piness and prosperity of the people of that the provinces of East and West Canada, in which they deprecated the evils likely commercially to result to them, and in which they avowed as the greatest of all evils the danger which he (Lord Stanley) took the liberty of pointing out to their Lordships, that the consequences of the measure would not be wholly commercial, but would be political also; and that the people of Canada might, in consequence of this policy of the Government, be led seriously to consider whether their union with this country is of that paramount advantage which they have hitherto felt it to be. He would not add one single word to the force of that Address. Remembering from whom it came-remembering to whom it it was addressed-remembering the strong but yet loyal and affectionate terms in which it was couched-remembering at what time it came-he felt that it would be a satisfactory vindication of the apprehension which he had expressed to their Lordships. He deeply regretted that it did not arrive before their Lordships decided on the second reading of the Bill. He trusted, however, it was not yet too late to remove the apprehensions which had been entertained by the contradiction given to his statement by his noble Friend the President of the Board of Trade and the noble Lord opposite; and that when their Lordships again came to consider the provisions of the Bill for the total removal of all protection-he was not speaking of the sliding-scale or of the present amount which have for their object the repeal of the laws of protection-but when their Lordships affording protection to Canadian exports. First, came to consider the effect of the total it will discourage those at present engaged in removal of all protection from the agriculagricultural pursuits from extending their opera- tural interests of this country and the Colotions. Secondly, it will prevent the influx of re-nies, he trusted they would bear in mind spectable emigrants from the mother country, the loyal and dutiful Address unanimously agreed upon by the House of Assembly of Canada. It, therefore, becomes our duty, as faithful subjects of Your Majesty, to point out what we sincerely believe will be the result of the measures who, by their industry and capital, materially contribute to the rapid advancement of the interests of the Colony. And, lastly, it is much to be feared that should the inhabitants of Canada, from the withdrawal of protection to their staple product, find they cannot successfully compete with the United States in the only market open to them, they will naturally, and of necessity, begin to doubt whether their remaining a portion of the British Empire will be of that paramount advantage which they have hitherto found it to be. These, we humbly submit, are considerations of grave importance to Your Majesty and the people of this province. We trust we need not assure Your Majesty that any change which could tend in the remotest degree to weaken the ties that have for so many years bound the people of Canada to the land which they are proud to call their mother country, would be deemed the greatest misfortune that could befall them." These were the terms of the loyal and dutiful Address unanimously agreed to by EARL GREY had no wish to prolong the debate on the subject, but, after the speech of his noble Friend, he was bound to make one remark. He ventured to say, from what he had seen in the newspapers, that the tone of the discussions which took place in the Canadian Legislature, after the policy of Her Majesty's Ministers was known, was not one of despair or of alarm. Having not yet seen a statement of the subsequent discussions, he had no means of learning what had led to the change of opinion, and the reasons which had created apprehension. But he contended, that in the first instance, none of the existing apprehensions were entertained by the Cana dian Assembly, but that, on the contrary, | ties upon raw materials should be rethey combined to pass a Resolution expres- moved; that articles wholly manufactured sive of their confidence in the policy about should be subjected to a duty of 20 to be pursued by Her Majesty's Govern- per cent; and that those partially manufacment. He was satisfied that the measure tured should be subjected to a duty of 10 which had since been sanctioned by the per cent. A list of the principal articles Legislature would tend to the advantage with regard to which changes were then of our colonial and domestic interests. made, had recently been laid on the Table; Subject at an end. they amounted to nearly 600 in number; and reductions were made in duties which reached to upwards of 1,300,000. In the following year, 1843, still further reductions were made upon seven different articles; and, in 1844, four others of great importance, and involving large amounts of revenue, were included in the reduction; and, in 1845, the duties were proposed to be reduced on 112 articles, and entirely repealed on 54 of them. By these alterations very large reductions were made from articles from which we derived a large revenue; and a very large number of articles CUSTOMS DUTIES BILL. The EARL of DALHOUSIE proceeded to move the Second Reading of the Customs Duties Bill, and said that the Bill was made up of details, which he would not trouble their