C A-NA^D^ BUDGET SPEECH r- s ,-\ DKLIVKUKD BY HON. GEORGE E. FOSTER, D.C.L., M.P. MINISTER OF FINANCE . •' :•■ - IN THB HOUSE OF COMMONS FRIDAY, 31ST JANUARY ^\.r 1896 • ,.:•' y ,,',/■."■■■ ■^ ,''•/■■■'' ' '■■"<■;.'"■■"■•■..■. OTTAWA ■' - ■ ^ •, .''-r,^ 'iir: ■ . ■ ' PRINTED BY S. E. DAWSON, PRINTER TO THE QUEEN'S MOST > . , ,, ,., , EXCELLENT MAJESTY ., ^ ■'•' ■•' .'\y"''-^::<:-^^^:^ - •• 1896 ■■"' ' ■ "(U \ c j^:s j^jD j^ BUDGET SPEECH DKLIVKIIKI) 1!Y HON. GEORGE E. rOSTER, D.C.L,, M.P. MINISTER OF FINANCE IN THE TTOI\SE OF COMMOXS FKIDAY, 31ST .JANUARY ]81)6 OTTAWA PRINTP]]) BY S. E. DAWSON, PRINTER TO THE QUEEN'S MOST EXCELLENT MAJESTY 1896 INDEX. Page. Closer trade relations witli the Empire £8 Deb', tile public 9 do net Interest on 9 E.\penditure, 1894-95 7 do 1894-95, on capital account 'J do 1895-90 10 do on the Militia 12 How Canada lias passnl tliniush the period of depression I.I-IG Industries, development of '^6 Liberal-Conservative Record 24-26 Revenue, 1S94-95 5 Revenue and expenditure, 1896-97 11 Tariff reductions. 1894 and since 19-24 Taxation, reduction of, since 1SS2 16-18 Trade policy, why should Canada change 27 ju:i)(;et brEECii tiKI.IVKIIKIi 11^ HON. GliOWili I;. I'OSTliR. D.C.I... M.l'. MINISTKI! (iK ITNANCK IN TliK HOUSE OF OOMMOI!^^, FErDAY, 3l.st JAT<., I^ixj SUPPLY-TIIE BUDfJET. Mr. FOSTER moved that the House n pi In resolve itself into Committee of Supply. REVENUE FOR 1894-95. He said : Mr. Speaker, the House will remem- ber that the Budget speech was delivered last year at a rather late period, namely, on 3rd May, beiuff so short a time l)t'fore the expiry of the then current year tiiat it was possilde to detail the course of financial events of tiiat year with pretty considerable accuracy, and to that extent the exposition for th<> pre- sent year will lose somewhat In interest to those who have followed the course of events as described in my last BudRot speech. It will be remembered that last year at that date I estimated the re^- enue that would l)e derived at !i!,'ir!,800,000. arriving at that figure by estimating for a l)(>tteriiu'ut in the period elapsing l)etwcen HOth April and SOth June of that year over the corrcspoudiug period In the preceding year of $419,724. I remember that my hon. friend opposite took exception to and ques- tioned the rellal)ility of the estimate ; but I am happy to inform him and the House that I was within the mark, and that the improve- ment which did accrue was greater than that I had estimated, and reached the sum of $597,851. This revenue was made up from Customs $17,640,466, being a diminution to tlie amount of $1,557,648 from the Customs receipts of the preceding year ; Excise amounting to $7,805,732, a decrease of $575,- .".."6 from tlio preceding year, and misctdla- neons receii)ts coming up to ^S.-'jULlK'to, or a diminution of $2(;3.559 from the receipts of tlie preceding year, so far as tluit item is • iinci'rued. Tiie wiiole failing off in the revenue of 1894-95, as compared witli the preceding year, was tiii>refore $2,39(;,.'>6.'?. Sir UICHAIID CAllTWKIOHT. What date did the French Treaty come into opera- tion ? Mr. FOSTEH. Al)out May. if 1 recollect rightly. The imports for home consumption for 1804-95 siiow a decrease of $7,811,472, and the exports have decreased $3,88t!,- 146. The decrease in exports, the produce of Canada, is $l,07»i.758, as com- pared witii tlio previous year. Tiiere is, further, this fact to be noted, a similar fact to which has existed only once, I think, since confederation. It is tliat the exports from Canada last year exceeded its imports by $2,857,121 ; although the average of the excess of imports over ex- ports from confederation up to tlie end of that year was $18,740,0(53. Wliatever tliere may be in wliat is known as the " liaiance of trade," other circumstances being equal, the fact that there was last year an excess of exports over Imports is a fact whicii is to be placed to the credit of Canada, and is so much gain to the general business inter- ests. With reference to, in the first place, the customs duties, there was a reduction as compared with the preceding year, in a large proportion of the articles of import, II niliii'tlriii whiiii oxton,i43,."ino 9,837,0S4 Qiianilty. 1895. 2,545,034 50,659,627 10.-),.''i2S,770 CI!,G2S.440 9,568,437 Duty. 1894. 4,1.'51,387 I).-iO.Sl 5 689,184 82.715 2,364,1,53 8,'21S,254 Duty. 1895. 3,870,752 7.');i,'i29 i;3.-i,o-js 1.9,it43 2.267,738 7,63.3„390 1 Increase. lSii5. 1 Decrease 1895. t 260,6,35 190 886 54 156 ' 17.228 96 415 17,228 ~ 602,092" 17,228 .'■'SI, 864 The total decrease in the duty of excise as shown by these returns, amounts to .$,")S4,8(;t. r,ookinff at the per capita con- sumption of liquors of the various kinds, for which a table has been given from con- federation down, wo find that in 1894-9.') the lowest i'onsumi)tion of most of these articles, per capita, was reached, tlie con- sumption of spirits being -066 gallons per head ; of beer, 3 471 gallons per head ; of wine, a very slight increase In consumption, amounting to '09 gallon per head, and of tobacco, a consumption of 2-1(53 pounds per head of the people. Whether that decrease arises from reasons of economy, or fi'fim change In '".le Ideas of the people witii re- ference to these articles. I am not lierc to say, probably both reasons have somctliiug to do with It. EXCISE : CONSUMPTION PER CAPITA. Average. Spirits. Beer. Wine. Tobac'o. From 1807 Furl 893 -94 For 1894-95 Galls. 1052 •742 ■OGC Galls. 3 009 3 722 3 471 Galls. •141 ■089 •090 LI... 2 170 2 204 2 103 In miscellaneous receipts there has been. an I mild, n fiillluK off of llJiUl.VMi. Itut tlilH In to lit> iKitcd, iiixl It Ih a fact worili ni)tlii«. ilmt iiltlioiiKli tiio roi'ilpta fi!ll off tliiit iiiiicli In 1S»»-0ri, y(«t tli« iwclptK from tiicsc H()iir<'('M wore jjfi'iitor In ISOl-0.' tliiMi Iti liny ofliiT .Vfiir since coiifcilcnitloii. 1 with the I'xct'ptloii of IWI."} luul 1804. | Sir lUCIIAltl) CAIl'rWKICM'r. .Tiisl pindoii ino. lu the nilMceliiincous repoipts, I siippoHO yon Inelnde nil not received from the four Kront BOurceH of revenue. Mr. FOSTER. Yes, I hey are renlly tlie earnlUKM, The revenue from that sourci now In ISIM-On, Is one-fourth of th( total revenue accrued, and onehnlf mil Hon dollars more, than douMe what these receiptH n>aclie(l In 1S78-7!). The averajje of these miscellaneoua receipt.'- from 1800 to 180," was .|8,.^83,107. Tlio aver ajje of the five pivcedlug years was ,$7,842, ,1(!!'». So that 1 may say generally that thcM'c has licen a continuous and steady In crease in these sources of revenue durinj' the whole period. Tlie total revenue re celved during tii(> year is tiie smallest thai has been rec(>ived since l,S.S,"i-,Sf!. The cub toma revenue is the smallest that has ac crucd since 1870-80-smiiller by 0% millions of dollars thiiii it was in 1880-91), wlien the lar^'e dimlnntinn In duties made during tlu last five years commenced. The per capltn rate of customs collections from 1874 to 1878, indudintr botli years, was an average of .'i!3.44 per head of the people. Tlie rate In 1874-7.") was .$3.05 per head of the people, lu 1804-»."> It was ,$3.52 per head, that Is. only 8 cents per head greater tlian the average of the period from 1874 to 1878 inclusive, and 43 cents lens than the per capita customs taxation In 1874-75. Taken In connection with that, and llliis tratlug to a certain extent the dltTercncc that exists between the two Administra- tions lu tlie collection of revenues as regards the incidence of taxation, this may be note; I —that the excise revenue Is now nearly twice what it was in 1879-80 ; that It has been ex ceeded only three times since that period— namely, in 1892. 1893, and 1804 ; that the excise revenue in 1877-78 was ,$1.10 per head of the people, and In 1804-05, ,$1.53 per head ; that from 1874 to 1878 Inclusive, it aver- aged $1.32 per head, M-hile from 1801 to 189."] It averaged .fl.'.O pi'r heacl, or "J" contd per head more than tlie average per capita fi'om 1874 to 1S7N. As tlilM excise taxation is to a liirgo extent what may be called voluntary taxation. Its higher rates and llie larger amount accruing from it are to lie coiiHldcr- od together with the fact that the rate of customs taxation has been at the same time leduc'd as 1 have slat"d, attaining the low llgure wlilcli it dill in IMJI I !!.->. Tliese two facts, taivc n Into con.slderaliou logeilier show the dllVereiice which 1 have stated marks llie taxation aw between the two Ad- ministrations. lu speal{!ng of misc'llaiieoiis receipts. It might lie int(M'e8tlng to tlie Mouse to itnow ill what llie decline, small tliongli it was, took place. The following are tlie items;— Post Offlnu $ 10.551 Public worki, Including ratlwayn. 111,056 Cu«ual li:i,7n(i Preiiiliini, dlHcount and excbaugu. i:<2,105 Dominion Lands 42,226 The gains In miscellaneous receipts were ns follows :— Intcreat on Invostmonts $118,237 I'atunta H.-lOO Fines and forfeitures 10,129 Penitentiaries 13,461 FlsherloH 15,797 EXPENDITUHB FOR 1894-9G. Coming now to the expenditure for 1804-0,", it was estimated on the 3rd of May, last year, that the expenditure might be set at tlie sum of $3S,.300,000. In doing that I an- ticipated a decrease of $1,84,134 from tiie 20th of April of last year, as compared with tiie same period of the preceding year. But, iiy the exercise of strict supervision, tliat sura was made larger, amounting in the end to $352,ia8 ; so that the actual expenditure was brought down to $38,132,000, being aliout $170,000 below the estimate I made on the 3rd of May. Sir RICHARD CARTWRIGHT. I do not want to Interrupt the hon. gentleman unnecessarily ; but as we have only had the Auditor General's Report in our hands for a day, perhaps the hon. gentleman could state from recollection whether the extra ex- penses of rarliameut after the 1st of ,Tuly are charged to Inst year or to this year ? Mr. FOSTER. Those after the 1st of July would be charged to the current year. sir RICHARD CARTWRIOHT. There would he a dllflculty, theu. The Indcinin- tli'S, I suppose, would not be pnid until iil'tc! Ilmt tluao, so that, unless the Iiou. Kt'iitli-iiiiin hfld drawn in advance, a good deal would bo fliariicd to this year Instead of to last year. Mr. FOSTER. 1 would not lilvc to vouch that th9 indemnities were all Ict't till the st'ssiou was over. The Increase in expenditure for l.S!)4-95 over the pr.'cciliuf,' year was, therefore, $540,- 879. This increase may be explained by the followluf,' ol)servatlons. The charges on debt, which, of course, are flxed charges, and the increased subsidies to provinces, which are also fixed, amounted to )i!.S!)0..')4."), and there were extraordinary expenditures under militia, which propcu'ly should be called cap- ital expenditures, but which were paid out of the consolidated fund. These three items together made u]) the whole increase in the expenditure of 1894-9,-) over that of 1893-94. The expenditure of last year, amounting to .Sn8.132,000, was one of the largest expen- ditures we have had. We find, however, that for the last eight years the expendi- tures out of consolidated revenue fund have been remarkably steady. In 1887-88 the ex- penditure was .1:3(5,718,494. The average of the eiglit years from that time up to the end of last year was .