IMAGE EVALUATION
TEST TARGET (MT-3)

i^'^ Sf,

1.0

I.I

1.25

1^ 112.5

tt 12.2

1.8

lA \\\\\ 1.6

"c-1

c^.

r c^

Sciences
Corporation

23 WEST MAIN STREET

WEBSTER, N.Y. 14580

(716) 872-4503

«V

r^^

CIHM/ICMH

Microfiche

Series.

CIHM/ICMH
Collection de
microfiches.

Canadian Institute for Historical Microreproductions / Institut Canadian de microreproductions historiques

Technical and Bibliographic Notes/Notes techniques et bibliographiquus

The Institute has attempted to obtain the best
original copy available for filming. Features of this
copy which may be bibliographically unique,
which may alter any of the images in the
reproduction, or which may significantly change
the usual method of filming, are checked below.

□ Coloured covers/
Couverture de couleur

□

Covers damaged/
Couverture endommagee

Covers restored and/or laminated/
Couverture restaurde et/ou pellicul^e

Cover title missing/

Le titre de couverture manque

□ Coloured maps/
Cartes gdographiques en couleur

□

Coloured ink (i.e. other than blue or black)/
ere de couleur (i.e. autre que bleue ou noire)

Coloured plates and/or illustrations/
Planches et/ou illustrations en couleur

Bound with other materia:
Relie avec d'autres documents

□ Tight binding may cause shadows or distortion
along interior margin/

La reliure serree peut causer de I'ombre ou de la
distortion le long de la marge intirieure

Blank leaves added during restoration may
appear within the text. Whenever possible, these
have been omitted from filming/
II se peut que certaines pages blanches ajout6es
lors d'une restauration apparaissent dans le texte,
mais, lorsque cela 6tait possible, ces pages n'ont
pas 6t6 film^es.

Additional comments;/
Commentaires suppl^mentaires;

L'Institut a microfilm^ le meilleur exemplaire
qu'il lui a 6t6 possible de se procurer. Les details
de cet exemplaire qui sont peut-Stre uniques du
point de vue bibliographique, qui peuvent modifier
une image reproduite, ou qui peuvent exiger une
modification dans la m^thode normale de filmage
sont indiqu^s ci-dessous.

□ Coloured pages/
Pages de couleur

□ Pages damaged/
Pages endommag^es

□ Pages restored and/or laminated/
Pages restaur^es et/ou pellicul^es

D
D
D

Pages discoloured, stained or foxed/
Pages ddcolordes, tachetdes ou piqu^es

I I Pages detached/

Pages d6tach6es

Showthrough/
Transparence

Quality of prir

Quality inegale de I'impression

I I Showthrough/

I I Quality of print varies/

Includes supplementary material/
Comprend du materiel supplementaire

Only edition available/
Seule Edition disponible

Pages wholly or partially obscured by errata
slips, tissues, etc., have been refilmed to
ensure the best possible image/
Les pages totalement ou partiellement
obscurcies par un feuillet d'errata, une pelure,
etc., ont 6t6 filmdes A nouveau de facon d
obtenir la meilleure image possible.

1
s

e
b
ri
r(
n

This item is filmed at the reduction ratio checked below/

Ce document est filmd au taux de reduction indiqu^ ci-dessous.

10X

14X

18X

22X

26X

30X

12X

16X

20X

24X

28X

32X

The copy filmed hare has been reproduced thanks
to the generosity of:

Library of the Public
Archives of Canada

The images appearing here are the best quality
possible considering the condition and legibility
of the original copy and in keeping with the
filming contract specifications.

Original copies in printed paper covers are filmed
beginning with the front cover and ending on
the last page with a printed or illustrated impres-
sion, or the back cover when appropriate. All
other original copies are filmed beginning on the
first page with a printed or illustrated impres-
sion, and ending on the last page with a printed
or illustrated impression.

The last recorded frame on each microfiche
shall contain the symbol ^^> (meaning "CON-
TINUED"), or the symbol V (meaning "END"),
whichever applies.

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:

, L'exemplaire filmd fut reproduit grdce d la
g6n6rosit6 de:

La bibliothdque des Archives
publiques du Canada

Las images suivantes ont 6t6 reproduites avec le
plus grand soin, compte tenu de la condition et
de la nettet^ de l'exemplaire film6, et en
conformity avec les conditions du contrat de
filmage.

Les exemplaires originaux dont la couverture en
papier est imprim6e sont filmis en commen9ant
par le premier plat et en terminant soit par la
dernidre page qui comporte une empreinte
d'impression ou d'illustration, soit par le second
plat, selon le cas. Tous les autres exemplaires
originaux sont film6s en commenpant par la
premidre page qui comporte une empreinte
d'impression ou d'illustration et en terminant par
la dernidre page qui comporte une telle
empreinte.

