^^% IMAGE EVALUATION TEST TARGET (MT-3) 1.0 I.I 11.25 Ui 1 2.8 1 2.5 ^ hs, III 2.0 1.8 U 11.6 6' ^^ j^V Photographic Sciences Corporaiion 23 WEST MAIN STREET WEBSTER, N.Y. 14580 (716)873-4303 u. a ^ CIHM/ICMH Microfiche Series. CIHIVI/ICIVIH Collection de microfiches. Canadian Institute for Historical Microreproductions / Institut Canadian de mtcroreproductions historiques V^O ( meaning "CON- TINUED"), or the symbol y (meaning "END"), whichever applies. Un des symboles suivants apparaftra sur ia dernlAre image vie chaque microfiche, selon le cas: le symbols — ► signifie "A SUIVRE ". le symbols V signifie "FIN". Maps, plates, charts, etc., may be filmed at different reduction ratios. Those too large to be entirely included in one exposure are filmed beginning in the upper left hand corner, left to right and top to bottom, as many frames as required. The following diagrams Illustrate the method: Les cartes, planches, tableaux, etc., peuvent dtre fiim6s d des taux de reduction diffdrents. Lorsque le document est trop grand pour dtre reproduit en un sxeul cllch6, II est fiim6 d partir de I'angie supArisur gauche, de gauche d droite, et de haut en bais, en prenant le nombre d'images nicessiiire. Les diagrammes suivants illustrent ia m6thode. 1 2 3 32X 1 2 3 4 5 6 T IS Oil •111 wi an III ox si. o lo til re ci ex G b. la Ui THE EFFECTS OK TIIK NEW PARI 11 ON THE UPPER CANADA TRADE. 'lliat the now Tariff, now under the consideration of Parliament, U sectional in its tendency and inimical to the interests of Upper Canada, must bo obvious to every one possessing the smallest ac- quaintance with the trade of the country. The determined advocacy with which it meets from the lower section, and the counter anxiety and alarm with which it is viewed by the whole commercial com- munity of the Upper Province, aftbrds, perhaps, the best index to the extent of the injustice that will bo inflicted upon Upper (!anadian> should the pro[)Osed Tariff become law. Hie attempt, to force, by h'o-islation, the trade of any locality out of its legitimate chamiel, or the purpose of furthering the interests of some other less farored lof'ality, would at any time be regarded as impolitic and unjust; but tho attempt to force the whole trade of Upper Canada into Mont- real, for the exclusiTO benefit of a few importing merchants of that cit), by a manifestly unfair imposition of customs duties, as now pro- posed, is an act of injustice that inust meet with tlie censure arul condemnation of every intelligent iivan. That this will be the efteot, if it be not the avowed object of ^Ir. (rail's TariflF, no one, wlio is uninfluenced by Montreal interests, will be disposed to detiy. And hat such a result would prove in the lust degree disastrous to Upper Canada is equally indisputable. Let us look at the facts of the case. i 2 At the presout time our trade is cliieHy with New York. Out of a total value of $5,305,235 of the four chief articles of consumption — tea, sugar, coffea and molasses — imported into Canada in 1858, no less than !i»3,709,359 worth, or considerably over two thirds of the whole, were imported through the I -nited States. The whole of this amount must have been purchased in the United States market. This of itself affords us a proof that the legitimate market of Ca- nada — that is the best, cheapest and most convenient, with her present commercial capacity, is to be found in New York. The trade of a country will always regulate itself in this respect, if not distorted by undue intluonces. and restrictions; and it is simply in the natural order of events that the Upper Canadian merchant finds it to his interest to deal in this great commercial mart of the United States. The reason is obvious enough : it ii the largest, and conse- quently the best market on the continent— the center of trade of upwards of thirty millions of people. Here our merchants find, at every season of the year, immense assortments of every commodity of conusmp- tion. They may here select, from every variety and growth, pre- cisely the description ot goods they may require for their own market. They may purchase in any (juantity, from a few hogsheads of sugar or a hundred chests of tea, to the whola cargo, with equal facility and advantage; the market is open to them at all seasons of the year; they import without risk, and in fact enjoy all the numberless advantages derivable from a large, stealy absurd. Neither Boston, Piiiladelphia, nor even New Orleans, have yet been able to do it for their own States, and there is little hope that such a revolution can take place in favor of Montreal. bc^on York. Out of of consumption iinada in 1858, r two thirds of The whole of States luarkot. market of Ca- nient, with lier w York. Tlie respect, if not it is simply in merchant finds t of the United ;est, and conse- -rade of upwards ateverv season y of conusmp- id growth, pre- for their own few hoffsheads cargo, with them at all fact enjoy all ly, and well- ons, there are between our )urse in trade notice, without n short, by all course, and all V York is, and f trading mart ent. ete witii New anada, is sim- New Orleans, there is littlo of Montreal. « *- .