$3(i,90S,Sfi2, or less than !i!200,- 0(K> greater than the expenditure of 18,87-88. The facts that tl.o charges on the debt have largely Increased during that period, as the debt is much larger, that the subsidies to provinces have been increased by over !ii300,- 000 under the decennial arrangement, and that the amount laid up In sinking fund Las increased each year, show to the House that the expenditures of the country during thise eight years have been kept pretty nearly upon a steady basis of about $S7,- 000.0(X> per year. The expenditure in 1894-95 amounted to $38,132,005, and the revenue came up to $33,978,129. leaving a deflclt of .$4,153,875. Of cour.se. In looking at that deficit, we nuist remember that 3!2,002,311 Is accounted for by the amount which is laid up in the sinkiug fund— a provision, of course, against debt at > maturity of the loan. So thai the real result of last year's operations, 80 far as the consolidated revenue expendi- tures are concerned, is that out of revenue we paid the ordinary expenses of the coun- try and laid up .$2,002,311 in the sinking fund iigalnst the debt, and that the deficit, but for this payment would have; been only .$2,151,.W4. The deflclt then amounts to l}!4,1.53,875, which s less by about .f3,-)0,. 000 than I anticipated on the 3rd of May last year Adding to that the deficit In 1893-94, the two make up a total of |5,3(J4,207. These are the deficits for the two years succeeding surpluses in the other three years of the parliamentary term. Against thosa two combined deficits of .fS,- 3(54,207, we must recollect that last year the saving to the people in taxation, which was remitted, and which would otherwise have accrued upon sugar alone, amounted to $5,475,000, or a little more than the de- licits of 1891-!).-) and 1893-94 added together. This means simply that if tlie Government had not relieved the people of that taxation on raw sugar, it would liave gathered sutli- cient revenue to meet all the expenditures of the country and have left l)esldes a slight surplus of one or two hundred thousand dol- lars in the Treasury. Mr. MILLS (Bothwell). Assuming the im- |)ortations to have been the same. Mr. FOSTER. Yes. There is a margin left for considerably less importation, but the price of sugar is so low at present, and has been for a number of years, that the amount of added taxation which would have been placed upou it would not havt; acted very largely as a bar upon the con- sumption of sugar in this country. It is very well, however, to take into ac- count, when we are speaking of deficits, the live years period when hon. gentlemen were in power, and compare that with the five years period which has just closed, in order to refresh the mind of the House and the country as to the relative position of affaire. From 1890 to 1895, which was the period of the hard times and business depression wo have passed through under the present Ad- ministration, there have been deficits of .$5,364,207 and surpluses of $3,740,270, leav- ing a net deficit of $1,017,931. In the period from 1874 to 1879, tliere were deflcils amounting to $0,420,958 and surpluses amounting to $935,044, leaving a net deficit of $5,491,314. And it is necessary for me to draw attention of hon. gentlemen this year again to the fact that although the net deflr-It in that period, under lion. Kf-ntlonicn opposite, wns Ave and a half million dollais. tli(\v roinittcd no taxation Init laid on cxirn taxation ; wliilc in tlic ix'i'iod dnriny; wliicli the net dolicit. umh-r tlic present Adminis- tration, amounted to one and a half million dollars, we relieved tlie people, in suH:ar taxation alone, of upwards of ,$19.onn.Oi)() of taxes. CAPITAI- EXPENDITURE FOR 1894-:»,"). Cominfi to capital expenditure, we lind that 181)4-9,"» compares witli 1Sl».'i-nt .as fol- lows :— 1891-95. 1 893-94. Rallwuy.s and Canals .<;2,829,0SS $'!.8 Dominion Lands 99,842 149,14'; Total $3,031,322 $3,864, Hi Beinji' a redncliou in 1894-0." in expenditure on ciipital account of .$S;j2,79r) as compared with 1893-94. Railway subsidies paid amounted to .$1,- 310,049 In 1894-95, as against .$1,229,88,-) in the preceding year, so that the total capital expenditure, including railroad subsidies, was .'i;4,34l.871 In 1804-93 as compared with ^0,094.002 iu 1893-94. There was, therefore, a decrease In capital expenditure, Including railw.iy subsidies, of .'i!7r)2,i;U, and an in- crease in expenditure under the consolidated fund of .•i!.54(i.970. as I have before mentioned, so tliat in the total expenditure of the coun- try, tiiere was a net decrease of $205,152 compared with tlie pi'(>ce(ling year. THE PUBLIC DEBT. Coming to the debt, we find that the net debt on the 30th June, 1894, was $24(!,1S3.- 029. AMieu we add together the capital ex- penditure in 1894-95 of !i!4,341,871 and char- ges on the loan of $399,199— being mainly the discount uu the loan— and the deficit of $4,153,875 and a small consolidated fund transfer Sir RICHARD CARTWRIGHT. What is that c-onsolidated fund transfer ? Mr. FOSTER. It is a, mere matter of account, .$94~the total amounts to $8,- 895,042. Taking the sinking fund. $2,- 002.311 and .fSSS refund, and subtracting that from the total, we have :T(0.8!n.807 as the net addition to the debt, making a net debt on the ;50th Jun(>, 1895, of $2.53,074.027. Tlie stalement tabulated is as follows :— Additional, 1894-95. Capital E.\p('nilitui-e $4,341,871 i Charges, Loan .vlunageinent. 399,199 Datlcit 4,153,875 Cons. Fund Transfer 94 Total $ 8,895,042 LeKS-.Sinlr> tliaii ill ]S87-Sh. EXPENDITURE FOR ISM-OK. Coining lo ilu' e.\i)en(litui'c and revenue for 180.")-l)(l, I'm year is not sufllciontly advau-cil. of cfnirsc, tn cnal)lo mo to iiialcc c'stiiualcs witii oertainty. No one can tell what may liappeii in tlic live months which are still to run, so far as commercial disturbances and the general course of trade are concerned. But, knowing what was ex- pected and what lias accrued up to tlie present time, and making an estimate as nearly as one can for the remaining period, 1 arrive at the following results :— The re- venue, up to :iUtli January. IS!)."). Avas I^IS,- nso.lPT. The exiienditure for the same jicriod was .$lS>,S33,318,2yS,- tid.'i. I" ;\ revenue to accrue of $17,- 4:11). M'lj. Ill order that this may be realiz- ed it will be necessary that the course of trade sliiill sliow progressive increase and di'Vcloimicnt compared with the preceding portion of the year for which the revenue has actually accrued. If that estimate proves correct, there will be for the current year a reveuiK!. in the gross, of about $117,- OOU.ODO. Coming to the expenditure, I lind that up to the 20th January, 1890, there has been an expenditure for the current year of $19.:.102,244, as I have stated. Sir RICHARD CARTWRIGHT. That differs from the statement the hon. gentle- man was good enough to send me. -Mr. FOSTER. This is up to the 20th January. Sir RICHARD CARTWRIGHT. The state- ment furnished me does not agree with the hon. gentleman's figures. There is a dis- crepancy for the same period of several hundreds of thousands of dollars. Mr. FOSTER. I am contident that the tigure I have stated is correct. Sir RICllAUI) CARTWRIGHT. 1 liope then that the hon. gentleman will send me an amended stntemeut. Mr. p-OSTER. There may be some error In the figures. Sir RICHARD CARTWRIGHT. The state- ment furnished me by the hon. geutlemau, for which I am obliged to him, shows, up to the 20th January, 1896, an expenditure of $18,902,000. I can send the statement across to the hon. gentleman so that he may see. Mr. FOSTER. I am satisfled that the statement I have is correct. Sir RICHARD CARTWRIGHT. Xo doubt. I am merely calling the hou. gentle- man's attention to the fact that there is a discrepancy. Mr. FOSTER. The estimated expenditure from the 20tli January, lS9(i. to the end of the fiscal year Is $17,097,750. This, with the expenditure already accrued, will give a total expenditure in round numbers of $37,- 000,000. So that, on these estimates, the revenue and expenditure for the current year will about balance. There may be ;i little difference one way or the other, and, of course, the estimate, covering so long a period, may not be quite correct But I think, on the whole, I am safe in saying that there will be no very great discrei)aiiey between the revenue and expenditure for the current year lS9o-9C. That is to say. wo have passed through the period of commer- cial depression, we have turned the corner of which I spoke last year, concerning my estimate of which, I fear, from the remarks that were made at that time, I did not in- spire confidence in the minds of my hon. friends opposite. But events since that time and the course of business for the year thus far. have proven my forecast to be, in the main, entirely correct. I think we can say, then, that we have pass- ed through the period of commercial depres- sion ; that times are better ; that trade is picking up ; and that from this period and for succeeding years we may consider that the time of deficits is over for the present administration, and that the time of sur- pluses is approaching again. I never ex- 11 ppctod to convince my hon. friend, wl;o .sliiikcs Ills head. Even time ean scarcely do tliat. Sir RICIIAUD CARTWRIGIIT. Then I undeistand the hen. gentloinan to say that In this calculation which he has submitted, and to whicli, ol' course, I do not expect hin) to pledge himsell', he counts on s»n in- crease for the next live months ? Mr. FOSTER. Yes, I count on that, as I stated. In regard to capital expenditure for 18r».")-!)(l up to the present tiiiie, tli(>re li.-is been an expenditure on railw.'iys and canals, public works, Domitdon lands, and railway sul)sidies, J};2,391,StU> ; and from the 20th January to .30th Jime, the estimate for these services Is .'?1,(!00,000. The expenditure on capital account up to the 20th .January, is less by $225,051 than was expended on that period last year. Adding together what has been already expended, and the estimate for the succeeding months of the year, the cap- ital expenditure will amcunt to about $4,- 100,000. If that estimate is carried out, as I think 1., will be, we shall have, taking away the sinking fund of $2,070,000, which will bo about the same this year, an Increase to the debt in the current year of about $2,000,000, in round nund)ers. REVENUE AND EXPENDITURES FOR 1S96-97. With Fcfcrenco to ilio expenditures and rev- enues for 18i)i!