The New York Herald Newspaper, February 12, 1853, Page 6

ertheless, the trade so necessary for the colonies and the United States had sought out for itself a sufficient, though circuitous, channel, notwithstand- ing the obstructions which illiberal legislation had placed in its course. Our produce was Se in American veseels to the ne 1 West India Islands, whence it was re-shipped by the British colonists to their own ports. A lurge trade was carried on in plaster from Nova Scotia, the British vessels bring- ing it to the line in Passamaquoddy Bay, from whence tt was taken in American vessels. f The total value of imports trom the colonies to this , for the year ending September, 1827, was | $445,118. The value of our total domestic and foreign | e to the colonies was $2,830,674. The year | 1829 is an important epoch in the history of the co- trade. The United States in this year gave an impulse to the cause of commercial freedom by the first movement towards the abandonment of the selfish and narrow policy which had prevailed for Sing zooms. and trusting to the effects of oon- cession of retaliation. | im 1629, Mr. McLane, then our Minister at the court of St. James, was instructed by President Jackson to open negotiations relative to the colonial | trade. Mr. Van Buren, in his letter of instructions, | declared the princip pon which the government | these negotiations. He remark: The policy | the United States, in relation to their commercial | intercourse with other nations, is founded on prinoi- | ples of perfect equality and reciprocity. By the | adoption of these principles they have endeavored to | relieve themselves from the discussions, discontents, | and embarrassments inseparable from the imposition | of burdensome discriminations. These principles | were avowed whilst they were yet straggling for their independence, are recorded in their first treaty, and have since been adhered to with the most scru- | pulous fidelity.”” : ‘The results of Mr. McLane’s negotiations are con- | tained in the proclamation issued by the President, | in November, 1830, and the order in council issued November 6, 1530. Our ports of entry and, subse- queetd, pcre of delivery, were opened to British and a a ee me ie arrangement was rapi crease of colonial ships in American ports, and their competition in our most important carrying trade with American vessels. The evils which followed from this ar- were the subject of much complaint the part of American shipowners. They that while all our ports were to British and colonial ships, only a number of porte in the colonies were to American shipping; that while colonial was admitted into our ports on the same as that of the most favored em a pee uty was imposed upon American produce manofactores than upon those of Great Britain; ‘ially complained that all the benefits voyage were secured alone to the i \ Bote spel Pate ie BS) payed prevailed, a ship might aden iu Liv- goods for St. John, in New Branswick, take a cargo of lumber to the West In- our Southern ports. ‘The two ope- a sufficient profit for the voyage, ship could afford to return in ballast. these circumstances, the British ship could freight of cotton from New Orleans on the terms, since it would defray the expenses of voyage, and leave a fair profit. The American ships, deprived of these benefits of cirouitous voyage, were dependent wholly on the of cotton alone for the income of their voy- seer acca ead & ruinous cosnpete ‘The effects of the new ement were undonbt- edly at i to our pees interests ; but ‘and partial evils must always follow from | in a commercial system. Time and an ex- of all the interests affected by such a an alone determine its advantages. One y, ertainly, of the arrangement, was arapid in- crease ‘of the trade Setween the United States and and manufacturing 8 TLE cEekEE £ i f iat g ¢F i interests were benefitted by an increased consump- tion of their wares and produce. The colonists were | led to jive that ey. would be benefitted by | more: their enterprising and relations thbors. The value of the exports to tho totes ieee wan nase three timer hat of the in 1827, under the old system. Our to- e to the colonies in 1540, were ‘af 96,595,966. In 1843, Great Britain reciprocated the liberal poli- cy of the United States. Before this time the colo- | mies bad discriminating duties. British and colonial pea re and aetene es — at a lower than foreign. In this year Lord Stanly, tow ed Derby = | in cor [3 , issued his celebrated | of which all discriminating di ‘were abo! by the colonies. American | and other foreign manufactures and produce, in con- | es Sw) of that, are now admitted into all the Bri- | ish North American colonies on the same terns as British’ goods. Thus one cause of complaint aguinst the system which prevailed under the convention of 1430 was removed. In consequence of gradnel concessions, American vessels are now admitted to registry in British colo- nial ports; can sail from one colonial port to any other colonial in any other colony or to Great Britain, with colonial or other produce, and can en- ter all colonial ports, and load and discharge their cargoes wherever there is a castom house officer, sub- | however, to the restriction that they shall sail ject, droeh one rt to another in the same colony only iu , ballast. removed. us a second cause of complaint has been® The advantage of the three-fold voyage is now en- joyed by our shipping, and during periods in the stag- nation of the shipment of cotton, some of our larger and more costly ships have made remunerating freights,by the ition of lumber from the colonies to Great Britain. Thus have all the objections to the arrange meats of 1830 been removed, without obnoxious or ror? legislation on the part of the United tates. Previous to 1846, a high duty was imposed by Great Britain upon timber and wheat imported from | all countries except the colonics. The withdrawal | of all ion by the home goverment upon colo- | nial produce in 1846, by the substantial repeul of the corn Iaws,and the reduction of the duty upon fo-.| reign timber more than one half, appears to have dispelled from the minds of the colonists all their | old ideas of commereial dependence upon Great Britain. In conseqnence of the withdrawal of the protection which had been so long granted, colo | nial timber and wheat were brought in British mar- kete into a losing competition with those articles from the Baltic and the Danube. The extension of intereourse and the increase of trade, caused by the legislation of 1545, had shown Pp ge the advant of fea markets, aad the i we possessed of supplying al! the nevessa- ries of life which were not farnlated by their own productions. They were now ready to propose to us an nt of commercial intercourse, founded apon those rege) of fect equality and reci- Ss the United States had always pro- eased to be the py of her commercial intercourse with foreign nations. In 1848, a delegation was sent from Canada to ar- range the terms of reciprocity between that govern- ment and ours. No arrangement. however, | made, in consequence of the failure of Congress to legislate apon the subject. No further action has been had in relation to this our government, although the provincial of Canada, since 1444, passed a law pro- for reci; trade in nataral products, to be carried into effect upon the adoption of similar ar- ran, by our government. is movement on the part of the coloniu! govern- ment may be said Ledger gf ae oer history of the commercial intercourse of the United States with the