I am glad to see your bold measure on the Navigation Laws. You have no other course now open to you if you intend to keep your colonies. You cannot halt between two opinions: Free-trade in all things, or general Protection. There was something captivating in the project of forming all the parts of this vast British empire into one huge _Zollverein_ with free interchange of commodities, and uniform duties against the world without; though perhaps, without some federal legislation, it might have been impossible to carry it out. Undoubtedly, under such a system, the component parts of the empire would have been united by bonds which cannot be supplied under that on which we are now entering; though it may be fairly urged on the other side, that the variety of conflicting interests which would, under this arrangement, have been brought into presence would have led to collisions which we may now hope to escape. But, as it is, the die is cast. As regards these colonies you must allow them to turn to the best possible account their contiguity to the States, that they may not have cause for dissatisfaction when they contrast their own condition with that of their neighbours. Another subject on which I am very solicitous, is the free admission of Canadian products into the States. At present the Canadian farmer gets less for his wheat than his neighbour over the lines. This is an unfortunate state of things. I had a long conversation with Mr. Baldwin about it lately, and he strongly supports the proposition which I ventured to submit for your consideration about a year ago, viz. that a special treaty should be entered into with the States, giving them the navigation of the St. Lawrence jointly with ourselves, on condition that they admit Canadian produce duty free. An arrangement of this description affecting internal waters only might, I apprehend, be made (as in the case of Columbia in the Oregon treaty) independently of the adjustment of questions touching the Navigation Laws generally. I confess that I dread the effect of the continuance of the present state of things on the loyalty of our farmers. Surely the admission of the Americans into the St. Lawrence would be a great boon to them, and we ought to exact a _quid pro quo_. He was sanguine enough to hope that these measures, so simple and so obviously desirable, might be brought into operation at once; but they were not carried until many years later, one of them, as we shall see, only by aid of his own personal exertions; and his disappointment on this score deepened the anxiety with which he looked round upon the difficulties of his position, already described. On August 16 he writes:--