Lordships by entering largely into; but would content himself with stating generally the reasons which induced Her Majesty's Government to submit the Bill to the consideration of the Legislature. In 1842, one of the first acts of Her Majesty's Government was to sub-were expunged from it, as far as duties mit a proposal to the Legislature for a re- were concerned, although left for the purconsideration of the Customs laws, and poses of registration, and that the resources for a complete revision of the Tariff, with of the country might be ascertained. These a view to the removal of prohibitory, and changes, especially those of 1842, were the relaxation of protective duties. That introduced in the firm belief that the rewas not the first adoption of the principle; moval of the duties on the raw material of it was only following in the wake of that manufactures, and the reduction of duties course of commercial legislation commenced on manufactured goods, while beneficial to twenty years before, which had been gra- the consumer, would also give a stimulus to dually advancing in the direction the Le-trade, which would tend directly to the begislature was now called upon to take. nefit of commerce, and in the end leave To go no further back than 1819, consider- the revenue very little, if at all, a sufferer able reductions were then made in the by the change; and the mention of a very duties on the import of several foreign ar- few ticles; and between 1819 and 1826 still more numerous and important changes of the same character were made. There were great alterations even in the navigation laws, and in our colonial commercial policy; large reductions were made in the case of almost all the principal articles of import into this country, and with respect to some of them the trade was almost thrown open. It was found, however, in 1842, that there was still a mass of duties imposed upon different articles, regulated apparently by no one pervading principle; and that, in fact, no recognised principle This was only the amount entered for conpervaded our system of commercial tax-sumption; it did not include the amount ation. Under the superintendence of the noble President of the Board of Control (the Earl of Ripon), and the present Secretary for the Colonies (Mr. Gladstone), those articles were classified, and the charges regulated as far as possible upon a fixed scale-the principles applied to the Tariff being, that as far as possible du of the articles would show how this anticipation was fulfilled. In 1842, and again in 1844, very large reductions were made in the duty upon coffee, the duty on the import of foreign coffee having been reduced in the former year from 15d. per lb. to 8d., and on colonial coffee to 4d. He would state the amount entered for consumption three years subsequent to the reduction :In 1843 the amount was 1844 ... ... 30,000,000 lbs. 31,300.000" 34,300,000" imported, and afterwards re-exported. In 1844, a large reduction was made in the duty on sugar. He did not intend to enter into the sugar question then, as that article would form the subject of separate consideration on another occasion. He would only just state the effect of the reduction upon the consumption : 1845 1846 ... 254,000 cwts. ... ... 285,000 66 The same effect was observable under perhaps the most important head, viz., the exports. The total real or declared value of British and Irish manufactured articles in the same period, according to the same returns, was showing an increase since 1841 from 51,000,000 to 60,000,000 in 1845. As far, therefore, as regarded the imports. With respect to wool. In 1843 the amount and exports of the country, there was unentered was 48,000,000 lbs.; and in 1845, doubted proof that the reduction of the after the reduction in the duty took place, duties upon the various articles included the amount entered was 74,000,000 lbs. in the Tariff, had been attended with the Flax had also experienced similar results. most complete success. The effect on the In many material objects of consumption a revenue-not on the general revenue, but similar large reduction had taken place on the particular revenue derived from with the same results, as, for instance, in these articles-was not less striking. In the raw material of the linen manufacture, 1842, as their Lordships were aware, there in hemp, in indigo, in logwood, and in had been reductions made in the customs various dyeing materials. The Paper which duties of this country to the extent of he held in his hand would show their Lord-1,338,000l. The net produce of the cusships that in all those articles upon which this reduction had taken place, the anticipations which had been previously formed of an increase in the imports and the consumption were fully realized. But it was not, he needed not to remind their Lordships, merely to the import of the particular articles that they were to look for the effect of the reductions that had taken place; for though the import of any given article might not, at any particular time, have materially increased, still the stimulus which was given to trade by the impetus afforded by a reduction of duty in some one particular branch of industry, produced a movement through the whole, the effect of which was shown on the general exports and imports of the country. Accordingly, their Lordships would find, on looking at the account of the imports for the last four toms duties in that year was 19,643,000Z., exclusive of the duty on corn, notwithstanding this reduction. In 1843, there was a further reduction, equivalent to 171,000l., and yet the customs revenue for that year amounted to 20,200,0007. In 1844 there was a still further reduction to the extent of 286,000l.