These considerations point out an important limitation to which, on
principle, the doctrines of free trade must be subjected. Perfectly just
in reference to a single community, or a compact empire of reasonable
extent, they wholly fail when applied to separate nations in different
degrees of civilization, or even to different provinces of the same empire,
when it is of such an extent as to bring such different nations, in
various degrees of progress, under one common dominion. They were
suggested, in the first instance, to philosophers, by the absurd
restrictions on the commerce of grain which existed in France under the
old monarchy, and which Turgot and the Economists laboured so assiduously
to abolish. There can be no doubt that they were perfectly right in doing
so; for France is a compact, homogeneous country, in which the cost of
producing subsistence is not materially different in one part from another,
and the interests of the whole community are closely identified. The same
holds with the interchange of grain between the different provinces of
Spain, or for the various parts of the British islands. But the case is
widely different with an empire so extensive as, like the British in
modern or the Roman in ancient times, to embrace separate kingdoms, in
wholly different circumstances of climate, progress, and social condition.
Free trade, in such circumstances, must lead to a destruction of important
interests, and a total subversion of the balance of society in both the
kingdoms subjected to it. To be conviced of this, we have only to look at
the present condition of the British, or the past fate of the Roman empire.
It is the boast of our manufacturers--and such a marvel may well afford a
subject for exultation--that with cotton which grew on the banks of the
Ganges, they can, by the aid of British capital, machinery, and enterprise,
undersell, in the production of muslin and cotton goods, the native Indian
manufacturers, who work up their fabrics in the close vicinity of the
original cotton-fields. The constant and increasing export of Britsh goods
to India, two-thirds of which are cotton, demonstrates that this
superiority really exists; and that the muslin manufacturers in Hindostan,
who work for 3d. a-day on their own cotton, cannot stand the competition
of the British operatives, who receive 3s. 6d. a-day, aided as they are by
the almost miraculous powers of the steam-engine. Free trade, therefore,
is ruinous to the manufacturing interests of India; and accordingly the
Parliamentary proceedings are filled with evidence of the extreme misery
which has been brought on the native manufacturers of Hindostan by that
free importation of British goods, in which our political economists so
much and so fully exult.
Public-domain text, read in full here on John Shaqi.
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