All these duties would have been swept away and the American market thrown freely open for all farm products. The great lumber interest, too, in which 100,000 men are said to be engaged-which has no protection-which not only supplies our home market, but sends 27 millions of dollars worth of lumber annually to foreign countries, and employs a large fleet of vessels in its traffic, how would it have been affected by the operation of the Treaty? Why it would have swept away an average duty of 20 per cent. from the entire exportation to the States. And just so would it have been with our great mineral interest. Seventy-five cents per ton now levied on Cape Breton and Pictou coal would have been abolished, and the New England markets would have been freely opened to our coal trade. Twenty per cent. on iron ore and one and a-half cents per lb. on lead ore, would also have disappeared. The great coast fishery interest would also have been largely benefited—for the American market would have been secured to it for twenty-four years to come. On the whole, therefore, I think it will be safe to come to the conclusion that, however a portion of our manufacturing interests might have been affected by the Treaty, the result on the large industries of the Dominion could not have failed to be beneficial. I come now, honourable gentlemen, to the objections which have been urged against the Treaty from such quarters as entitle them to a formal answer. The first of these is the allegation that the Treaty discriminated against Great Britain, in favour of the United States. Nothing could be more unfounded than this. It was perfectly understood from the opening of the negotiations that no article could be free from duty in regard to the United States that was not also free with regard to Great Britain, and nothing else was ever contemplated for a moment. The other objections which have been made I find so clearly formulated in a memorial of the Dominion Board of Trade, and clothed in such unusually temperate language, that I should answer them seriatim. And I venture to believe that a very cursory examination will show how very little force is contained in the whole of them. The first objection of the Board is in regard to what has been styled the sliding scale," and about which we have heard a very great deal for many months past. In the first place, then, I have to say that the gradual reduction of the existing customs duties was not part of the Treaty, but merely a mode of putting the Treaty in operation as easily as possible for all parties concerned. It was suggested merely as a means of overcoming two difficulties found to exist, not only in the United States but in Canada as well. It was supposed to be not undesirable to give manufacturers some time of preparation for the change by gradually reducing the existing duties on foreign goods. Moreover, had the duties gone off in one day, the revenues of both countries would have been seriously affected, and the simultaneous imposition of new taxes to replace the loss of the revenue, might have been a difficult task. But, in truth, importance of this matter has been absurdly exaggerated. It has been totally ignored that though the duties of the United States on fine manufactured goods are enormously high-on the articles we send them the average is only about 24 per cent. Now, onethird of this coming off would have made their rate for the first year 16 per cent., while ours would have been nearly 12, and for the second year their 8 per cent. against our 6; and at the end of the second year all the duty would have come off in both countries. Moreover, the important fact seems to have been forgotten or concealed, that we would have had some compensation for that small sliding-scale disadvantage, in the fact that the coasting trade and ship registry clauses would have gone at once into operation, while the enlargement of our canals could not have become available before 1880. And to sum up the matter it is by no means certain that the sliding-scale might not have been dispensed with altogether, for in the Customs Acts giving effect to the Treaty, clauses would, no doubt, have been inserted, giving the two Governments power by proclamation to put