—and in 1845 a reduction to the extent of 2,418,0007.—a total of about 2,700,000l., and yet the customs duties, which amounted in 1844 to 21,000,000l., amounted in 1845 to 19,000,000l. This showed that the reduction of duties had not been followed by a corresponding deficiency in the revenue; the actual deficit being only 1,200,000Z., whereas the reduction was 2,700,000l. The sum of the whole was this: that, whereas in the four years-1842, 1843, 1844, and 1845-there had been reduc 1 ductions of the customs duties on the trade and prosperity of the community had been realized, that it was resolved, on the part of the Government, to submit to their Lordships a still further reduction. Accordingly, Her Majesty was advised to suggest from the Throne whether it would not, looking to the history of the past, be desirable that their Lordships should consider whether a further removal of prohibitory and restrictive duties might not be tions in the customs duties to the amount | articles connected with them. He had of 4,214,000l., yet the customs revenue now given their Lordships very shortly an amounted in 1845 to 19,800,000l., whilst outline of the effect of the reduction of in 1842 it amounted to only 19,600,000l.; duties during the last four years; and it that was to say, that whilst there had was on a review of these facts-it was been a reduction in the customs duties of from observing that the anticipations en4,200,000l. in four years, the customs re-tertained with respect to the effect of revenue was larger in the last of those four years than in the first by 200,000l. No stronger proof could be afforded that the reduction of duties, while it increased the imports and exports of the country, decreased in no material respect the particular revenue arising from those articles on which revenue was raised. He (the Earl of Dalhousie) did not wish for a moment to lead their Lordships to suppose that he wished to represent that the whole of the increase in the customs revenue was trace-advisable. The Tariff which he now had able to the reductions which had been the honour of presenting to their Lordmade in the customs duties-very far from ships comprehended very many articles, it: but what he had a right to contend for and proceeded in the same direction as the was, that the anticipations expressed that Tariffs of preceding years; it was reguthe reduction of the customs duties would lated by the same principle, but in a difnot only be injurious to the community ferent degree. By the 4th Clause of the but to the revenue, were completely con- Bill, it was proposed that the duties should tradicted by these figures, inasmuch as be removed entirely from all articles of they showed that the customs revenue had food of first necessity, whether they conincreased by 200,000l.; and if that im-sisted of live animals, or of meat fresh or provement were not to be attributed to preserved, or meat in any shape that could the reduction of the customs duties, it be called an article of necessity. In conmust be owing to the improved condition formity with this principle, actuated by the of the people. Thus he had the fact that desire to do strict justice, and in considerthe reduction of the duties had not dimination of the other measure, to the princiished the revenue, and had not been at-ple of which their Lordships had given tended with those injurious effects on the population which by some had been prognosticated. He was aware that much of this prosperity might be attributed to favourable circumstances in reference to the bountiful harvests with which it had pleased Providence to bless this country. He was ready to admit that; but, nevertheless, their Lordships would recollect other times, when harvests had been equally bountiful, and when the same effeets had not been shown on the customs revenue. So, while he admitted that the bounty of Providence in bestowing fruitful and abundant harvests had had some effect, he was not prepared to admit that to that circumstance was to be assigned the entire result. He was entitled likewise to attribute the increase in the customs revenue to the reduction of the duties on raw ma-veral articles of cotton, woollen, and linen terials, reducing the price of articles to the consumer, and leading not only to the increased consumption of the particular articles with respect to which the reduction of duty was effected, but also of other their assent on a previous evening, it was felt by Her Majesty's Government that they could not, upon any principle of justice or good faith, keep up a protecting duty upon any articles of manufactures which came under the same category-on woollens, on linens, and on cottons-with the exception of those articles which were made up for the purposes of luxury less than for those of general use and necessity. The duty was, therefore, proposed to be removed from all articles manufactured from woollens, cottons, and linens, in the mass, except