-9", we are too far removed fi-om that period to niak.' any estimate which can be at all r'lial)le, and I shall not attempt it. With r:-'ference to the expenditures, hon. gentlemen have had the Estimates for this year laid before them, and will find that the expenditures total, as estimated for, $38,250,000 or tliereabouts. The increases over the preceding year are, In some cases, ()uite large, and the larger ones I shall read to the House. Interest, sinking fund. pivMuium and discounts, show an Increase of $250,0,8;}, the total sum estimated for these purposes being In the neighbourhood of $13,000,000 In round numbers. The Public Works estimate of last year was reduced to about $1,500,000. There Is an increase of $247,270 In that. Indians show an Increase of $80,2(33. The vote for Indians was also reduced last year, and the $80,000 of increase Is chiefly, as I under- stand, for the establishment and mainten- ance of schools. The North-west Moiniicd Police show an increase of .$30,(HK) in M>e vote. That $3().0(X) is to meet the expenses Incurred by the establishment of a post on the Ytikou River, I'idiii which, however, a considerable revenue is expected, which will go, I hope, far to meet the added cost of placing there a detaehmcnt of the Mounted Police, and of bringing the reign of law and order into force there, as it has so effectu- ally been done in the other parts of th« North-west Territories. Sir RICHARD CARTWRIGIIT. Will the hon. gentleman pardon me for one instant V I did not observe that he made tiny state- ment as to whether he expected to bring down any supplemental Estimates for the service of the present year. Mr. FOSTER. There will be a supple- mental estimate, though not a large one-. Sir RICHARD CARTWRIGIIT. You know We ought to have that, If you can possibly give it. Mr. FOSTER. Yes, and we should have had more Supply the other niglit, but we did not get It. In Customs, tlie incrciise for the next year is $25,005 ; but wlicn it Is taken Into account that last year the cut In the Estimates for Customs was alioui $50,000, the increase this year will not sei'iii large. In the Post Office, we have an in- creased estimate of $240,780, which is a large Increase. The demands for the open- ing up of new lines, and for greater fre- (luency and greater tlioroiighness In the de- livery and despatch of mails, are continu- ally pressing upon the Post Office Depart- ment, and a large expenditure has neces- sarily to be made if we are to keep at all even with the requirements of the times, which we are bound to do. There Is now a deficit of somewhere near $800,000 between the total receipts and the total expenditures of our post office service ; and this, I fear, makes the time somewhat distant when, what otherwise might be fairly asked for, can be granted, that Is, a reduction upon the rates of postage in this country. Con- sidering the large extent of country, the sparseness of the popul;ition, and the great expense necessarily imposed for carrying letters and papers In our North-west and in other parts of the country, there is no doubt that the carriage of letters, newspapers and iL' Ii.M'rcls ill iliis ((Miiitry. is clic'iinT. Idr the iMiiHil.itiiiii. tiiiin yoii \v(niltl i)n)l(iil)l,v liiid it ill iiiiy oilier conntry In the world. IXCUEASK I.\ .MIMTI.V lOXPRXDITURR. Ill the .Militia lOstlmnlcs IIkm'c luis boeii on iiicrc.'isc of .Sl'lT.^'TO ovor Inst year's vote, I''or ii nnnilier of ycnrs, only a por- tion of tlio active inllitlii linve been called out for drill ojicli year, and this consequent- ly left the whole force to be drilled only once In two years. It may have been that there was the same necessity In preceding years for drillinir the Mhole force, as in this .venr ; but recent events have broujrht the lesson a littl(> closer and nearer home to us, and the Government has come to the deci- sion that, for the iir(>seut, and we hope for each year after this, the rural militia will .•ill be called out for drill dnrin;.' each year. It Is larKcly for this purjiose that the increase of .'i!247,270 has lieen made in tlie lilstimates, althouffh the npproiiriation also stands for lietter (Mpiiimient .and accoutrements, and clotliinK iind tlie like of that, for the militia force. Xo part of this sum, however, is to be devoted to the arming of the militia with iKMv rides, or foi' whatever else may be con- sidered necessary to b(> done in the way of eiinipment. and strenprtheninff the defimces of tiie country. Foi- that purpose, a special credit will be aslvwl for later, but the sum Is too larjre to allow Its being taken out of the Cou.solidated Revenue Fund. Now, we may be met by objectors of two or three classes to an increase of tills vote for this purjiose. at the present time. Th.'re is one class of people who believe, or affect to believe, that any more than an ordinary expenditure ujion the militia force of Canada at the present time, inlRht be in- terpreted to the disadvantage of Canada as regards Its relations witli the United States, as implying a hostile demonstration thereto.' Tliere is another class of people, and 1 be- lieve a very small class, in this country, who do not think It worth while that the militia of this country should be put in tliat forward state of efflciency. as they may believe that It would not be the worst of calamities if, after all. this country were quietly and peaceably to merge itself with the country to the south of us. The Government, how- ever, does not believe with eitlier of these small classes of ob.1ectors in our country ; it does believe that at the present time, and under the present circumstances, Increased etliclency Is both u(;cessary and prudent. We take this step, not witli any feeling of hostility to any country under the sun, not Willi any wish for war or bloodshed, l)ut with the highest and strongest hopes for the continuation of those blessings of peace in the future, which have been so long the lot of this country in its relalions with tlie United States of America, and with other countries. But I think we cancot forget that here we Iiave an heritage, tlie accumulated wealth of whicli Is very large at present, and tlio accumulations of wt-allli of whicli in the future are almost inimitable : that we have a country and institutions which are worth the sternest and strongest d(>fence that can be given to them, and that Government and Parliament would not be doing its duty to tlu! great trust it has reposed in it if it refused or neglected to place into tlie liands of its citizenship means of defence and ade- (luatc means of resistance to any armed in- v.'islon were it unfortunately to come upon us. Jlore than that, Mr. Speaker, by birth, by adoption, by the enjoyment of ample freedom, by the long possession of good gov- ernment, the people of this country, whe- ther French-speaking or English-speaking, all the people, I think, of this country liave their convictions continually form- ing and strengthening In the line of what I may call the great centripetal forces which In this country, in Australasia, in all the de- pendencies and colonies of Great Britain are tending to marshal the outlying dependencies of the Empire around the common centre of power and life. And if Canada is to be- come, as it must become, one member, and a very important member, of tliat great unity, it Is well that in addition to the other sacrifices we have made, the otlier moneys we have spent to make Canada a strong part of the Empire, who should also make pro- per provision for the equipment of our militia for tlie defence of our country, a provision which, while It is not open to the charge of extravagance, will certainly go so far as Is reasonable to meet the de- mands of adequacy. Sir RICHARD CARTWRIGHT. Are you prepared to state how much ? Mr. FOSTER. Not at present. 13 Sir RICHARD CAHTWRIGHT. I lliink the lion, gentloinan should state to iho House, on the oeeasion of his Budfiol speech, how much Is required. Mr. FOSTER. That will be stated before long. Sir RICHARD CARTWRIGHT. Before the Budget debate closes, I hope. \Ve ought to know it. Mr. FOSTER. The hon. gentleman cer i taiuly will know it, and the Government will take the House into its confidoiicc in due time. Sir RICHARD CARTWRIGHT. The House sliould know it when llic luin. gciitlcniau is stating the expenditures of the country and the amount of the debt. Mr. FOSTER. That docs not at all fol- low. It lias been the habit ever since tills was a Parliament to bring down Sujiple- meutary Estimates, and the same will take pl.ice til is year. Sir RICHARD CARTWRIGHT. very bad habit, too. And a THE PERIOD OF DEPRESSION ENDED. Mr. FOSTER. Passing away from this subject, I think I am .instilled, after the short review I have made of the finances of the past year, in saying that Ihe trying period of ISOO and 1895 has passed. The returns for the last six months of tlie cur- rent year show an iucr(>ase in imports of )f2,.-00.000, of exports .$500,000. making a betterment of .$3,000,000 in the half-year. The increase of revenue, as I have stated, amounts to $1,.'".00,000, and tlie savings of the people in ISOo as compared with 1891, show an increase of ,$10,500,000. I do not think I can enforce my view as to the fact of the Improvement of trade in the country and tlie fact that we are passing out of the period of depression more effectively than by reading an extract which I cut from the report of the president of the Board of Trade of Toronto, one of the chief commercial metropolises of Canada. Its pre- sident, in bis annual address to that board, made use of the following words :— The year 1895 has been for the most part a year of quiet rscovery from the flepression of 1893-94. The restoration of trade has not beon quick, but has gradually been getting better. Raw materials, which had fallen during 1894 to the lowest point known (or many years, have risen considerably. ManufactnrerM in most branches of trade are fairly well occupied with orders, and the public returns indicate that the country Is slowly, yet surely, gottinR over the lonK depression that for the last few years has overshadowed every commercial interest. What Is particularly wanted now is tonfidence in the future of our country, and belief in its natural sreat resources, and dctci'mination to develop every legitimate Industry to the fullest possible oxlotit. HOW CANADA HAS PASSED THROtTOH IT. How ha.s the country passed througli this period from 1890-91 to 1894-95 ? It has been a fjcriod of world-wide commercial d('))res- sion, a depression which has al"ri'ct<'(l thi« country as it lias other countries, but to my mind, in far less degree, and for cer- tain very good reasons. We have conie through this period with a tradi- .$9..-.00,000 greater in exports and home consumption imports than that with whieli we en- tered it, with exports .