•■7f,'r l>->-. 3 With not more than three or four nicrchaiis Avith a sufficient oapi- tal to import their teas and sugars from the place of growth, and with her navigation closed for six months in the year, she would bo able to command neither an assortment of commodities nor a cer. tainty of supply. Th« idea is of itself too far fetched to admit of serious consideration. But, in the face of tins, Mr. (lalt's Tarilf practically declares, that either this commercial law, which now regulates the trade of Upper Canada, shall be nullified in favor of >'ontreal, or that a difference of duty of forty to fifty per cent, against the Upper Canadian Aierchank shall be imposed upon every pound of sugar, tea, or coffee he chooses to import from his proper market. This is its practical eflfect ; for as our purchases are all made, and 7«??s< be made in the New York Market, by the ad valorem principle now proposed, the difference of iluty paid by the Upper Canadian Merchant will be equal to the (lifleronco of price at the place of growth and New York, which will not be over estimated if ])laced at from forty to fifty per cent. How- ever Mr. Gait may attempt to garnish it over, this is the simple, [)ractical fact, and no amount of sophistry or argument can under- mine it. " But," says Mr. Gait, " the merchants of Toronto have the same privileges aftbrdod them as those of Montreal. They may import through New York in bond, direct from the place of growth: the Montreal merchant can do no more." This may sound very well in theory, but in practice it is entirely fallacious. Montreal has two especial advantages over Toronto — that of phy- sical position, and of superioi' capital. Her position gives her the command of two streams of trade — the one from the east and the other from the westward. Toronto has no such advantage. The trade may go doivn to Montreal, but it will never come up to To- ronto. That she has also superior idvantages of capital at the present time is well understood. Add to these the undue protection now proposed to be accorded to her, and the three advantages com- bined will just enable her to undersell the Upper Canada merchant sufTiciently in one or two leading articles, to draw the buyers to that market. The whole result is easily seen. Attracted thither by the bait of one or two cheap articles, they will be induced td extend and renew their purcha'ses, until the whole trade is gradually but ,t^v. pffcctually (Iniwii away iVom its present Ippcr t'finadian ehamicl, and centrol in Montreal. The nl.l ro'.ail .lodge, of exliil)ilin<;- tin- cheap sugars to eateh the cnstoin for inferior teas will be siniply playod ont n]>nn a wliolesule scah'. To assert ihit tlu- Toronto Merchant ha- the same faeilitios, or indeed that it would he possible for him to import his leas from China, his su^ar from Cnba, and his cofFce from Jamaica, !•« ?is absnrd as it '"< ineorrect. As the t-ase at present stands, with a cap- ital of ten or twenty tlionsand ponnds, while he deals with New York, he mav carry on a i)retty extensive business witli profit to himself and witli satisfnctioti to his customers. He can u'O to New York and pin- chase his supplv from an assorted stock of an hundred cargoes, import cd on the most t'avorahle terms, and receive from his New ^^M•k corres- l^ondeni from I to (1 nionths credit, at aditference not CNceeding the interest over a rash purchase. \\y this arrangement lie is virtually provided with iMpital for the pn sci-uf ion of his 1iusmo<>--. lUit shut hini ont from this market and dr^ve him to('Iiin.i oi' ('iili;i for the same couimodiiii' , and wli.it is thr ri'sult ,' What was an ;iniple r;ipital nndiT I'p' on.' -\>teMi, KoroMU's to him. under the other, only H source (if iniliar 1^ !ii>'nt-;ind bt'wildormeiil. Follow him f()r :i moment, through ih' new ("haune! in the purehase oldne supply i' not obtainable in Canada) to