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Federation in Australia was never certain to happen.

Some states wanted to have free trade and others wanted protection for their local manufacturers and producers.

Federation meant that all the states could trade freely with each other.

Also it was felt that the smaller states would not be able to protect themselves. From time to time there were scares like that the Russians would invade Australia if there was a war between Russia and Great Britain.

The main centres of manufacture/production were in Melbourne and Sydney as well as most of the people with money to invest in new endeavors.

While all the mainland colonies and Tasmania federated and became Australia, the colonies across the Tasman decided they would form their own country and became New Zealand.

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13y ago

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