$17,000,000 larger than in 1890. "We hav(> come tlirough with an Increased tlcbt of .Slii,(HM),000, a delicil of $1,000,000 net, wliile at the same lime, as I have stated already, we have given a customs reduction on I'iiw sugar alone amounting to oxo.v $19,000,000. Our savings in that period have increased from $221,000,000 to .$207,000,000. an increase of $1(>,000,000, or 21 per cent, a notable and encouraging increase. We have come through that period as few other countries in the world have come, with increased rail- way traffic. The opertited mileage has in- creased by 2,700 miles, the passengers car- ried by 1,100,000 ; freight carried shows an increase of 750,000 tons, whilst gross earn- ings— a notable fact— in 1894-95 were equal to whiit they were in 1890-91. We have come through with increased shipping re- turns. The tonnage of vessels coming iu and out of our ports, not including coasting vessels, has increased in that period by G40,- 000 tons, and tlie coasting vessels by 2,- 700.000 ton.s. ■\ INDUSTRIES WELL SUSTAINED. We have come through witli our Indus- tries well maintained, willi employment very general, and witli an almost total lack of what you might call want and pov- erty in tills country from one ocean to the eii well nmiu- tnliit'd V Lot lis take one of tho most pa- tf'iit proofs that llicy liavc boon. Uiinicly, tlio liiipoplatioii of raw innti-rials. wiiicli form the basis for the work of our linlustrl«!S : IMPORTS.— RAW MATERIALS. Article. Wool Lbs. Cottou " Hides $ Gutta percha & rubbor " HiMiip Lbs. Lumber, &c $ Raw sugar Lbs. 1890. 8,905,261 36,635.187 1,712.012 53fi,;iS6 774,587 897,903 162,469,350' 1895. 7,7,50,050 56,924,286 1,950„530 739,916 622,396 1,485,714 345,518,582 The lunihor nientloneil above Is of special prodiirt. and is used in tho niakin« of furni- ture and oabiuet work of all kinds. Therefore, so far as tlie ai';,'uni(>nt from the imports of raw iiiatorial >ro(>s, in.v con- tfution is jn.stilied tliat tlio industries of this country liavc been well nialntninod. Sir, I may go further and state tliat not only liave these industries l)oen well maintain- ed, as is sliown by the imports of raw material for use iu mauiifaeturing, but there Is another test, namely, the export of nianufacttired articles. Tho time has gon(> by wlion peoi)le can point tlie flnjier of scorn at the exports of tlie manufactures of Canada. Small they are, oven yet, compar- ed wltli some of our exports, but tliey are every year increasin.fi:, and to-d;iy tiiey form no iucousideralile amount of tlie ficiicnil ex- ports of the couiitrj'. Tlie export is as fol- lows :— 1S90. 1895. Export of manufactured articles $5,741,184 $7,768,875 This shows an increase of 35 per cent. That Is the sDcond argument which goes to show that our industries have been well main- tained ill tliis period. We can go a little further. Sir, and we can point to the old industries whicli have been well kept up, and that is witliin the experience and ob- servation of every man who sits around these boards. >Vc! caii also point to the -establishment of new industries : one lately In the city of Hamilton, at the foot of Lake Ontario, an Industry for the smelting and manufacture of iron and of steel, and wiiicli to-day, after It has expended $400,000 on buildings and plant, has a capacity for mak- ing 200 tons of iron per day, and is now about to turn out one-half this quantity, and to turn It all out from Canadian ore, mined In tills country, and handled In this country, by Canadian labour. In British Columbia tliere has been a de- elded advance In niiuing work of all kinds, and a large and remunerative Industry is already established tliere, the prosjiects for the enlargement of which are most excel- lent. And the time Is not far distant when British Columbia, from the mountains on tills side to tlie I'acillc Ocean, will lie a busy hive of Industry so far ns the work- ing of minerals and metals is concerned. The pig iron whicli has been niaile in this country In the period from I.SIM to l.SO") is 193,000 tons, as against 137,000 tom^ manufactured in the preceding five years, wliich is a large and notable Increase. .AGRICULTURE HAS ADVANCED. Passing from these to the agricultural in- terests of the country, it is not aflirming too itnicli. Sir, to say that from 1891 to 1S9."., tlies(> liave shown a gradual, a continued, and a healthy advance. The home market has been constantly increasing. Tlie increast in population itself from 1S90 to 189.") hnt- added to that lionie niark(;t. The increase of urban population which gathers in cities, and towns, and villages, and largely gathers there from tlie establislimeut in lliese places of industrial establisliments of differ- ent kinds, has largely increased. And. Sir, every thousand of the urban population is so much of the healthiest and best increase to the markets of the farmers of this coun- try, for it affords a market near to them for products which would not carry to for- eign markets, many of wliicli are perishable in their nature, and for wliich a home market is absolutely essential. But, Sir, if the home market for agricul- tural products has Increased in tliat time, so also has the foreign market, as sliown by the exports of the country. Agriculiural and animal products, taken together, were exported to the amount of, in 1890, !i!37,- 000,000, and in 189.5, to the amount of .^no.- 000,000, an increase In this period of ^Vi.- 000,000, or of 35 per cent. Let mo exemplify by the exports in certain articles, the in- crease In the agricultural exports of this country, comparing the year 1890 with tlie year 1895. The statement ia as follows : - 16 EXPORTS— AGRICULTURAL PRODUCTS. 1890. Cheese J 9,372,212 Bacon 607,495 llama 23,584 Apples (green and dry). 097.922 Wheat and flour 910,244 Horses 1,936,073 Sheep 1,274,347 Cati.e 6,949,417 1895. $14,233,002 3,546,107 260,602 2,071,7.SS 6,298,221 1,312,676 1,624,587 7,120,823 Total $22,071,294 $36,487,801 Taking these Items, they total In this way : $22,071,294 exported in 1890 ; $30,437,801 worth exported in 1895, an inorpnse of 05 per cent. There Is a decrease in the value of liorses exported in the latter period, but, consider- ing the wonderful drop in the price of horses, and especliilly in lliat gi'ivde of horses which were so largely used on the street railways of large cities, before the substitution of electricity for horse-power ; It Is a docronso wiilch is not at all reranrli- able, and the decrease in tiie exports of that class of horses, has been met largely by an Increase In the export of more profitable and valuable horses to the British market ; and the British market opens a chance for the extension of that trade in a good grade of horses, which is being taken advantage of, and wiiieli promises rich returns to the country. IMPORTS OP MEAT ENTERED But, Sir, not only lias tiie farmers' market been Increased by tlie liome market from the accretion of population, and the foreign market by tlie extension of exports, b>it tiiere Is another point as well wlilcli must be taken Into account. That is, tlie saving of markt^t in tills country for the farmer of this country, which was formerly exploited by the farmer of the United States. And the National I'olicy, hy the reasonable pro- tection given to agriculturiil and animal pro- ducts, is to be credited for that gain of market to the farmer of this country. Let me give you some tigures which will bear that out. In the year 1889-90, taking bacon, hams, and shoulders, beef, mutton, pork and lard, there were imported for home con- suiiiptiou, 33,112,701 pounds. Tlie duties were Increased after that, and importations have steadily decreased, until in 1894-95. It reached the small amount of 0,335,842 pounds, or less than ouo-liftli of the preced- ing figures. In 1889-90 tli(> value of these importations was $1,734,225. In 1894-95 that value had sunk to $401,0.38. In flour of wheat we Imported, in lSS<.)-90. 185,458 bar- \v\k This has diminished, until 1894-95 sees an import of only 47,883 barrels. The fol- lowing table shows the Importations for each year : FOR HOME CONSUMPTION. 1889-90. 4,353, Gr.3 6,44.-.,105 246,363 4,881,786 Total lbs .33,112,701 Value $1,734,225 '' Bacon, hams and shoulder Lbs. Salt beef (In barrels) " Mutton " Pork " Lard " Flour (wheat) Bbls. I 185,458: 1890-91. 2,570.412 2,715,101 6,388 11,116,948 991,655 jj.m.m $ 973,312 65,884 1891-92. I 1892-93. | 1893-94. | 1894-95. I 1,016, 2,251, 11, 9,514, 693, ^3,486, $726^ 367i 298! fiSO 266 269 880 394 36.559 070 2,316 2 3,862 147 6,999 $452 ,1551 588 I32I 54C| ,630| ,0511 .8121 "J" 457 1,915 87 4,611 160 7,263 $499 I 65S| 516 ,277 ,874 881 2061 ,9521 826,882 2,011,866 .".7,845 3,203,023 236,226 JB,3^5,84_2 $401,638 I I 34,5071 32,506 47,883 I think, therefore, that I have fairly made my statement good that the agricultural In- terests of this country have been continuous- ly advancing in that period. Nor must we lose sight of this fact, that in those Ave years a very large extent of new territory has been opened up in the North-west for the production of grain and cattle and the products of cattle, which in 1894-95 reached a very large and very valuable total. It is calculated that In the province of Manitoba and in the North-west Territo- ries the grain alone, reaped from fields which but a few years ago were almost unknown, amounted to close on 80 or 85 millions of bushels ; and this increase in that short time is but the earnest of a greater increase in the future. Once the basis of population and of production has been settled in that county, its accretions in the future will be larger and more rapid, and the increase of production will in ratio ho jrriMitcT. Hctfcr iiu'tlioils liiivc nlsf) )i(>cii followed ill MKiiriilliii'nl iniisiiits, ntid th" t'HtiibllHliiiHMit anil intnxluction of tlii'su better iiU'tliods is liirjit'ly diit? to tiic Iiicitmh- I'd Kovci'iiiiiciiliii i'.\|i(ii(iiiiii'i' for tilt' I'li- c(,uraK<'infiit of aKricnliurc in lln' Nortli- west as well aH in I in- olinT inoviii- ces of tli« Dondnioii. Hxpcriineutal farniH have boon placi'd in dill'i'rL'ut lians of tlic couniry ; and llic Inl'orniatlon \vlii(,'li lia.s liiUH been dissciiiinatt'd by cx- aiuplo nud by tlie distriiiution of the results on those I'arnis to the farniinu: j)oi)ulatlon In tlic dill'rrciil iJroviMccs lias induced bet- ter mi'iliods of feeding, and has turned the attention of the farmers to more remunera- tive classes of products than those to whicli they had formerly devou'd Ilieir atienlion. MINING HAS IMI'llOVED. In mining the same advance appears. In Neva Scotia, In \e\v Krunswick, in Que- bec, In Ontario, in the Xorth-west and Mnnl- tobn, and in British Columbia there has been an adviincc in mining operations, as regards both tlic precious metals and the useful [ motals, which has been noted and steady. One proof of this exists, aside from our , obs(>rvation and experi< nee— that is. in the ' ex]>(irts of the products of tlie mines. I [ lind that in l.SOO these amounted to $4,S.')3,- 717 worth, and in 18J).". to $(!,!)S;{,227 worth, I an Increase of 43 per cent in that period! of live years. FINANCIAL STANDING BETTER. I Th(! business failures in tlie country have been reduced from .'i;i8,00(M)i)0 to ,*i;i.">,S()ii.