Un des symboles suivants apparaitra sur la
dernidre image de cheque microfiche, selon le
cas: le symbole -"♦► signifie "A SUIVRE", le
symbole V signifie "FIN".

Les cartes, planches, tableaux, etc., peuvent Stre
filmds d des taux de reduction diffdrents.
Lorsque le document est trop grand pour dtre
reproduit en un seul clichd, il est film6 d partir
de Tangle supdrieur gauche, de gauche d droite,
et de haut en bas, en prenant le nombre
d'images ndcessaire. Les diagrammes suivants
illustrent la mdthode.

British Empire League in Canada

A.X)IDR;ESS

Delivered before the Toronto Branch Britiish Empire League

BY . ; ...

THE HON. G. W.ROSS, LLD. J. P. P.

Minister of Education tor the Province of Ontario (Canada),

PREFERENTIAL TRADE WITH GREAT BRITAIN

AND RECIPROCITY WITH THE

UNITED STATES

ST. GEQBGES HALL, TOBONTO

DECEMBER 4TH, 1897.

Dr. Laruatt Smith in the Chair.

TORONTO:
THE CARSWELL COMPANY, LIMITED,

1897. .

British Empire League in Canada

iiH^>^#################

Delivered before the Toronto Branch British Empire League

THE HON. t. W. ROSS, LLD., M.P.P.

Minister of Education for the Province of Ontario (Canada),

PREFERENTIAL TRADE WITH GREAT BRITAIN

AND RECIPROCITY WITH THE

UNITED STATES

ST. GEOEGE'S HALL, TOEONTO

December 4Th, 1897.

Dr. Larratt Smith in the Chair.

TORONTO :
THE CARSWELL COMPANY, LIMITED,

:897.

-A.IDIDK.ESS

-!1Y —

HON. G. W. ROSS, LL.D., M.P.P.

ilinitter of Education for the Province of Ontario {Canada),

—IN —

ST. GEORGE'S HALL, TORONTO.

DCCCMBCR 4TH, 189T.

The year 1897 has been one of great satisfaction to the British Empire
League. Never before in the history of the empire has there been such a
commingUng of colonial representatives, and never before were heard, wher-
ever the British flag floats, such hearty expressions of good-will from subject
and alien alike towards the British Empire and the Sovereign that has ruled
it so long and so well. The " splendid isolation "' which for many years lent
a somewhat pathetic interest to the British Isles in their struggle for moral
and commercial supremacy has been supplanted by a " splendid Imperialism,"
whose light and glory have filled the world with the fame of Britain's achieve-
ments in peace, and with a wholesome dread of her power should she be called
upon to defend herself in war.

To the British colonies, scattered over the globe, these tokens of Imperi il
unity have been accepted with the greatest cordiality. If the idea prevaile \
anywhere of colonial isolation, every such idea was fused and absorbed by the
intensity of the larger one of unity, and the colonist who perhaps dreamed
that on this side of the Atlantic or under the southern cross there might be
established a new nation, wearing the livery of a republic, now feels that to
recognize the Sovereign of the United Kingdom as his Sovereign is the highe'^t
honor to which he can aspire, and to wear the badge of British citizenship is
the highest distinction to which he can attain. (Cheers.)

To the members of the British Empire League the uppermost (juestion
now is: How can the sentimental union so strongly accentuated during the
present year be further strengthened in a practical and material way? Mr.
Chamberlain, the Colonial Secretary, in a remarkable speech recently delivered
at Glasgow, stated that " the basis of all patriotism is preference." Whether
this be true or not in an abstract sense, in this age of practical politics we
might fairly assume that a relationship strengthened by preference as well as
by sentiment is stronger and more likely to continue than a relationship rest-
ing on sentiment alone. Even although such preference conveys but trifling
advantages, the good-will which it represents gives it an incalculable value in
cementing the bonds of friendship between peoples and nations. No one ex-
pected that the preference given to British goods in the Canadian market by
the tariff of la.st session would have called forth such generous expressions of
good feeling from the press and public men of the mother country. It was
not the commercial advantage that moved the British heart so much as the

evidence of Canadian loyalty to Britain wliicli it represented. (Cheers.)
Ilaviii),' taken tliLs step it i.s but natural tliat we .should consider what we iiave
gained by it, and what are its possible future advantages,

British Pkiu'erence and its Advantages.

