equitable duty upon the imports. The same objections have been raised at Bahia and other places. The arrangement above alluded to did not long continue in operation, in consequence of not receiving the sanction of the Brazilian government. The difficulty is now greatly augmented by the continued depression in British manufactures. Printed cottons, rated in the _pauta_ at seven milreas four hundred reas each piece, and upon which valuation the duty of fifteen per cent. must be paid, were not worth more than from three milreas two hundred reas to three milreas six hundred reas, in the Pernambuco market at the close of 1820. This produces a result so manifestly against the British merchant, that it must ultimately prove ruinous to him. Memorials have been presented to the Hon. Mr. Thornton, relative to these injurious consequences of the _pauta_, and the British merchants connected with the Brazil are in expectation that the attention of their government will be drawn to this important subject, when its wise and enlightened policy will no doubt obtain the desired relief. There can be but one opinion that the convention, if it applied to imports generally, is the only just principle upon which this matter should rest, provided it were divested of the grievances just alluded to; for the accomplishment of which, the merchants of Bahia have been the first to present a memorial to the Brazilian court. It was understood, before I left Rio, that the measures which had been practised for the benefit of individuals, and not of the government, were ordered to be discontinued by his Majesty, as contrary to the letter and spirit of the convention. Having, however, referred to those practices, it may not be irrelevant to state one instance out of many that were communicated to me by the merchants at Rio de Janeiro. The obligations of the convention are, that the merchant shall give in an attested invoice of the value of the article, and if the government do not consider it a fair one, they have the option of taking the goods by paying ten per cent. upon the price. A merchant received a quantity of goods, which, had he despatched at the cost price, he would have sustained a serious loss, in consequence of the low ebb at which they then stood. In the course of twelve months, a demand arose for the article, and he gave in an invoice at the cost price to pay the duties upon. The _administratador_ of the custom-house finding, (no doubt from his agents,) that he could obtain a good profit, informed the merchant that the ten per cent. in addition to the price given in, would be paid, and the goods kept; consequently the merchant was deprived of any advantage he might have received from running the risk of retaining the goods for so long a time, without mentioning the loss of interest; besides, in those cases it has happened, that the goods have been previously sold by sample to a dealer, who insists upon their delivery, or a pecuniary allowance.