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Tous les autrss exemplaires originaux sont filmte en commen^ant par la premiere page qui comporte une empreinte d'impression ou d'illustration et en terminant par la dernidre page qui comporte une telle empreinte. Un dee symboles suivants apparaitra sur la dernidre image de cheque microfiche, selon le cas: le symbols —*> signifie "A SUIVRE", le symbols V signifie "FIN". Les cartes, planches, tableaux, etc., peuvent dtre film6s it des taux de reduction diffirents. Lorsque le document est trop grand pour dtre reproduit en un seul cliche, il est film« d partir de I'angie supirieur gauche, de gauche d droite, et de haut en bas, en prenant le nombre d'images ntcessaire. Les diagrammes suivants illustrent la m^thode. 1 2 3 1 2 3 4 S 6 ■f^ wm V COMMERCIAL UNION — BETWEEN -i- THE UNITED STATES AND — CANADA. --"^ SPEECJH BY HON. J. W. LONGLEY ATTORNEY-GENERAL, ,-DBUVBBED IN THB-' HOUSE OF ASSEMBLY OF NOYA SGOTIA, MAY 2, 1887. COMMERCIAL UNION. The Hon. Mr. Longley had given previous notice of his intention of moving the foUow- ing resolutions: Whereas, The Hon. Benjamin Butterworth, member of congress from Ohio, has intro- dticed into the house of representatives at Washington a bill, which, in effect, is de- signed to spcuro unrestricted commercial re- lations between the United States and Canada, which bill will be brought before the next meeting of the United States congress for conaideratiop : And whereas, Such unrestricted commer- cial relations between this country and the United States would be of the gteatest po?- ' sible advantage to the various industries of this province,' and meet in a large measure the difficulties of our present position ; Be it therefore resolved. That this hcoise, representing the people of Nova Scotia, de- clares its approval of the objects sought to be attained by the said bill of Mr. Butterworth, and expresses the hope that it may be adopted by the congress of the United States, as pro- moting the commercial advantages of the people of this province, and tending, if ap- proved by the government and parliament of Great Britain, to cement friendly relations between |the English speaking people of the British empire and the United States. On Tuesday, May 2nd, he moved their adoption in a speech of which the following is the official short-hand report. The reason the matter was not pressed to a division is that no opportunity bad been afforded for moving the resolutions until the last day but one of the sitting, and the press of other routine- business prevented ample discussion : I rise, fose of J, „„,._„ ■ . gave notite a fe%i dayv ago on tM subject of the ihillintrodtioedbvl^. Batter- wortii'in the congress of the united' States respecting trade with Canada. At this late period of the session and for reasons which it IS not necessary for me now to explain.^ X do not propose to press this matter to a diviBion in the house. Of course, having moved the resolutions, they have to be subject to the rule of the house, but so far as I am person- itiiy 0uii06ru6Q iz IS ncE tuy insousion buiB ses- sion to bring the house to a division in re- lation to them, but I feel that the importance of the subject is so great and so wide reach- ;, Mr. Speaker, for the pur- j, moving the resolutions of which ing that it is necessary for me to make a few observations which will explain the object and purpose of the resolutionf, and perhaps by means of the publicity given to the pro- ceedings and debates of the house ^these re-- marks may have the effect of explaining the purport of the resolutions t<» the people throughout the province of Nova Scotia. Let me say.inbeginning.that, every person in this house is aware that the question of intimate and unrestricted trade relations with the people of the United States is a matter of the first moment to the people of Nova Scotia, and not only to the people of Nova Scotia but to the people of every province in the Dominion of Canada. There has been ever since the union, a perpetual question in regard to con- federation, so far fis the province of Nova Scotia is concerned. That same feeling of dissatisfaction prevails to a less extent in other provinces, but in Nova Scotia it is heightened and intensified, I suppose, by the fact that this province was brought into con- federation without the consent of the people, which was not the case in regard to the other maritime provinces, but I do not imagine that the mere fact of a constitutional blunder hav- ing been committed in .1867,^ would forever create la feeliqg of dissatisfaction unless there "were other difficulties in the way of the suc- cessful working of confederation, and, in my judgmeiit, the difficuities With regard to con- federation were difficulties entirely of a com- mercial