British North American colonies, Hi went position of trade, and to discuss the terms pon which a commercial intercourse, mutually fa. favorable to the United States aid the colonies, may be The Convention of 1230, and the sab- | Bequent of the colonies, have settled most wf the connected with the navigation in- terest, The complaint, on the part of the colo, nies, is @ want of reciprocity in the im, post On the part of the United States ; there is for the free navigation of the rivers Bt. gnd St. John by American ships, and BP with Britiah subjects in the coast w The our side, on colonial and other “oreign 00ds, t three and @ half per cent on the articles of importation. The dut posed upon our exporis to Canade ony { bs a helf per ovat It does not it ie somewhat lower, in lareeh ersce to regard this measure as are exchusively interested, ;teat the action which the committee he Fesponse to their solicitations, al- th tes are entitled to most respectful pry was nataral that this subject should, at first, vmuore interest in the colonies, og xated by three thousand miles of ocean from the “mother . Their proximity and ease of access to our § of commerce, could not fail to , creates 4d remove the barriers bye? sealed a jon in the trade tmmmgestsl cealren: he ‘charasice of ttt | those Birplas , contiguous territory, anbroken fain of internal communication, soca! often, | ‘and commen language, all com! to strengthen this feeling: With us on this side the line, in the alm which has succeeded the exciting the last few years, the public attention, in | of the country, has been aroused, and | to this as one of the most important | questions affecting American commerce. It is be- Jieved that the population npon our Northern and | Pastors froatiers, aud iu our great cities, directly la | Board of Commerce of New York, fullows:—Resolved , That the Chamber of Commerce of the city of New York recommend to the favorable consideration of Congress, a reciprocal arrangement with the British North American provinces for the free interchange of the natural prodictions of their respective countries—embracing also, a full and joint participation in the fisheries, and the free navigation | t of the river St. Lawrence.” y Able and Cetiey articles in cag shred preath ; have lately a red in many of the leading ofthe come among which we may mention the North American iew, Hunt's Merchant's Magazine, and De Bew's Southernand Western Review. These publications made in different and distant quarters of the country, are not only indices of public opi- nion, but exhibit a careful examination of this sub- ject, by political economists and men of large practi- al experience. ors g further indication of American sentiment, it | may be mentioned that an arrangement of reciprocal trade with Canada upon a much broader basis than is contemplated by the committee, was recommended by Mr. Walker, the Secretary of the Treasury, under Mr. Polk's administration. “And a bill providing for reciprocal trade with Canada, but limited chiefly to leading articles of agricultural production, passed the House of Representatives, in the Thirticth Congress, and failed to become a law, as is believed, only from want of time in the Senate. P A rapid glance at the resources of the colonies, their capacities for production and consumption, and the causes which already impel them to our markets, is necessary for a comprehension of the advantages which we ‘shall derive from the proposed reciprocal free trade. Mr. Andrews, in his admirable report tothe Secretary of the Treasury, to which the committee are largely indebted for many of the facts and statistics embodied in this report, observes :— 2 “ The population of all the North American colo nies now exceeds two millions of souls. Asa people, they are intelligent, industrious, and enterprising, and if permitted freely to exercise self-government, would soon assume an equality in commercial activity with the citizens of the United States aud Great Britain. Occupying o most extensive eountry, of an area of nearly five hundred thou- sand square miles, stretching from the forty- second to the fiftieth degree of north latitude, abounding in forests of the finest timber, and mine- rals of t value, and with a soil fitted to affurd exhaustless supplies of food for man—a country, moreover, tee with a healthful and invigorating climate; favored with unparalleled facilities for sea, river, and lake navigation; watered throughout by streams which furnish an unlimited amount of water power, and are stocked with the most valuable des- cription of fish; bordered by a sea coast; indented with bays and admirable harbors, which are open to the most valuable sea fisheries in the world; possess- | ing such superabundant resources, and sustained and stimulated by an ene! of character which they have inherited with us from a common source, these colonists are destined to become a great and flouri+h- ing people, and to exercise no mean influence on the interests of our Northern continent.” Looking to the United States, we the principal exports of Canada to this coun! vse are timber, lumber, ashes, animals, grain, flour, wool. The value of lumber received through the lakes is not less than a million of dollars annually. The markets on the Hudson derive from this source, from one-third to one-half of their supply. The trade in Canadian agricultural roduc , With the exception, perhaps, of wheat, lonr, and lumber, is confined principally to localities nearthe frontier, forming the basis of a convenient and profitable exchange. total exports of Canada to the United States exceed six millions of dollars annu- ally, and are weal paid for x manufactures, and our im; of foreign goods re- exported to that province. Our present exports to Canada of foreign commodities, such as tea, coffee, | wine, segars, dried fruits, hides and sugar, were for- | merly obtained by through Great Britain; but ace 1846, have, to a great extent, been pro- | cured through the American markets. ‘The exports of New Brunswick and Nova Scotia | are chiefly lumber, coal, gypsum, and fish. They im- port, in return, from this country, a large portion of their consumption of mannfactured and foreign es and the pan part of their breadstatfs. | n the article of flour they have been among the | best customers of the United States. ~ Newfoundland, although farniahing but few arti- cles of export, except fish, seal-skins, and cod oil, imports from the United States, yearly, over a million of dollar's worth of gooda. The exports tothe United States from that-province do not amount to one-tenth part of that sum. The rapidity with which this trade with the United States has sprung up is illus- trated by the fact that in 1827 the trade of New- | foundland with this country was absolutely nothing. Upon reviewing the statistics of our trade with all the colonies, we find that during Lgl twenty years, it has greatly increased, and that already they cecupy a position among the best customers of the | United States. The total exports to the colonies for the year ending June 1852, were valued at upwards of $10,000,000, exclusive of specie near one-sixteenth part of onr whole exports of seoes whereas the average value of our exports to the colonies for each f the 1529, and 1530. was only ugh the intlueuce of the relax- ms of former restrictions, which we have before sdverted to, the trade has been nearly quadrupled in a period of twenty-two years. What we have ained has been won from our great commercial ival, Great Britain, The total exports to the