()00 ' in the same period, the averay;o amount of • the failures per year during the period being $1.">,70(),()()0 against .$22,200,00(1 in the iieriod from 1S74 to 1878. The biinks and financial Institutions of our country have been sound and steady and strong— so much so as to be matter of re- mark in other countries, which have pointed to the banking institutions and tlie cur- rency system of Canada, and have noted the strength -which their soundness lias im- piirtcd to commercial life Jiiid business in this country during the jieriod of dei)ression which is now happily passing away. It may be said also that the credit of Canada in the London market has remained unimpaired, and is to-day stronger than it was In l.'>00. CaiiMda enjoys greater liope at home and greater [irestige abroad. THE REDICTIOX OF TAXATION. Now, Sir, 1 desire for a few uionients to speak witli reference to an Idea wliieli Is sedulously instilled Into the minds of the iieo- pli! of th(! country, lliat tli(> Liberal-Conferva live ptirty and policy have been resimn.-'lblc for an Immense increast! of taxation uiioii the people of this country. It Is true tb:il in 1S70, Avhen the Njitional Policy was in iroduced at llu; command of the people, tliai command having been given by an Innnensc majority at the polls, and when protection was iidopted as the basis uiion whicli ilie tari.T wa.-^ to lie framed, the list of dutiable articles was enlarged, and the rate wliiili was charged upon lliem was li(>ightened. That was necessiiry. In proportion, however, as manufactories became establlshot' and in proportion as the revenues of the country lieeame imoyaiit. in the good times that fid lowed, two things were done, .\ttention was liad to the people of the counti'y as the [layers of the revenues of the country, atiil jittention was also had to the reasimaMe iiess of the protection that ouglit to lie given from year to year, as circumstances required, and I have tills assertion to nialie : that not- withstanding what may lie said as to the In- crease In the rate of taxation uimti goods In 1879 notwithstanding all that may be .said as to the high taxation which has iire- vailed from that time to this, any student of our tariff system, going to the records and studying them with a d.'sire to get at the truth, will come to this conclusion, and cannot escape It ; that the Liberal-Conserva- tive (Jovernmeut from 1880 to the present time has been sedulously careful of the in- terests of the people as far as taxation is concerned, and has upon the wliole remit- ted an amount of taxation which cannot be credited to any Administration in similar times— certainly not in this country— and I doubt if it can be, in proportion to its popu- lation, in any other country in the world. Now, Sir, I propose to make that good by facts and Bgurcs, so that the people. If they are told that they pay a certain tax on a certain line of goods, may know on wh.nt goods they have been relieved of taxation, and to what extent they have been relieved of taxation. In 1882, this Government foimil 17 that tea and coffee were taxed, and taxed largely, and tbiH was a taxation whlrli no man could avoid who drank tea or coffee. It was a taxation upon articles which were not raised In this country, and consequently every cent of that taxation was paid direct- ly by the people who consumed these arti- cles. The same was true with reference to an article which goes Into the nmnu facturo of common articles used by the people every where— the article of tin. There was a duty upon that as well. In 1882 the Liberal-Conservative Government struck ofl' entirely the duties upon tea, coffee niid tin : and from that period until the pr(>sent time there has thus been saved to the people on these articles alone the following amounts : On tea $11,034,039 On coffee S32,r)28 On tin 1,465,103 Total $13,331,670 Every dollar of this amount has gont' direct- ly Into the pockets of the great mass of the consumers In this country. In 188,1 this Gov- ernment struck off the duty upon bill stamps and the duty upon newspapers— upon bill stamps a tax that went Into commercial transactions from the highest to the lowest, and upon newspapers a tax which was styled a tax on Information for the people. Well, from 1883 up to date there have been saved to the people on bill stamps alone the sum of $3,207,388, on newspapers the sum of $013,804, or a total of $3,881,252 on these two Items. In 1887 an agitation was raised, which became successful, for taking the duty off anthracite coal, which was supposed, and which did bear heavily upon the western provinces. The duty of 50 cents per ton was taken off, and from that time up to 1895, inclusive, the amount of $0,044,355 was remitted to the consumers of anthracite coal. In 1890, besides other reductions in the tarltf, there was a reduction of 10 per cent on common window glass, and 15 pei cent on molasses, and on these two articles alone, articles of common consumption, there has been saved $521,755 to the people of this country. In 1891 the duty on raw sugar was removed, Hon. G. E. F.-2 and the duty on refined sugar was reduced, and from 1891 to 1895, Imluslve, there was saved to the people. In the remission of taxation on raw and retlned sugar, the sum of $19,851,99.'. And that saving was upon an article which goes Into comiuon and general consuiniillon. In 1891 a general reduction of the tariff was made all along the line. Sir RICHARD OARTWUIGIIT. Hear, hear. Mr. FOSTER. I thought I should evoke one of those i)leasant exclamations from my lion, friend, and 1 had hoped to provoke an- other from tlu> l(>iidor of the Ojiposltlon. But perhaps he will favour me with It yet. For both these hon. gentlemen, not on one, but on many occasions, have taken upon thomselvej to Inform the country that In 1894 the Minister of Finance came down with good Intentions, proposed to reduce, considerably, the duties levied upon articles which entered Into the consumi)tlon of tlie country, but that when he came before the House, the manufacturers scared him off, he ran his pencil through the reductions, and next to nothing was done at all. Sir RICHARD CARTWRIGHT. than nothing. Less Mr. FOSTER. The hon. gentleman says less than nothing. His statement Is Just as extreme as usual. In that general reduc- tion In 1894, It Is estimated that $1,500,000 taxation was taken off the people. Now, If .vou add these amounts together, you will lind that we have taken from the people an amount of taxation of $45,131,027. Some hon. MEMBERS. Oh, oh. Mr. FOSTER. The sincerity of hon. gentlemen opposite, who profess very great desire to take away the burdens of the people, Is evinced to-day by the laugh and the sneer with which they greet the state- ment that we have taken $45,000,000 In taxation from the people of this country, from 1S82 to the present. The following table will show at a glance the savings made, as I have stated :— 18 BAVINO In Taxation cauacd by transferring Tea, Coffee, Anthracite Coal, Tin, Raw Sugar, Dill Stttinim, from the Uutiahio to tho Kreo Llit, tha carrying of NewHpaperi froo from omce of puhllcatlaii and by reducing t>io Duty on Tea and Coffee not Imported direct, and on MoIurhci, Koflncd Sugar and Window Olaii. Year. Tea. I 1P82 1S83 1S84 1885 18S6 1887 1888 lfi89 1890 1891 1892 1893 1894 1895 t 445,879 818,703 732,164 836,475 1,021,151 815,434 761,558 735.775 770,260 751,969 963,511 759,323 81.5.226 826,611 11,034,039 Coffee. 9 .H334 50,875 44,776 82,785 76,778 36,220 64,877 61,206 61,473 64,659 64,241 69,402 62,452 66,550 Coal. 75,191 1,068,652 643,052 600,607 699,633 739,533 760,275 765,261 702,171 _. . I 832,6281 6,044,355 Tin. I 57,225 103,732 82,353 00,269 96,461 101,840 104,539 I 112,495 . 117,503 . 113,011 152,353 121,018 123,690 89,614 Sugar. Bill I NewR- StampR. papera. Mo- I lasaei. Window Oloaa. I 13g,44S 224,645 227,225 229,S0') 232,385 234,065 2.37,546 240,126 242,706 44,088 44,594 45,100 45,606 46,112 46,618 47,124 47,630 227,474 5,200,OOo| I 4,000,0001 4,821,000 5,303.0001 •300,52l| 245,2861 48,136 248,620 251,798 49,416 254,840 257,984 1,465,103 19,851,9951 3,267,388 48,705 50,014 60,631 613,864 21,198 75,461 59,924 59,876 64,560 54,756 335,775 13,299 34,789 39,246 38,142 34,869 25,636 186,980 * Refined sugar. The oistoms rpvonue accrued in 189.') nmonntoil to $17,.'^87,207, wlilrli, per bond of populntlon, was .'?3.r»2. In 1875, hon. Rontle- men opposite clinrKcd the people of this coun- try, by their customs taxation, .$3.95 per head. The average, as I said before, from 1874 to 1878, under hon. Rontlemen opposite, was $3.44 per head, and as I have said to-day, the amount of customs taxation per head in l,sn4-95 was brought down to $3.52. Well, all this time the free goods of the country have been continually Increased. Articles have been taken from the dutiable list and placed upon the free list until this compari- son is afforded, that whereas in 1874, $47,- 000,000 worth of free goods were entered, and whereas, In 1879, under the administra- tion of hon. gentlemen opposite, the free list had fallen to $23,000,000, a decrease of Grand Total $43,631,027 $24,000,000, we And that from 1880 to 1893 there was an Increase of .$20,500,000 in the free list. Sir, the fact is made perfectly dear by this one assertion, that in 1874, 38 I)er cent of tho Imports for home consump- tion wore free, that In 1879 this had fallen to 30 per cent, whereas, In 1895, 42 per cent of the Imports for home consumption were free. IMPORTANT AND GENERAL TARIFF REDUCTION. Now I come tq ask, and I am nearly at the conclusion of my speech, whether I was right or not An hon. MEMBER. No. Mr. FOSTER. An hon. gentleman to your left says " no " before I had flnished the question. That Is the way hon. gentlemen 19 opposite JikIko with rcforonco to the nffnlrH of th<> country. They wIhIi no iirKUini'iit, ! tln>y listen to none. They liiivo tliclr pre- 1 coiicclvod opInlonM— aud poor opitiloiis tlii> olcc'torH of C'li Hilda Imvc told tlioni tlicy were, nt fonr or five dIfTcrcnt eloctlons. Tlioy nocd no nrKinnent, they nvinire no lii- foruintlon. Hut I want to ask tlu> lion lender of the Opposition, and my lion, friend opiiosito mo (Sir lUchurd Cartwrlght)— the latter of whom said that In 181)4 the reduc- tions In the tariff were less than nollihiK, wlillo the former declared that they were next to nothInK— I want to nnk them whether or not It Ih possible for tlieiii to revise their opinion. At least I now propose to put before the 1Iouh(> Htatements which will place the matter clearly In tlio eyes of the country, so tliat the people may Judge whether hon. Kcntlemen opposite or I have made the correct statement. I propose to submit a list of th(> articles on which re- ductions have been made, showinc the ex- timt of the reduction on each article, and this list extends over the whole range of Imported goods. It Is as follows :— Statbmrnt showing sundry articles on winch reductions of duty were made by tariff changes of 18er cent. 10c. ea. & 30 p.c. 35 i)er cent. $1 ea. &30 p.c. 10 percent. 