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Tous les autrea exemplaires origiriaux sont filmte en commenpant par la premiere page qui comporte une smpreinte d'impression ou d'illustration et on terminant par la dernidre page qui comporte une telle empreinte. Un dea symboles suivants apparaftra sur la dernlAre image de cheque microfiche, selon le caa: le symbols — ^ signifie "A SUIVRE ", le symbole V signifie "FIN ". Les cartea, planches, tableaux, etc., peuvent dtre film«a it dea taux de reduction diffirents. Lorsque le document est trop grand pour dtre reproduit en un seul cliche, ii est film6 d partir do i'sngle sup^rieur gauche, de gauche k droite, et de haut en baa, en prenant le nombre d'images n^cessaire. Les diagrammes suivants illustrent la m^thode. 1 2 3 4 5 • 6 2 ?7/ Mais-A^ it., )it fy ./ DEBATE THE S CJ ■SJ 5$ i^ -^ ^TE ON ? THE TARIFF. MAY 9th, 1870. OTTAWA: TIMES rUBLISIIING COMPANY, SPARKS STREET. 1870. / \\. DEBATE IN THE SENATE ON THE T^RII^^IT. SENATE. Ottawa, May 9th, 1870. Tho SPEAKFR took the Chair at three o'clock. After some routine busmess, The Bill " to amend the Acts respecting Customs and Inland Revenue, and to make certain provisions respecting vessels navi- gxting the Inland Waters of Canada above Montreal," w.is read a first time. THE TARIFF lion. Mr. CAMPBELL moved that the Bill be read a second time at the next sitting of the House. Hon. Mr. LETELLIER DE ST. JUST said that he vould move in amendment that the Bill be read that day six months, as he was convinced that it would be most in- expedient to pass a nuasure so contrary to the interests of the people of the Dominion. He was prepr-a-ed to acknow- ledge that it was sound policy to interfere as little as possible with money bills which were sent up from the Commons; but, at the same time, he felt that wlien measures involving most important interests came up for consideration, it became the duty of the Senate, which was a sort of interme- diary between the Crown and the people, to take care that they did not sanction any proceeding which would injuriously afi'ect the public welfare. The measure before tiie House imposed a lax on breadstuffs and other articles of prime necessity, and it was obligatory on the House to consider it with great care before agreeing to its passage. The manner, indeed, in which it had been oarried through the other branch rendered it more necessary for the Senate to con- sider it with great circumspection. Eleven out of thirteen members of the Govern- ment had agreed that the policy they had adopted was bad, and made a declaration to tliat effect in the House ; but immedi- ately afterwards it was found that their views were reversed by tn-o others of their colleagues. When it was seen that the same Government which propounded one policy in the afternoon, liad a diflerent one in the evening, it was time for every man who was anxious for the welfare of his country to pause and consider the character and effect of the measure, which had been brought forward and passed in the Com- mons under such extraordinary circum- stances. Again, when it was founil that the commercial cities of Quebec and On- tario jiad declared themselves most em- phatically in opposition to the moMure, there was additional reason why the Senate should interfere and save the country from the consequences of a policy which was so unsound. Breadstufts— articles of primo necessity — were hence- forth to be dearer, simply that the Government might raise a revenue of about eleven hun Ire.l thousand dollars ; but surely some other moans could have been devised to raise the amount without burthening the masses of the people. No doubt could exist in the mind of any one that all the money requhed could have been easily raised by imposing a small duty on the luxuries of life instead of taxing the necsssaries, which enter into the con- sumption of the labouring class. The House should also carefully consider the effect of the policy upon the manufacturing interests of the country. It was well known how mmy difficulties stood in the way of the establishment of manufactories m this country— that they were chiefly protected by the cheapness of the raw material. Now it was obvious that the moment a tax was imposed on the raw product, there was a discrunination against our manufacturing interests. Whether the measure was considered with regard to our manufacturing, our commercial, or our shipping interests, it must be recogu zed as embodying a policy most detrimental to the best interests of thepominion ; and he was convinced that the members of the Government themselves, were they to re- veal tlii'ir Hocret thouglits, would confisa that lio wus right. IIo would acknowletlge that tlio motion which he had made was of iin ixtraordinary character, and if it had been i)rncticablo he would have preferred moving in another way. If ho could have tlono HO, he would lia'c moved to amend the Bill, for he did not wish to deprive the Government of the means of meeting the puldio expenditures. Not being al)le to pursue such a cour.so, he had chosen the mode customary in the House of Lords, and moved the six months" hoist. But it might be said what would be the result of j'ejecting a measiu-e providing means of meeting the public expenditure. It was true there might bo a dlHculty, but it was one that could be removed by the (Jovern- ment. In the year 18.')6, the Supply Bill came before the Legislative Council of Canada, in connection with the question of the selection of the Seat of (Jovernment. The selection of the Seat of (Tovernmont was one of the privileges of the ( 'rown, but inasmuch as the Legislative Assembly had moved in the matter, the Council contend- ed that they had the same right to bo con- sulted, and decided linally that inas- much as they had been overlooked they would refuse the Supply. The Bill was proposed for the first reading, and imme- diately afterwards, and previous to the second reading, it was moved that the House .'^hould dispense with the 19th Kule, and for reasons set forth in the Kesohition declare •' th it it cannot concur in the Bill of Supply.'- The Bill was tiiken back to the Assembly, and the objectionable pait of it repealed; and then it was returned to the Legislative Council, where it rece^-ed the assent of the House. If it wore a.sked what the Government could do if they were refused the means of mo(>ting taxation, he would reply that they could pursue the course that was taken in ]8a6. They would take back the measure and amend it so as to make it conform with what was the sentiment of the House and country nay, the sentiment of eleven members of the Govei'nmont. If taxation was requisite to raise money, let it be im])Osed u])on the luxuries of the rich iind well-to-do classes of the people. The Senate should not hesitate a moment as to the proper course for it to pursue in the case of a measure which was notoriously obnoxious to all classes of the peoi)le of the Dominion, from one end to the other. If the Senate were to interpose its authority in order to pre- vent such injurious legislation Jieirig fast- ened upon the country, it woukl win the gratitude of the people. In any .system of taxation for general purjwses, e.acli Pro. yince should ho placed on the same fo(jt- ing. No section should be benefited to the injuiy of another, and yet that was Hon. Mr. Letellier de St. Just. exactly what the Bill was domg. In New Brimswick and (^uitbec the people were obliged to get considerable quantities of their coul. Hour and wheat from al)road ; in- stead of affording them facilities for doing so, the Government proposed liurthening them with taxes on commodities which they required. The people of (Quebec, Montreal, Toronto and other places in the Province of okl Canada, were to have their fuel ta.xed, ostensibly for the purpose of benefiting a partiiailar class in a single Province. Such a policy would only i)er- petuate sectional jealousies, and prevent the harmonious working of Confederation. If the Bill pa.ssed, he was persuaded that it would create an amount of irritation in Nevy Brunswick that must lead to the most prejudicial consequences, and to show that he was not speaking without authority, he would refer to the representatives of the Province in the House, who, he felt con- vinced, would vote against the measure. Those gentlemen would declare that the policy m (juestion was des- tructive of the best interests of the Province— subversive of the Confedera- tion- -and directly in the interests of the .advocates of annexation to the American Union. In the other Pro- vinces the consequences would be efjually serious: trade and enterprize would bo cramped and the people irritated ; and under these circumstances he could not bring himself to believe that there could be found oven a majority among the sup- porters of the Ciovernment pre2)ared to sanction a policy whii'li was so ojiposed to the true principles of economic science and antagonistic to the true interests of every section of the Dominion. Hon. Mr. WILMOT followed, and said that lie had no doul)t whatever that the moticn of thehon. m(>mber for Grandville was perfectly constitutional — entirely in accordance with the iiractic^ of the House of Lords as well as of the Council of the old Province of Canada. He had little hesitation in .seconding the motion, from the fact that he knew that the Bill, as it had pi., sed the other liranch of the Legis- lature, would not meet with the approval of the people of the Province from which he came. He regretted that in almost all measures relhtivo to Cu.stoins, he had been obliged to express opinions contrary to the (iovornment of the day. The increase in the duties upon articles of necessity had naturally created a great deal of irritation in the Province of New Bruns- wick, and atlcled to the dissatisfaction that had already existed there. In maturing a tariff; every care should be taken not to press heavily upon the masses, or em- barrass trade and enterprise ; and he must acknowledge that such would be the ef- g. In