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 a city railway, and consequently the public are well served.

The Water of Leith, with Nichol's Falls, are well worthy of a visit. Farther up, through the saddle above the falls, a recent discovery has been made, which bids fair to introduce a new industry. This is a deposit of shale, specimens of which have been sent home, and have been pronounced by experts there to be of more than usual excellence. It is in contemplation to erect machinery and start works at an early date, and, if all I hear be correct, there is no doubt that a highly remunerative industry will be inaugurated.

From shale and sermons to beer. Dunedin beer fairly rivals the renowned brews of Auld Reekie. The populace seem also to have very fair powers of imbibition. There are no less than seven breweries in and around the city. This is in keeping with almost every other branch of industry. It is much overdone. Competition has cut prices down to the point at which legitimate profits have almost entirely vanished.

For keen business competition Dunedin fairly "cows the gowan," as a Scotchman would say. In this respect it puts Aberdeen to the blush, and outrivals the Burra Bazaar of Calcutta. The fact is admitted by the merchants themselves that there is no cohesion among them. They will not combine. They all do a "cutting game," and while the result cannot but be beneficial to the purchasing public, I cannot see how the sellers can reap much of a rich reward. Several