In answer to this in(|uiry T may state that the following advantages are
evident; —

(i) We have quieted for the time being, and I hope forever, the restless-
ness which prevailed in many (|uarters as to the future of Canada. Without
questioning the value of a republican form of government theoretically, it has
has been demonstrated beyond a pcradventure that under a monarchy it is
possible to obtain as large a measure of freedom, both civil and religious, as
under a republic. It has also been demonstrated that society is exposed to
fewer dangers, commerce to fewer disturbances and capital to fewer risks by
such a happy combination of a monarchy and democracy as prevails under the
British system, than under the less restrained and more demagogic influence
of a pure democracy. (Cheers.) The survey which Canadians were able to
take of the British Empire and of the liberal institutions which the people were
capable of establishing within its borders have convinced every colonist (and
I include in these our own Canadian people) that the British constitution is
liberal enough and clastic enough to meet all the necessities of citizenship of
every rank and class, and strong enough to guard every right, moral and poli-
tical, which arises from the ownership of property, the exercise of religious
convictions or the requirements of social organization. I think I may state it
as a fact that for these reasons Canadians as a whole are better satisfied with
the form of government they now possess than they ever were before, and I
may add, I see no reason why they should not be. (Applause).

(2) We have developed a greater feeling of confidence in ourselves, partly
from the prominence given to Canada in the councils of the empire and ipartly
from the respect paid to our wishes in Imperial matters. I have no sympathy
with the pessimistic disposition of some Canadians to bewail our paltry popu-
lation, our feebleness in men and money, and our tardy growth as compared
with our neighbors to the south. A multitude of circumstances, which I can-
not wait to discuss now, some of them political, some climatic and some
geographical, have combined in producing a phenomenal growth of popula-
tion and commerce in the United States By some this growth is regarded as
a menace to Canada, but even if so regarded, for which I see no reason, we
can truly say that Canadians have now a more buoyant feeling as to the future,
and that they are prepared to gird up their loin* with a confidence never be-
fore so deeply felt in the inherent stability of their institutions and in the
commercial and political possibilities of their own country. (Cheers),

For nearly one hundred years we have been disturbed by the evil genius
of racial and religious jealousy— a jealousy which at various periods in our his-
tory threatened us with the direst consequences. When Canada was divided
into two Provinces in 1791 it was supposed by British statesmen that the
separation of the two races would promote harmony and peace in the Canadian
colonies. The futility of this course was shown in the rebellion of 1837, both in
Upper and Lower Canada. In 1841 a similar object was attempted by the union
of the two Canadas, the purpose being to train the two races to respect each
other by placing them under the necessity of jointly governing the country.
Still dissension and racial antagonisms prevailed to an alarming extent. Then

, partly
d ipartly
nipathy
ry popu-
mparcd
I can-
some
popula-
rded as

genius
onr his-

divided
lliat the
Canadian

both in
le union
set each
country.
Then

came tlie union of 1867, I)y wliich it was supposed tliat all animosity of race
and religion would he absorbed by the iargcr idea of Canadian nationality.
The debates of the House of Commons since Confederation show that even
under this larger union the dregs of religious and racial hate still remained, and
I am not optimist enough to believe that they will be entirely eliminated f..r
some years to come. I think it is clear, however, that .such intluences are
steadily losing force, and as the conviction grows that we are becoming a
more homogeneous people, those whose ambition may prompt them to .ippeal
to passion and to prejudice will in the course of time seek some more h(jnor-
able way for attaining distinction. Our grou'ing strength in this way becomes
a guarantee of internal peace and harmony.

(3) We have paved the way, in my opinion, for the rapid develdinnent of
Canadian commerce. For over half a century Canada has been t(|iuppinR
herself at great expense for commercial ascendancy. On the construction ami
maintenance of our canals we have expended $81,000,000, partly to meet the
necessities of our own trade and partly to command the trade of the Western
Slates. Such an expenditure is in itself pretty conclusive evidence that
Canadians are not wanting in enterprise.

In railways we have invested $899,817,900. of which $^12,655,000 have been
contributed by the Government of the Dominion, the Governments of the Pro-
vinces and local municipalities — another evidence of Canadian enterpri>e. Be-
sides, large amounts of money have been spent for the improvement of har-
bors and for lighting our coasts, all of inestimable commercial value. Muni-
cipalities have generously subsidized local enterprises of various kinds, and
all the Provinces have given liberally for technical and agricultural education.
Lands have been offered to the settler, free of charge, that he might grow food
for himself and a surplus for the markets of the world. Our prairies, our
min(\s and our forests have been abundantly advertised, and we are in the
position of a merchant with a heavy stock of goods on his hands in every line,
looking out for customers with whom he can trade. (Applause).

Our Two Great M.xrkets.