New leoplo were uimtities of al)road ; in- 2s I'or doing liui'thoning ties which of (Quebec, •kicew in the o hnve their purpose of in a single (1 only per- lul prevent ifedenition. uaded that rritation in to the most o .show that ithority, he ives of the i felt con- B measure, declare was des- ts of the Confedera- nterests of m to the other Pro- be e^iually would 1)0 lated ; and could not here could g the sup- irei)ared to ojiposod to nic science nterests ol I, and said 'cr that the ■ (frandville entirely in the House ncil of the had little otion, from 3 Bill, as it ' the Legis- i approval I'om which almost all e had been ontrary to lie increase f necessity it deal of ew Bruns- action that maturing ken not to !s, or em- id he must be the ef- fect of the present measuie. If the Gov- ernment liati chosen to aid two and a half per cent, to the ad valorem duties, they would have raised a large limil in a less objectional)lo way. But the uvw tariff mposeil certiin specific, in addition to the ad valorem duties ; and merchants would have to make additional entries, and be subject to mucii trouble and inoonvonitnce. It was the true policy to havo a tariff of as simple a character as i)Ossiblo ; liut tiie jiresent me.isure only oomplicatel with such matters ; and the result was that next session tlie same measure was adoi)ted i)y the House of Commons and went to the Lords where it passed witli the Bill of Supply. His hon friend opposite had referred to the case that occurred in I8.J6 when the Legislative Council objected to the course pursued with reference to the seat of Government In that case the Bill could be amended without difficulty, by striking out the Item providing for the expenses of the seat ot Government. But the same thing could not be done to the present Bill It must be amended by supplying new items ; andtheresut of the passage of the mo- tion ot the hon. mem her would be that tne matter would have to be reconsidered in the House of Commons— that the mem- bers would have to be summoned from all parts of the country, and the session consequently indefinitely delayed, wliilst a new tariff was mtroduced and all the usual forms pro- ceeded with. He could not understand bow gentlemen could deem it their duty on a question of such a nature to vote as the honourable gentl.^man's resolution proposed. The effect of the passage of such a motion must be to bring the Senate into collision with the other branch of the Legislature. He would call attenti n — for it was a case t.ie feeling that was exhibited, when an address came to the Senate asking that its clerk should be examined by a Committee ot the Commons with ro-spect to the in- Hon. 3Tr. Campbell in point — to Jemnity any a Committoe pect to the in- Hon. members, or of privilege, nission to allow with respect to Lipposed, then, ritation in the e to interfere ng a measure urvit^w, and of jealous ? Was I recede from illow them- to by the neasure which insolves, and fieir control in titution ? lie who wished to red intact and were ready to womd create ranchoE of the le harmonious e machinery. >n. gentlemen e security and n, not to ap- revolutionary g the two iflict. With ; the con- question, ho ■s of the mea- d that there Government t policy ; but no division at ject, and that idlwd settled deliberation t it was cal- erests of the tion was ne- ilty— it could a tariff' satis- on. If hon. ier find them- let, believed frame such a iniversal ap- iognize their lesire of the tariff" that sta of th» eading idea and stimu- all the Pro- ivouiing for ;he Recipro- mce and for- futile; and t became a matter for consideration whether it w.is not advisable to pursue sucii a policy as would keep our Hsiiorios within our own control and stimulate couiinorcial intercourse be- tween ourselves. The (iovcrnmont linully adopted the present policy; and, gonlle- inen, when tlioy objected to the ilutios on wheat and coal, and other items in th • t;iiiti; should remember that each and all wore part of a general system, Dfficulties arose, Hulise((Uont to the introduction of the new policy, anil it w.n iipiirchemlca lor a wliilu that the siuid'on of a nnjoiity in the other branch woukl not bo given to the scheme as u whole. I'ndor such cir- cumstances, and anxious to avoid a crisis at a very trying period in our alfiirs, tiio < Jovermnont deviated snincwhat from their policy for a time. Imt only to come l)uck to it when they found it was i'ullv in ace .rd with the majority. It hid been said by tlio hon. member opposite that the (arilf proposed to tax breadstufls and other ne- cessiries of life. Now he (Mr. t'ami)!)cll> denied that coal was a necessary of life. Hon. Mr. LETELLIEU DE ST. Jl'.ST explained tint he had said " Breadstuff's and other articles of i)rime necessity." Hon. Mr. CAMPBELL replied that nine- tenths of the people were farmers wjio did not use coal in any shape, and to them it was not a necessary of lit'e. Coal was n.'e of the iinignilic mt tax on Ameri- can Hour and wheat'/ The mijorityofour our pooi)|e made th( ir own Hour, and could supply their friends hi the Lower I'rovin- cos with all that they re(iuirc<|. By en- courag ng the coal of Nova .Sctia and the Hour of (Jntario, cominercial intorcour.-o would be encouraged between the two Provinces, and the Confederation nors- sarily strengtiiened. The (invernmont had been led to umlerstaiid that a > ery smill duty wouKl oualilo the coal owners of Nova .S'oti I to supply the Dominion with fuel. It was a wise jjolicy to make one Province supply the wants of tiio other, and keep the D on Iiitumiiions coal, 4(J per cent on the anthraci ,, '20 per cent a bushel on wheat, and wheat H .ur, 10 per cent on rye. Situate I as the Dominion was, alongsitle of the United States, it was necessary to shape our policy with reference to theirs. He would not, how- evei', dwell at any gre der length on the question. He was himself most in- Huenced by the constitutional aspect of tlie subject, and ho implored hon. ' gen- tlemen, before voting for the amendment, to consider the conscipiences that would ensue by coming hito collision with the other branch of the Legislature, and the effect of the example they would give to those who succeeded them in the Senate. ilon. Mr. MILLER said he rose with some diffidence to address the Senate on the im- portant question underconsideration, after the very earnest ami persuasive speech of the hon. Postm ister General. Tliat hon, gentleman, from his ability an I position, iiH woli 118 (Vom lii-i j^i'oiit pcMMoiiiil iioiitilnr. ity, r,, thil N..ii:it . "Not only did ho ^.J^'l•ot lu'iii«ol.li>.od tojissiimo it poHitioii of aiitaj,'oiiisiu towards Ins liou. triond, hut Iio w.m also sony to I o coiti. poiUid to i)laco liimselr in hostility to tho (ioviTiuiu'iit of which tho lion, goiitlomiin rtiw a distin«iiisht)d nionihor. Smco he ua Jlouse of Lords, possessed the right— tL„ undoubted right— to reject this Tariff Bill, or any other moasiiro emanating from tho Commons. Wore the .Sennte to adopt the position the Hon. Tostmaster (ieneral asked tiiem to take— to acknowledge that they had no right todeal with tlie (juestiou before it, then they would establish a lirccedent that wcjuld bo quoted for all time to come against this body. (Heir, hear.) They would yield their right to ex- ercise those functions which they ought to enjoy im.ler the ( 'oiistitution. In onh^r to understand tluir true position, ho would turn the attention of tho lluuse to tho functions of the House of Lords in re- ference to Money votes. Ho might strengthen his position by old authorities, but would not go back further than the celebrated Conference of the Lords and Commons in ICiTl, on a question of tliis character. Then the Lords compliined, m the linguage of their own Resolution, '' that by a new maxim of the Commons a hard and ignoble choice is left to the Lords, eitlier to refuse the Crown Sujiplies when most necessary, or to consent to ways and projiositions of aid which neither tlieir own judgiiu'iit nor the good of the people can admit." Hero evidently the right of alteration and amendment wa.s contended for, and whit was tho answer of the Commons? "Your Lordships first reason i, from the happiness of the Con- stitution tli.c the two Houses are mutual checks on each other. Our answer is, ' So they are still,' for Ymir LonUiip.i have a ni'ijitth-c U, ill,; icJiok'.'' In contradiction to w-hat had fallen from the linn. Postmaster 'ieneral. ho asserted th 't until this dav, the light admitted Ly the Commons in ;e(lp(l to that i'i;irlit to deal ei tiler l,y ns- 11. I)iHiiutos I liotn'ci II tlio Kiigland due- ilii'd yciii','^ iiH H'dsto umond Imd now in it no (lisimto Iwoliito right ,• tho Ujiper ty on I'liAlii- 10 Lord.s wei'O ni anionding 10 nuinoious 1 tlio Lords' were iigrced d this light abandoned, claim it I'or But ho did sar it doniod t till- Uouso. dents of th > 3 right— th„ iHTaritrBill, ng I'loiM tlio to adopt the ter (Jeneral )wledge that tho fiuestion estaijlish a oted i'or all idy. (Heir, ' light to ex- ley ought to In order to 1, he would (jiise to tho ^ords in re- JIo might autliorities, icr than the Lords and tion of tliis ■ompliined, Ifesolution, Commons a eft to the ivn .Sui)plies consent to lich neither ;ood of the idently the dmont was 10 answer of Iships first if tlio Con- tra mutual wer is, ' So i/is Ji((ve a iidiction to Postmaster il this day, jmmons in tliiit oelohrato I c.iho hiH novnr boon yield- ed on tho 0110 hand, or mu . ossfully (|ueM tionod on the* other. Ho li. llongod the hoiioiiralilo gontleiiiin to eite an inst in<y tho Ihui.so of Lords, the ComnioiiH insisted it was n hrouch of privilege, and this was tho language of their renionstraneo : "The Lonh cannot alter the grant i)ropo.sed, or otherwise interpose in such a Ihll than to pass or reject tlie same, without alteration or amendnunt.'' Coidd any admission of the right to reject ho more dear or em- jdiatic than those expressions, not of hasty action, hut of soloniii dclitieration on tho part of tho Commons? iron. Mv. CAMrUELL— Senate would not be disponed to favour the imposition of that duty. It had been said by the hon. Postmaster-General that coal did not go into actual consumption among the poor; and although that might be, to a large extent, true, yet it was well known that when coal rose in price, wood also in- creased in cost, correspondingly (hear, hear). Hon. Mr. CAMPBELL— To some ext?nt, perhaps. Hon. Mr. MILLER— Its cost would in- crease _ considerably in the large cities. Therefore, the price of wood was to be raised during the long winter months, when it was an article of prime necessity alike among the rich and poor, and without any benefit to the coal interests of Nova Scotia. He would then ask if the House was prepared to sanction a policj , which was to raise revenue ui a way that woulcl bear most unfairly on the poor peoi)lo of this country. He did not tliink such a course was worthy of being called a nation- al policy. If it went into oi)eration, before a year passed by, it would be condemned from one end of tiie Dominion to the other. Now how was this policy to benefit Nova tJyotia ; whei'o was the Nova Scotia coal to find a market ? Fifty cents a ton v.