Orders.

The Food Controller issued six orders on January 11th, the effect of which may be thus briefly indicated:Bread. The existing Flour and Bread Orders are extended. Millers are required to add to the percentage of 76 now extracted from wheat a further percentage of not less than 5, either by a further milling of wheat or by the addition of flour derived from barley, maize, rice, or oats. This addition, at the option of the miller, may be raised to 10 per cent. Wheat.-The use of wheat for any purpose except that of seed or of making flour is prohibited.

Feeding of Game.-The use of any grains required for food or feeding stuffs, or any of their products, for the purpose of food for game birds is prohibited. Sugar and Chocolates.-The manufacture of extravagant sweets is stopped. A maximum retail price of 3d. an ounce for chocolates and 2d. an ounce for other sweetmeats is fixed. The price in each case includes the price of any covering in which the sweets are sold. During 1917 no manufacturer will be allowed to use for sugar confectionery or chocolate more than 50 per cent. of the amount so used by him in 1915.

Cakes and Pastry. The use of sugar or chocolate for the external covering of cakes, pastry, or similar articles is prohibited.

Winter Milk.-The use of winter milk in the manufacture of chocolate is prohibited.

Irish Oat Exports.-The export of oats from Ireland is prohibited except under licence.

Potatoes. The price to be paid to growers for potatoes is to be fixed at £8 per ton for the first quality in January and February, with a rising scale attaining a maximum of £9 for later months. The maximum price for the best seed potatoes is to be £12 a ton.

Government and Maize and Rice.

It was announced on January 6th that the Government had taken over the supply of maize in the country. The Wheat Commission was to have control of the supply. On January 29th it was stated that the Commission would control the importation of rice.

Less Wine and Spirits.

The Food Controller announced on January 24th that, after a careful investigation of the resources available for the food of the people, he had come to the conclusion that it was imperative to restrict the materials to be used in the production of beer. He had accordingly proposed that as from April 1st, 1917, the beer allowed to be brewed under the Output of Beer (Restriction) Act, 1916, shall be reduced to 70 per cent. of the output for the current financial year ending on March 31st, 1917. The result of such a restriction will be to increase the amount of barley, sugar, and other brewing ingredients available for the purposes of food, and also to economise tonnage, transport, labour, and fuel. The War Cabinet had approved this proposal, and had decided that a corresponding restriction shall be placed upon the release of wines and spirits from bond. A Bill for these purposes will be introduced in the coming Session of Parliament.

The Increase in Food Prices.

The Board of Trade Labour Gazette, midway in January, published an article showing that on January 1st the average increase of prices over those of July, 1914, was 87 per cent. In other words, food which cost only £1 before the war now costs about £1 17s. 5d. A year ago the increase was only 45 per cent. Of the

total increase of 87 per cent., 6 per cent. is due to additional taxation on tea and sugar imposed since the beginning of the war, but only 1 per cent. is due to such additional taxation in 1916. While figures for Berlin and Vienna no longer afford any index to the state of supplies, and, being based on artificially fixed maximum prices, are not comparable with figures which are mainly based on the prices in a free market, it may be said that, as compared with July, 1914, retail food prices in Berlin in November last were nearly 111 per cent. higher than before the war. That is to say, it was necessary to spend £2 2s. 2d. to buy food that in peace time cost only £1. November prices in Vienna were approximately 177 per cent. above those of July, 1914- so that it cost £2 15s. 5d. to buy what was in peace time a sovereign's worth of food. In Norway the average rise in prices since the beginning of the war has been rather over fourfifths. In the United States there has been an advance of 18 per cent.-less than one-fifth.

The Sugar Commission.

Lord Devonport (as Food Controller) succeeds Mr. McKenna as Chairman of the Sugar Commission, and the places of Mr. Runciman and Mr. E. S. Montagu are taken by Mr. Austin Taylor and Mr. G. E. May.

No Meatless Day.

It was announced on January 20th that, for the present at all events, the idea of a meatless day has been abandoned, and that Lord Devonport will endeavour to secure a reduced consumption of meat by means other than the imposition of restrictions difficult to enforce. This he has since done by an appeal for a voluntary rationing in meat, bread, and sugar (full particulars next month).

Shipping and Shipbuilding.

A regulation under the Defence of the Realm Acts was published during January regulating the chartering of vessels in the trade to or from British ports. Similar regulations are being made in France and Italy, and the new measure is designed to secure closer co-ordination between the Allies in the employment of tonnage. In future, permission will have to be obtained from a national authority in each country before any foreign tonnage is chartered.

Mr. Lynden Macassey, K.C., has been appointed by Sir Edward Carson to assist the Admiralty in the organisation of labour for shipbuilding.

A Year's Trade.

The official returns published on January 8th showed that the imports for the year 1916 gave the huge "record" total of 949 millions. The value for 1915 was 852 millions, while the corresponding figures for the last peace year (1913) were 769 millions only. British exports during 1916 were valued at 507 millions, as