History of merchant shipping and ancient commerce, Volume 3 (of 4)Lindsay, W. S. (William Schaw)
History
History of merchant shipping and ancient commerce, Volume 3 (of 4)
Lindsay, W. S. (William Schaw)
Commerce -- History; Shipping -- History; Steam navigation -- History
It was observed, further, that, if products from the Western States
could be transported to the sea more cheaply through Canada than
through America, the Canadian route would of course be preferred,
and thus the Canadian canals would engross the carrying trade of
the North-Western States of America. But if, on the other hand,
the advantage of the perfect inland navigation was more than
counterbalanced by the rates of freight from Quebec and Montreal to
Europe, the people of Western Canada, having no protection in the
English markets by using the Canadian lines of communication, would
send the whole of their produce by way of New York, and import such
articles of foreign consumption as they required by the same route.
So long as the colony enjoyed Protection in the British market
no injury to its commerce could arise, because the extent of the
protection was generally sufficient to prevent the owners from
divesting the Canadian produce of its British character, and it could
not become available for the home market of America, unless on the
payment of a heavy duty. Even with regard to American produce, the
provision in the old Corn Law giving to American wheat and flour the
same protection as Canadian if exported through Canada, with the
payment of 3_s._ per quarter duty in the province, was, at most
times, a sufficient inducement for many Americans to make shipments to
Montreal, as well as for the Canadians to make purchases in the United
States. When, however, by the repeal of the Corn Laws all protection
was removed, the question became one of mere cheapness of transport;
and taking an average of the preceding four years, the difference in
freight was no less than 3_s._ per barrel of flour in favour of
New York over Montreal.[60] Even when the benefits enjoyed by Canada
in her internal navigation, estimated at 1_s._ 6_d._ per
barrel, were deducted, there would still remain in favour of New York,
1_s._ 6_d._ on each barrel of flour—an advantage quite sufficient to
turn the whole export trade into that channel.
[Sidenote: Loss to Canada by New York line.]
As the United States then admitted the transit of Canadian produce
through their territory, the loss it encountered at New York arose from
the necessity of complying with the Navigation Laws, which forbade
its being imported into England in foreign ships (8 & 9 Vict., cap.
88, sect. 4). At the same time, it must, also, be noticed that, as
freight in British ships from New York to England was no higher than
the freight in American ships, this restriction, confessedly, had no
appreciable influence on the question of transmission through Canada or
the United States.
Public-domain text, read in full here on John Shaqi.
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