For many years our attention has been divided between the markets of
two countries — the United States and Great Britain. To say the least of it,
the markets of the United States have been tUictuating and unsatisfactory.
Every coinmercial crisis in the American Republic reacted with tremendous
force upon the trade of Canada, and, still worse, the periodical changes ( f
American tariffs rendered the investment of capital and the establishment ri
commercial intercourse very uncertain. During this jubilee year we have, how-
ever, turned our attention more earnestly than ever before towards the maikets
of Great Britain. To my mind this circumstance will hereafter be just as
notable in the history of Canada commercially as the evolution of a more
generous loyalty to Britain will be politically. (Cheers).

Let me give a few reasons: Great Britain imported in 1896 for home con-
sumption $790,000,000 worth of food products, all of which, with the exception
of tea, sugar and fruit, and soine minor articles amounting to about
$100,000,000, can be produced in Canada. For instance, in 1896 she imported
130,000,000 bushels of .wheat, of which Canada supplied only 10,000,000; she
imported 12,000,000 barrels of flour, of which Canada supplied only 90,000
barrels; she imported 5,500.000 bushels of peas, of which Canada supplied only
1,400,000 bushels; she imported 58,000,000 bushels of oats, of which Canada sup
plied only 500,000 bushels; she imported 52,500,000 bushels of barley, of which

Canada supplied only 47.000; she imported 510,000,000 ponnds of bacon, «if
whicli Canada .sui)i)lie(l only 47.000.000 ponnds; she imported iTm.soo.ooo
|)oun(ls of hams, of wliidi Canada supplied only f),5oo.ooo pounds; slie imi)i)rlcd
324.000,000 ponnds of mutton, of whicii Canada .supplied only 4,000 pounds;
she imported O.ooo.cxx) hushels of ai)ples. of which Canada supplied only
1,500,000 Inishels: she imported -25], 000,000 pounds of cheese, of which Canada
.su|)plied only ifq.cxxj.ooo pounds; she imported 340,000,000 jiounds of jjutter,
of which Canada supplied only 5,ooo.oot) pounds. The whole export of food-
stuffs of every description from Canada to Great Hritain last year amounted
to ahout $46.(Xio,o(X). or less than (> \)vr cem. of the food products imported
by Great Britain for home consumi)tiun.

Till', QiKSTioN fn' Pkkkkkf.nc E.

And this briiijjs me to consider what should he done to obtain a larger
rcooRnifion in the British market so far as we are concerned, and also what
niiKht be done by Great Britain to RJve to Canada and to the other colonies
any preference over foreign nations consistent with the interests of the empire.

Turning to our own side of the question it is evident that the establishment
of a fast ocean service, facilities for cold storage, and mr)re rapid transporta-
tion by railways are steps in the right direction, and steps that have not been
taken any too soon. Following in the natural order, and for simih' reasons,
must come the enlargement of our canals, and the improvement of oui harbors-
and next must come greater attention on the part of our merchants to the
shipment of such goods only as are of the best (piality and to their placement
on the markets of Great Britain in first-class condition. Any prejudice that
may exist with regard to the produce of Canada must be overcome, patiently
and surely, by submitting to the consumers in Great Britain Canadian butter,
cheese, fruit, and every other article of liome consumption equal in (piality to
similar articles imported from any other country. Granted these three con-
ditions, and T am satisfied the markets of Great Britain will respond very
readily to Canadian enterprise. (Applause).

While this is one way. and I believe a sure way. to promote the develop-
ment of Canadian commerce. I see no reason why Canadians should hesitate
to look to Great Britain for some encouragement and response on her part.
True, she admits our products free of duty, but then she confers a similar
favor upon foreign nations. Have we not a right to expect that her own sub-
jects, though living abroad, will be treated more favorably than the Magyar
or the Russian or the citizen of the United States? The personal and political
privileges of her subjects, even under a foreign flag, are protected against
encroachment. Why should not the commercial interests of her own subjects,
under the same flag, though separated by a few leagues of water, be equally
subjects of her protection? (Applause).

Reasons for a Preference.

In order to make my position clear, it might be worth while to give in
detail a few of the considerations which might very properly influence Great
Britain to give the products of Canada and of her other colonies a preference
over the products of foreign nations, (r) The commercial advantages to the
colonies under such a preference would greatly strengthen and increase their
attachment to the empire. Commercial interchange means much more than
simply buying and selling; it carries with it social and business relations and
leads to a better knowledge of the political institutions of the countries con-

vcrncd in sucli commerce. NotliiiiR would conduce more to a permanent union
(jf her colonies than a better understanding in Great Hritain of Canadian
sentiment and feeling, and no l)etter way could he fiiund of increasing tiiat
actiuaintance than by increasing trade.