c Jonies from Great Britain, in 1840, were $15,385,166; in 1849, $11 346,334. ‘The colonists now consume our domestic exports at the rate of more than $2 64 for each individual of the population. The value of colonial products con- sumed by us is only 23 cents for each person of our population. It is estimated that the population of the colonies doubles every sixteen or seventeen years. a At the end of that period, if the eame rate of con- sumption is retained, we shall export annually more than seventeen millions in value to the colonies. But, under a liberal commercial system with this n ntry, the coloniste will each year consume leas of British and other foreign exports, and more of our own, 80 that we may safely predict that in sixteen | years our domestic exports to the colonies will be from twenty-five to thirty millions, and greater than our present exports to any country in the world except Great Britain. The question to be determined is, whether the whole current of commercial intercourse, | now settling in our favor shall receive a fresh im- pulse in this direction, or whether it shall be checked and perhaps wholly diverted from our shores. Geo- graphical position and datly increasing social sympa- thies are strengthening the bonds of our commercial alliance. These colonies are the natural outlets of American productions, and of the overtiowing returns of our extended commerce Geographically sepa- rated from all other count , they are commercially united to thia country. Separate and conflicting commercial systems, in the position of our continent, seem to be in violation of the physicaledaptations of its surface for a commercial union of the people in- habiting it. The grand highways of oceans, bays, and rivers, which form oar Northern frontier, would seem to set at defiance the barriers raised against illegal traffic. Natare thus strengthens the common sentiment on both sides of the frontier. it would seem to be almost a waste of words to urge the advantages to os of a reciprocal free trade with a people poesessing #0 many common resources and affinities with ourselves, speaking, nthe main, the same language, having the same necessities and social and domestic habits, and so situated that the natoral products of the one and the mannfactures of the other are alike necesary to both, The great example of the blessings of reciprocal free trade, which we have in the freedom of inter- course between the separate sovereignties of our Union, is alone sufficient to settle the question. To wecure this broad baxie of comme! reciprocity among the States was one of the prime objects at- tained by the adoption of our constitation. It is to this freedom of trade among their several sovereign- ties, more than to any other source, that the United States owe their unexampled commercial prosperity. All the commercial arguments which Lave been pre- sented in favor of the annexation of any State or ter- ritory, will apply to the connection which reciprocal tradé with the effect, without any of the evile of political alliance. We might as well consent to the largest State in the Union to be surrounded with a cordon of cus- tom houses a4 refuse to break down the walls which separate us from nearty three millions of people. et there are some who, having taken a partial view of this subject, are fearful of colonial competi- | tion, or who, timid and apprehensive of evil from any change in the existing order of thinga, are | doubtful if any benefite wil) follow to this country from colonial reciprocity. The committee, therefore, propowe to discuss the effects which reciprocity, with ite kindred measures, will have upon several of the leading lntercsts of the country, to wit :— First—The trade of our great commercial Second—The inland navigation and transit (rade o. States bordering on the Britleh provinces. Third—The agricultural interests Fourth—The manufacturing interest Fifth—-The interewts of the lake trade and the North west, as conuected with the free navigation of the river St. Lawrence. Sixth—The fisherios. Seventh—The revenne the It is now well understood that the prosperity of | connected on t cammercial cities is intimatel ate remotest with yp ey ab rd aan West. T it whi ey con- tending is the yast trade which is flowing east- wardly, towards the sea, and at various outlets. The trade of the is drawn to the few great ceatrea Of distribution bya at the several provinces, in their relation | our productions and | ritish North American provinces will | | which have | of our smaller towns, which formerly transacted a | considerable importing business. It is well known towns, , carried on & direct trade | with Great fain, France, Russia, and the West India Islands. The merchants obtained their goods by orders, and were e: to lon, Senge before | Shey. were answered. They were obliged, therefore, to have heavy stocks, which remained a long time upon their hands, and were often unsaleable. These inconvenjences led gradually to an abandonment of the im; ing business by the smaller towns. This whole business now centres in our few great commer- cial cities. The merchant now purchases in the great markets, which he visits himself. He thore finds large assortments; and, selecting his goods by inspec- tion to suit his customers, in a few days has them for sale on his own shelves. He is enabled to do bnsi- ness on @ small capital; for by this system he mikes frequent purchases, and keeps on hand a sinall stock, He makes quick sales with certain profits. These are the advantages which the colonial merchant needs. He also can partons better by inspecting large as- | sortments than by ordering his goods from Eng- | land. Great facilities for communication are now open to him. He only needs facilities for sell- | ing his goods to make it for his interest to pur- | chase almost wholly in our large cities. The Ca- nadian merchant who sends his flour or lumber to New York, Boston, Philadelphia, or Baltimore, ii if g need not take in nt a bill on London, to enable | him to purchase in the British market with the pro- ceeds of sales here. The natural course of trade is direct exchange; he will purchase where | he sells. The Nova Scotian, who carries wood and gypsum to Boston, will not only barter his for articles of American msnu- facture, but will often purchase their British goods, notwithstanding our higher duties. By the pers. | | tion of this barter trade, itis said that the lower | colonies are largely supplied with goods from the United States, notwithstanding similar goods, im- ported from England, can be furnished in the colo- nies at much lower prices. The city of Boston will derive great advantages from the increased trade with the lower colonies. Fee ono is already of paramount importauce to that city. | The total foreign tonnage entered at the port of | Boston, in 1852, was 1,955 vessels, whose tonnage in | the aggregate. amounted to 260,758 tons. Of this | | 1,649 vessels, with a tonnage in the aggregate of | 159,294 tons, were entered from the British North | American colonies. Thus it will be seen that the | clearances of provincial vessels represent a very large proportion of the revenue, labor, truckage, | jelepatyaig and storage, incident to the commerce of | that city. The completion of the Portsmonth and Concord | Railroad, and of the Atlantic and St. Lawrence | Railroad, will enable Portsmouth and Portland—the commercial capitals of New Hampshire and Maine— | mometer rises and falls with | rome at present have to compete with the Cana- i | to these colonies in 