30 do 8c. per lb. New Rate of Duty. 20 per cent. 20 do l.U'. per lb. tic. do 25 per cent. 30 10 25 25 .30 10 20 do do do do do do do He. per groaa and 20 per cent. 4c. per gi-oas and 20 |)er cent. 20 per cent 4er cent. do do do ad val. do .5c. e.ich. 10 per cent. 75c. ea. & 10 p.o. 10 par cent. 5 do 3c. per lb. 2e. do Ic. do Ic. do 5 per cent. 5 do 10 do 10 do 10 do 10 do Hon. G. E. F.— 2% 20 •Statkmknt nhowing Hundry srticlcH on whi(;li nuluctionn of duty wero iiiado by tariff ohanKOH of 1804 and sinoe. Articlo. CopiHir. ill liiirn, roilt mir cent 2c. |»r lb, ilo. do Ic. do 30 prr cunt. H5 do flo do do do .Ic. )ier lb. HO per cent. ■J5 do Freo. '.'ft per c nt. Ki do le. p. pr. fi 2!\\> c. 'J,") per cent. 2c. p IMT cent. 2r> do 20 do 20 do fc. per lb. 10 |ior cent. :tn do Hedr.vtion. .10 :.o. do 1> do lo. IXT lb. S ijer cent. do 5 do 6 do e do 10 do lo. per lb, 5 i)er cent. 6 do 6o per doz. 2J per cent. 2c. per lb. 5 iior cent. 5 do do od. val. do 15 do 15 do 15 If 15 15 do do do do 15 do 2i do $3 per ton. L\' ^^C71 lAJll. .JPO ytVl bull, LO do but J2 jier ton when notless than35 nut less than 3& per cent. ptir cent. 274 do 2J per cent. 32i do do 2i do 7i do 21 BtatiMENT Hhowing sundry artiolnn on which rflduotiuns of duty woro iniido by turiiT oliungoH ol! 1804 and kinoe. Artioltt. Inin and tiianiifaotiin>ii of — CnntinueU. Imniii Htalm, IiIodiiin, billctH, l()<>|iit, puddle burn, or otlii'i' fiiriiiH Ii'nx (tniNlii'd tliuri iron in bitrn, niid iiiiiii' lulviinci'd chivii pig iron, uxvxpt uMtiiiK*' . IjiicKh of all kimlH I'oi'tiilpli' iiUKliiiifH : — I'ortiililf Hti'iiiiii'iiKiiii'H, nnd imrts of Tliri'nlii't'H and HHpaiiitorK, ami pitrtx iif 8nwin|{-iiiuc')ilnuM, or parU ot MftcliiimH, tyiHi-writinff All other iimuliiiicry, oxci'pt portablii machitiffi, com- poMiiil wJKilly cir ill part of iron and ^teol MaUrablc iriJii caHlin^H aiirl hU'«1 cit.-itiiiKN Nailn and NpikeR and shoathinK nailH, coinixiRitinn.. . Nuilx Hiiii Hjiikfii, wrought and prr'snt^il, ^'alvani/.Hil or nut, lioi'HO'Hhoc nails, and alt wrnii^'lit iron or Btei'l and othftr nailn, N.l!!.8., and lioiHe, iniil>>, and iixsluMis Nails and HpiUcx, rut Nails, wirtt Ploiigliplatcs, inould-boai'dH, land-MldoB, whnn cut to Hliapo fnini rolled plates (jf Htofl, but not moulded, piinched, |KiliNliud, or otlierwine manufactured, and l)oinf[ of greater valuu than four cents per pound Other plutcH for aKricultural implcnientH. I'uiiips, other than Ht>'in Railway lish-plateM and tie-plates Safes and dimrs for safes and vaults Screws, iron or steel, coniiiionly callod wood screws : — 2 inches or over in length 1 incli an per ton „ not less than per cent. 20 per cent. and II :)0 1 ic. j)cr lb. 1 c. do 1^0. do 12i pf r cent. :I5 do :tr) do ijll2 'ler ton. KO per cent. Stoves Swedish rolled iron nail rods, under J inch in diameter, for manufacture of horse-shoe nails. . Boiler tubes of wrought iron (.r steel Other wrought iron tubes or pii>es, jiot classified. . . Wire fencing, barbed, of iron or steel Wire, covered with cotton, linen or other material. Surgical and dental instruments Steel ingots, cogged ingots, blooms and slabs Saws , Manufactures of iron or steel, not classified . Jellies, jams and preserves, N.E.S Lead pijw and lead shot flc. per lb. Sc. do lie. do ;t.') per cent. 20c. per pair and 'M per cunt. .'SO [ler cent. 20 per cent. Uy do i^jC. per lb. and ; per cent. IJc. per U). '.itt pur cent. 20 do :i0 do but not less than 1*8 per ttjn. 3.5 per cent. ;«1 do jc. per lb. l-ic. do Leather: — Leather, solo Leather, belting leather, dressed, waxed or glazed.. Calf, kid, lamb and sheep skins, dressed, waxed or glazed Upper leather, dressed, waxed or glazed Japanned, patent or enamelled leather. ... All other leather and skins tanned not classified . . . Jc. )). lb. &15p.c. ■JO iier cent. do do do do ■*^ l»'r ton :i-'4 pel cent. Reduction. *l per ton. L'i per cent. 10 :to ^7i do do do do .74 |H'r cent. •%■. per lb. 2c. do !;!e. do .") |M.'r cent. lOe. per (lair and 30 per cent. l"c. per pair. 274 j/cr cent. Loathor belting J2"> do Manilla hoods 'i;0 do Gas, coal oil and clcctric-Iinht fixtures, or parts thereof. 30 do Millt, condonBed, Hvveetenod il.^i'. p. Ib.&.^p.c. do do not sweetened ;tj per cent. New Ifate of J^iity. Plumbaffo li" Blacklead 30 Plninbnjfo, manufactures of .30 Mu(tilago 30 Oils:-- Minoral — Co.al and kerosene, distilled, purified or refined,! naphtha and jietroleuin, N.E.S iTJc. 7Jc. Pn«iucts of petroleuni Lubricating oils, comixised wholly or in part oi potrolR\ira and costing less than 55o. per gall. . . Essential oils Paints and lujIouvs :^ Colours and ijaints, pulped orj^ound in oil or other li(piids and all liquid, i)repared or ready-mixed jiaintfl, N.K.S 0(:hnn anil ochrcy earths and raw siennas do do do do per galL do 7*0. do 20 ijer cent. 30 do do Oxidfts, tire-proofs, umbers and burnt siennas, N.KS 30 do Paints ground or mixed in, or with, either .Tap.an,| varnish, lacquers, liquid dryers, collodion, oil' finish or oil varnish, rough stuff and tdlurs. . . . Putty Paper, leaf and gr.ass, &c., manufactures of :— Ji.igs or sa<'ks, printed or not 35 do Killed, boarded and boxed jiaiiers 35 do .Straw lioard, in sheets or rolls, plain or tarred JtOo. per 100 lbs. I '.'iratKiie wax 3c. per lb. I'fiicils, lead, in wood or otherwise ;30 per cent. 5c. p. lb &25p.c. 2") per cent. iicket-'nioks, purses L.'ird, tried or rendered Mrats :— Macon and ham, shoulders and sides, Canned meats Dried or STnoked meats and meats preserved in any other way than salted or pickled, N.E.S Other meats salted .Sand i)ivper, glass, flint and emery paper ^Sau^:fw and catsups in bottles do do bulk. Soy Flax seed . . . Soap: — Common or Laundry, not perfumed llniMi'ss soap I'crfiinicd or toilet Powders, pumice, silver and mineral soaps, sapolio .and like articles "Ginger, preserved Sug.ar candy, brown or white .and confectionery, including sweetened gums and candied peel do per lb. do do , do , do 30 jicr cent, •lllc. iiergall&20 per cent. ,30e. per gall & 20 lier cent. 10c. per gall. lUc. per bush. Glucose or grape sugar, glucose syrup or corn syrup. . . Turpentine, spirits of Twine for harvest binders, of jute, manilla or sisal and of manilla .and sisal mixed 25 IJ.c. per lb. 30 ])er cent. Ic. p. lb. &10p.c. 30 ])or cent. 20 do Free. f, per cent. 3le. jier lb. 3.e. do 10 per cent. 25 do 25 do 25 do 6c. per gall. Go. do Oc. do 10 per cent. do do do ft do do 3c. per lb. .35 per cent. lie iier lb. and 35 per cent. lk\ per lb. 10 per cent. 25 do 30 do 30c. per 100 lbs. 2c. per lb. 25 per cent. 30 do 2c. per lb. 2c. ,do 25 per cent. 2c. per lb. 2c. do 20 per cent. 35 do 35 do 35 |)er cent. Free. Ic. per. lb. 25 per cent. 35 do 36 do 30 do Roductioo. 5 per cent. r-. do 20 do i-i do 17 do ad. val. 5 per cent, 5 do 5 do 5 do l?,c. per galL IJc. do lie do 10 per cent. do do do 5 cts. per lb. 10 per cent. 10 do 5 do 10c. per ino lbs. Ic. )ier lb. 5 [)er cent. ■> do ic. per lb. ic. do 3 per cent. Ic. per lb. Ic. do 10 p. c. 1(> do ad. vaL 56 do 23 i)er cent. 10c. per bush. |c. per lb. o per cent. 22 do ad. vaL 10 5 do do do do U'. iierlb. and 351^0. per lb, per cent, l.ic. jier lb. ic. do 5 per cent. 5 per cent. 12i do 12i do 23 Statement showiug sundry articles on which reductions of duty were made by ttiriff changes of 1894 and since. Article. Twine, cotton Twines of all kinds, N.K.S Twines, nianufactuit'M of, viz. : — HiiuinioLks and lawn tennis nets and otlior like articles, N . K . S Varnish, laeciners, japans, japan driers, liquid driers, and oil (ini.sli, N.K.S Tomatoes, fresh New Rate of Duty. Ic. II. 11). &25|<.c.|2."i fier cent Reduction. Toinatoes and other vegetables, including corn and baked beans in cans or other packages Webbing, elastic Wood and uiainifacture's of; — iJarri'ls containing petroleum or its products, &o. . Caskets and coffins Mouldings, plain do gilded, &c Hubs, siiokes, felloeji and parts of wheels, rough hewn or sawn only Shingles (Show case.s Woddeiiwaie, pails, tubs and churns Picture frames Veneers of wood not over ^ inch thick Coke, (2,00<) lbs. to a ton) Marble, in the rough, in blocks, containing less than 15 c\ibie feet Marble, in the rough, in Vilocks, containing 16 cubic feet or over Shi]) timber and sliip jilanking .. . TindxT, hewn and sawn and timber used for spars and in building wharfs Timber, square or sided CreoBoted lumber Sawn boards, j)lanks, de.als, and other lumber, un- di'cssed or dressed on one side only Pine clapboards Spruce do Posts, last blocks, wagon blocks, oar blocks, gun blocks, lieading. and all like blocks or sticks, rough hewn or sawed only LatI :<0 per cent. 3.5 do 20c. p.g.&2.5p.c. 30c. per bush, and 10 per cent. 2e. i)er lb. io per cent. AOv. each 'M) per cent, 2.1 do 30 do 1.-) do i20 do .S^ each A 35 p, 2') [icr cent. 35 do 10 do .50c. per ton. 15 per cent. 10 20 do do 20 do do 20 do 20 ■zO Pickets and palings St.aves of wood of all kinds Flax fibre, scutched do hackled Flax, tow of, scutched or green Raspberries, wild All)uui insides. made of paper Rlast furnace slag Bibles, ]irayer books, ])salm and hymn IxKiks Botiks printed in any language, other than the English and French languages, N .E.S Bookbinder's cloth Buttons, shoe, papier uiache O.xide of copper, N . E . S . Curling stones of granite j^nimonia, nitrate of . . . Cvauide of potassiiun Si.ltpetre Soda, chlorate and bisulphite of Tin crystals Zinc, salts of Sumac, other than for dyeing purposes . do do 20 do 20 do 20 do 20 do 20 do Ic. i)er lb. 2c. do Ac. do 3c. do 35 ]ier cent. 20 do 5 do do 30 do 20c. p.g. &20p.c. 20c. perbusli.and 10 per cent. IJc, per lb. 20 [jer cent. 20(;. each. 2:"- per cent. 20 do 25 do Free. do c.'35 ]ier cent. 20 do 30 do 5 do Free. do do do do do do do do do do do do do do do do do do do do 15 do 10 do 5c. per gross & 20 ])er cent. .30 per cent. 25 do 20 per cent. 20 do 20 do 5 do 20 do do do do do do do do do do do do do Ic. p(.'r lb. 5 per cent. 5 do 5 do ad. v»L lOc. per bush, Ac. do ■) pt>r cent. 20c. each. 10 per cent, do 5 do 15 do 30 do $■2 each. ■) per cent. ) do 5 do .5Cc. per ton. 15 |ier cent. 10 do 20 do do liHliing granite Laiii)! Mack ami ivory black , Manilla liDodtt Brai-s in liais, UoUh not Ix^nc or otherwise manufactured, and in lengths not less than (J feet Brass, drawn, and jilain and fancy tuMug, not bent or otherwisenianniactured,inlengtlisnotl(issthanOfeot Bra^s in strips for printers' rules, not Hnislicd . Lead, nitrate of and acetate of, not ground • , Lead, tea Stereotypes, eh^ctrotypes and celluloids of lMM>ks and bases and matrices and ( t)pper shell for the same, whether composed wholly or in part of metal or celluloid Mohair varus . 