-ill not send their coal above Montreal. Coukl they even compete in Quebec for the supply of thit locality ? He thouglit not. In Que- bec, the average price of English coal was 20 shillings a chaldron, or 13 shillings and 4 pence a ton, and the market was now al would be 15 shilling and 10 pence, or .say 16 shillings; but Nova Scotia coal could not be put into the market at less than 20 shillings, and, therefore, it could not enter into competition with the English article. It was true that some enterprismg gentlemen in Montreal had in- vested considerable cajijital in the Nova Scotia coal mines and might succeed by their influence, and business con- nections in introducing a small quantity I into Montreal, but it could not be much. I It would, therefore, be seen that this great j concession to the coal interest of Nova I Scotia amounted to nothing, but on the j contrary, it was calculated to excite odium I against that Province hi the other sections j of the Dominion. He also objected to the ; duty on rice, whicli is an article of luxury I among the poor fisiiermen and labouring j classes, and ought not to be taxed. It was i an article that the Legislature of Nova Scotia had always hesitated to touch for the reason he had just given, and the duty would certainly be considered of a most objectionable character in the Maritime Provinces. As respects the duty on Hour, it was understood tc be a sort of compen- sation to Ontario for the duty on coal. Why was there no compensation to Quebec and New Brunswick ? Last year the peo- ple of Nova Scotia imported something like 160,000 barrels of American flour and 60,000 barrels of corn meal, the duty on which would amount to $50,000 a year. These were articles that entered into the consumption of the people generally, and yet they were to be taxed under the great " national policy." Even supposing 20,- 000 tons of coal could be sent this year into Ontario and Quebec in consequence of the protection of this tarifi"— and he doubted whether such would be the case — it would be only a few capitalists and monopolists that would receive tlio benefit, whereas the Hour duty would fall on all classes ; and for that trilling advantage to the coal owners the people of Nova Scotia would have to pay §50,000 in duties on breadbtuffs alone. Hon. Mr. MITCHELL— A large portion of that Hour was Canadian sent through in bond. Hon. Mr.,MILLEIl undertook to say tliat he knew something about the trade of Nova Scotia, and tliat he was quite correct in his statement. Some Canadian flour might have come from Boston, but the larger proportion certainly was American. Hon. Mr. MITCHELL sai I that his hoti. friend was misinformed. Hon. Mr. MILLER— If the hon. gentlo- man would look at tlie trade returns of togoLiier supplied from England. At 2shil- i Nova Seotia. whena duty wis iniposetl on lings and 6 pence a ton, the whole cost American Hour, ho would liu I that he (Mr. // 10 Miller) was borne out by the facts. Pre- vious to the Reciprocity Treaty, there was a duty on Hour, and after the repeal of the treaty it was re-imposed- His conclusions were cb-awn from the returns of these periods. Hon. Mr. LETELLIER DE ,ST. JUST— The duty was imposed for tne purposes of revenue. Hon. Mr. MILLER— The argument w, and the duty could not be of any positive advantage so far as the price of their breadstuff's was concerned. Then, the duty would be a great obstruction to trade all throughout the country, which should, in accordance with the true prin- ciples of commerce, be left as unrestricted as possible. Not only would the tariff" be worthless to the people of Ontario, but it would be most burthensome to the other sections — to the fishermen and the great masses of the people of Nova Scotia and New Brunswick as well as of Quebec ; for it was a well known fact that a large quantity of breadstuff's were yearly taken into the latter Province from the United States. Then, as a part of this great "na- tional policy" a duty was imposed on foreign coal, as a means of propitiating the people of Nova Scotia. Nova Scotia, New Brunswick and Quebec werfe taxed to sa- tisfy Ontario — Quebec, Ontario, and New Brunswick were to be burthened to please a minority in Nova Scotia ! Nothing could be more calculated to create dissension and disturb the harmonious working of Confederation than such legislation. The lion. Postmaster General had said that he (Mr. McPherson) was connected with an establishment which consumed large quan- tities of foreinn coali and therofore it was natural that he should not favour that part of the tariff'. Now he would say in reply 12 that that estabUshmont VTould not be af- fected by the policy to the extent of a single dollar. lion. Mr. CAMPBELL— Hear, hear. Hon Mr. McPHERSON— The proprietors would collect the duty for the Govern- niont, but their customers wouUl pay it. It was (juite true that the tax Avould be bnrthensome to all inanufactuicrs in the country, and make it more difficult lor them to comi)ete with the foreign pro- ducer. As respects the establishment referred to, it only turned out railway iron, and he must take that opportunity of say- ing that when it was proposed there should be no duty on that iron, he did not oppose the proposition, for he had never allowed himself to be influenced by his private business in legislating for the whole country. lie believed that a pro tective duty was unjust, and could not be supported on true principles. He was also convinced that there was nothing more illogical than that incidental protec- tion which some said was one of the objects of the measure. The object of a tariff was re- venue, and in order to protect manufac- tures sufKciently it was necessary to inter- fere with the revenue. The duty on coal, notwithstanding what the Postmaster Gen- eral said, would be a very serious tax upon the poor, in the cities. The inci < ase in the price of that article would be really $1 a ton, and it must re-act upon the cost of wood. He considered it a most unsound principle to diminish the number of articles on the free-hst, as it was done in the present case. The policy of this coun- try liitherto had been to follow the exam- ple of England, and to raise the revenue from leading articles and increase the free list as much as possible. The Finance Minister had acknowledged that he did not expect t- ,ive much revenue from the duty on eoul, breadstuffs, &c., and probably he was right. That hon. gentleman seemed to have reserved him- self tor the duty on salt, as he made special reference to it. That was a most oV)joction- able tax, for salt was an article that was consume! by every man, woman, and child: but because, forsooth, some deposits had been found in Ontario, the Dominion was to be taxed. The Finance Minister had said that '■ there was a gigantic monoply on the other si>.l<} of the line, and it was simply a question whether the infant man- ufacture of salt in this country was to be put down by persons who, without any re- gard whatever to what the cost of it might be, would crush in some way or other tliat manufacture. " That monopoly hid existed for a great many years in the state of ^'ew York. Now, he had taken si.me trouble to ascertain the price of salt for a number Hon. Mr. McPherson. of years; and he found that it was $1.50 per barrel in 18C3 ; $1.G0 in 1865 ; $1.75 in 1866-7, when the taxes were so high in the United States ; $1.65 in 1868; $1.50 in 186y — the prices in the month of May of each of those years. 8o last year the price of the article had fallen to what was actu- ally its normal cost. He was not able to iind any evidence that the Canadian enter- prise was being crushed out; but even were it so, would the House sanction an in- crease in the cost of the article, amounting to 25 cents a barrel, which would have to be paid by the consumers. Was the Iluuse ready to subsidize every little enterprise that might be estaldished in tliis country, without reference to the masses of the people ? The whole amount of capital in- vested in the salt interest at Goderich could not exceed $100,000; and if it was the wish of the Government to encourage that interest artificially, it was bettei to give it a direct subsidy than to increase the cost of the article by a tax on the consumers. The same argument would apply to the coal of Nova Scotia. 