A system of pooling purchases was agreed upon some years ago by a number of leading shippers, in accordance with which competition among themselves was suppressed, and a fixed price was to be given for all cocoa. This action was doubtless taken in order to prevent ruinous competition, but had the effect of checking improvement in the quality, as no encouragement was given to the planter to prepare the cocoa with greater care. The few shippers who did not join in this “combine” were enabled to obtain the better qualities at a very slightly enhanced price. In 1906 the general quality of Gold Coast cocoa had so deteriorated that the merchants were asked by the Government for their assistance to improve it. This led to an inquiry which revealed the state of affairs mentioned above. The obvious remedy of paying a price according to quality did not find favour with the combine, who appear to have argued that it would not profit them to pay a higher price for the small variable lots of improved produce which might result. It was stated by some of the local merchants in Accra that Gold Coast cocoa was generally suitable for sale in certain European markets, where it was adapted for the manufacture of a cheap form of sweetmeat, and that, if the quality were improved and the price raised in consequence, damage would be done to a new and rapidly growing trade. The merchants ultimately agreed to endeavour to improve the standard of quality, and it was arranged that all the cocoa brought in to the markets at Aimensa and Dodowa should be graded, with a view to regulating the price according to grade. This plan fell through at the last moment, as a test sample of picked cocoa was said to have been priced at only 1_s_. 6_d_. per cwt. over ordinary “Accra” in the European market. The fall in the value of the residue was said to be uncompensated for by the small increase mentioned. =Improvement of Quality.=—Inquiries conducted by the Imperial Institute pointed to the fact that well-prepared Gold Coast cocoa could obtain high prices in Europe. In 1907 a consignment was sent to the Imperial Institute for examination and report, and proved to be of good quality, and when subsequently sold, it obtained a high price. This established confidence with regard to the possibility of fine grades being prepared in the country. During this year, owing to the action of the Fernando Po and San Thomé growers, in withholding their crop, a greater demand was created for Gold Coast cocoa, and the advent of large buyers, working outside the “combine,” forced the local price to a high figure. This did not assist in the improvement of the quality, as the competition induced native buying agents to buy the produce in almost any form, in consequence of which large quantities of imperfectly dried stuff were obtained. On the market becoming steadier, many of the more intelligent natives realised the advantage of careful preparation, to which they are now turning their attention.