(2^ The greatness of England depends upon the maintenance of her
colonies. livery British statesman of any note, nowadays at least, admits that
her position among the other nations of the world would be seriously affected
by the loss of any one of her important colonies. In order to the mainten-
ance of that pre-eminence, any measure not detrimental to her interests, apart
from the colonies, is worthy of her most serious consideration. The reign of

the " Little Englander " at homr as well as abroad has happily. T brlieve,

come to an end. (I.oud applause).

r.O Her naval suprc. ..v depends to a certain extent on the numerous
coaling stations and harbor.'^^ if rcluge which she possesses under her own tlag
the world over. .Anyone wl o studies the great highways of conimerce with
'I map of the world before him can see Ivnv the loss of Gibraltar or Malta or
Tlong Kong or Hali' would serio isiy cripple England in maintaining her
naval supremacy.

(4) ouch a preferenci to- the colonies would greatly stimulate the interest
of the residents of the Briti'h Islands in colonial affairs and would lead. I am
confident, to a more speedy S' 'Jcment of the wild lands of th'- various colonies
and the development of their resources. From this there would be many ad-
v.nntages: (a) the con;(ested settlements of tin. mother country would ije re-
lieved, and, to that extent, the burdens of maintaining a dependent population
w(.uld be greatly diminished; (b) the increased population of the colonies
would give a larger market to the products of the Britisl; manufacturers, and
(c) the increased products of the colonies would add to the value of British
commerce and increase the freights of British vessels.

(•i) To be secure against danger in time of war. it is important to the em-
pire that her food supply should be produced under her own flag. CCheers.>
The development of the colonies, and particularly the development of Canada,
with our vast wheat areas in the North-west, would furnish a veiy considi rable
portion, if not all, of that food supply.

Wii.i. It Be Grantep.

It may be said that under no circumstances can we look forward to such a
change in the free trade policy of Groat Britain as would warrant us in hopine
that her laboring classes would submit to the taxation of their food in any
sense or form for the benefit of the colonies. On that point I am not so sure.
(Hear, hear.) The reasons I have already stated would go a considerable
distance to satisfy the laboring classes of Great Britain that a trifling increase,
putting it at I he very worst, of the cost of their food supplies had some com-
pensating advantages. I have misread the remarks of several leaders of public
opinion if I am wrong in believing that the manufacturers of England are not
very uneasy over the admission of the products of other countries into the
British market, whilst their products are shut out of the markets of such
countries by tarifTs almost prohibitory. A zollverein between the colonies
and the empire, as was suggested by Mr. Chamberlain, Colonial Secretary,
would, no doubt, mean for some years at least a tax on many articles now ad-
mitted to the British market free. In his speech before the third Congress of

the Chambers of Commerce on June 9, 1896, he said, speaking of a zollvercin:
" An essential condition of such a proposal would be that Britain shall con-
sent to replace moderate duties upon certain articles which are of large produc-
tion in the colonies. Now, if I have rightly understood it, these articles shall
comprise corn, meat, wool and sugar, and perhaps other articles of enormous
consumption in this country which are at present largely produced in the
colonies." Further, after pointing out that such a zollvercin existed in Germany
a'.id in the United States, he stated:"! say that such a proposal as a zollver-
cin between Britiain and her colonies might commend itself even to the ortho-
dox free trader," and further on he says:

" / want to impress npoii i/ou my personal conviction that if a proposal of this hiixt
came to us from the colonies, hacked hij any considerahle mpport on their part, it would
not be met xoith a blank refusal by the people of this country." (Applause).

The London Times, quoted by Sir Donald Smith in a speech delivered at
the same congress, said: "It is getting to be understood that free trade is
made for man, not man for free trade. * * * The British Empire is so large
and so completely self-supporting that it could very well afford for the sake
of a serious political gain to surround itself with a moderate fence." These
two quotations are very suggestive.

Mr. Sidney Buxton, M.P., late Under Secretary of State for the Colonies,
after referring to Mr. Chamberlain's speech, just quoted, and the possibilities
of commercial union between the colonies, said: "Though on the whole I
am a free trader, I for one do not say it might not be requisite to reimpose
certain duties which in the past were taken off British importations." (Cheers.)
A speech in a similar strain was made by Col. Howard Vincent, M.P., »and
by the President of the Congress, Sir Albert Rollit, M.P. One observation of
the President is worthy of .special notice. He said;

" I deliberately say that there may be circumstances in ^chicll an economic sacrifice
may he more than justified, for the greatness of the political, social and commercial ends
which ipe have in view.'' (Cheers).

