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eans of its tariffs. The competition between the Cape, Natal and Delagoa lines having become very keen, and the Cape service by superior management and easier gradients having secured the largest share of the carrying trade, attempts were made to effect a different division of profits. Negotiations failed to bring the various parties to terms, and owing to the policy of the Netherlands Railway Company, the Cape Colony and Free State, whose interests were common, were in spirit very hostile to the Transvaal, and bitterly resentful of the policy whereby a foreign corporation was aided to profit enormously to the detriment of the sister South African States. After all that the Colonial and Free State Dutch had done for their Transvaal brethren in days of stress and adversity, it was felt to be base ingratitude to hinder their trade and tax their products. The Cape Colony-Free State line ends at the Vaal River. Thence all goods are carried over the Netherlands Railway Company's section to Johannesburg, a distance of about fifty miles. In order to handicap the southern line, an excessive rate was imposed for carriage on this section. Even at the present time the tariff is 8-1/2d. per ton per mile, as against a rate of about 3d. with which the other two lines are favoured. Notwithstanding this, however, and the obstructions placed in the way by obnoxious regulations and deliberate blocking of the line with loaded trucks at Vereeniging, and also the blocking of Johannesburg stations by non-delivery of goods--measures which resulted sometimes in a delay of months in delivery, and sometimes in the destruction or loss of the goods--the Southern line more than held its own. The block was overcome by off-loading goods at the Vaal River and transporting them to Johannesburg by mule and ox waggons. Mr. Kruger and his Hollander friends were almost beaten when the President played his last card. He intimated his intention to close the Vaal River drifts against over-sea goods, and, by thus preventing the use of waggons, to force all traffic on to _his_ railways upon _his_ terms; and as the threat did not bring the Colony and Free State to the proper frame of mind, he closed them. This was a flagrant breach of the London Convention, and as such it was reported by the High Commissioner to Mr. Chamberlain, and imperial intervention was asked. Mr. Chamberlain replied that it was a matter most closely affecting the Colony, and he require
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