send to China on sale. Fourmonths would be eoiisumed in reaching that point; t\\n in selecting return cargo ; and four in the baek- voyage. Allowing a safe margin for casualties, this may be set down at twelve month- ; add six months, beiNg the ditfcu-encc of er''dit in '^'ew "^'orlc, and this will give a total eipial to eighteen months that he is com[)elled to li? out of his capital before he C:in realize a single dollar on his goods. Again, suppose for a moment (and the supposition is a legitimate one) that his one cargo were lost, what would bo his position '. lie would either have to suspend his business rmtill other arrangements cotdd lie effected, or be forced into a market wheie ho would be compelled to pay, the twenty percent, imposed by the new tarrili" more than his neighbor who might be the owner of a cargo arriving without anv such casualty. ,&k^-ifi^ madian rhamiol, if exliil)iliii<;" fin- i will Ix! siini»ly line tacilities, or rt his teas from I Jamaica, i^ as iiids, witli a caji- ; with New York, fit toliimself and w York and}"!! • , cargoes, imporf ^ow ^'ork I'orros- ot CNCOcding llic it lie is virtually i!0<>-\ I lilt shut r )e compelled to more than his wilhoul anv And this is tho scliemo by which Mr. < !alt proposes U) foster and de tho ^f th itry. \VI»v the whohs th r^ commerce hurles(iuo on common sense. What should wo think of anyone who would attempt, hy imposing heavy restrictions in Toronto, to force the small retail grocers of Yorkville to make their purchases in the Itetter and clicaper maiket of New York ' The two cases are prr- cisoly analagous. (.Circumstances might force them to make the attempt, hut what would ho tho result i Why every one can foretel it 'I'heir funds would he exhausted in the tirst expedition ; the larger market would bo closed against their few iloUars, however they might have served thoin in 'roroiil->; and their business, that mig/ii have kept in very good tunc whiL a convenient and adeijnato mar- ket was open to thoiii, would bo peremptorily wound up under tho forced system. A second result would be, that their custo- mers, losing their legitimate source of supply in their own village, would bo driven to 'I'oronto for tluiir groceries; lun'o they vould find <»ther commodities perhaps a trille cln^aper and better, and tho whole trade would thus bo gradually absorbed b\ 'loronto, and the ruin of the groi'ors would be followed by the ruin of every other shopkeeper in tho village. 'This may Ik; taken as an illustration of tho way in which tlu' proposed scln'ni'> would work against 'J'oronto, in lavor of Montreal. " lint,"' says Ml. (iail, " it would be lor tho advantage and gen- eral good of the i'rovinoe if we could, by these means, encourage our own carrying trade and employ our unremunerative canals and rail- roads."' This sounds v.-ry plausible and just. Hut the (piestion is, is it practicable .' W'e reply, certainly not. Tho whole scheme is visionary and impossible. It is an enormity to suppose that t» r- mere transition from specilic to ail niloritn duties will change tu3 whole commercial relatioiis of the country, and convert the Province from a secondary to a primary market at a bound. It may give an undue advantaoo to a select few, and embarrass and even ruin others whose position is only maintained by very slender ties, like the merchants of Upper Canada at tho present moment; but to suppose that it will otfoct any thing beyond this is folly. That'such a result :is M'". <-ialt bargains for would bo beneficial to the Province, nobody would attempt to deny. There are thousands of impossibilities tliat if they could only bo real i/.ed would bo ut that the object of the scheme is not to foster ov oncouiago our inland navigation k only too apparent. Mr. Gait well knows that, irrespective of the closing of the St. Lawrence for six months in the year, New "^'ork is the legitiniato port of entry. It is 1500 miles less distance than Montreal; return cargoes maybe obtained from thence, but they cannot be obtained from Afontrcal; and even Mr. Gait himself, with the same breath in which ho talks of encour- aging our inland navigation, tells us that we of Toronto can follow the example of Montreal, and 'im\:)Ovt tli ran r/h JVcio J 'or?