The Duke of Devonshire in his speech at Liverpool at the reception given
to Sir Wilfrid Laurier spoke hopefully of a larger trade with the colonies on
such a basis as would tend to the promotion of the unity of the empire.
(Cheers.) Perhaps, however, the most significant remark bearing upon the
possibility of a modification of the trr.de policy of England w^as made by the
Right Hon. A. J. Balfour, leader of the Government in the House of Com-
mons, at Norwich, a few weeks ago, in reply to Lord Rosebery's speech on the
commercial federation of the empire. Lord Rosebery took strong ground
against the commercial federation of the empire, because, in his opinion, such
a federation, whilst permitting free trade within the empire, involved a tax
upon foreign goods, and such a tax would be a menace to the peace of the
empire. Mr. Balfour said: " If the commercial federation of the empire has
a justification at all, that justification is to be found in the fact that it will
draw closer together the various distant and far separated members of this
great community. If it docs that, I say it is no affair of any foreign nation
what we do in the matter. They do not consult our convenience in the forma-
tion of their tariffs. I am not aware of any reason why we should consult their
convenience in the formation of our tariffs." (Loud applause). One cam. )t
help but appreciate the true British ring of these few sentences from the speech
of the leader of the House of Commons.

Reason for Confidence.

But there is. perhaps, more significant evidence still in the denunciation
of the Belgian and German treaties of the desire of Great Britain to improve
and develop colonial trade, particularly with Canada. When it is remembered
that ner trade with Germany and Belgium amounted to $600,000,000 and her
trade with Canada to only about $100,000,000, it will be seen how large a com-
mercial risk she was prepared to take for the sake of strengthening her rela-
tions with this country. Neither the fear of possible irritation on the part of
Germany or Belgium nor the diversion of her immense trade with the German
Empire was allowed to stand in the way of treaties that existed for over ,^0
years, when it was pointed out to her that in the interest of Canada sucli a
course was desirable. Having done so much for one colony, why should we
doubt her disposition to give a reasonable preference to colonial goods lor
the benefit of over 11,000,000 of her subjects in all her colonies? The question
T admit, is one which must be settled in Great Britain, and not in Canada. It
may involve the reconsideration ^f trade theories which have become ingrained
in the public opinion of her leading men. But commercial theories, like social
customs, however universal, are not necessarily sanctified by usage. (Cheers.)
Economic conditions change with the process of the suns. British statesmen
are eminently practical, and the economic conditions which have led to free
traHe may, in the course of years, so change or become so subordinated to
larger conditions of a national character as to warrant their revision. This
change is, I believe, at this moment taking place at the great centres of British
industry. Mr. J. S. Willison. editor of the Globe, in his excellent letters on
English topics, recently published in his paper, has the following remark on
the present condition of English opinion on the trade question: " Cool and
dispassionate thinkers believe that down among the people opinion is slowly
shaping for a contest between the advocates of free trade on the one hand and
the advocates of a great alliance of free English-speaking democracies on the
other hatul, and that few have any adequate conception of the depth of feeling
against the foreigner that is burning in the bosoms of great masses of Eng-
lishmen." (Cheers).

If the question could only be made an Imperial issue and thus separated
from all commercial complications the watchword would not be free trade or
protection, but the unification and consolidation of the empire, and on thi.s
view of the (juestion it is not liard to i)redict what the attitude of the British
Empire League should be.

The Question of Reciprocity.

Next in importance to preferential trade with Great Britain is the subject
of a reciprocity treaty between Canada and the United States. In dealing witli
this question one is embarrassed by the twofold interest which seems to be
involved in it — the interest of the mother country and the interest of Cana<la.
In the mother country the opinion very generally prevails that the unfriendly
commercial relations existing between Canada and the United States are a
menace to the peace of the empire. It has been the ambition of English states-
men for the last fifty years to remove this supposed irritation by treaties and
concessions, many of which were none too favorable to Canada. The first
attempt of this kind was the Ashburton treaty of 1846, by which it is uni-
versally admitted Canada was greatly the loser territorially on her eastern as
well as on her western frontier. The Washington treaty of 1871 was less
disastrous, although it involved concessions in the inland wp.ters and canals of

.1 ■;

Canada for which no equivalent was granted in the inland waters of the
United States. It is within the memory of most of us also how the damages
to Canada by the Fmiian invasion of 1866 were entirely overlooked by the
Geneva award with respect to the Alabama claims. If past experience is any
guide in dealing with the removal of this so-called irritation, there is but
little hope for its permanent removal by any reciprocity treaty to which Canada
could assent. (Loud applause).

But there is another side to the question. While Canada has already made
many sacrifices, far too great in my opinion for any advantage that has l)een
conferred upon her, it is well to point out that she is in no sense responsible
for the irritation which is the alleged cause of our unhappy international rela-
tions. Our first serious quarrel with the United States took place in 1812.
To this quarrel Canada was in no way a party, although she was the greatest
sufiferer. The irritation arising out of this war affected our relations with the
adjoining republic for many years. We did not forget, and we could not
forget in a day, the wanton invasion of our soil by American armies, and the
destruction of our cities and towns by the gunboats and the torches of the
invaders.