the

the whole Treaty in force at any earlier moment they might mutually find convenient. The second objection of the Board of Trade is the danger they see in a promise to complete the canal works by 1880. I dare say the Canadian Government carefully considered this matter before they committed themselves to it, and had the best advice upon the point that skilled engineers could afford them; and I venture to believe that my honourable friend in the other Chamber, who so admirably presides over the Public Works Department, was as competent to judge of what was fitting to be done in the premises as any man in Canada. The third objection is that in the opinion of the Board of Trade the entire ocean coasting trade of the United States, should have been conceded to Canada. No doubt-but probably the other party had something to say to that. The fourth objection of the Board is that the right of obtaining United States registry for Canadian ships cannot be regarded as a valuable concession-seeing that Canadians, instead of keeping their ships and sailing them, might be seduced into selling them, and thereby transfer to the Americans the great profits of the carrying-trade. I venture to think this objection is aot worthy of a reply. The fifth objection of the Board is, that the Caughnawaga Canal should not have been stipulated to be built until the construction of the Whitehall Canal was absolutely secured. The Canadian Government thought otherwise, and I venture to believe they were right in what they did. The chief interest of the United States may be "in the opening up of a new route to the ocean "--but a very important interest of Canada is to open up a new water route from New England to the West. The sixth objection of the Board is, that the right of reentry of goods into the country of their production should have been provided for, but was not. All goods placed in bond can now be re-entered in the country from whence they came. Surely the Board cannot mean that broken packages of goods should be returned? The seventh objection of the Board is, that it cannot tell whether goods manufactured in either country must be composed entirely of native materials. Certainly not. The eighth, and last, objection is, that all consular fees and certificates should have been abolished by the Treaty, but were not. It is by no means clear that this would have been an advantage. The hon. gentleman then proceeded to refer to the recent action of the United States Senate on the Draft Treaty and to its return to the President with the advice that it was inexpedient to proceed with it. He explained that the proceedings of the Senate had been taken in executive session and were therefore strictly secret, but the probability was that no full discussion of the matter had been had in consequence of the shortness of the session, the absorbing interests of the questions now agitated and the large financial deficit that had to be met by the imposition of new taxes. The fate of the negotiation was, however, settled for the present, but the agreement that resulted from it was on record, and he did not doubt would yet make its appearance again, and form the basis of a new and more successful negotiation. It took six years to conclude the negotiation for the Treaty of 1854, and not a few delays and rejections occurred in that time. He totally misconstrued the present temper of the American public mind if a great change on the subject of protection and finance and foreign trade was not approaching; and when that day arrived the large and practical scheme embraced in the Draft Treaty will hardly be forgotten. But be that as it might, it was not for the people of Canada to be influenced by any such anticipation. They had shown their ability to open new markets for themselves when the American market was closed against them, and the clear path for them was to follow up, with redoubled energy and perseverance, the policy on which they had entered. Let the Americans load their industries with customs' duties as they choose; be it the firm policy of Canada to remove every barrier in the way of commercial extension, to repeal all duties on raw materials, on articles used in manufacturing, and on the common necessities of daily life, and to replace the revenue lost, if needed, by a wiser and cheaper system of taxation; let them seek to develop their great national industries, and especially the agricultural, shipping, fishing, mineral, and lumber industries; let them open up new markets adapted to their traffic, and let the Canadian flag be found floating on every sea. The honourable gentleman concluded by apologizing for detaining the House so long, and resumed his seat after speaking for two hours.

EXTRACTS FROM THE

FRENCH CUSTOMS TARIFF.

(The General Tariff)

VALUATIONS AND PRE-EMPTIONS.

Art. 4.

Should the Customs have reason to believe that the goods have been declared under their value, they possess the right of seizing them, upon paying to the importer thereof the price declared in the invoice, plus 5 per cent., in the case of goods entered under the conventional tariff, or plus 10 per cent., if the goods come under the general tariff. In such a case, the importer may claim in writing an immediate appraising of the goods through experts. The Customs have the same privilege in case hey do not wish to avail of their right of pre-emption. The decision of the arbitrators must be rendered within a fortnight.

If the value determined by the experts is admitted as the correct one, or shows that the under-valuation of the goods is less than 5 per cent., the duties are settled on the value originally declared. If the goods have been undervalued 5 per cent. or under 10 per cent., the Customs may exercise their right of pre-emption or collect the duties on the value fixed by the experts; if the experts show that the under-valuing exceeds 10 per cent or more, the Customs may exercise their right of pre-emption or collect duties on the value settled by the experts, plus 50 per cent. as a fine.

If the value fixed by the experts exceeds that declared by 5 per cent, their fees will have to be paid by the importer; if it be the other way, the Customs will be responsible for them.