character. I stand here to-day and say, as I said in 1885, that the provinces com- posing the Dominion of Canada have ttia wealth and the population and the resources to create a great nationality with a destiny to which every one can look forward with pride and pleasure. If merely and only wealth and population and resources were, required^ to produce that result there would be no diffi- culty, but the difficulty is that there is no -natural trade between Nova Scotia and Ontario, or between Ontario and Manitoba, or between Biritish Colunjibia and any oiher section of the Dominion. The real difficulty is this want of reciprocal trade relations be- tween different sections of the country. . Ontario is a great and a prosperous province, 4iid if that province and the maritime prov- inces were in proper juxtaposition they would be of use to each other, but as they are, the trade of Ontario is of no consequence the xxiaritime mrovinces is of little consequence to Ontario. That, I hold, to be the funda- mental objection to confederation, and that \ (S) I i4kh« qnertion we have been grapplini? with for years, and with which we will have to grapple bo long ad the confederation exists. Mr. T. R. Black— Da you say that the trade of Nova Scotia is of no consequence to Ontario ! « . v ^ i. -i. Hon. Mr. Longley (A. G.)— T do not say it is o( no consquence, but that it is of little consequence to Ontario. The province of Ontario derives little advantage from having access to the markets of the maritime prov- inces. Some of tha manufactures of Ontario find their way here, and the flour of Ontario is forced upon us against the interests of our people, not because Ontario cannot sell flour as cheaply as the United States, but because it is not to the interest of our people to buy from Ontario, because they have to pay for their flour in cash, whereas if they bought from the United States they would pay in the natural products of the country. I. say that the province of Ontario-is not deriving any great advantage (rpva acces-i to our mar- kets because they have to pay coal duties m exchange for the flour duties, and it is as much to the interest of Ontaiio to purchase coal from the mines of Pennsylvania as it is te the interest of the maritime provinces to buy flour from the New England States and to sell th«ir coal in the markets of the New England States. , , Dr. McKay— I would like the hon. attor- ney-general to say if it is possible to put Nova Scotia coal into the United States even if it went in free ? „ . ^ , Hon. Mr, Longlky (A. G.)-I have no hesitation in giving my opinion. I have no doubt if, instead of forcing an artificial trade, • by which we compel Montreal to bqy our coal as we are compelled to buy their flour, if all the customs houses were swept away, our mines would send ten tons to the New Eng- land markets where they now send one to Montreal. (Hear, hear.) I have pointed out briefly the difficulties of the confederation system, and I believe the true solution of the diflBculties of con- federation i* frffe and unr^-stricted trade throughout this continent. While the mari- time provinces have clearly no natural trade with the upper provinces they have a natural and lucrative trade with the United States. If there were no customs' houses between the New England States and the maritime pro- vinces there would at once spring up a na- tural, lucrative and healthy trade, which would give life, hope and activity to every industry in the country. That is a fact so clear that it cannot be denied for an instant. No public man dare go ou a public platform and deny the fact that the mo8t intimate ?ossible commercial relations with the Tnited States would be of the greatest possible advantage to us. Under this . system of confederation for a period of twenty years we have had customs barriers between us and the United States. Every article sent from here to the United States, and every article brought back is met by a hostile barrier. The purpose of the national policy was to stop trade with the United States by forcing and cjuipeihaf traae oe- tween the provinces composing the Dominion. And yet we find that to-day, out of all the oris of Nova Scotia, from the top of the Bay of Fandy to Oadio, and from the island of Cape Breton as well, vessel after vessel, and steamer after steamer is passing out of our ports and turning her prow in the direc- tion of the ports of the United States, and that without the United States as a market to-day this province would be helpless and hopeless. And yet with no barriers Imtween us and the upper provinces we have between us and the upper provinces ' no natural and healthy trade at all. Occasionally a carload of sugar is sent up, and when such an event happens there is a pow-wow about it in the press. If a