1(0 per cent. L'U do .Vceording metal. l.Vc. ])er 11). but not less than HD per cent. 2U i)er cent. Ilo do \-M do 10 (10 10 do 13 do ii") do yo do Carbolic or heavy oil Olive oil for manufacturing and mechanical puriwses., Plundmgo crucibles Potash, caustic Potash, riid and yellow prussiate of Prunella for boots and shoes Rosin oil Saddle jiggers and stirrups He. per sq. inch. lOc. ])er lb. and 20 ] ler cent, lu per cent. •20 80 20 10 10 -'0 3) do do do do do do do Roduction. 30 per cent . 20 do l.Jic. per lb. 20 ppi cent. 10 do 20 do 10 do 10 15 5 30 do do do do nc. I er sq. men. 10c. per lb. and 20 per cent. 10 per cent. 20 do do do do do do do This list Includes all tlie articles ou which reductions have been niado, and shows that there -was an Important and sig- nificant reduction. And hon. gentlemen must take into account this fact— that this reduction in tariff was made at a time when reduction of the tariff was accompanied with the greatest ditti(niltios. It was made at a time wlicu prices were lowering in the United States, in Belgium and in every great manufacturing country ; not only when prices were lowering as quoted in the regular mark(>ts. but when hard times had made it necessary for manu- facturers to sell, if they could get cash, even if they had to sell at cost or less than cost. Many and many a case occurred in which manufactured goods were lield as collateral by the banks, and the manufactu- rers being unable to meet their obliga- tions, the banks sold the collateral security for whatever they could get. In order to turn It Into cash. It was in this period of depres- sion, tills period of strong competition, tills period of slaughter prices, that we under- took the revision of the tariff. Taking all these things into consideration, the remark- able cut that was made in the tarlB! on these articles, going to the very verge of the extreme, sliows that a great advantage was afforded to consumers in the remission of taxation and the consequent cheapening. I think I have disposed of the statement made by tliese two hon. gentlemen, that, though I proposed a roduction of the tariff, I did I ot carry it out. THE LIBERAL-CONSERVATIVE RECORD. Now, Mr. Speaker, one furtlier subject, one that may pertinently be discussed at ihis the last session of the term of I lie present Parliament, and It Is this :- I'-rom 1878, when the people, by a large majority, gave their verdict for the 25 change In the flscnl policy of this country, the Libenil-Conservatlve party and the Liberal-Conservative policy have dominated in this country and have moulded' the admin- istrations. Upon these seventeen years, the Liberal-Conservative policy Is written. That record is before the country, upon that re- cord they are quite willing to be judged. But, Sir, the Liberal-Conservative party wisli to be judged upon their whole record, and not upon any particular part of It, .admin- istrative or otliorwise, tliat any hoa. gontl(>- nian may choose to pick out to suit liis convenience. I do not fear, neither does the Liberal-Conservative party, tliat if tiiat re- cord is fairly and adecpiately looked at, tli(> people of tiie country at tlie coming elections will not be e.Kactly of tlte same mind that they were in 1878, iu 1882, In 1887, and in 1891, and that tliey will not be in favour of the continuation of a reasonable policy of protection for this country. Sir, wliat iias been the record of these seventeen years V ' FACILITIES FOR INTERNAL COMMUNICA- TION. A vigorous public policy has been carrlinl on In this country in favour of improved facilities of internal communion tion, whicli have been pressed upon this I'ariiament, which have been acceded to by tliis I'ariia- ment, and which have been carried out in the country. The record of the Liberal-Con- servative party embraces the building nnd completion of the Canadian Pacific Itailway and of the many miles of railway, aided by subsidies more or less liberal, which have been spread over the country, in addition to our great trunk lines of railway. Not only. Sir, have these railroads been projected and built as a part of the Liberal-Conservative policy, and against the steady opposition of hon. gentlemen opposite, but in reference to the canals, and some parts of the canal system, the same fact appears. A vigorous public policy In connection with the canal system of this country. Is within the record of the Liberal-Conservative party. Not only have they widened and deepened the old canals until they are now within two years of completion to a fourteen foot depth, from the great lakes to the city of Montreal, but they have taken that other step, of making this country entirely independent, so far as water communication on the great lakes Is ccncerne'3, of any other people, and have built tlic great Sault Canal, a clianuel of commmr cation wliich opens to us tlie re- motest of tlie great lalvos, witiiout asking pernil.ssl )n of any other people in tlie world. EXTERNAL STEAMSHIP COMMUNICATION. Witli regard to our railways and our ciinuls, there has been a vigorous policy pursued ; so there has been with reference to lines of communication external to this country. In regard to our steamship lines of com- nuinication, whenever our policy lias been brought before this country, it lias lieen met either with sneers, or with active oppo- sition by hon. gentlemen opposite. Take llie line to tlis West Indies and to South .\iiierica, wiiicii, s'veu or eight yi^irs ago, was projected iu tliis House, wliicii rec(>ived the assent of Parliament, and wliicli was carried into execution. lOvery one knows witii what opposition it was mot by the leader of Iiou. geiitlciiien opposite, and by Ills party. Wliat lias taken place ? Wliy, Sir, with refenMice to tlie West Indian trade, wiiei'i'as, in 1887, our total trade was Imt $4,000,000, in 1895 our total trade witii the West Indies amounts to $8,i5O0,00(), an in- crease of about 112 per cent in our trade with tliose islands in those few years. And to-day. Sir, the West Indies, in its aggre- gate of trade, takes tlie tliird place in the list of countries with which Canada Is carrying on business. Every one knows the opposition whicli was met by tiie proposal to subsidize a line of steamers from the western coast to China and .Tapan, but it was carried out. It had in it tliat good fea- ture, that sterling feature, of co-operation witli the British government in the mat- ter, and that line has been carried out successfully, trade has increased ; and the Mverage of the trade, during the last live years, with Cliina and Japan, amount- ed to $2,800,000, whereas it was but a l)eggarly average of $023,000 from 1874-5 to 1879, when hon. gentlemen opposite were in power. Take, also, the line of communi- cation with Australasia, a line which was put on some five years ago, a line which encountered the strongest opposition from lion, gentlemen opposite, but a line which lias been successfully put in operation, and is to-day uniting the Australasian colonies and Canada hand in hand in mutual sap- 26 port of the service ; and it Is also doing this great tlilnj,', giving a succossful and pro- gnssivo incTouse of trade. But, Sir, out of It llioro has coino somotlnug more valual)K' than this co-oiienitiou and comnuuilcation ; there eanie, as tlioi natural result, an inter- colonial conference of delegates from th--> great colonies of Great Britain, held here In Ottawa two or three years ago ; and as a result of tiielr deliberations, as a result of their resolutions, as a result of the persistent and prudent way in which tliese Imve been brougiit to the attention of the British gov- ernment, wo hnvo to-day sonietiiing tluit should be noted and is remarkable— the Brit- ish government itself proposing to asl{ the British taxpayer to put his liand into his pocket to the extent of £75,000 yearly, for ten years, to co-operate with Canada and Australia in building up a great line of steam communication from Sydney and Melbourne, in the far PaciUc Ocean, across this continent, and over the At- lantic to Liverpool and tlio ports of Great Britain. But, Sir, in addition to tliat, the great scheme of a tranr.-l'acihc cable has been discussed, has been presented to the Britisii government, nud has so far claimed the attontior Ci the British government that Uw Colouiul Secretary has asked for delegates from the Australasian colonies and from Canada, to meet In liondon to talk over the possibilities and prospects of achieving that great line of swift communication between Australasia, Canada and Great Britain. So, Sir, I say that In regard to steam communi- cation, we have had a vigorous and consist- ent policy, and a policy wliicii has not only .succeeded in a business p('i it of view, but It has, I contend, still more succeeded in awakening interest and sympatiiy in other colonies and in Groat Britain, and wiiicii is drawing closer and closer together, on lines of mutually helpful enti!rprise, all the colo- nies, and (Jreat Britain co-operating as one. In addition to this we have this year sub- sidized a most successful winter service be- tween St. .lohn and lilverpool, and have in contemplation the establisliment of a direct steamship seiTico between Canada and France. DEVELOPMENT OF INDUSTRIES. Sir, I need not make an extended argument witli reference to the establisliment, and maintenance, and expansion of the Indus- trial life of tliis country. Tiiat that indus- trial life has been established, and lias ex- piinded, we have jiroofs on every sid(>. Every one who has experience dating back to 1878, and who compares tliat period with 1S05, knows the advance that Canada has made in lier industrial life. I will not press tiiat argument a single step further. I merely wish to call your attention to the result of ten years, as shown by the census of the Dominion of Canada : C/NADIAN INDUSTRIES PER CENSUS RETURNS. 18SL Number of establishments Capital invested $ Number of employees Wages paid $ Cost of raw material " Value of products " That does not take In the increase thin took place between 1870 and 1S81, nor doi s it take in the increase that took place be tween 1891 and ISOo, which Is nearly a halt decennial period. These figures may In laughed at by hou. gentlemen oppo.site. The\ are in the habit of taking part of the censu; that suits tliem and declaring it must In relied on, and then of taking another pan which does not suit them and declaring ii 49,722 164,9o7,42;! 254,81(4 I 59,401,702 I 179,929,193 | 309,731,8(57 I ... i 1.S91. 