'If it was the intention to encourage monopolists at the expense of the people, then let it be done directly out of the consolidated fund, and we would soon know what it would cost. Referring to the tariff in other respects, he was ex- ceedingly surprised to see how many things were taken out of the free list be- sides those to which he had been referring : " Animals of all kinds, except such as shall be imported for the improvement of Stock, which sh dl be admitted free of duty, under regulations to be made by the Treasury Board, and approved by the Gov- ernor in Council. Green Fruits of all kinds, Hay, Straw, Bran. Seeds not classed as cereals. Vegetables including potatoes anrl other roots, Plants, Trees, and Shrubs." It was most objectionable to tax any of such things, and he was suri)rised how the Government could attempt to defend the imjiost. Fruit trees and vegetables — of a better description than we can grow — ought not to be taxed, more than animals imported for the improvement of slock. The more the tariff was considered, the more clearly would its injurious effects be sen. The clause in reference to pack- ages was most cumbrous, and had been copied almost verbatim from the United States tariff. The effect upon the cheaper goods was to increase their cost beyond the higher priced goods which are less bulky and come in packages which are not dear in proportion to the contents. That provision would mike a dilleronce of riiore than 5 percent, in tbe price of the cho ip and more bulky articles which are used in nine houses 13 out of ten ; and Buoh goods as were used by the wealthy classes would be comparatively little af- fected. The duty on coarse, bulky cheap goods might range from 20 to 25 per cent. This must be considered a discrimination against the poor that was most objection- able and ought not to be Banctioned by the House. All the duty that the merchant paid, whether on goods or packages, or back charges must be put on the goods and collected from the customer. He did not object to the duty on tobacco, for he tliuught stimulants of all kinds like luxu- ries were fair subjects of taxation. The Finance Minister need not have had any difficulty in raising all the money that he required, in a much less obnoxious manner than was proposed in the Bill. He pro- posed to increase all duties three quarters of one per cent, and from this source he estimated he will receive $425,000. There would have been little objection to his making the increase of duties one and one half per cent, which would have yielded according to his own estimate $850,000. Tliis with the estimated increase of rev- enue from tobacco of $300,000, would give a total additional amount of $1,150,000, being $50,000 more than ho estimated would be received from all the addi- tional duties imposed by this Bill — $50,000 more than he asked — He suggested that as the easiest plan of raising all the revenue that might be re- quired. If the public interests were to be jeopardised by accepting the amendment he proposed, he might hesitate to jjress it ; but he knew that if the Taritt were rejected no inconvenience need arise. He had no doubt that the Banks would purchase a large amount of Dominion Notes in the course of the year. He did not imagine that the Government cared as to the source from which they would receive the requisite re- venue. The money received for Dominion Notes would be used like any other re- venue to pay debts. Hon. Mr. MITCHELL did not deny that Kioney so received would be exj^ended, but what would be the effect upon capita- lists ? Would they not hesitate to advance money to a country whose debts were paid in that way ? Hon. Mr. McrHERSON— The hon. gen- tleman could not deny thr t the proceeds of Dominion Notes would b-j expended as revenue. Pursuing the si/',, c under con- sideration a little further, iio ..mst say tliat the action of the Government in another place had been such as to fetter that House. The Budget should not be a strictly party question, but in consequence of the course taken by the Government, in changing their policy and subsequently going back to the original propositions, they made the question one of confidence or non-contidence, and pre- vented the House of Commons freely ex- ercising their judgment on the subject. In this connection, Mr. McPherson referred to the opinions of eminent British states- men, to show that a Budget should not be considered in a purely party aspect, and went on to say that if the Tarift under con- sideration had been discussed with perfect freedom in the House of Commons, it would not now be so unpalatable. The Senate, however, was not fettered by such considerations as prevailed in the popular branch, and could deal with it, free from party bias, and with a strict regard to the great interests involved. Two years ago, when the Criminal laws came up from the Commons at a veiy advanced stage of the session, the Senate refused to consider them ; but there was not a word said about such a proceeding affecting the stability of the Government. The Senate, in the case of the Tariff, was called upon to exorcise its impartial judgment, especially as it was a body representing particular sections or Provinces which were unfairly dealt with in the Bill. It being six o'clock the Speaker left the Chair. AFTER RECESS. The Senate resumed at eight o'clock, and the debate on the tariff' was continued. Hon. Mr. McPHERSON— Before the House adjourned he had argued that, in- stead of uxing the people, for the sake of benefiting a few monopolists, it would have been a wiser policy to have subsidized the latter directly out of the public revenues. It was well known that the majority of the owners of the mines of Nova Scotia were not residents of the country, and therefore any benefit shown to them would not be a benefit to the great mass of the people of Nova Scotia. Therefore, it would be seen that the tariff, so far as it touched salt and coal, was only intend- ed to benefit monopolists to the injury of the great mass of the people. Many indi- rect evils would be found to proceed from the operation of the tariff". " A large num- ber of the vessels that come every year from the United Kingdom for timber were freighted with coal instead of ballast. Whatever they got for it went in reduc- tion of the freight charges of the Canadian product ; and it necessarily follow- ed that any tax that increased the freight must diminish the profit of the Canadian dealers. The inland shipping of Ontario as a large number of vessels were now en- 14 gaged in carrying American coal. He did not think the tax would be operative, but if the expectations of the Government were reaUzed, then the result would be aa he had stated most injurious to our marine. Another interest in Ontario would also be affected by the salt duty, and that was the Lake Fisheiy. The ocean iisheries would not be touched inasmuch as the salt used in curing the fi,sh was allowed to come ill i'ree from Oreiit Britain and her Possessions ; but there wom lo such pro- tection afforded to the inland Iisheries. Yet this was called a great 'national policy' which was to protect all interests nnd please all sections, and lead to the renewal of Reciprocity with the United States. If ; the last argument was correct, then the I tariffwould destroy itself; but what ^vas i more absurd than to suppose that an | additional taxation of ourselves to the amount of two hundred thousand dollars was going to have the effect of forcing the Americans to renew free trade with Can- ada? If it was true that a mutual inter- change of our products would be the best for both countries, we should receive all that we required from them untaxed, in other words at the lowest possible rates for ourselves (hear, hear). What could l^e more illogi- cal than to say to the Americans— "If you will not untax what is consumed by your people, we shall impose a t;ix on what is consumed by our own." If we could make the Americans pay the taxes, then there would be some reason in the arguments of gentlemen opposite ; but so long as we pay them ourselves, there could l)e_ noth- ing advanced in favour of the tariff". Be- fore recess he had stated that the course he was pursuing was influenced by a high sense of public duty ; and he had no hesi- tation in urging the Senate to adopt the amendment vvhieh he had laid before it. If money was wanted, he imagined that the Government would have no difficulty in devising such a tariff" as would be more acceptable to the House and country thiui that now under consideration. He believed that if the Government had adhered to the changes they had made on a memorable afternoon, a few days ago, in the House of Commons, they would liave acted more wisely ; for the tariff, so amended, would have be(>n lessoljeetio ible than the prestut mea- sure, which was unpopular from one end of the Dominion to the other. Bon. Mr. MITCHELL— No, no. Hon, Mr. McPHERSON The lion, gen- tleman would soon see how manymemliers from his own Province would support him on the rjxiostinn. (Hear, hear). Pul>Uc opinion was unmistakably opposed to tin- measure ; he hud not seen a newspaper of Hon. Mr. McPherson. any mark or influence that was fully in favor of it. The Local Legislature of Nova Scotia had unanimously expressed tl. sir dissent from the policy. In the election shortly to come off in that Pro- vince, no omdidftte he was assured was likely to present himself, and pronounce in favour of the new tarifi". In New ; Brunswick and Quebec, the press was as a , unit agiinst the measure. Under these ' circumstfnces, a great responsibility de- volved upon the Senate in dealing with a Bill of so important a character. No doubt ! could exist as to the perfect right of the House to dispose of the question in the way proposed ; and in this connection, : Mr. Mcpherson (juoted from Todd, and I other authorities on British Parliamentary 1 pi'iictice, in support of his argument. Not I only were British precedents in favour of the right of the Senate to deal with such a subject, Canada could aflord examples in the same direction. In 1859, the Legis- . lature was sitting at Toronto, and the I question of the removal of the seat of Gov- ernment to Quebec arose. The Govern- ment pledged itself to the Legislative As- sembly to remove the Government to Que- bec, but tlie Council was opposed to such a removal. No item on the subject was placed in the estimates— the Government simply pledged itself on the question. Hon. Mr. De Blaquiere moved, seconded by Hon. Mr. Allan, that the Coun- cil " feel itself called upon to de- clare and resolve in defence of its undoubted