load of coal is sent up- it is hailed as a great and glorious event. This is im- pressive evidence that the trade is not natural, but that these things are marvels , and prodigies, rather than an indication of any natural and healthy intercourse. I hold that no law should be imposed on mankind anywhere to compel trade in foreign and un- natural channels, when we could have it in natural channels well enough. There has been an almost universal sentiment in favor of reciprocal trade with the United States, and we have not got it. Mr. T. R. Black— I w6uld like the hon- gentleman to explain how the revenue is to be met, in carrying out his theory, when the customs houses are swept away. Hon. Mr. Longlky— I will come to that. There has been a strong feeling in the prov- ince of Nova Scotia in favor of commercial relationship with the United States, and I am BAkM why we have not got it. I have no hesitation in saying that it ia because the United Staves will not give it. We had a reciprocity treaty from 1854 down to 186G. Between 1871 and 1885 theie was no reci- procity treaty, but we had a convention in regard to the fisheries. That was nothing like a reciprocity treaty, but even that was terminated by the ipeople of the United States. I have no hesitation in. saying that the people of the Uuitea> States will never • consent to a hew reciprocity treaty with Canada, and that all the time spent in talk- ing about reciprocity is wasted. What is a reciprocity treaty ? It is a treaty under which the cu^oms houses are kept up as before to their entire extent, but certain raw natural products or naiural products are allowed to come in free of duty. Mr. Weeks— I apprehend that a reciprocity treaty is not limited in any decree. You can make it lai-ge and comprehensive or you can confine it as you please. Hon. Mr. Longlet (A. G;)^No treaty has ever yet been negotiated on the basis of the absence of customs houses.' Tlie former treaty embraced natural products only, and that would be the theory of any treaty our people have now in view. Why will the United States not give us such a treaty as that ? Simply because they are not fools, and because they respect their own interests. They have estjifclished - large industries which require raw material, and a recipro- city in r material would . mf an that we would be b tiding everything to them, while they would be bending nothing to us. No i. •_ A.\.- TT_;i«^ Ul-nfno ,,.;il a,TOl- gOVerUIilGUw III liat; V niters t^-:-ni^^^'^ ,.,.. - agree to a reciprocity in raw materials, o^ to any treaty which does not provide that in return for our sending raw materials into the mmi («) United StotM they ihall Mod noMrafMlaved ffoodi into tbifl eounttv. Whensvev oo the poUtioid ptUtfonn we uve advooet«d a policy of unrettrioted ocmmeroiai reUtionahip, we wen met with the statement : "This is very nice. We are in favor of unrestricted com- mercial interooune, but the Americans ^1 not give us reciprocity, and the result is that we are bound and compelled to stand on ovur dignity and decline to take any measures for this purpose." To meet this point is the purpose for which I am on my feet to-day. There has been introduced into the congress of the iTnited States, by one of the most in- fluential members of that body— Mr. Butter- worth, of Ohio— a measure of a most com- prehensive character. In two or three clauses he proposes to settle the whole diffi- culty by striking down the customs houses between Canada and the ITnited States. The measure he proposes is a treaty of the most absolutely free and unrestricted commercial intercourse. He Eroposes that there shall not be a customs ouse betw^ the United States and Oan^ ada. A line of customs houses between the United States and Canada is the most un- natural and uuphilosophical thing that can be imagined. If the people of the United States were a nation of Patagonians or sav- ages there might be some reason for our not having intercourse with them, but the people of the United States are a people speakmg the same language that we do; they sprung from the same thai we do; they have a com- mon fatherhood with us in 4^e English speak- ing race, and to-day nothing but an imagin- ary line separate the two peoples. Take a map of America and draw a Ime east and west, from San Francisco to Nova Scotia, and there might be some sease in maintain- ing cu<«tom houses on either side of the line; but if I travel in a straight line from here to Toronto, five-sixths of the journey, would be on American territory. There i»no natural cohesion between the low-T and the upper provinces of this Do- minion. The province of Ontario has her proper commercial complement in the states of New York, Pennsylvania, Ohio, IHonois and Michigan. The natural commercial out- lets of the province of Manitoba