Iv from the Turkish Conquest to 1918

Natural Resources and Industry.

Before the war, indus tries were almost non-existent. A few soap and oil factories at Nablus and elsewhere, Baron Edmond de Rothschild's wine fac tories at Richon-le-Zion and Zikron Jacob, and some hand indus tries, such as the Bethlehem mother-of-pearl, represented the sum of local manufacture. Largely owing to Jewish enterprise, there are now factories for silicate bricks, vegetable oil, flour, salt, soap, cement, furniture, chocolates, matches and textiles, as well as smaller enterprises, and, despite difficult conditions, an export trade, especially with Egypt, is being built up. An important hydro-electric concession has been granted to Mr. Pinhas Ruten berg (the Palestine Electric Corporation Ltd.) for the utiliza tion of the water power of the upper Jordan and its tributary the Yarmuk. Power is now being supplied by the corporation to Amman and power stations with oil engines have been erected for the supply of electricity at Tel-Aviv, Haifa and Tiberias. Though Haifa has been chosen as the site of the principal harbour, im provements are being carried out at Jaffa, the centre of orange cultivation, and thus of more than half the total export trade of the country. The potash deposits of the Dead sea constitute an important potential source of wealth and in 1927 a concession to exploit them was granted to Major Tulloch and Mr. Nore meysky (a Palestinian). The balance of trade, shown below, is increasingly adverse, equilibrium being hitherto adjusted by im migration, tourists and charity.

Imports Exports 1922 . . . . £E.5,471,667 . . . . IE.1,070,171 1923 . . . » 4,825,185 . . . ,, 1924. . . . . „ 5,266,349 • . . . „ 1,200,812 1925 . . • • ,, • • . . „ 1926 .... £P.6,594,098 . . . . .0.1,308,342 1927 . . . . „ • • ,, In the latter half of 1926 and in 1927 Palestine experienced economic depression of steadily increasing gravity, partly due to the drought, for which loans were granted to Beersheba Bedouins, but still more to the attempt to raise prematurely the municipal and general standard of life and with it the volume of immigration, to cope with which Government was compelled to make ex tensive grants for unemployment relief works. The crisis was most acutely felt at Tel-Aviv, the liabilities of which township exceed LP.25o,00o and in the neighbouring colony of Petach Tikveh where, owing to the objection of Jewish workers to the introduction of Arab orange pickers a clash occurred between unemployed and police. All immigration therefore, save for

very carefully selected exceptions, was suspended, and there was a good deal of emigration. The fall in revenue showed itself especially in customs and railway receipts. Limited companies (103) have established themselves under the law of Palestine, and 53 foreign companies have registered themselves locally. Administration.—The military governorships were in 1919 reduced in number from 13 to 7 and subsequently, under the civil administration, to four, later to two district commissioner ships, the Jerusalem-Southern (exactly conterminous with the ancient Judea), and the Northern District. In 1926 the Jerusalem Southern District was abolished and replaced by a Southern District, excluding the capital and its immediate neighbourhood, henceforward reduced to a deputy district commissionership. Transjordan was in 1927 declared, in closer accord with the mandate, and hereditary emirate, under H. H. the Emir Abdalla, with consequent modifications in the position there of the chief British representative. The Druses were expelled from Azrak in Transjordan, which they were using as a base for revolt in Syria. The headquarters of the R.A.F. were in 192.7 transferred from Ramleh to Amman.

In 1927 the first municipal elections since the occupation were held throughout Palestine.

A severe earthquake occurred about 3 P.M. on July i 1, 1927, of which the damage was principally felt at Nablus, Ramleh, Lydda and Salt. In Palestine 137 persons were killed and i6o seriously injured, and in Transjordan 64 and 102 respectively. In Jerusalem only one life was lost. Little damage was done to historic buildings : the Dome of the Rock was unaffected, but the small dome of the Holy Sepulchre was badly cracked; it has since been reconstructed. Further shocks were felt in 1928.

The situation in Palestine in 1936 was bad with much friction and even fighting between the Arabs and the Jews, the govern ment also being involved. On July 29, a Royal Commission was announced to examine, under the chairmanship of Lord Peel, the reasons for the disorders and suggest remedies. (R. STo.)