and unquestioned rights, as a co-ordinate and co-equal branch of the Legislature, and as the only iiieans of preserving its independence, that it will not take the question of Supply into con- sideration, &c." The motion was carried, and among the names constituting the majority on that occasion, there was one which would be considered as of great authority — and deservedly so — the Hon. Mr. C;ampbell, the present Postmaster Gen- eral (laughter). Hon. Mr. LETELLIEK DE ST. JUST— That was "revolutionary!" Hon. Mr. McPHERSON— At that time Chancellor Vankoughnet took the ground that the Postmaster General assumed now. lilr. Campbell then said that the responsi- bility rested on the Government and not on the House. It was right to assume that the hon. gentleman took the correct view in 1859 rather than hi 1870. The Bill was postponed, and the extreme step of stopping the Supplies was taken, but a few days afterwards the Government had an addition of strength by the arrival of mom- bers. (langbter) and the measure passed by a majority of two. The only debateable ground now, in fact, was whether the Sup- as fully in islaturo of expressed '. In tho 1 that Pro- vssurod was renounce in In New 538 was as a Fnder these isibility de- iiling with a . No doubt right of tho stion in the connection, Todd, and irliamentary iment. Not in favour of with such a examples in the Legis- ito, and tho scat of Gov- riie Govorn- ■gislative As- ncntto Que- osed to such suhject was Government he question, ed, seconded ; the Coun- pon to de- defence of unquestioned -equal branch only means !e, that it will iply intocon- . was carried, stituting the lere was one as of great ?o — the Hon. stmaster Gen- 3 ST. JUST— At that time k the ground assumed now. the responsi- nent and not o assume that ; the correct ?70. Tho Bill treme step of ken, but a few mient had .".n rrival of mom- sasure .oassed [dydebateable 5ther the Sup- ply Bill could be amended in the Senate. So iar OS he was individually concerned, he had no other desire except to enhance the usefulness of the House, and enable it to win the respect and gratitude of the people throughout the Dominion. Hon. Mr. SANBORN said that no doubt the Government felt thamselves so strong- ly entrenched that they did not consider it necessary to use any arguments in reply to those which had been advanced in be- half of the amendment. The constitu- tional right ot the House to deal with the question had been so fully maintained by reference to the practice of the House of Lords and the old Legislative Council of Canada, that he neeJ not dwell on it at that time ; but there was another argu- ment on which less had been said, though it appeared to him as forcible as any that had been adducod. The Confederation was formed upon certain principles which were fully enunciated and discussed. Some persons advocated the continuance of the elective principle with respect to the for- mation of the upper branch of the Legis- lature ; others contended for the nomina- tive principle. Those who sustained the latter view took the ground that the repre- sentative character of the House was not unlike that which existed formerly— that its members were nominated by a responsi- ble Government, by those who represent- ed the people. It was contended that the members of the House would possess a representative character, although they would be necessarily more conservative than the more popular branch. Tliese views we:o sustained in the discussions on 1 the subject by those who held a high posi- tion in the country. He found in the de- bates on the Confederation scheme a re- port of a , speech delivered by Hon. Mr. Campbell, in which that hon. gentleman said : "In Upper Canada, as had been stated lately by an hon. member, the population has increased very rapidly, and would probably go on increasing in a much larger ratio than that of Lower Canada, or the other Provinces, and if the Legislative Council were elective, the time might come, when the people of that section would fancy themselves entitled to an increaseil representation in the Council, and commence to agitate for it. They might object to the fishing bounties paid to the Lower Province, to the money expen- ded there in fortifications, or to something else, and claim a representation in the Council, more in accordance with their population, to enforce their views and in view of such contingen- cies tho delegates from those Provmces conceived it would not be safe to trust tlieir rigiits to an elective House." In those remarks, the Hon, Postmaster General re- cognized the principle of Provincial repre- sentation. The Senate was bound not to take into considenition any measure, which would atfect injuriously tho interests of any particular section. Further on, the • same hon. gentleman said ; " And if that was considered necessary in a country so compact together as the United States, how much more would it bo proper in a Confederation, some of the sections of which were separated from each other by long narrow strips of land, or wido estuaries, with small representation in the popular branch, and looking chietly to their equality in the Upper Chamber for security for local rights and interests, and institutions." Notliing, then, could be plainer than the principle laid down by the Postmaster General, that the repre- sentative principle was applied to the Sen ate. If he waa correct at that time, it necessarily followed that he was now in correct in saying that the House had no right to reject that which might be injuri- ous to the several Provinces. When the constitution was formed, the prepon- derance of representatives eryoyed by Ontario and Quebec over Nova Scotia and New Brunswick was very great, but it was wisely provided that the three sections of the Dominion — the Maritime Provinces, and the two Canadas — should be equally represented m the Senate. In this way, the Lower Provinces received a countervailing influence in the upper branch, in order that their interests might be protected. The Minister of Jus- tice, speaking on the same subject in the House of Commons, laid down the doc- trine that " the man put into the Upper 1 House is as much a man of the people the day after, as the day before his eleva- tion." According to the British constitu- tion the King, Lords and Commons, form- ed the tliree branches of Parliament. The Lords represented themselves, the Com- mons represented the people, or in theory the people themselves aosembledto delib- erate on what was necessary for their in terests. Now the Senate was in an entirely different position from the Lords. The members of the Senate had no separate estate to maintain— they represented, in a secondary degree, the people, for thoy were appointed by those who were responsible to the people. That position was support- ed by the highest constitutional authority in Parliament— by one whose opinions on such subjects were entitled to the highest respect, even by those who might differ from him politically,— at a time when the Legislature was dibcnssing tho details of the Constitu- tion for the Confederation. In the same debate the Hon. George Brown said :— " The desire was to render the Upper 18 House a thoroughly independent body- one that would he in the best position to canvass dispassionately the measures of this House, and stand up for the public in- terests in opposition to hasty or partisan legislation." Then in the British North America Act itself, the 18th clause read : " The Privileges, Immunities and Powers to be held, enjoyed and exercised by the Senate and by the House of Commons and by the members thereof respectively, shall be such as are from time to time defined l;y Act of Parliament of Canada, but so that the same shall never exceed those, at the passing of this Act, held, enjoyed, and exercised by the C0..1- mons House of Parliament of the United Kingdom of Great Britain and Ireland, and by the members thereof." That clause did not make the distinction that the pri- vileges and immunities of the Senate should never exceed those of the House of Com- mons, but placed that body on an equal footing with the other branch, and provided that its powers might be extended by an Act of our own Parliament. That fact showed clearly that it was contem- plated to constitute a Senate which would be of equal power to the Commons, though its powers would be perhaps exercised with more moderation and discretion. The fact that the name of the Upper branch had been changed to that of the Senate was very significant. The history of the world showed that the idea which the term conveyed was that the Seniue had highei duties and responsibili- ties than even the Legislative Council. In the course of the present debate it had been clearly demonstrated by honour- able gentlemen opposite that he House of Lords had undoubtedly tlie power of rejecting even a Supply Bill. It had also been clearly demonstrated, that not merely a tax which came within the Supply, and which was minor in its character, but the Supply Bill itself had been directly rejected by the late Legisla- tive Council. The present Postmaster General had himself "recognized the con- stitutional right of the House to deal with the question by his own recorded vote in the old Council. It was certainly proper that a measure imposing taxes on the people, should emanate immediately from a body, directly representing and under- standing the wants of the people ; but in the present case, the Senate was called upon to express an opinion as to the pro- priety of the burthens to be imposed on the country. Such a right should, of course, be exercised with great care ; and the question now arose, whether the Se- nate would be justified in exercising that House of Commons. If the question had not been made one of party, the tariff would never have come up in its present obnoxious shape tt) the Senate. When the Supply Bill came up in the British Par- liament, it was never the practice to treat it as a strictly party question, involvmg the fate of the Ministry. Two or