those articles which were manufactured for luxury, such as damask table-cloths and cambrics, and others of a like nature, on which a certain amount of duty was still to be retained. He held in his hand a return of the value of the se entered for home consumption in the last year. It appeared that the value of the articles made from cotton was 39,1007., while the amount proposed to be repealed upon these articles was 35,000l., leaving only a duty upon 3,600l. to be levied. | manufactured articles, whereas that of Again, upon woollens the value of the im- 1842 was 20 per cent. There were two ported articles manufactured abroad was other articles of consumption upon which 162,000l., and it was proposed to reduce the duty was now proposed to be altered, the duty upon 158,000l. of these; conse- namely, butter and cheese. In 1842 these quently the value of the articles on which articles had not been touched purely upon the duty was to be retained was about consideration of revenue, because both pro3,000l. There was some difficulty in re duced large sums to the public. But when gard to linens, as one portion of the arti- it was proposed to reduce the duty genercles made of it were taken by value, and ally upon food and clothing of all kinds, it another by measurement; but it appeared would be at once inconsistent and unjust to that the value was 12,4531., the value of omit them for that reason from the reducthose upon which it was proposed to reduce tion. When their Lordships came to the the duty was 9,900l., being cambrics, Committee he would be prepared to state French lawns, embroidered handkerchiefs, the case at large; but he believed that the damasks, diapers, &c., all purely articles quantity of these articles introduced into of luxury, and not of necessity to the great this country from abroad, as compared with body of the people. He was anxious to the produce of England and Ireland, would make this statement, because at the outset be found to be very insignificant, and that the Government had been met with the ob- the price of the articles depended not upon jection that inasmuch as the measure was the amount of the duty, but upon the para free-trade measure, the principle of excep- ticular demand for them in certain places. tion, as applied to any article, was one of The other articles which it was proposed to injustice and that the whole duty should deal with were brandies and generally founder such circumstances, be removed, or reign spirits. The duty upon them at preotherwise not removed at all. But in sent was 22s. 6d. the gallon. It was well point of fact, with respect to those articles known to their Lordships that in spite of of linen on which the duty was retained, all the exertions of the Custom-house, the they were purely articles of luxury; and quantity of these articles brought into the with regard to those which were composed country surreptitiously was extremely large. of linen and woollen, they were principally The Government were of opinion that the made-up articles, such as shirts and other duty of 22s. 6d. was a far higher duty than matters of that kind, which gave employ- the article would bear, without fostering ment to the poor when made in this coun- smuggling. The Government did not antry; and in justice to them the duty on ticipate, by the reduction they proposed, these articles should be retained. The any very general increase of consumption. next article on which the duty was to be But their object was to defeat the operaremoved was silk; but as his noble Friend tions of the smuggler, and only to impose near him had given notice of a Motion on such a duty as would not make it worth that subject on going into Committee, he his while to carry on the illicit trade; so (the Earl of Dalhousie) should not detain that the article when imported, would be their Lordships by dwelling on it then. He sent through the Custom-house, and a should merely state the single fact that, demoralizing and irregular trade extinwhereas the duty upon that article now guished. The last article to which he professed to be 30 per cent upon the value, should refer was one, the reduction of in consequence of the alterations in value which was only prospective — namely, which had taken place since 1826-the timber. In 1842 a reduction had been period of the last regulation of the Tariff made in the duty upon colonial timber to as respected it-the duty had practically 1s.--a nominal amount; while upon foreign increased, so as to be now in effect 100, timber it had been reduced, in 1843, from 150, and even 200 per cent. In the Tariff 55s. to 25s. The return which he had alnow proposed, the whole was calculated at ready alluded to showed the effect of the a uniform duty of 15 per cent upon the reduction upon the imports of articles in article. In like manner, in respect to the periods that had intervened. Between articles manufactured of metal, brass, iron, 1840 and 1842 the customs duties on steel, lead, tin, &c., the principle of the timber were computed on a different prinduty in 1842 was 20 per cent upon them; ciple to what they were subsequently. In but it was now proposed to reduce it to 1842, under the new system, they were 10 per cent. The ruling figure of the taken by measurement. These were the Tariff now proposed was 10 per cent upon returns as regarded |