1852 amounted to $1,659,285, to share largely in the profits of this trade. The city of New York will secure a large share of the trade of the rieh country of Canada. Through this large supplies of Western flour have been to the lower colonies. value of wheat ' and flour from Canada, received at New York, in bond, in 1850, exceeded a million and a halfof dollars. | ‘The value of the same articles exported by sea to | the colonies, was a little short of a million of dollara ($957,943). It cannot be long before direct lines of ri communications connect the cities of | Philadelphia and Baltimore with the t lakes, | | anda portion of the Canada trade thas seek | these cities. In our lies commercial cities there | can be but one sentiment as to the benefits of | | reciprocity. INLAND NAVIGATION AND TRANSIT TRADE. Intimately connected with the epiogperity of onr great commercial cities is that of the lines of trans- | portation, through which the vust tide of wealth ebbs | and flows between the cities and the interior. No | less than five broad channels have been opeucd for | the transit of the products of Canada towards the | | sea coast—the Erie Canal, the Champlain Canal, the | Ogdensburg and Boston, the Buffalo and Boston railroads, and the Erie and New York railroad. To these a sixth will soon be added, the Portland and | Montreal Railroad, the shortest route from Canada to | the ocean—an enterprise, for which reciprocal trade with the British Eaghanen is almost indispensible, and aided by which, this road will advance the city | of Portland into the first rank of our commercial cities. ‘To these may be added, now In cons of | construction, the Sunbury and Erie Railroad in Penn- | tylyania, which, when completed, will unite with the Reading Railroad, thas forming an unbroken line of railroad communication hetween Philadelphia and the city of Erie, on Lake Erie. And when the Balti- | more and Susquehannah Railroad shall be extended | to this line, the city of Baltimore will also be con- nected with Lake Erie at the same point. In this way, both Philad foe and Baltimore will be en- abled to share in the Canadian trade. Tse total yalne of our exports and importa to and from Cana- for the year ending the 30th of June, 1552, was 1029. ater part of this trade passed inland, through d States, and a large portion ofthe merchan- ise which this value represents, paid tribute to the canais, railroads, and steamboats, of our interior. There can be but little doubt that reciprocity would soon double the revenue which our inland routes of transportation now derive trom Canadian trade. This increased trade, together with the rapidly swelling’ stream from the Northwest, would overflow the pre- sent channels and render practicable at least one | project which, in the grandness of its conception and fature results, is second to few only of our great works of internal improvement. The committee re- fer to the project of uniting, by a ship canal, the ters of the St. Lawrence and the Hudson. It is evident that this work cannot be safely commenced, until we shall secure the future enjoyment of the Be leges of the Canadian canals, on the St. awrence, nor unt! we shall be relieved from the | apprehension that discriminating duties will be imposed by Canada upon American productions. | Theze questions will be settled by the adoption of the proposed measure of reciprocity, and an increase of trade secured, which will demand the completion of this route. It has been proposed to construct a canal near Montreal, of sufficient size to float a vessel of three hundred tons, to unite the waters of the St. Lawrence with Lake Champlain, and to efilarge the Champlain Canal its entire length, to the head of navigation on the Hudson, to the same size ; so that vessels of the above named dimensions from any | Western lake port, can, without breaking cargo, dis- charge at the port of New York, or at any other port on the Atlantic coast, and thence load with merchan- dive for the West. By means of this ship canal, the coal of Pennsylvania will be borne to the inexhausti- ble iron mines on Lake Champlain, whose forest com- bustible is nearly consumed; and, by opening a direct communication with the Western States and the fertile region of Canada West, this canal will furnish a new market for the iron of Northern York. Much as the city of New York would | gain by a direct ship communication with the great Mediterranean reas of the Northwest, and particu- larly by obtaining cheap supplies of lomber from Canada, she would be compelled to share with Boston, Philadelphia, Baltimore, and other Eastern cities, the advantages of this enterprise. While Philadelphia and Baltimore would be reached by water communication from Lake Champlain, the railroads from Boston, which reach the lake after | crossing Vermont, must divert a considerable por- tion of the trade, and will gain from the completion of this canal # most important accession to their revenues. Zz PLTURAL INTERESTS. « have been felt that Lhe proposed ciprocity would injuriously affect f the leading branches of our agricultural im- {t has been aaid that it will be an abandon- ment of almost the only protection which the farmers | now receive, and, particularly, that the American | wheat grower, paying high taxes, will contend on | unfavorable terms against the Ci in, who ix | texed ata mnch lower rate. These objections ap- ear to the committee to be wholly unfounded. The | fhe warmest advocates for protection defend it, mainly upon the ground that our producers should be protected against the advantages which foreign competitors have in cheap labor and low rates of interest, and that we should he released from the fluctuations of foreign trade. It ia ob vious that the latter reason will not apply to a trade with our colonial neighbors, having a the firnness and stability, indeed, partaking of all the attributes, of a home trade. ‘There is no material difference in the prices of labor, in districts similarly , | sitnated, in the colonies and this country. We have, | | it anything, the advantage in cheap and abandant capital, and a more dense population. When coun trieware similarly situated, as to the supply of labor and capital, even those who consider free trade im- practicable acknowledge that protection against each other need have no place in their revenue laws. No | protection is needed for commodities which, from the , nature of the case, must be produced by different | commanities at nearly the same cost. In such # cage + competition may generally be left free, and success will follow superior say Sa on feoe sd peo Among these commodities tical economists rank bread- stuffs, and such agricultural products as demand extensive surface of soll; ‘for the advantage of cheap | land and new soils is balanced by the scarcity of | labor and the cost of transportation, while the very | state of things which renders agricultaral labor abun- dant and transportation unexpensive, enhances, in the same , the cost of land and the remu- neration of the capitalist.” The current of yy rity which this measure will pour inte our great cities, and through our works of | foreign consumersof our manufactures, When they urchase cotton and ba eaygeae implementa, hey purchase, another form, agricultural pro- ducts, which have constituted the c! cost of their roduction, either in the form of the raw material or e man article, or of both. As the pro- eed measure contemplates the free introduction of Canadian wheat, the effect of reciprocity upon this important article of our own production demands particular consideration. It is obviousthat Canadian competition could not affect us injuriously, if we did not raise a surplus of wheat for exportation. But, Pang 0 present, @ surplus for exportation, it must be remembered that we have already given the Canadians increased pelriisies for competing with us in the sale of all our surp! gp in the mar- kets of the world, by openias American canals, railroads and ports, for their exports, under the drawback law of 1846. The fact is that, in the prin- cipal markets, Great Britain and the United States stand together, upon equal terms. It is well known that the surplus of production thrown upon the mar- kets of the world establishes the price of all con- sumed. The prices at Marklane fix the prices of wheat both in the Canadian and American markets. It will be remembered that in 1847, when we export- ed so largely to Europe, the price of wheat and flour in New York rose and fell with tho prices in Lon- don as surely and constantly as mercury in @ ther- the changes of tempera- ture, In one important market, the Western wheat ans pan disadvantageous terms. 