/- in bond. If this is to be the case, then, where is the boasted encouragement to our inland navigation .' It vanishes at once. What then remaios as the object of the scheme ? Why simply and solely the forcing of iho trade into the grasp, not of Montreal, but of a lew leadinir impor- ters of that city. Xo other object, or at all events, no other result can bo made out. Tt may aild a little to the traflic of the rJrand Trunk Railroad ; but if Upper Canada is to be taxed for the support of that undertaking, let it be a direct tax that wo can all understand, and not combined with a policy that at the same time robs her of the means of paying it by destroying her trade. The gross injustice and inconsistency of such a policy is too glaring to admit of serious dis- cussion ; and "we shall bo much surprised if IJ^per Canada stand tamely by and suffer it to pass into law. It must be a soui\ '3 of deep regret that such an unfortimato mea- sure should have b^cn introduced. There are not wanting subjects already of sectional difference ; and this, if carried into effect, must inevitably add another link to the ugly chain that already exists. That a strong feeling is already excited in Upper Canada on the subject, and that it will be ten fold increased, should the proposed t^ country, and togoilicr. But Imt would not our own sno>v- 4 of Tokion or natural current witli the coni- liou on Upper oly more repro- i" encouiai^o our ell knows that, six months in ry. It is 1500 ay bo obtained real ; and even alks of cncour- mto can follow Yonk in bonJ. ^ouragement to i then remains :lio forcino" of eadiuijr impor- 10 other result of tlio rjrand or the support understand, robs her of the injustice and of serious dis- Canada stand brtunato mea- nting subjects 3 effect, must dready exists, mada on the the proposed Tariff become law, it isi impossible to <.oul)t. [t is not to be suit- posed that Upper ('anttda will submit (|uiatly to rucIi a piece of injustice, and it io oidy to be hoped that the chances of exciting an uijfuvorable outburst of sectional feeling will yet be avoided by changing the resolutions, and according to Upper Canada the nami* privileges as are conferred upon the lower aci-tion. It is only bv the ties of commerce and by the maintenance of one identical in- terest, as far ai possible, in the two sections, that they can ever bo bound firmly and faithfully together; audit is only by such a uidon that Canada can ever hope to be prosperous and sound in her cosn- mercial affairs. It is, therefore, much to be regretted, that of all questions of issue one of a commercial character should be thrust in between them, to destroy that harmony that it must bo the desire of every one to see maintained and strengthened. The hostile tendency of such a policy will not bo confined to C'anada alone. Fn the United States the feeling will be stronger even than it is here. It will be regarded as a direct blow aimed at the trade of New York, and an immediate interference with the working of the Reciprocity Treaty will bo the natural retaliation. It may bo said that the Treaty cannot be substantially interfered with ; but it will be found out, when too late, that in 'this estimation of the ressourccs of our neighbours in protecting their own interests, we have reckoned without our host. We have already had an earnest of what can be done by way of checks and restrictions, and if no other way were oj^en, this could bo rendered sulHciently effective to des- troy all the advantage of the Treaty to Canadian commerce. Tiiat such a measinv will be liad recourse to, if the proposed Tariff becomes law, is as certain as is the injustice ot" the measure that would giro occasion for it. As far as the remedies are concerned, there are but two that pre sent themselves : either that the goods ahould be entered for du<.y at the cost at place of growth, or that the present system of specific duties should 1)0 retained. The former method is very simple, would be easily worko endorsed ii meiiBuro for skiving to tlio iidatiL miinufactorit'8 iviid industrftl iiiterost of th« Country n largo Miiaro of iiicidcnUil protection through a loveniKi tarid", will, in tlio very next session, \w found repudiating that wliolcsonio principle, and enacting a tariO' whoso chief object, is the bolstering up of a few already wealthy individuals, it is to b« hoped that the niombers for Upper Canada, at least, will look to their own intorosti in this mat- ter. That t'ley will bo found to endorse siich an act of injustico to their own section it is impossible to believe. Neither do w« believe that the members for Lower Canada will endorse such a policy. There conduct towards the Upper section has been invariably marlced by fairness and good faith, and v.o cannot think that they will now repudiate that principle