three adverse votes might be given against the Government, but the House would not ne- cessarily consider them as votes of want of confidence. The Government, however, had said, to their supporters, that unless they assisted them in passing the measure, obnoxious though it wasj another set of men would probably come mto power. So unpopular and unjust was the measure considered, that the Government were only sustained by a bare majority on the motion against the duty on breadstuffs. The Postmaster- General had positively declared that the Government was a unit on the question, but no one could surely believe — especial- ly after certain occurrences in the Com- mons—that the Cabinet was by any means satisfied with a measure which was raising such a cry of dissatisfaction from one end of the Dominion to the other. Now it was often said that when an individual was as- sailed on a particular point on which he knew himself to be vulnerable, he invari- ably insisted upon being relieved from even the shadow of a suspicion. It was imposs- ible to ascertair- how the Government could be a unit on the question, when they liad one policy before, and another after, dinner. If they could be considered a unit under such circumstances, it must be by a species of legerdemain, which could not be understood with reference to other associa- tions of individuals. As respects the me- rits of the measure itself, he must confess it was most burthensome to the people. Luxu- ries, used by the well-to-do classes, were fair objects of taxation ; but the policy— the great "national policy" — imposed duties on the poor and labouring classes of the people. It was urged that the coal duty was a matter of little importance, except to those who lived in cities ; but it had been urged, with truth, that when you raised the price of one description of fuel, you necessarily enhanced the value of all others. In many localities ot Quebec, there was a very great scarcity of fuel- that indeed was one of the causes of emi- gration from certain districts of that Pro- vince. Those who travelled over the coun- try to St. Hyacinthe would see that the country was as bare of fuel as were the prairies of the North West. When the Post- master General said that the duty on bread- stuff's would not alter the price of a loaf of bread, it was obvious that he had not right. In answer to that question, he 1 —^ , — -— , . ,, , ,. , would refer to the scate of things in the studied the science to which bakers applied Hon. Mr. Sanborn. 1 [uestion had Y, the tariff I its present late. When I British Par- tice to treat in, involving 'wo or three L against the ould not ne- ?s of want of it, however, , that unlesj the measure, lother set of > power. So he measure Government f a bare n against Postmaster- red that the le question, ire — especial- n the Com- y any means was raising )m one end Now it was dual was as- an which he 3, he invari- Bd from even was imposs- Government n, when they lother after, iidoredaunit aust be by a could not be Jther associa- )ect8 the me- lUst confess it eople. Luxu- ses, were fair policy — the posed duties classes of the le coal duty mce, except but it had it when you )tion of fuel, value of all ot Quebec, ity of fuel- uses of emi- of that Pro- iver the coun- 3oe that the as were the hen the Post- luty on bread- is of a loaf of he had not akerscpplied 17 the it in- of sec- Bill IhemsolvGs. Ho (Mr. S.) had found that when there was the slightest rijo in flour, the bakers were painfully alivo to the fact; and he hud no doubt that the ullect of the iluty would bo to put iv cent on a loaf, without any reference to the actual tax on the whole barrel. The rostniastor General did not appear inclined to bo iiiHuenced by the opinion of the cities; but in that respect lio certainly dii'-^rod from his col- league, the Finance Minister ; for if H inking Bill showed anything, was thit tlio groat B:»nking torests of the largo cfntres population were consulted. (Jtrtain tlons were afl'ected injuriou.sly by the — especially the Province from which ho ramo. The tax on coal would notoriously weigh heavily upon the population of Queijec. The same people would also suf- fer in the article of brean the sub- some time ome up it er chance city. The rican pro- ,000; and Americans of recipro- ?ou).d only Y consider- so ; and 1 them. If ) necessary we would ; it. Look- l duty, the Y it would article of . to 40s. a upon (hat id valorem, rts, was 6s. n it would e coul was at was 24 %l cost, on mt money, I per cent, vas $7.50 e nearest . the duty it would ay 33 i per i imported ily pay GJ diiierential 3, was im- posed against the English coal t>) the ox- tent of 26 or 27 per cont. ; and yet, that was called a great national policy. It was certrinly very extraordinary to hear the Postmastor (Joneral say that the duty on cod would not bo felt outside the cities, and there only by the wealthy people. Hon. Mr. MrrCIIKLL wished to ask the hon. member if ho was not aware thivt the largest importation of coal was usoil m the cities, and that the rural distric'.d hud no interest in the matter. Hon. Mr. ROBEUTSON— Would tlio hon. gentleman say thit if the importa- tion of coals was stopped, it woukl not generally attect tho price of fuel? Hon. Mr. MlTCIlELI^If tho entire im- portation were stopped, it would "*li'<-t, hut not seriously, the price of wood. Iho rural districts, howover, would not leel it : but, under any circumstances, the tan I did not preclude the importation of coal. Hon. Mr. IIOBEUTSON-It wns quite certain that tho Nova Scotians could not supply the people of the West with coal. Hon. Mr. MITCIIELL-Tlio argumont urged by the steamboat proi)rietor9 lor taking oil" the canal tolls was— If you take them off, we will obtiiin all the protection we require, and with the rotiiin frnghts, we can make our business pay. Ihero was every re\son to believe that there would bo an additional consumption ol Nova Scotia coal by moans of the duty. Hon. Mr. IIOBERTSON — That lact showed clearly that the Dominion was pay- ing a, subsidy to the Nova Scotia coal own- ers at that time. Ho was not un- willing to give a little incidental pro lection to manufacturers, although lu^ was a fr»se trader in i)rinciple. The pre- sent measure, however, would only tcivl to increase the expenses of the labouring olassrs engaged in ship-buildui'r, or other manufactures. Ho knew that it afldecl to the expense of ships to have a quarter ot a dollar imposed on Hour. He could not understand on what grounds that tax could be supported ; for it burthened tho poor, and was declared by the Ontario mil- lers to be no protection to them. The ob- ject was to tax one Province for the beiio- Kt of the other. New Brunswick had to pay duties on breadstuffs and on co.il, im- 'er the delusion that it would benefit tho millers of Ontario and the coal owners ot Nova Scotiii, and she had to bear this bur- then as one of the advantages of being a section of the Dominion of Canada, ilio people of that Province were promised equal justice when they entered tho Con- federation, but certahily there was no just- ice in the Bill before the I!-'V>='" ; svr,:. .le was positive it would lay the toundationn of discord. He asserted .without fear of oontnidiction that the men who were most anxious to iiccomplish the union were now the most bitterly oi)po»e 1 to it, on account of tho legislation of the Canadian Parlia- ment, and the manner in which the Con- federation was being worked out. The Hon. Minister of Marine and Fisheries might Will move uneasily in his seat, for ho knew that the assertion res- pecting the state of things in his Pro- vince was perfectly correct, and that there wns no doubt tho I'eeling would in- crease in intensity unless there was a change for tho bettor in Dominion legisla- tion. I'mler siuh circumstances it seemed to him tiiat the Senato han":i"cd in large buHiness, and having fro- queiiUy to make entries. It was impossi- ble to predict accurately tho amount of roiil'usion and trouble that must arise under tho Bill. The stipulate ns with respect to packages wns most annoying. There was not a man in the Domhiion, who had anything to do with the importiv- tions of wines, and was obliged to pay for the c isks. The e^isk was included m the price of the wine or brandy. Section Eight of the former law was now repealed, ami a most extr -.ordinary section substitu- ted in its place, which ho must confess, ho could not thoroughly comprehend. • "8. The value for duty, of goods on which an ad valorem Duty of Customs is imposed, imported into Canada by sea, shall be the actual value of such goods at tho last place at which they are purchased j and the value of such goods lor duty it • "tt 1 irom tho United States by Ian. " l navigation, shall bo the act' ' Ji sueh goods at the last place at v _ -ney are purchased for importation into Canada, o.„i «-li»nno. tbev are directly convejod, wit'iout change "of package, to Canada j and whatever be the countiy from which 3) i tlio goodi nro imported, or in wliich tiny aro |)urchaito(l, Buch wlim Mhall bo OHPcr- tninnd by adding to thct viiluo of hiuIi goods at the plnoo of growth, pnxluction, or manufrtcture, thocost of tninsportutioii, whether by land or watii, and of niilpiiu'tit and tranHhipment, with all tho oxpeiiMOM included, from the jiliuc of fjrowth, pro- urclmHp(l, and if tlioy are purchaHod in the I'nitod States, lln-ii to the place whcnro thoy aro directly con- veyed to Cnniidii n.«i nforosaid,— nnd such value Khali include also tho value of any box, ciiHO, 8 ick, j)acka;»o, or cov.-ring of any kind in which «uch );oods aro contained, and all export duties on such goods, and all costs and charges incurred prior to their purchase." No one could comprehend tho actual meaninj; of such n clause. How was ouo to got the value of goods at New Yoik? Such a clause might well pu/./lo any mor- cliant. lie was sorry to sco that the (Jovemmont h id been under the necessity of adopting tho most obnoxious part of tho Tar.if in the ucighhouring States. It was almo.st un))racticable to ;,'et the infor- mation asked for in tint vcxatioin ('lan-e. J)id it mean that a m ui buyiug a ca.so of nilks in New York would InVo to go and find its cost in China, or whorev>r it was manufactured, and trace every step ili.it added to its price before it )eacho\, but that de- pended on tho rate of oxclrmgo, and tho average was ."