7 The lower colonies, Nova Scotia, New Brunswick, Prince Edward Island, and Newfoundland, have been among the best customers of American bread- stuffs. “The market which they have afforded is equal to that of Brazil. Our exports of breadstuffs and to Brazil $1,655,558. The value of our exports, of breadstuff to these colonies for the year 1852, was nearly equal to the whole value imported from Canada. “The value of imports, in 1852, of bread- stuffs from Canada was $1,677,530. The value of breadstuff’ exported to the lower colonies was as above stated, $1,659,285. In these provinces there are revenue duties on American flour, of from 25 to 75 cents per barrel. In the zeae 1850, a reciprocal free trade in natural products was established between Canada and three of these provinces. The effect has been that Cana- dian flour, being subjected to no duty, obtained the preference over our flour. The prreeon in favor | of Canadian flour when sent by the St. Lawrence to Halifax, St. John, and other ports, has already di- verted a portion of the trade of these Yana from New York and Boston to Montreal and Quebec. The vessels which take flour carry back Gee molasses, and other Sean cardia which of late years had been ae in New York, which, but for commercial restrictions, might be more advanta- geously purchased in that aud our other Atlantic cities. While the farmers of the West would be benefitted by the free introduction of wheat into the lower | colonies, they would gain eaeally by the effect which | the proj arrangement would have in increasing | the consumption and export of another of their most | important staples. The principal food of the lumber- | men and fishermen—next to the agriculturalists, the | moet numerous class of laborers in Canada and the | lower provinces—is pork. This staple can be pro- | duced in Western States, where Indian corn is cheap, | at less cost than in any other part of the world. The impetus which would given by this mea- | sure to the fisheries of the St. Lawrence and the lum- | ber trade of Canada would largely increase the con- sumption of this article. The value of the lumber trade of Canada in 1846 was estimated at $6,000,000. She must therefore have a large arm her forests. The cay charged in swells the price of lumber sent to our Eastern mar- kets, so that actually the Eastern consumer pays the greater part of the revenue collected there on this article, while, to a certain extent, its production in | ne FeaUnoee ig encouraged by the eontinuance of | e duty. Itis hot improbable that some local andtemporary | inconveniences may follow from the free compotiti of provincial products. This is particularly true in | respect to the coarser grains. ut to comprehend the effects of a great commer- | cial measure like this, we must look beyond the linea of a town or county, and the temporary derangement _ incident to apy change in the existing order of rt of the present American things. Itisa stem to in- | vite the freest competition upon equal torial: The | New Vork farmer does not fear the competition of , the great West, although it is rapidly filling up by emigration, and by this means the surplus agricaltu- ral products, particularly of the States of Illinois. In- diana, Wisconsin, Iowa, and Michigan, have been immensely increased within the last tew years. | MANUFACTURING INTERESTS. | The rise and progress of the arts aud manufac- tures of the United States constitute an interesting and instractive chapter in our history. There we see most clearly delineated the narrow and selish policy of the mother conntry, discouraging the art: and preventing the growth of manufactures in her colonies, for the purpose of retaining the monopoly of thei amerce, and of perpetuating, their state , of colonial vasealage. So ruinous was this policy to the colonists, and so keenly did they feel its oppres- sion, that the thirteen North American colonies, which in 1776 declared their independence, pro- ceeded at once, in the first Conzress convened under our present constitution, to protect by legislation our infant manufactures, and the preamble of the first revenue law passed declared it to be necessary, | among other things, “ for the encouragement and protection of manufactures.’ This policy, thus early | commenced, has been continued, though with va- rious changes in its application, down to the present , time. Under its fostering influence our manafac- turing interests have attained their present position, | in which they are successfully competing with the world. It is not extraordinary that a system of pro- tective duties so necessary, in the infancy of our country, to the developement of its resources and the ee of its manufactures, against the competition ofolder, more wealthy, and populous States, should, after an uninterrupted continuance of more than sixty years, be regarded as indispensable to national prosperity. Many of our citizens have been so mach sceustomed to consider protective duties as the only aid which bay ote can impart to industry, that they seem to have overlooked some more practicable, and equally efficient, remedies, which can be applied without violating any principle, or exciting the pre- judices of any party. A prevailing error has been to regard the policy of protection by high duties as one based npon abstract principles, instead of being a simple businees matter resting upon facts and com- , mon sense. The circumstances of a nation may so | change, that free trade itself may become the highest measure of protection. The English nation has found that the policy which nourhed her manufactures in their infuncy, would have been ruinous to them in their maturity. Jt was from no sentiment ot al for her starving po- polation, that Great Britein repealed her corn laws, ut that, by establishing free trade with her most im- rtant consumers, she might enlarge the markets lor her productions. When her manufacturers could successfully defy the world, she adopted a policy which would enable them to command the markets of the world. Some of our most intelligent manufac- turers, and particularly those of coarse cottons, ac- knowledge that their difficulty is over-production, and that little relief will be eiforded by an increase ot duty, which would stimulate production and over- | stock # market already glutted. They perceive that | he most efficient relief will be to adopt, wherever | practicable, the system of