227 / The weakest link: Britain in South Africa
On any reckoning, the new republic was an impoverished backwater,
a threadbare ruffian on the fringe of empire. Its nuisance value was
local, not imperial. Kruger had reasserted the old autonomy of the
South African interior but its persistent economic weakness remained.
Then, in 1886, the discovery of the great gold reef on the Witwaters-
rand signalled a drastic reversal of fortune. Within four years, the
Transvaal’s gold production was worth nearly £2 million a year. By
1892, its revenues had reached half the Cape figure.
21
Six years later
they were almost equal. The danger of bankruptcy (and political implo-
sion) vanished. Rising land values created a wealthy ruling class. With
commercial concessions to distribute, Kruger could build a patronage
state among the Transvaal whites and complete the subjugation of the
Transvaal blacks. He could construct a railway to Delagoa Bay. With
open access to the outside world and a gold economy, the half-promise
of 1884 could become the whole-hog of republican freedom.
Historians have made much of the ‘mineral revolution’ which
blew away the old assumptions of imperial strategy and made the rebel-
lious Transvaal the strongest state on the sub-continent. In fact, South-
ern Africa had not one mineral revolution but two. The diamond rush
at Kimberley came first (from 1867), and Kimberley became colonial
not republican soil. But, for that other, earlier, revolution, Kruger might
have carried his goldstate to independence and destroyed the remnants
of British primacy in Southern Africa. Instead, he was confronted by a
local rival whose ruthlessness matched his own and whose resources,
leveraged with reckless lack of scruple, built a roadblock in his path.
This rival was Cecil Rhodes.
Rhodes had come to South Africa in 1870.
22
By 1876, still
only twenty-three, he had made a small fortune in the diamond fields.
Within a few years more, he emerged as a commanding figure in this
rough speculative mining world whose voracious demand for imports,
capital, railways and black labour transformed the Southern African
economy. For the rest of his life, Kimberley remained the real centre of
Rhodes’ business and political ventures, the capital of the ‘Rhodesian’
empire. It was here that his wealth was concentrated. It was here that
he met many of those who became his partners, allies and agents. It was
from here that Rhodes looked north towards Zambezia. This jerry-built
outpost of colonial South Africa had become a commercial dynamo. It
was a magnet for capital and enterprise and the natural springboard
for the penetration of the northern interior by traders, prospectors,