are St. Paul, Minneapolis, etc. The commercial comple- ment of the province of British Columbia is San Francisco. Take these facts into consid- eration, and I see no reason for having cus- toms houses between us and the United States. If it is , a good thing tc have customs houses between people of the same language .and the same race, then it would be a good thing to draw a customs line across Ontario ; across Nova Scotia ; it would be a good thing to divide the whole Dominion up into customs lines. But the science of poli- tical economy indicates that customs lines are a burden and a curse to the countries that establi«h them, and that they injure and hamper and destroy trade, and the true and sound economical basis upon which trade should rest is free and unrestricted trade without any hindrances whatever, and the U-- V.«^ fV.< courage to adopt this principle, is the parlia- ment that sits at Westminister. if Mr. Butterworth's bill is adopted by the congress oi-tbe JJnited -State*— Dr. MoKat— What progresa has been made with it. Hon. Mr. LoNOtET— I will oorce to that too. If this bill should become law then I say it is not in the mouths of the opponents of free and unrestricted trade with the United States, to say *' what is the use of Ulking about free trade with the United States. You cannot get it." If the Butterworth bill passes you ean get it, and it will only remain for the parliament of Canada to pass a correspond* ing bill, and down goes the customs line at once, and trade wUl flow as Ireely between the United States and Canada, as it now flows between Massachussets and Connecti- cut. Now. what, in brief, is that bill? and I must ask the patience of the house while I re- iterate its purposes. It is simply that there shall be no customs houses between Canada and the United States, and that every pro- vince of Canada shall have as free trade with every state of the United States, as every province of Canada has with each other, and as every state of the union has with each other. It provides also that we shall have unrestricted coasting trade along the United States. I suppose a greater boon could not be conceded to oar people than this. We have numbers of sailing vessels in Nova Scotia which every year are diminishing in value because this coasting trade has been lost. To concede this boon to a country which hai no equal as a ship-building country in the woild; to open the entire coasting trade of the United States to those who own vessels . and schooners in the pruvince of Nova Scotia, you«ould confer no greater boon upon them. Therefore I regard it as a matter of the utmost importance that a measure like that before the congress of the United States should be adopted at an early day. Some gentleman asks me how far that bill has pro- gressed. It has made no progress at all. It was merely introduced as a notice tha>t it will be again taken up when the United States congress next meets, but from letters received from eminent public men in the United States I have the strongest reason to believe that if the people here support that measure^ and receive it in a broad and liberal spirit, . and indicate their desire to reciprocate, that bill, at the next session of the con- gress of the United Statw, will be adopted. It is said that the leaders of the Republican party in the United States are opposed to reciprocity. Sir, they are opposed to reciprocity. Mr. Blaine, who is the leader of the Republican party in the United States, is the bitterest enemy of reciprocity. He has never given any tolerance to the idea of reciprocity, and on every public plat - form where he has spoken he has opposed it as injurious to the bpst interests of the people of the United States. And. to a great ex- tent, I agree with him, because a reciprocity which' Kjonfined itself to natural products merely would be of immense advantage to Canada while it would be of litkle or no ad- vantage to the Un'tcd States. But I happen to be in a position to know that Mr. Blaine is ready to support the Butterworth bill, start o.frt»iSthiay»yittr». cf Obio; is oue of the Krominent men in the United States to-day; eis one of the. leaders of his party in the state of Ohio, and is one of the possible can- "'v. f M) ■) didatM for the prtsidMoyatthaaexteleotioti. I am mformed Mr. Bott«rworth hMhii ooun* tenanoe and rapport, »nd,M I have intimated on this qne«tion,be hsaat his back Mr. Blaine. At all events this it'taot being made a party • qoeation in the oonfrreaa of the Unit«d State*, and I hapTOB to be m a poaition to know that it baa the ropport of influential Demo- crats in the cabinet of President Oleveland. Therefore it it a question which has the support of statesmen of both political parties into which that countty is divided. But some ono has said suppose the