Creat Britain, enlarge the , outlets for our manufactures, and secure a more com- plete occupancy of markets already opened. It isin h int of view that the qnestion of free trade the British provinces becomes one of the highest terest. The popwation of these provinces, as stated in their census returns in 1861, is 3,476,545. Nearly three miltions of people, who are as‘large conanmers of manufactured ods as any in the world, are at our y side. Chinese or Brazilians can use | only a limited nomber of our manufactured articles, | becanse the circumstances of climate, habits, and do- | mestic necessities in their countries, differ so much from our own. Here ie a people similarly situated in | almost at hed as our own; they need similar articles of clothing, nae the like tools and implements for agricultural or mechanical labor, require similar articles of domestic comfort, and even Inxury. The manufactures of the United States, adapted to the par circamstances of climate and soil of this | Northern continent, are much better fitted to mpply the wants of the colonists, than those even of Great Britain. The colonists manufacture almost nothing, | for the policy of Great Britain hae been to keep her | colonies entirely dependent apon herself for mann. | factured commodities. [t must be many years, even under the more liberal régime which now prevails, before the industrial habits of the people can be changed, especially as @ sparse popniation and want of surplus capitel will be unfavorable to the growth of manufactnres among them. Ou the other hand manotactoring industry is now firmly established upon onr soil. Our fabrics and wares rival the choicest producta of Buropean work: shops. Factories are springing up, not only on our Eastern water courses, but in our maritime towns | and cities, where steam supplies the place of water power with eqnal or greater cheapness, and also in the South, where cheap labor and the contiguity of the raw material, with the best sites for manufac- tures, have raised formidable rivals of Northern in- dustry. The colonies ana the United States, from their relative positions, thas become necessary to each other; one desires to consume what the other can supply, We need their markets no leas than they do our goods. ‘The it customers, a9 necessary to us, be secured’ It hay to support in | ‘anada on pork | | is wholly unparalleled. In that | The value of our ex) ' of the preceeding year. | factures to the colonies was, in 1851, one-sixth of , United States. ‘ be folly aware of th i secure @ vent to our manufactures, 80 ry to prevent the accumulation of unsaleable pote whioh has often lyzed the productive energy of our people, is to admit on free terms the surpius nataral productions of the colonies, which, as has beenshown, may be done without diminishing the prices, or injuriously affecting the sales of our im- portant staples. If the views above exprea-ed are eorrect, there is no force in the objection which has been urged, that, whereas the ex; of the colonies will consist almost wholly of natural productions, aud their pur- chases from us will be principally manufactured 00ds, the proposed measure which provides for free fade only in natural ucts, and admits only a limited number of manufactures, is reciprocity only inname. There is no ap rent reciprocity in our trade with Great Britain. The apparent advantages are allon our side. We charge a heavy duty on their exports to us, which are principally in the shape of manufactured goods, while they admit our most important staples, wheat and cotton, free; yet, by that very cyeieie we are attracted to her markets, and, Dero ere we sell, become the largest con- sumers of. British manufactures. ‘The nation which is strongest in capital and skill derives the greatest advantage from free trade. It is believed that the benefits anticipated by some would not accrue to us from embracing, if it were practicable, all manufactures in the arrangement, as, in consequence of the abolition of differential duties in the provinces, our manufactures are now admitted on the same terms as those of our chief oormpetitor, and are, therefore, now relatively free. e have several important advantages over the mother coun- try, which must alwa; ve our manutactures the preference. Our goods are better suited to the colo- nial wants ; our markets greatly diminish the cost of transportation, enable the colonial merchants to se- lect their goods by personal inspection, and our mer- chante to adapt their exports the condition and necessities of a market with which they can have instant communication. Although it might be de- sirable to have a commercial union with the colonies as perfect as that between the several States, it must be remembered that this would be totally incompati- ble with the separate political existence of the colo- nial government. The principal expenses of their vernments are paid by their moderate dutics on foparte A proposition to include all our manufac- tures, or even those whioh constitute the chief con- sumption of the colonies, in the reciprocity arrange- ment, would so materially impair the colonial reve- nue, that, in the opinion of the committee, it would be inevitably rejected ; for a resort to direct taxation could never be ted of governments compara- tively poor, and who have just projected magnificent and expensive systems of internal improvement, de- manding increased instead of diminished revenues. It is proper to refer more minutely to the returns which show the great and increasing consumption of our manufactures by the colonies. ‘The value of the whole export of domestic manufactured articles to Canada, in the 1840, before the abolition of dis- criminating duties, did not amount to $100,000. Of farming implements and mechanics’ tools, the value waa about $13,000; of cotton manufacture, not $3,000. So eagerly did the Canadians avail them- selves of our implementa, pemany sulted aa they are to their wants, that in 1845, only two after the restrictions against us were remov yy im- ported farming implementa and mechanics’ tools to an amount exceeding $500,000. Our ex] of leather and its manufactures had increased ten-fold. ‘The value of the whole e: of manufactures to Canada exceeded $1,700,000. " ‘The increase in colonial consumption of our mann- factures during the twelve years succeeding 1840 year the total value of rta of our domestic manufactures was $12,- 704,840, of which only $777,731 were sent to the colonies. By an analysis of the tables of commercial navigation of the United States, for the year ending | June 30, 1851, it appears that the value of our entire export of domestic manufactures was $19,136,967. of domestic manufactures to all the British N American colonies was $5,- 437,775. For the year ending June 30, 1852, the whole amount of our domestic manufactures export- ed was $21,047,248, of which $3,812,878 was sent to these colonies. It appears by these returns that the colonies consume more of our manufactures, and, what is equally important, a greater variety, than any, other country. This will appear from the fol- lowing results, taken from the official returns of our commerce and navigation for the year ending June 30, 1852 :—Our total exports of manufactures of cot- ton are stated at $7,672,151. The value of our ex- ports of the samt to the colonies is $597,234—nearly one-twelfth of the whole export. The value of the total export of iron and manufactures of iron is $2,418,136. The value of the same exported to the colonies is $452,150—nearly one-fifth of the