> por cent or 1;') cents — so tho couiicssi. n was no SU'M .n\it'b'.on after all to New Brunswick mer, 'rt.'.nts. It must bo consideie I, to,), that In *)."cli :ging the money so collected t.oubidorabio expense would be incuried. In i'act, it was impos- sible to consider the preseut fiscal legisla- tion of tho Dominion in any point of view without .seeing how cumbrous, expensive and unl't'.ir it was to the mercmtile in- terests of the country. For such reasons, ho believed the Senate was bound, by a deep s'jnse of obligation, to the peoi^le of the Dominion over whoso interests it was bound to witch, to express its emphatic protest against tho measure under con- sideration, and relieve the eountr}' from the burthens which, if it was allowed to i)as8, it would impose upon all class©*.. 91 or 'M i)or (l such a [)roforable !» (iiiectly nnuoyiiig sney. No ■I'I'UfO tho 10 all tlio niito wny, 'A to, \va»t 11(1 a lialt' )ut on all I liiivo nc luy nHkoil lino*. 'J'lii' Mcinl men fitli lel'or- >ntH. Tho a oimo in lOCtH to- nenil)erp(l loor ni:in, iH n cigar >r hi'iincli 11 that liu per would 1(1 Inl'ind Biunswkk liscoiuit hi med tlmt ■w Bruns inuiont of put for tho ovcrnmint and Par ion to re- e (loveni- quostion, fl down at from Nova s.'iwja 13i otia money it that do- ;o, and tlid its — so tho Iv on after It mu3t 'ging the o expense vas impos- ical legisla- int of view oxponsivo I'cintile in ;h reasons, )und, by a ! peoijlo of rests it was emphatic jnder con- 5 country vas allowed all claBse». Uo hail no hesitation whatoror in giving Ilia vote aRiiinst the meaMuro, inai^inuch as it could not atloct tho poHition of the Go- yerninent, niid no groat inconvenience need arine from the i)aKMago of tho amend- ment. Ho wim aHsurnd that tho people, from one end of the Donnnioii to the other, would lie ("xceeding; gratified if hon. gentlemen would consent to postpone the Bill. The resolution clearly expronxed the wish why the Soiiite should take tho course they Wore asked to purmie, and he was convinced that none other waH open to those who were iiillucnced by a (lesire t promote the true interests of tho people. [Hcflf, he;ir.l Hon. Mr. Abl-AN said tint ho knew the House was becoming imp:iticnt, and he had no desire to prolong the discussion tint night furthor than was necessiry to ](l«('e his vicw.s on record. Ho must say, at tlie commencement, that there had been no agreement bii it. So far as he was individu.illy concerned, ho could assure the House tliiit ho hid no other ob- ject in view except tho deferring cf a mevsuro which h^' bolioved to be most un- desirable. It had alw.iys been his pleasure to support tlui C-overnmont on all mca- 8nre3 on which ho could {^onsciont'ously do 80 ; and, as regards the gentleman who led the administration in tho House, he (Mr. A) had groat reluctanci.! in assuming an attitude of hostility to him above all others. The present, however, was ono of those cases when he ought not to bo influenced V)y purely personal or party considerations. It was not necessary for him to .say nmch about tho constitutionality of tho proceed- ings, after the remarks of tho hon. gentle- men who preceded biin: but there was ono passage in Todd's " Parliamentary Uovern- ment," to which he would call particular attention. Mr. Allan lead a quotation from the authority in question, in elucidation of his arguniiuit, and tlv^n went on to say that tluTO was no doubt that tho Senate was justilied in expressing an independent opinion on a (juestiou of such a character as that under consideration. Indeed, a case in point had aheatly been mentioned jj,- Yote t"kcn in 1S.;}9. in the old Legis- lative Council, on the motion moved by the Hon. Mr. DcBlacquiero, and which he had the honour of leconding and lupporting in compnny with tho present I'oHtmanter (Jeneral. (Hear.) Without dwelling further on a jioint on whii'li he wan convin(%tl there ought not to be a doubt in the minds of any one, namely, tho con»titu- tional right of the House to tike the cour«e the resolution asked it to pui-H'e- he must briefly refer to the meritu of the measure itself- of that " National Policy,'' (if which they lately heard so much. An a British Canulian. ho was very dosirouB of building ujia sti-ong nationality in this part of tho c(jntinont, but he must fnuikly ad- mit that ho could not seo how the Confo deration w.is to bo strengthened by such a policy as that before the Hou«o. What he understood by ft national policy was ono which was essentially for tho goo I of the country. Such a measure should be considered cirefully aii'l conscientiously in accordance with wh it wore bolioved to bo the true interests of all sections of tin- Dominion. With respect to the protection of tho fisheries, he was prepared to support the (iovornment in guard ing tho rights and interests of our follow subjects in any part of tho Dominion ; but that (|U«stion was very different from one which could only perpe- tuate jealousies between tho didorent sec- tions," instead of eroding harmony nu'l cementing tho I'liion. The argument that such legislati(Jn could ever tend to recipro- city was too absurd. Was it po.ssiblo that four millions of pe(H)lo could cooroo thirty- eight millions into tho adoption of a parti- cular commercial policy V Ho was strongly oppo.sod to the moasui'e, beciuso ho be- lieved, in the first place, it was i obnoxious in i)riiiciple. Hi< hul_ i no desire to i-ee the doctrine of ' protection revived in T'anad i, and more duties imposed than were ab-(olutely ne- cessary for the purpo.-peared to consider it a matter of inditlen nee what the opinions of the cities might be; but the House was Inrdly likely to agree [with him that it should n(')t listen with rc.spect to the wishes an.l soiitiments of tho largo centres of intelligence, whence 22 information radiated to all partg of the countiy districts. When, therefore, it vim seen that in the ^iient centres of industry the measure was most eniplmtically condemned, the House h;ul most powerful reason for rejecting it without the least hesitation. (Hear, iiear). lie acknowledged that if, by the imijosition of the duty, it was possible to I oinpel the manufacturers of Western Ca- nnda to use Nova Scotia coal, it would be satisfactory ; but no one who wis conver- sant with iho subject but acknowledged that they could not be supplied from that Province. Nova Scotia coal, ho was as- sured, had been tried over and over in tiie fu.rnacis of the large manufacturing establishments, but not with satisfactory results. No matter what the duty might be, the proprietors would be ol'liged to use the American anthracite conl. Then, again, consider the ettbcts upon the poor- er cl isses of thu population. It had lieen asserted that so far as the great body of our people were concerned, the taxes would not ail'oct them in any way what- ever, but lie could not agree with that opinion. In the iirst place, he must state it as a fict tlititc lal was being extensively u.-ed among all olasscSj owing to the in- crease in tlio price of wood — oven in the l.u'ge henevoleut institutions they were obliged to use it altogether. Eveiy one was aware that the destruction of tlie ibr- ests was g ing on most rapidly in every l)art of the jjominion, and the jirice of wood was annually hccoming higher ; and theie was no doubt whatever that the moment tlie additional taxation came into operation the result would be to add to the price of fiul. If the ettect of the me;tsiiio. would 1 e to encourage intercolo- nid tr.ade, it would be an argument in its fivour, Init his idea of the best means of cflecting so desirable an object w IS to mcrease the facilities f)f intercoiu^e between the didcrent. members of the Union — to improve our canals and extend the railways throughout the Donunioii. During the i)ast seison, the steauK-r JLt Majnsty, had made regular trips between llalifa.\ and the upper ports, but she could only go down to Montreal half 1 ideii, iu eonsetiuence of the limited capacity of the canals. Hon. .^[r. .MITCMELI.— She always got her full o ug,) at Montreal. Ib)n. Mr. ALLAN — The results, how- ever, w r.i far I'lom profitable to the own IS. Ilon.Mr. MITCHELL— Had been told by th ■ owner of the Ijnat, Mr. Chisholm, that the ro:;ult of taking off the canal tolls, wouUl be to give a inargin for ijront, and that if the propeller had not been Hon. Mr. Allan, wrecked, he would have made a good season. Hon. Mr. ALLAN went on to say that although he felt it lo be a grave responsi- bility to vote for the amendment, yet he was compelled, for the reasons he had given, to support it. He believed that the measure was in itself inaugurating n mischievious system of legislation — that it would not encourage Intercolonial trade — that, on the contrary, it would in- terfere most seriously with many valuable branches of industry throughout the Do- minion to which coal was indispensable — that it would press most heavily on a large class who were obliged to use it on account of the scarcity anc expense of wood. Under such circumstances, there was no other alternative open to him as a member of the Senate, entrusted with the responsible duty of guarding the interests of all sections, than to vote against the passage of a measure which waa likely to operate so injuriously upon all classes in the Dominion. Hon. Mr. LOCKE said that the ques- tion had been so ably argued by his hon. friend and coUengue from Nova Scotia (Mr. Miller,) who had clearly proved the consti- tutional right of the Senate to deal with the question, that it was not necessary ho should delay the House with any prolong- ed observations on that part of the sub- ject. It hid been urged with force that they were now entering upon a new era in the history