bi}l is passed, and suppose the government and the pariiament of Canada enact a corresponding measure which will cause this oommerciiu union to take effect, what will be the effect on the resources of Canada? According to the best calculations I have been able to make, and I do not depend upon my own results, because acturial calculationii have been made in the United States, Canada would receive under a commercial union between one and two millions more revenue than she receives under the present Canadian tariff. It is true that 98,000,000 of the re- venue we collect is derived from imports f«»m the United States, but a commercial union implies more than the altsence of customs houses. It implies the establishment of a common tariff against the rest of the world; and there- fore the ooramercial union proposed by Mr. Butterworth implies a common tari&against the rest of the world. That tariff, JPcourse, would be adjusted by commissioners repre- senting the two governments ; but it is un- necessary for me to say that the American tariff in such a case would largely prevail^ and that we in Canada would be practically, under the American tariff, against the rest of the world. There is a tendency, however, in the United States to reduce their tariff largely. The preponderating power of the Democratic party is in favor of such a reduc- tion. Mr. Moriison has again and again introduced a measure for the purpose of effecting wiiat m called a hon^ontal reduc- tion, because it proposes a reduction on every- thing, all around. There are certain men who are content to make a drop in some ♦ quarters, provided the tariff affecting their own special indiietriea is kept up, and that is the reason why ]VIr. Morrison has never been able to get his bill through. Nevertheless there is a desire on the part of the people of the United States to have a reduction in taxation. At the present time the congress of the United States scarcely knows what to do with the reveoue. They have been paying off the national debt at the rate of ten mil- lions of dollars a eoonth, until now the na- tional debt is not half what it was at the conclusion of tho war, and is dihappcaring rapidly. This faut is making the rate of in- terest on the Uu! -ed States debt exceedingly low. Thfl tariff |:irodueee a revenue much greater than is neciessary to meet the wants of the country, and the consequence is that bills are brought in to provide pension" for soldiers and for other purposes Six millions provements, when everyone knew that it was a job. Therefore, I am justified in stating that the revenue of the United States is so lar^ tmder the present ctutoms and excise tarm that thejr have not only an enormoua aurplua, but that they scarcely know what to do with then* moneTiand when the national debt is paid off they will have an enormotn surplus every year, which they will scarcely || know what to do with. Th^ present United States tariff was established to provide a protective system and to pay off the war debt, but there is every reason to believe that under a new Rvstem there will be a large and substantial reduction in customs and excise duties, and tberefort) I have not the sUgbtest fear or hesitation in allowing the amount of customs imports which would be imposed on all things imported from the rest of the world to depend on the American congress, because I know that there will be a large reduction in the American tariff. But, let no person be deceived, this will mean that we will have to adopt the American tariff against Great Britain, a tariff larger than our own tariff, but, m connection with another branch of the subject I will show that there are cir- cumstances which will induce the British efovernmei^ to support this change on the ground that it will have a tendency to re- duce the tariff of the United States against Great Britain, and to increase the trade of Great Britain with this continent. I have, said that a customs union implies a common tariff against the rest of the world. In order to ascertain how mnch revenue the Canadian government^ would receive the only fea*ible proposition is to divide the gross receipts ac- cording to population, and if the division were made on the basis of collections mads in the the two countijies the year before last, Canada would receive as her pro rata amount §2,000,- 090 more than we receive under our own tariff to-day. The tariff, as I have said, would have to be fixed by commissioners appointed by both governments, and would be common against the resi of the world. We would thep derive the benefit of the reductions, which it would be' the American policy aa well as our own to make from time to time But, sir, there is one feature I must refer to, standing as I do in the legislature of Nova Scotia, a province of the British