75,7(iS 354,620,7r,0 370,2,")6 100,(iG;!.t;,")0 251), 11 9, 04 2 470,258,886 Variation. Increase. p.o 26,246 189,663,327 115,362 41,261,948 76,189,849 166,527,019 52 114 41 69 42 53 cannot be relied on. The same Government was in power when the censuses were laken, and if one part is reliable the other nart we must suppose to be equally reliable, rion. gentlemen are prone to make a point of looking over the census and linding some small knitting works, en- tered as a manufacturing industry to declare that no reliance can be placed on the enumeration. The whole argu- niont Is taken nwny when bon. gcntlo- uicu examine that portion of the census wlileli groups industrial establishments with reference to their output. Five classes are given wltli respective output, viz., those under $2,000, those from $2,000 to $12,000, from $12,000 to $2.-),000, from $2-),- 000 to .'i!r.(),000, and those over $50,000. From an investigation of these five classes It will appear that the per cent of total output of the first class is exactly what it was in 1881, whilst the Increase In the fifth or largest class Is 14 per cent greater than that of the smallest class for the decennial period of 1881 and 1891. Alongside of that, put the other fact tliat the same system of enumerating establishments which was followed In the census of 1881 and 1871, was adopted in the census of 1801, tlie tali- ing of the census in each case having been pursued upon the same plan. WHY SHOULD CANADA CHANGE HER TRADE POLICY ? But if we are not to continue the same policy, I wish to ask myself and to ask tliis House the (piestiou, wliy should we change ? Is there any reason wliy we should eliange V Is there any rea- son In the record of tlie i)ast sevcute.n years why the liscil policy of this coun- try, wliicli has resulted in such improve- ment and advance, should be changed for some other ? No. Is there any reason to be found In the bases which have been laid down from time to time by bon. gentlemen opposite as tariff and trade lines on which they think this country should mould its policy and carry on its administration ? Hon. gentlemen opposite are men of mauy political faiths so far as tariff is concern- ed, but they are men of no steady con- victions so far as those same faiths are concerned. Hon. gentlemen opposite have put before this country during tlie last five years, several plans, several bases of operation. They have bad Commercial Kaion, they have bad Unrestricted Reci- procity, they have had Free trade as It was in England— all of these have been advocat- ed and strongly advocated by my bon. friend who sits opposite me (M- Laurler), and by my bon. friend who leadM the fluaucial section of that side of tlic House, In so many strong, sturdy and plain English words ; and If there was any doubt In regard to the position of the last men- tioned gentlemen, he cleared away that doubt two days ago when he took occasion to reiterate his position by reading a letter written In 1891. Sir RICHARD CARTWRIGHT. In 1892. Mr. FOSTER. The political belief be held then, he reiterated as held by lilm now. One of his beliefs is tills, that free trade with the United States is of greater moment to this country than free trade with all tlie rest of the world, with the United States left out. Sir RICHARD CARTWRIGHT. Hear, hear. Mr. FOSTER. Yes ; and no man knows better than my hon. friend that free trade witli the United States of America is im- possible without discriiniuatlug against llie rest of the world, and lie himself iias slated It again and again. Everybody knows lliat tiie temper of the United States even under Democratic rule was far removed from free trade, and under Republican rule is still further removed from free trade. My hon. friend as the coming liiianeier of a possll)le new government. If hon. geullemen opi)i)sito should get into power, is determined, taking his last confession, to give to this country unrestricted reciprocity with the United States, though it involves discrimination against the mother country and every other country. I take that as the latest confession of the political faith of the lion, gentleman who Is to be Fintuice Minister, as the hon. leader of the Oppo.sition has stated, and who will rule and dominate the tariff policy of hon. gentlemen opposite if they got into power within the natural term of his life. Sir RICHARD CARTWRIGHT. Instead of the Manufacturers' Association, as Is the case with you. Mr. FOSTER. I will use that statement before the country as a lesson wliicli the people may ponder over in connection with the political faith, the political action and electoral action which took place in 1S91. Is there any reason why we should cliaiige our line of reasonable protection in order to adopt any of those facile political faiths which have been confessed from time to time by lion. RontlonKMi opposite V Is there any rcnsoii for a cluiii;;!' to lie round in tlic general circunislanccs of I In- world lo-diiy V If lu l.s"S the people of this country lhonj,'iit timt a reasonnl)le protection was necessary to Rive them tlie vantage ground in co'n- petinf,' Willi the world and hniidini; np and establishin;,' industrial life in this country, Is it any less necessary to-day ? Is tlie competition less keen to-day than it was in 1878 V Are tile taiitT lines of tiie various countries of tlie world lower to-day than in 1S78 ? Is the tendency of the coinniercial countries of the world changed in tiie direc- tion of freer trade and lower duties? No, Sir. 'rii(>y have changed and are changing In the direction of greater stringency and more proliihitive tariff's, and circumstauce.s, if they have changed from ISTS to this tini(>, are stronger to-day in tlie direction of making Canada keep, for the sake of her trade and business interests, to the line of rensonalile protection, Instead of taking the line of free trade or of partial free trade. Why, to-day, after tiie Democratic adminls tration had lowered the duties to a small extent, but so far away from free trade tiiat tliey enjoy a tariff with an average of 4li jier cent on dutiable articles for home cousumptlon In that country, when they had given Canada some little better footing in their market by lowering to some extent duties ou agricultural products, what to- day has happened ? A Republican majority in the House of Representatives has sent to the Senate a Bill which proi)oses to raise the rate of taxation on all those articles, and to raise them so as to be prohibitive as regards the introduction of the products of Canada into the United States. Is that a reason why we should change our line of policy ? If in 1878 there was reason for the adoption of this policy, in 181)5 there is gri'ater reason that this policy slioukl be continued, and we should hold to it in Canada. Mr. MILLS (Bothwell). You say you have abandoned it. You claim you have taken oir ?0,tKK),O00. ■ Mr. FOSTER. No one is so foolish as to think that is an abandonment of the prin- ciple of protection. When the hon. gentle- man goes to the country and wages political warfare against this party and the Govern- ment the last thing he will say is that we liave abandoned i)rotecti()n. The lirst asser- tion and tlie only assertion he will make is, that we are hide bound protectionists, and that therefore we should be put out of ollice. CLOSER TRADE RELATIONS WITH TUB EMPIRE. Rut there is a line which I think it Is possible, and I believe it is liglit that the statesmanship of this country as well as of Great Britain and other colonies of the Empire should consider and ponder carefully and well, and that is whether it is not possible for statc^smanshlp in the colonies and Great Britain to bring about between the colonies as amongst them- selves and between the colonies and Great Britain concurred action which will be con- ducive to the commercial interests of both, and which will result in greater power and strength. I read an article but a little time ago in the " Nineteenth Century Review," in which the general question which is agi- tating many thoughtful minds at the present day was raised and discussed, as to whe- ther the Empire would be able to feed itself in the event of a war against Great Britain which would cut ofif her supplies from hostile nations. Feed itself ! Why, Sir, if statesman- ship is not able, practically to solve that ques- tion, statesmanship must find It impossible to solve any of the great questions, which from time to time present themselves for con- sideration. The Empire able to feed Itself ! Yes. This article showed that 100,000,000 bushels of wheat were necessary to Eng- land, other than what the colonies afforded her at the present time, in order to feed the people of the Empire there. One hundred millions bushels of wheat ! Wh.v, fifty thou- sand Canadian farmers with 100 acres each, in wheat, and raising twenty bushels to the acre, would produce the 100,000,000 of bush- els of wheat needed by Great Britain. And, what is fifty thousand farmers cultivating five millions of acres, compared Avith the English farmers wanting employment and the numbers of millions of acres of good wheat land in Manitoba and the North-west Territories, which has not yet been scratch- ed by the plough. Meats to the value of one hundred and forty millions of dollars would need to be supplied by the colonies, to make up for Great Britain's deflciencv, 39 Buppllt'd now from forclcn countries. Well, cattle, and horses, nnd i)ius In llliinltal>le quantity could he raised la this country. And as to butter nnd cheese ; fifty thousand farmers owning each lll'ty cows, amounting to 2,.%(K),0()0 In numbers, would sui>i)ly butler nnd cheese fjobiK far to me(>t the demands of Great Britain for such supplies. And, with the vast lands of the North-west, that Is not an estimate which cannot be reaciied, If adequate means wen* taken to brlii^ It about. So, Sir, I mijiht fxo on to amplify this. The sujjar which Is necessiiry for tlie consumption of Great Britain could be sup piled by the West Indies, and by the Kasi Indies, with the cultivation of the cane lands which arc now Rolng out of use, anil which by Its diminution is Impoverislilni; the planters and the Ijibourers of the West Indies. That industry niiffht again have Its period of tlourlshinpr and its reward of re- nuuieratlve production were concurrent ac- tion taken In Britain and the Islands. So. all the way through. It is a prol)lem whlcli only requires time and good statesmanshi|) to solve. And, as I sais in grand imperial unity ; the old enriching the new, nnd tlie new Im- parting fresh strength to the old,— through whose world-wide realm the blood of a com- mon <'ommerce should mingle wltii the blood of a common patriotism, whose power would con^ipel pen' „, and whose millions of happy people would march in the van of the fullest freedom and the highest civilization.