SUPPLEMENTARY DUTIES.

Art. 5.

Beer, alcohols, liqueurs, varnishes containing methylated spirits, ether, collodion, chloroform, playing-cards, and various products whose basis is soda, are subject, on being imported, to supplementary taxes added, as far as practicable, to the rates given in the conventional tables. These taxes are in compensation of the equivalent taxes inflicted upon French manufactures.

GOODS OMITTED IN THE TARIFF.

Art. 10.

All goods which do not appear in the table of duties or which are not assim. ilated to others will be treated as the article the most analogous to them.

TARIFF OF FRENCH CUSTOMS (GENERAL).

(Duties are stated in francs and centimes).

WOOD AND MANUFACTURES OF WOOD.

Boxwood, free of duty.

Wood for cabinet-making purposes, sawn of a thickness over two decimetres, free. Boxwood-over 2 dec. thick-1 f. per 100 kilos.

Other woods for cabinet-making purposes, coming from countries out of Europe $1.20 per 100 kilos.

Logwood, for dyeing purposes, free of duty.
Laths, 10 centimes per 100 kilos., net.

Wooden barrels, with iron hoops, 10% ad val.

Wooden boxes, f. 37. 20 c. per 100 kilos., net.

Button-moulds, f. 15. 60 c. per 100 kilos.

Shovels, forks, rakes, dishes, spoons, forks, bowls and other household articles, 18% ad valorem.

Wooden beams, even finished, free.

Walnut stocks, for guns, 18% ad valorem.

SUGAR.

Sugar. The duties are prohibitory, ranging from f. 63 to f. 70. 50 c. per 100 kilos., according to quality, and locality it is imported from.

N.B.-These goods merely pay a duty of 3 francs per 100 kilos., on the gross weight.

Woodwork, such as masts, topmasts, spars and gaffs.

Wood, other than oak or walnut, squared or sawn, having a thickness exceed

ing 80 millimetres.

Mushrooms, dried or fresh.

Hemp, crude, combed.

Hair, or goods manufactured from hair.

Horsehair, whether prepared or not.

Copper, pure or alloyed with zinc (first fusion), in ingots, plates or scrap, and in sheets for lining ships; also copper filings.

Bark, for tanning purposes.

Flour and dried vegetables.

Iron ore.

Filaments of jute, flax and hemp, and of others not denominated, in the stalk, in the form of tow, or combed.

Hay, and other fodder.

Rough castings, employed in ship-building.

Seeds.

Graphite.

Medicinal herbs.

Lobsters.

Wool, grown out of Europe.

Books, printed in France and re-imported within five years,

Maize, flour and seed.

Grindstones.

Honey.

Barley, seed and flour.

Woodwork; empty barrels, with wooden hoops; common brooms.
Straw (of cereals.)

Lead ore, scrap filings, rough, ingots.

Fresh water fish, including salmon, whiting, shad and mullet.

Potatoes.

Buckwheat, seed and flour.

Rye, seed and flour.

Filamentous vegetables, even in twist or combed.

Zinc ore, in sheets, for ship-lining, in rough ingots, scrap, filings.

SILK.

Silk, combed floss, f. 10 per 100 kilos., gross.

Silk thread, f. 25 to f. 120 per 100 kilos., net, according to measurement per kilo.
Velvets and manufactured silks come under conventional tariff.

Duties are most prohibitory.

COTTON.

Cotton in the crude state, f. 3 per 100 kilos., net.

Cotton threads. The duties are prohibitory, ranging from f. 15 to f. 300 per 100 kilos., net.

Duties on cotton and linen fibres are of a prohibitory nature.

Anchors, weighing under 250 kilos, 18 f. per 100 kilos., net.

Anchors, weighing over 250 kilos, 12 f.

Iron ships' cables, f. 45 per 100 kilos., net.

66

Iron bars, round or square. The duty varies fronı f. 12 to f. 16. 80 c. per 100 kilos.,

according to width and thickness.