whole ee When it ix considered that the competition of British iron bears so heavily apon our manufac- ture of this article, the large export to the provinces forcibly illustrates the peculiar xdvautages we have for competing with Great Britain in the sfpply of manufactures for her colonies. The value of our total export of suuff and manufactured tobacco is fi 316, ‘The value of the export of thee articles 0 the colonics is $408,586-—nearly one-third of the whole export. The varicty of the articles sent tothe provinces, showing, as it does, that the benefits of the trade flow among all classes of our producers, is illustrated by the faet that, in 1852, the total value “of manufactures not enumerated was $2,377 The value of the same articles sent to the colonies was $1,310,837—nearly one-half of the whole export. They are, therefore, the largest foreign consumers of this very important class of Kustern manutac- tures. No one can deny that tie colonial market has become almost indispensable to American manu- factures. It is to be regretted that for the last fiscal year the proportion of our domestic manufactures exported to the colonies fell cousiderably below that Onr export of cotton manu- the whole amount of our export of the same; where- as, tor the las year, it was but one-twelfth. Any movement the tendency of which shall be to change the policy which encourages this trade, cannot fail to ite regret. Recent events seem to indicate the Pp ity of such s movement, particularly in the Canadian pro The Hon. F. Hincks, finance minister of Canada, in a letter addreased to Hon. R. M. McLane, former chairman of the Committee on Commerce, dated Jan. 6, 1851, remarks:—‘It is assumed, and as, per- haps, it may torn out, unfortunatety assumed, by the opponents of the Reciprocity bill, that In the event of the bill being rejected by the American Congress, Canada will maintain her present commercial policy and continue to foster the important trade from the | It is very desirable that you should ate of public opinion in Canadas on this qnestic Having myself been a wtrong advocate for free commercial intercourse with the United States, and having had, in my position as finance minister, to resist in Parliament the advo- cates of a restrictive policy, 1 am thoroughly ac- quainted with the views of all parties. I have no hesitation in stating that the advocates of a_retali- story policy are rapidly gaining ground. Whether all or any of the plans suggested will be carried out, it is of course impossible tor me to say; but it is cer- tainly highly desirable that, in arriving at a very im- portant decision, you should be fully aware ot the Ef heatee consequences. ‘The re-imposition of the ifferential duties against the United States manu- factures bas been strongly urged. Such a measure would be most acceptable to the commercial juter- este of Montreal and Quebec, whose trade was seriously injured by their repeal. At the close of the last session of our Parliament, an influential member of the opposition—a gentleman who held onder a former administration the office which I have now the honor to fill—ave notice of his intention to introduce a bill during the next session to re-im) these duties. Leading organs of the opposition have mMrongly advocated such a measure, and no doubt can be entertained that it will engage the consideration of our Parliament at an early day. Should it be adopted, the United States will have no just cause of complaint. They never invited Canada to repeal the differential duties, and their rejection of the recipro- city bill would of course be looked upon as a Neti. berate rejection of the Canada trade. In England, the re-imposition of differential duties by Canada would be received most favorably, and there can he old pny na oak—Iit is asserted that built at St. John, N. B., wholly of hackmatack, equal to New York ships, at a cost not fourths of the price of the latter. With the increasing demand for wood and lumber, we cannot shut our eyes to the rapid diminution of our bad MF. Emerson, in his admirable report upon the forest trees of Massachusetts, made to the Legisla- ture of that State, says:— “The effects of the wasteful fomenelicn. of the ir shi ilding, house-build. ing, and mannfactures in Fok Pat slong the coast, tn from other States. Every year we are more and more Sorin on Maine and New York, and some of the Southern States, not only for ship timber and lumber for house building, bus for materials for tanning and dying, for pie! mak- ing, basket making, plane making, last ing, aod for furniture, and the implements of bi ‘ Even these foreign resources are fast failing us. Within the last quarter of a century, the forests of Tnrpest pupplies, eve dioappenred ote platy Gaps largest supplies, have disap; more rapi these of Lamactoabetta ever did. In a cence fa century more, at this rate, the supply in 1 og will be entirely cut off. Inman eee Seen mien ste a aiealy tation abundant supplies, agricul ly the place of the lumber trade, and the dis-forested re- gion now changing into beautiful farms will never be allowed to resume its original wildness.” 8; of the white pine and its numerous and importaat uses, he continues: “In consequence of these nume- rous uses, itis every year becoming more scares. ‘The exportation from the growth of this State has almost ceased, and from New Hampshire and the southern parts of Maine it has much diminished, and the lumber has become of inforior quality. From the Penobscot and other great rivers in the northora pees of the State, the exportation is still immense; but the lumbermen have to go every year toa greater distance from the great water courses, and o ascend streams and more remote lakes. The some thing is happening in New York, and the ae evidently not far distant when the inhabitants of New England even wi!! have to depend on Canada for this wood.” It is evident that the products of our forests are so rapidly diminishing that not only New land but other large districts one the Atlantic must hereafter look forthe P inci oupply to those vast northern wilds, through which flow magnificent waters of the Ottawa, nay, and 86. John. The products of the immense forests of pine timber which now line the Ottawa, as woll as the other rivers which flow into the St. Lawrence, will be borne with comparative cheapness to New York and other Atlantic cities, either coastwise or t! the water communications of the interior. In connection it mast be noticed that the State of Maine will derive an important if not full equivalent for the effects of free competition of provincial lumber, by @ measure which is included in the proposed ment. Some of the most valuable timber lands te. longing to Maine and Massachusetts are upon the river St. Johp, through whose waters timber may be flonted more than four bundred miles. The free.ns- vigation of this river, whict: it ig intended to secur by this measure, will be an important advantage to the citizens of Maine. To meet the changes management of the public lands, New wick im; an export duty§ lumber, shipped from British as well as waters down the St. John ; for i En seal id province.” To avoid the payment of this ex- 1 luty, the lumbermen of Maine have constructed jams at great ex; on the upper waters of the St. John, go that lumber, which would have ram sh the latter river, is actually floated up stream into lakes by artificial canals with the waters of the Penol Numerous petitions have been presented to Congress, from Maine, for the re- dress of this grievance, which, doubtless, will