of this country, and that the example the Senate might set would bo considered a precedent for the future. Ho thought the House had a perfect right to estalilish such a jjrecedent as would clearly define its authority as a body per- ibrming responsible functions under the constitution of a Dominion, which was to become a great nat.onahty according to the promoters of Confederation. As res- pects the tariff itself, he must say at the outset that the duty on coal would not be considered a concession to the majority of the people of Nova Scotia. The coal interest was confined^to Pictou and Cape Breton, and the tax,ifa benefit at all, could ' only protect a minority of the population. Whilst making a concession to the coal counties of Eastern Nova Scotia, the bread of the people in the West, was to be t;ixed. The Western Counties traded cheaply with the United States. At the end of the fish- ing season, vessels left the western ports for the United States, wliere they disposed of their cargoes of fish and returned with flour, rye and cornmeal. Only once in the liistory of Nova Scotia had the coarse articles of rye and meal been taxed. Rye could not be procured in Canad.i on the same terms as in the United Stiites, and the same remark applied to coni meal to a large extent. Kice was also a commodity essential to a large class of the population — it was the luxui-y of the fishermoa and poorer people. The man who was not able to buy any other article of luxury used rice — even the schooners when they went to the fisheries took large quantities with them. The Minister of Marine and Fisheries was perfectly well awaie that meal was an article of prime necessity, not merely among fishermen, but especially among lumbermen. lie would next refer to the article of tobacco, which was already taxed largely, it was the poor man's Holace — absolutely necessary for liis com- fort when he returned home after a hard day's toil ; but now he had to pay upwarils of 100 per cent, more for the luxury of smoking his pipe. The duty on packages was very troublesome and unfair. The cask, for instance, in which molasses came might be worth $5 in Cuba ; but when it reached Nova Scotia its value was not more than 75 or 80 cents. In the fisheries, sucli casks were used to some extent for butts, but otherwise they were useless, and would have to be broken up for fuel. No where, except perhaps in the United States, was it usual to resort to the absurd expedient of chargin g a duty on packages. It had been well pointed out by the hon. gentle- man from St. John (Mr. Eobertson; tliat the Eighth Section would lead to great trouble and inconvenience, inasmuch as it was almost impossible to comply with its provisions, and under any circumstances it would require additional clerks in every large mercantile establishment, and in Cus- tom Houses as well. Yet this measure, so perplexing and burthensome in its details, was called a great national policy. Some called it a "retaliatoiy policy," but before it could be entitled to thut name, we would have to impose duties on American products equal to those they imposed on our own. The measure afforded no con- cessions to Nova Scotia — unless it was a concession to tax seven-eighths of the peo- ple for tho benefit of one-eighth. In- deed, it was most questionable — in fact, it was positively denied — if the duty would operate beneficially for the coal producers themselv es ; but even under any circumstances it was a wrong po- licy to tax the many for the advantage of the few, (hear, hear ) The true principb, which should be at the bottom of all legisla- tion, was to leave tho people at liberty to buy where they can purchase the cheapest and sell in the dearest market. He had no doubt whatever that i. was practico,ble to raise any money that might be required for the public expenditures by some means which would not operate unfairly on classes or sections of tiie people, ior instance, additional revenue could more satisfactorily be raised by making a slight increase on the ad valorem duties from 5 to 1 5 per cent. He thought, after having given full consideration to the subject, that it was the wisest course for the House to reject a measure which was creating such wide-spread dissatisfaction, and re- lieve the country from the irritation and annoyance which would certainly arise from its passage. Hon. Mr. SKEAD said that he felt some- what diffident in rising to speak on tho question before the House at that late hour of the night, but he could not give a silent vote. The tariff haolicy would work to the advantage of the coun- try if it w iH properly carried out, and he iifl ovisd it to Ijo the duty of the represen- tatives of all .sections to assint it ; and under ,itiy circumstances, if it did not operate tjenelicially, it could Hoon lie repealed. It wan a \;i.se policy, at the present time, to ilirect all our legislation towards the object of creating trade between the Hfivoral I'rovincoH constituting th- Dominion. The present measure was K step in that direction, and was therefore an nvf;nienoe, by delaying the pro- gress of public business, and keeping members for some time longer from their homes and private affairs. He was not prepared to assume the responsibility of bringin/' the two Houses into collision with eacn other, at a time when it was so desirable to brmg the public business to a close. In conclusion, he must observe that he was desirous of seeing every the vote lie would give that night, for it would be intiiienccd i.y tlie desire to act for the interests of the whole Dm niou ; ami those interests, he w iS convinced, would be best subserved by rejecting. I measure which would operate most unsatisfactorily. Hon. Mr. W.\RK' Mid that he had been prepared to hear mmy diverse opinions e.x'piessed on the .-ubjoot under considera- tion, but certa.nly lie had never expected to tind sucii unanimity. It was stati'dthit it w.is the intention to I enelit Nova Scotia and(»nt irio, and yet it was m st surpiising to sie ni'Mubers from those sections rising, one after the other, and express- ing themselves oppose I to the me. sure. I'he ertect upon New Uiiinswick was cleir- ly to legislate her out of the Unimi. The people of that Province hid to p ly taxes on Hour and corn meal for the beiieiit of Ontario, and on cod for the Ijenetit oi a s.'ction of Nova S.-otia. He need liardly till the House that it wis not possible to force trade out of its natural channels, and th:it the policy in (piestion would thei'efore fail in that respect. He had tjeeii always in favour of extending the canal sys- tem of the Dominion, ami in tint w ly f ellKating trade and ijitercourse between ("inada and the woriil. Every eliort should lie made to remove every barrier that pie- vntedthe .^t. Liwreiice being the great highway between the West and Europe. The Maritime Provinces would be the car- riers of that trade, and therefore he wish- ed to see every faeility atforded to its ex- ti'Usion. Those Provinces had the means of Ijuilding ships cheaply, luid manning legisldionof the Dominion had sofarbe^n d trimental to the interests of New Bruns- wick; but the opp.sition that the present m&vsure met with in that Provin-e W!U» c .nclusive evidence of thit fact, and justi- Hed the coui-se he was now taking. Hon. Mr. LETELI.IER DE ^'^. ,Wi^ s.iid that the Postmister General, in tlm remarks he had made at the commence- ment of the debate, luul attempted to iu- rtuence the House by a style of argument that might be called in French, qutliiiif chose (L' .tpirifujc. The House was toll that the effect of throwing out the Bill would be to create a collision be tween the two Houses, and that much delay and inconvenien, i- mu>t arise from such a course. Now, referimg to the proceedings of the I.egislati\tT (."ouncil in 1S.">'.', he found the Postmaster (ieneral agreing with the sentiments in the resolution that was lulopted — senti ments directly contrary to those which lie had expressed tint afternoon. Now that hon. gentleman was not prepared to assert the rights and privileges of the Senate ; but in LSj'J he assent<'il to the declaration, " that the 1 egislative Council feels itself bound, in deb nee of its unquestionable rights as a co eijual branch of the Legi>la- ture, and as the only means of presrrviiig its independeiue not to take the (juestion of supply into consideration."' Now ho (M. de St. Just) argued that the motion which he liad moved was precisely si- milar in etfect to the one which he had just read as having received the support of the Postmister General. He did not think the (Tovernment could fairly dedaie they hid been taken by surprise — if the Telegraph were to be brought up to give evidence on the subject, (laughter,) he thought the reverse would be shown ; and h>'miist certainly tdce that opportunity of congratulating the Government on the sii tisfactnry results that had arisen from the use they had been making of the useful ageni'.y of circulating infurmation to their friends. The members were then called in unJ tho House divided on Hon. Mr. Mcl'er son's amendment, which was lost by tlie following vote : — CoNTKNTs: — Hon. Messr Allan, Blake, Bourinot, Chart'ers, Christie, Cormier, Dickson, Guevremont, Hamilton (Kings which, according to the best authoiities, was operating so injuriously to Am'^rican commerce and enteri)rise. He regietted llmt he w,is foieiid to ai'knowl»dge tint the •3 Armand, Benson, Bill, Bureau, Burnham, Cami)bell, Chapais, Crawford, Duchesnay, E. U. J.; Dumouehol, Holmes, Kenny, La:oste. McCrea, McDonald, ANh'Lelan. 26 McMnster, Matheson, Mills, Mitchell, Renaud, Eoss, Ryan, Seymour, Shaw, Skead, Wilson.— 28. The question then being fmt on llonor- ahle Mr. LETELLIER DE ST. JUST'a mo- tion in amendment, the same was also re- solved in the negative. The question being put on the Honor- able Mr. CAMPBELL'S motion, viz. : " That the said Bill be read a second time at the next sitting of the House," the same was resolved in the affirm itive. The House then adjourned at midnight. lor- iz. : mo the 'ht.