empire and of the Dominion of Canada. I cannot ignore the fact that commercial union involves to a close degree the relationship between Canada and Great Britain herself. Such a treaty as that proposed would amount to this, that a large colony of Great Britain, numbering five millions cf people, the largettt dependency in connection with Great Britam that hhe has ever had, is to have the privilege of entering into ccramercial relationship with another nation, and establishing a conmon tariff against the rest of the world, including Great Britain herself. At the first blush that seems to be a serious matter, but I havo no hesita- tion in saying that if the time ever arises, in connect! >n Avith any duty which T have to discharf^-e as a public man, in which the in- terests of the British isjanda and those of the Dominion of Canada conflict, then my voice and my influfnce vi ill be for the Dominion of Canada every time. I have to treat things as i. ncu kOt^m, ana so ion^ ss we rcniam s part of the Dominion of Canada I am not going to be indifferent to the interests of Can- adaorto thoseof anyprovince of the Dominion. 74) T^r If I can g«t this province out of th« anion with Oanadft th«t m another matter ; but lo loD^ as wn continue to be a portion of the Dominion, if the interests of British North America conflict with the interests of the ^British islands, I shall always oomider it mv ~dut]r to stand by the interests of Britisn North America. But I have no reason to find fault with the mode in which these prov- inces have been treaked by the imperial gov- ' emment; I have found no disposition on their part to ignore our Just wishes or to impose on us in any way, and I have no reason to suppose that whatever we may requite as a nation, the British Kovemment or the British people will hesitate to concede. I believe that if the majority of the people of the Dominion of Oanada declare that they desire to enter into this arrangement which Mr. Butter- worth's bill proposes^ you will not have the first word of opposition from the authorities of Great Britain. The British people recog- nize that while it is desirable tnat there should be a close bond of union between Canada and Great Britain, yet, ^at when- ever the crmmei'cial interests of Uanada and of Great Britain commence to diverge it would be madness on their part to attempt to coerce the interests of Oanada. Who does not lionor the name of John Bright? Throughout the length and breath of the British empire, nay, wherever the English language is spoken, and wherever the British name is known, over all that vast expense no man is more honored as a patriot, there is no greater advocate of the cause of freedom and i*U8tice in every land. But in his place in the kitish house of commons John Bright has risen up and declared that he saw that the true policy for Great Britain was that there should be a unite of eoraiality, now every vear inoreasing between Great Britain and the United States. Why, sir, in the memory of men in this house, there was nothing but jealousy between the two coun- tries. In 1855, when Eisrland was engaged in a war with Kussia, we found the people of the United States symoathizing with — whom? With the English people, of the same race, speaking the same language ? No, sir, nothinjg of the sort. We found them m)nd my»elf to press these resolutions to a division. I have made these remarks by wny of explanation. It may be that, before this legislature meets again, the Eurpose of these resolutions will have ceased y their succeKsful aiKiomplishroent. It may be that this bill of Mr. Lutterworth's will be on the statute bocks of the United Statea before this lej^islature meets again. In the meanwhile it is open to us here to express our opinic ns, not trenching on the jurisdiction of the fe<1eral parliament, because I reooarnize the jurisdiction of the federal parliament to deal w^4;h this matter, and there is not a line in these ^'osoluti^ns indicating a purpose to deal with itj '^ut this is a legislature of thirty- eifcht members, coming from the various «>n- stituencies of the province, and will not they know the oreyaleut, the regnant sentiment in the several districts from which they come ? And this is just an expression of the opinion of this legislature that such a measure as that put before the congress of the United Statea by Mr. Butterworth is in the interest of both these great countries, and that its passage will be hailed with satisfaction In this pro- vince. It is for that purpose I brought it forward. It the measure be not aocompliahed before this legislature meets again, and if I happen to be in public life, it is likely that at another session I shall bring it forward at an earlier stage, in order to teat the opinion of this aaaeiubly upon it. (Applause.) \