be effected if the proposed commercial arrangements are pl eee A er important advantage to our lumber producii icta, is provera to be attained recip! trade in lumber. At t a highly discriminating duty ia charged in ‘gusts of Great Britain ares American as well as all foreign timber and lumber in favor of the provincial trade. This bears ey en our exports of deals and other r. A just and fair reciprocity in this branch of trade, demands that while we open to the provincial lumber a market of vast extent, rapidl; expanding and easy of aecess; our trade in thie article should not be subjected to burdensome restric- tions in the home market of Great Britain. ‘It is confidently believed that a condition of the reciprocal arrangement, 80 just in itself, and affect- ing an article of consumption of the very first neces- sity in every civilized country, will be readily ac- cepted by a government which has adopted the wise policy of sheapening the food of her operatives, and the raw material of manufacture, by free trade. FREE NAVIGATION OF THE ST. LAWRENCE. By reference to the correspondence of Mr. Clayton and Sir pent L. Bulwer, which is annexed to this report, it will be seen that her Majesty's representa- tive was authorized to assure our government that, in the event of a bill providing for reciprocal free trade between Canada and the United States should be- come a law, the British government would at once consent to open the navigation of the St. Lawrence, and of the canals connected therewith, to the ship- ping and citizens of the United States. ‘The committee do not deem it necessa to enlarge upon the value of the free navigation of e St. Law- | Tence, as this subject has been fully discussed in an able report from the Committee on Foreign Affairs, preeented by Hon. A. W. Buel to the last C The committee referred to recommended the adop- tion of the following resolution:—. Resolved, by the Senate and Houze of Representatives of the Unit States, in Congress assembled, That the five navigation of the St. Lawrence river, for commercial purpores, demands the earnest attention of the American government, and that it 1s highly desirable that it bo we- cured to American eommerce at an early day. ‘Lbis concession or right, as our ablest statesmen have maintained, has been earnestly desired since the American Revolution. In 1826 it was the s1 of sn animated diplomatic correspondence between the d States and Great Britain. It is a privilege in which eight States have a direct interest. It seems the natural outlet to the principal portion of the wheat producing region of the United States. There can be but little doubt, from the numerous petitions presented to Congress from citizens of States adja- cent to the northern chain of lakes, praying that measures may be taken to procure for our citizens the right to the free navigation of the St. Lawrence, that this concession would be regarded by the great wheat producing population of the Northwest ax a full equivalent for the supposed disad- vuntages of Canadian competition. At present no American versel can pass Montreal without per- mirsion. Repeated applications have been made to the Canadian government by parties in Boffilo, Cleveland, and Chicago, for ‘permission to = vessels through the St. Lawrence, which it haa een constrained under existing circumstances to refore. The Cansdians can at any moment exclude our vessels from the ship canals constructed around the Falls of Niagara, and the rapids above Montreal; which are now so extensively nsed by our commerce, and throngh which vessels of three hundred tons, carrying three thousand barrels of flour, can pass to the ocean. The free navigation of this river, which is in fact but an extension of the great lakes, would virtually convert three thousand miles of lake coast into sea-coast. Western wheat could compete in the British market with thatfrom the Black Sea, for Cleveland is one thousand miles nearer to Li than Odessa. It is estimated that nearly eight mil- lions of dollars worth of shipping, owned by our citi- zens, is now idle upon the Western lakes through the winter months, when the navigable watera are fast. | closed by ice. By having this outlet, a large part of no doubt that the effect would be to stimulate the | efforta of those who are secking to obtain some modi- fication of the present corn laws.” The committee have yet to refer to an important benefit which this measure would confer, by cheapen- ing the raw material of manofactures, A very import- ant effect which it would have in this respect, would be in checking the alarming increase in tne prices of wood and lum! A well informed writer remarks upon this subject: ‘A person who has not had his attention expresly directed to the subject, can hardly be aware of the almost every description of manufactures, and espe- cially on that of cheap goods." The outlay of capi- tal for timber employed in building is a heavy charze upon the manufacturers; dear lamber also adds to the price of manufacturing labor, by increasing the house rent of the operative. Indeed, cheap lumber in this country may be said to be like bread, almost a necessity of life. Forming, aa it does, the almost exclusive material of construction for cheap tene- ments, its dearness is directly felt by every citizen who builds him a home, or erects a fence about his homestead, and by none more se- verely than the mechanic and the operative in our factories. The value of the man of wood for the year 1537, in a single State, (Massa- chusetts,) where forests are fast pearing, waa estimated at $1,501,589. We must look to the golo- caring of a free lomber trade on | the shipping might be profitably employed daring the winter Hontis in tewartian « Oe in carry- ing flour and Map Hat to the West Indies, which they are well fitted. They could also partici- = in furnishing supplies for the great depots of the heries in the gulf. The committee consider the simple fact that the free navigation of the St. Lawrence is earnestly desired by the Northwest, a suflicient answer to the arguments which have been presented against the importance of this navigation. These ar; nts may have originated in the apprehension that ex- isting artificial channela might not continue to be used to the fall extent of thotr capacity, an apprehen- sion which any one must feel to be groundless, who reflects that the Northwest is advancing at a rate which will give itin half # century nearly thirty mil- lions bail le; or who looks at the present princi, artificial outlet tothe Western trade, and sees how the “immense trade ofthe Northwestern States and terri- tories has been forced through the Erie canal, making the procession of boats through its whole extent as continuous a8 that of carriages through the heart of a great city. While crowded to its utmost degree, it still leaves large accumulations of at every principal landing, and is never closed by ice without arresting a great amount of merchandise midway be~ {ween ite termini.” ‘THE FISHERIES. The measure under consideration contemplates the action of the treaty making powor in securing to the United States anterior to any reciprocal free trade, certain concessions on the part of Great Britain, which are of the utmost importance to our citizens engaged in the aca fisheries. It is believed that no leading branch of national enterprise has made ea feed nae rative progress as our sea fisheries, Be- fore the war, twenty thonsand tons of ahi belonging to Massachusetts and other New Taglend Beate were ¢pployed ja the Giberion, Thap y