.-\gain, in 1866, we \\ere called upon to repel the Fenian hordes which
crossed the border to plunder and destroy our country without any provocation
on our part. That invasion, no doubt, caused much irritation, and very pro-
perly so, but from no fault of ours. We took no part in fomenting the rebellion
in the Southern States; we were not friendly to the slave-holder or his traffic
in human flesh. On the contrary, we afforded the slave an asylum from his
persecutors, and 33.000 of our sons enlisted in the army of the north to main-
tain the unity and perpetuity of the republic. We have not forgotten this
wanton invasion of our soil ; for the irritation which it produced the blame is
not with us; the blame is with the United States and the authorities who
winked at the well-known intention of the invaders. Nor will I mention the
belligerent message of President Cleveland with respect to Venezuela boun-
daries — a message which threatened the peace of two continents, and which
invoked as a justification. I think without any foundation whatever, the Mon-
roe doctrine of American supremacy with regard to existing political organi-
zations in America.

Commercial Attacks Upon Canada.

In recent years the attack upon Canada was not of a military but of a
commercial character, and was all the more insidious because disguised under
the form of tariffs and duties alleged to be necessary for the maintenance of
the revenues of the republic. The repeal of the reciprocity treaty of 1854,
immediately after the close of the American war, was evidently an attack upon
the commerce of this country, and, all apologies to the contrary notwithstand-
ing the same remark will hold true of the majority of the tariff bills that have
l)een submitted to Congress since that date. The remarks made during the
discussions, notably on the McKinley bill, clearly indicated that the intention
of American statesmen in taxing our barley, our coal and our lumber, as well
as other products of the country, was to cripple the trade of Canada as much
as possible. (Hear, hear.) Still more significant are the alien labor laws and
the invidious provisions of the Dingley bill with respect to the products of our
Canadian forests. Is it not evident, therefore, to the most superficial observer
that no concession on the part of Great Britain to the United States — not even
the payment of claims under the Geneva award, well-known to be greatly in

Iters of the
he damage's
)ked by the
ence is any
here is but
lich Canada

ready made
;it lias been
responsible
itiona] rela-
ce in 1812.
he greatest
IS with the
could not
es, and the
:hes of the

rdcs which
provocation

very pro-
e rebellion

his traffic
1 from his
li to main-
:otten th;s
e blame is
ritics who

ntion the
ela boun-

nd which
the Mon-
\\ organi-

but of a
ed under
nance of

of 1854,
ick upon
ithstand-
hat have
iring the
intention

as well
as much
aws and
s of our
observer
lot even
eatly in

excess of the damages inflicted — has had the desired effect of developing a
spirit of international friendship such as we should naturally expect ought to
exist between two countries of the same blood and speaking the same
language? The conclusion is thus irresistibly forced upon us that, so far as
Canada is concerned, it is utterly useless to entertain the idea of a reciprocity
treaty with the United States for the purpose of removing either present or
future irritation. (Loud and continued applause.) Our experience, in many
cases bitter and humiliating, is against any expectation of that kind. I am,
therefore, reluctantly I must admit, obliged to eliminate from the consideration
-)f this question all speculation with regard to its effect upon international
relations.

Commercial Aspects of Reciprocity.

But. it will be said, even if reciprocity with the United States does not
promote more friendly relations with the American Republic it may neverthe-
less be a source of profit commercially to the people of Canada. In proof of
this proposition the treaty effected by Lord Elgin in 1854 is constantly cited.
It is not for me to dispute the opinion of commercial authorities respecting the
treaty of 1834. I would merely, in passing, point out that during the last five
years of that treaty the conditions of trade in the United States were excep-
tional. The republic was involved in a civil war, the most gigantic of modern
times. Over i.ooo.ooo men were withdrawn from the productive industries of
the country. They had to be fed and clothed at all hazards, and for several
j'ears Canada was liberally drawn upon for the supplies retjuired by the American
army as well as to make up the diminution in other departments of trade and
commerce caused by the withdrawal of so many men from their usual avoca-
tions. Had the treaty of 1854 been continued for some years longer it is doubt-
ful whether the advantages to Canada, great as they no doubt were, would not
have abated substantially by the resuscitation of industries which the civil war
had destroyed. (Cheers).

(

But it will be said again, even admitting your argument with regard to
the treaty of 1854. there is still room for the interchange of products which
would be of mutual advantage to the two countries. Using the word advan-
tage in a strictly commercial sense, that statement is possibly true: For in-
stance. I think reciprocity in coal and lumber, and perhaps in a few other
articles, would be a benefit to both Canada and the United States. It would
bt folly to say that nations as well as individuals could not profitably exchange
products. Laws of exchange all the world over are against any such assump-
tion: but valuable as the exchange of commodities may be to the develop-
ment of a country when such exchange becomes a subject of treaty, ques-
tions of an international character arise which must not be lost sight of.
CCheers.) Trade then becomes a political as well as a commercial ([uestion.
and it is to its political aspect that I wish to call your attention.

