ARTICLE V. ILLINOIS AND MICHIGAN CANAL. We published in the June number of the Western Journal an article from the Des Moines Valley Whig with some remarks of our own on "the course of trade," in which it was shown that the prices of wheat had ruled higher at St. Louis than at Chicago since the year 1848, and for the purpose of sustaining the views expressed in that article in regard to the course of trade in the West, we now avail ourselves of the following facts, which we extract from the Circular of the President of the board of Trustees of the Illinois and Michigan Canal, addressed to the subscribers to the loan of $1,600,000 for completing that work. The President says: "In reviewing the operations of the season of 1850, we shall find in an examination of the returns of articles transported on the Canal a very unexpected result, viz. that wheat and other breadstuffs, instead of passing through the Canal, from the Illinois river to Lake Michigan, have taken the opposite direction, and large quantities have been drawn from Michigan and even from points as far as Buffalo, for the supply of the St. Louis market, the prices there having been such as to create this unlooked-for diversion; a consequence of this has been to withdraw from the Illinois river articles of food, in large quantities, which ordinarily would seek a market eastward, via the Canal and the lakes. "For example, between the opening of navigation and the 31st August, the wheat and grain which was shipped at Chicago for St. Louis was equal to 265,000 bushels, and the quantity arriving at Chicago, in the same time, less than 40,000 bushels. Again, the quantity cleared at La Salle, in 1850, was but 161,000 bushels against 290,000 in 1849. In the article of corn this is still more striking; the quantity cleared at La Salle, in 1850, was 104,000 bushels against 632,000 in 1849. This condition of the trade prevented boats from Chicago, with lumber, salt, and merchandise, down the Illinois river, from securing any return freight. "In addition to this untoward circumstance, cholera made its appearance again; the water in the Illinois was unusually low from the middle of May to the middle of August; the interruption to the navigation at the busy season of the year by the breaks in the Canal, and finally, the uniform higher prices paid in Saint Louis for produce than in Chicago. "Notwithstanding these serious drawbacks, the general result of the operations of the year exhibits a small increase in the revenue, of from 118,395 in 1849 to 125,504 in 1850, with the prospect that the business of 1851 will be more favorable than that of the past year." It would seem from the language used by the author of the circular, that the projectors of the canal and those most interested in its operations, had never expected to see wheat and flour produced on the lakes, pass through it to the Mississippi river. Like the people of St. Louis, they supposed that the surplus bread-stuffs of the rich valley of the Illinois would all pass through the canal on its way to a market, and this was regarded, we believe, as one of the principal sources of its revenue. How far this "" very unexpected result" will affect the utility and revenue of the canal, cannot be determined until the valley of the Mississippi becomes more thoroughly settled and its resources more fully developed. But it may be doubted whether the Illinois and Michigan canal will ever be used as a great thoroughfare for the transportation of breadstuffs in either direction. As a general rule a large portion of the surplus produced in the immediate vicinity of the lakes should go east, while that grown in the valley of the Illinois should go south, and consequently the transportation of grain on the canal will be confined, in a great measure, to that produced in the vicinity of the line. The President of the Board of Trustees gives the following facts relating to the business of the canal since the year 1847: "The aggregate number of miles passed by boats navigating the Canal in 1850, was 333,141, equivalent to 3,501 boats through the entire Canal. "The aggregate number of miles travelled by passengers, was 2,967,384, equivalent to 30,910 passengers through the entire Canal. "Taking some of the same articles transported on the canal in 1850, it will be seen where the increase is, and where the decrease in the articles enumerated has taken place, for example: Lumber, thousand feet,...... 15,425,357 26,882,000 38,687,528 Tolls received.... $87,890 $118,375 $125,504 "The following table is extracted from the General Superintendent's report; it exhibits the cost of maintenance and repairs in each of the years 1848, 1849 and 1850: deducting from the gross sum for each year the cost of extraordinary repairs rendered necessary by freshets, value of tools and materials purchased and on hand, in each year, &c. The balance will show the sum properly chargeable to ordinary repairs. 1848. 1849. 1850. Total maintenance and repairs......$43,197 $70,922 $58,415 Deduct items enumerated above..... 6,744 26,999 19,996 Cost of ordinary repairs, ...........$36,452 $43,922 $34,418 The following statement furnished by the clerk in the collector's office at Lockport, shows the direction in which flour and other produce moved on the canal during the year 1850. "The following statement taken from the abstract of articles arrived and cleared at the Collector's office, La Salle, shows as nearly as possible, the amount of the articles specified passing out of the Illinois river, but is not absolutely definite, as we cannot tell what proportion of articles cleared at that office came out of the river, that portion bought at La Salle for shipment on the canal being included, and on the other hand those articles which arrive, destined for points down the river are specified in connection with those which go no further than La Salle. It may be assumed however that by far the greater part of articles arrived go into the river and that a proportionate part of articles cleared came out It is worthy of observation that while 29,997 barrels of flour moved South against 419 going North, 159,097 bushels of wheat moved North against 117,793 bushels going South. This would seem to imply that the facilities for manufacturing were greater in the region of the lakes than at St. Louis, but such we believe is not the case. We infer therefore that this peculiarity in the movement of flour and grain was occasioned by the state of the Southern and Eastern markets at different seasons of the year. COMMERCIAL STATISTICS. We are indebted to the Merchants' Magazine for the following statement relating to our foreign commerce for the first six months of the current year. The most startling item in the account is the large exportation of Specie, amounting to $19,093,515 against $2,453,732 during the same period of last year. This is a state of things which we have apprehended ever since the discovery of gold in California: that, instead of aiding in the development of our own resources, it would be absorbed by our foreign commerce and exported chiefly to Great Britain and serve to sustain and strengthen the agricultural, mining, and manufacturing interest of that country to the injury of our own. The large increase in the importations of silk indicates an alarming propensity on the part of our people to indulge in luxury, instead of applying the profits of labor and commerce to more substantial purposes. What have we received in exchange for $19,000,000 in specie that has added to the solid wealth of the country? and what would it not have done for our own agricultural, mining, and manufacturing interests, if it had been permitted to remain at home? These inquiries challenge the serious consideration of every American citizen. EDITORS. Money, in all of our principal cities has been in better demand, and generally at rates above those current at the corresponding period of last year. Still, there has been no distress in mercantile circles for the want of funds, and the character and credit of business men, everywhere, have been unusually well sustained. We continue to receive a large amount of gold from California, the total for June exceeding that of May, as will be seen by the following statement of the deposits and coinage at the Philadelphia and New Orleans Mints : Total coinage 442,000 $1,106,500 2,665,827 $3,709,858 17 The banks in the State of New York have been called upon to make up their quarterly returns, to the 21st of June; the following is a comparative summary of the statement of the city banks; the list of the country banks is not yet completed :— CONDITION OF NEW YORK CITY BANKS AT THE DATE SPECIFIED. Loans & Disc'nts. Specie. 17 Incorporated Banks.....$39.735.855 $5.793.229 $4.277.779 $23.849.499 20 Associated Banks....... 30.978.404 37 Banks, July 21' 1851.... $70.714.259 31 Banks, March 29, 1851.. 67.515.510 29 Banks, Dec. 21, 1850.... 65.454.349 28 Banks, Sept. 28, 1850 ... 62.466.800 27 Banks, June 29, 1850.... 59.878.038 2.141.422 2.801.807 16.887.150 From this statement it will be seen that during the last year the loans and discounts have not kept pace with the increase of capital and deposits, which is doubtless owing to the fact that the specie has fallen off nearly three millions. The following is a condensed statement of the condition of the Bank of Tennessee and Branches, on 1st of July : |