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pearl shells in 1868 totalled £5,554, which, when compared with the infinitesimal amount of £7 in 1866, shows upon what promise the hopes of colonists were founded. In all, there were twelve small vessels engaged in pearling in 1868.

The general expansion of industry and trade for the period 1861-8 was phenomenal. In no similar period of the colony's history had such industry been manifested, and it would seem that with the annual increase of export, Western Australia could not again enter the old slough. New settlement was but a small side issue of the enterprise and vigour of the period. With cheap convict labour, and the annual expenditure of British capital, farmers, pastoralists, woodcutters, and others became more vigilant and active. Farmers produced not only sufficient grain to supply local demands, but were able to export; pastoralists nearly doubled their wool export and their flocks; and the sound of the woodman's axe echoed through the south-western and eastern districts.

The annual growth is shown in the following figures of export: In 1861, £95,789; in 1862, £119,313; in 1863, £143,105; in 1864 (year of drought), £111,902; in 1865, £179,147; in 1866, £152,240; in 1867, £170,080; and in 1868, £192,635. Within this period, therefore, the value of the export trade increased by nearly £100,000, or almost double that of the highest in any year previous to 1861. No testimony could be stronger. The imports in 1861 were £147,912, and in 1868 £225,614. The revenue in 1861 was £67,161, and the expenditure £81,087; the revenue in 1868 £99,495, and the expenditure £89,726. The colony in the latter year was free of public debt. The story of the growth of export need not take long to tell, for the foundation was laid in previous years. Wool continued to draw the most capital to the colony, and the Victoria district became the chief wool-producing centre. In 1861 Geraldton was a stirring little village, and population on the Greenough Flats rapidly increased. After Governor Hampton's arrival a regular supply of convict labour was kept in the district, and better roads were quickly formed. Larger runs were held from end to end and new lands were constantly being opened up. In 1868 the number of sheep in the colony was 599,756, against 260,136 in 1860. Of this total, in 1860 the Victoria district had 48,786, and in 1868 135,050, nearly treble the number. The York district held second place in 1868 with 128,556, the Toodyay third with 107,855, Plantagenet fourth with 82,648, and the north-west fifth with 38,580; next came Wellington, 38,251; Perth, 26,339; Sussex, 17,321; Swan, 13,973; Murray, 6,183; and Esperance, 5,000. Each district more or less participated in the uprising. A severe drought was experienced in 1864 all over Australia, and a few squatters from South Australia migrated to the settled districts of this colony. In 1865 Marchant Brothers (S.A) took up 40,000 acres on the Darling Ranges, within thirty-six miles of Perth, and also 40,000 acres on the Collie and Harvey Rivers, fifty miles east of Bunbury. They began by introducing about 3,000 sheep from the sister colony. At the same time Mr. Rumboldt (S.A.) selected 40,000 acres on the Harvey. The drought of 1864 seriously affected the returns. In 1866 the absence of rainfall on remote York runs compelled squatters to remove their sheep to the Darling Ranges. The scab disease was exceedingly virulent for some years, and the York and other agricultural and pastoral societies advocated the passing of a restrictive measure. In 1866 a Scab in Sheep Act passed the Legislative Council, and afterwards by the use of a certain preparation the pest was gradually obliterated. The export returns of wool were encouraging. The total was nearly doubled. In 1861 the figures were £54,297, in 1862 £60,460, in 1863 £84,088, in 1864 £41,294, in 1865 £101,915, in 1866 £92,555, in 1867 £87,467, and in 1868 £98,254—a grand total of £620,330.

The other stock represented in the colony in 1868 were:— Horses, 18,924; cattle, 46,211; goats, 4,484; and pigs, 18,891. The export trade to India in horses was conducted half-heartedly, and frequent regretful references were made by agricultural societies to this circumstance. The export was valued at: In 1861, £1,720; 1862, £5,280; 1803, £6,050; 1864, £11,825; 1865, £8,167; 1866, £5,170; 1867, £8,074; and in 1868, £4,288. Mr. Brockman, Mr. Prinsep, and Mr. Phillips were among the most active breeders.

Agriculture and horticulture were persistently furthered. The Victoria district again led the way, and was the great granary of the colony. The Greenough Flats were the centre of industry, and in 1861 both flats were utilised by farmers. In 1862 a fall took place in the price of wheat, and temporarily depressed producers, but with more powerful machinery at work the farmer was able to grow corn at a cheaper rate. In 1862 there were two or three manufacturers of reaping machines; Mr. S. Cook, at Perth, was particularly successful. The York Agricultural Society vigorously advocated for their more general use. In October, 1862, Governor Hampton visited Champion Bay, and expressed astonishment at the rapid advance made on the Greenough Flats, where cornfields stretched for miles. Numerous substantial houses were constantly being erected. In the Northam, York, Toodyay, Swan, and Wellington districts fields were broadened and numerous flour mills erected. Each place had an increased area under wheat. In 1863 a serious fire occurred at Greenough, causing £2,000 damages to crops. A bad season was experienced in 1865, and prices rose, but in the following year a plentiful harvest made amends. At the Greenough Flats and at the Irwin River, in 1868, the ravages of red rust almost totally destroyed the crops, and the districts concerned did not produce sufficient wheat for their own consumption. In 1861 the area under crop was 27,387 acres; in 1868 50,014 acres—nearly double.

As early as 1861 flour was exported. The beginning, though small (£5), was taken by farmers to be a good omen. From that year the export grew, until in 1868 it totalled £17,445. The annual figures were:—In 1862—Flour, 26 tons, £468; grain. 3¼ tons, £84. In 1864—Flour, 208 tons, £3,750. In 1865—Flour, 486 tons, £8,270. In 1866—Flour, 115 tons, £1,963. In 1867—Flour, £12,457. In 1868—Flour, 1,163 tons, £17,445; grain, £3,922. In January, 1868, the Fitzroy sailed for London with 348 bags of wheat—the first lot shipped from the colony for England.

In 1868 there were 668 acres devoted to vineyards, and small quantities of wine were occasionally exported, and a considerable quantity was consumed locally. The wine export in 1862 was 85 gallons, valued at £12 15s.; in 1865, 177 gallons, £35; in 1866, 337 gallons, £69 8s.; and in 1867, 74 gallons, £25. In 1864 the Legislative Council passed an ordinance authorising, under certain restrictions, distillation of the products of the vine, but the Secretary for the Colonies refused to sanction the measure. Slight quantities of dried fruits were exported.

The exports of potatoes were, in 1861, £168; in 1862, £165; in 1864, £381; in 1865 £383; in 1866, £138 and in 1867,