Dangers of Reciprocity.

(i ) A reciprocity treaty may be used as an admission that the weaker nation
making such a treaty is dependent upon the stronger nation for a market,
or such a treaty may foster a feeling of dependence in the weaker nation
upon the markets of the stronger nation. In cither case, any such feeling
would be prejudicial to Canada. Though weaker numerically than the United
States, we must resist resolutely everything that would propagate a feeling
of dependence upon her either for our commerce or our national existence.
Such a feeling would utterly mar the true spirit of Canadian nationality.
(Loud applause).

(2) The repeal of a reciprocity treaty by which new channels of trade
were opened up might be held by a stronger nation in terrorem over the
weaker, as destructive to the trade so established and as a means of wresting
concessions inimical to the prosperity of the weaker nation. Nay, more, the
consequence of such repeal might be made suggestive of political union as
the only way of averting the commercial disasters which such repeal involved.

(3) Having invested, as I have aready pointed out, nearly $1,000,000,000
of money for the transportation of our goods to the seaboard, would we not
be doing an injustice to the Canadian and British capital so invested if we
diverted the transportation of our goods to American railways and canals?
A similar observation would apply to the labor employed in transportation.
A nation that cannot give employment to its own people very soon becomes
depopulated. (Hear, hear).

(4) At best any market based upon a treaty is a temporary one. On
what commercial principle can we justify any effort to set up a temporary
market where a permanent one is within reach, and for which we have already
agreed to pay large subsidies and have undertaken permanent charges for the
purpose of reaching it? For all time to come Great Britain will be dependent
on the outside world for her food products. The United States can more
than supply her own people. Everything points to the market of Great Britain
as the only permanent market for the people of Canada. (Loud applause).

(5) Trade follows the flag, and British subjects follow British trade. For
the furthi. r settlement of this country as well as for strengthening our rela-
tions with the emipre, our obvious policy is to develop trade with Great
Britain, (Cheers).

There Should be No H.\ste.

For these reasons there should be no haste in the efforts to negotiate a
reciprocity treaty with the United States. (Loud and continued applause).
We owe it to ourselves that we should not approach the Americans in any
spirit of dependence or subserviency. (Loud applause). It should be dis-
tinctly understood that we ask no favors in the American market for which we
are unable to give an ample equivalent in the Canadian market, and no con-
dition involving tlie sacrifice of any vested right or any consideration what-
soever as to the use of our waterways, our railroads or our fisheries should
be put in the scale as a counterpoise to equalize any privilege afforded us in
the markets of the United States. (Loud Applause.) A commercial treaty
that cannot be made on a commercial basis pure and simple should not be
made at all, (Applause), On this point there should be neither parleyinp
nor pandering. If we cannot pay in kind for what we get we must not take
the risk of supplementing the transaction by any other consideration, (Loud
applause),

Canada desires to live on friendly terms with the United States for its
own sake as well as for the sake of the empire. We cannot forget, we will
not forget, that we owe it to the empire no less than to ourselves to cultivate
the arts of peace with the United States, as well as with every other nation
with which we trade. When we increase our own commercial power, we are
at the same time increasing the commercial power of the empire. (Cheers).

In conclusion. I desire to say that while it is the object of the British
Empire League to promote the unity of the empire, if I understand its princi-

inels of trade
Tern over the
IS of wresting
ay, more, the
ical union as
peal involved.

$1,000,000,000
iVOuld we not
nested if wo
and canals?
■ansportation.
oon becomes

ry one. On
a temporary
have already
irges for the
le dependent
's can more
Jreat Britain
applause).

(

pies aright, it is equally solicitous in promoting the peace of the empire. In
fact no better guarantee can be given for the peace of the world than the
strengthening of the moral and commercial power of Great Britain and her
colonies. Her army and her navy may suggest the terrible consequences to
the nation which provokes her to a contest either by land or by sea, and
powerful as that army and navy may be, her enemies might have the temerity
to believe it could be successfully overcome, were it not for the reflection that
her subjects in every zone constitute a grand reserve, if need be, for any
national emergency.

" For the sire lives in his sons,

And they pay their father's debt —
And the lion has left a whelp
Wherever his claw was set."

— (Loud and continued applause).

trade. For
ig our re!a-
with Great

negotiate a
applause),
ans in any
'Id be dis-
f which we
id no con-
tion wnat-
■ies should
rded us in
cial treaty
lid not be
parleying
t not take
n- (Loud

es for its
•. we will
' cultivate
er nation
r. we are
CCheers).

e British
ts princi-