In the second item concerning "clothing ready made," after the word "including" and before the words "cloth caps" insert the words "knitted goods, viz: socks and stockings."

After the item concerning "proprietary medicines" and before the item concerning "prunella," insert the following: "All medicinal preparations, whether chemical or otherwise, usually imported with the name of the manufacturer, shall have the true name of such manufacturer and the place where they are prepared permanently and legibly affixed to each parcel by stamp, label, or otherwise; and all medicinal preparations imported without such names so affixed shall be forfeited."

ADDITION TO FREE GOODS AND CHANGES.

Agates, rubies, pearls, sapphires, emeralds, garnets, and opals, not polished nor otherwise manufactured.

Aniline dyes in bulk or packages of not less than one pound weight. Mineral waters, natural.

Celluloid or hyolite in sheets, lumps, or blocks.

Colors, dry, viz: blue-black, Chinese blue, Prussian blue, and raw umber. In pulp, viz: carmine, cologne, rose lakes, scarlet and maroon, satin and fine washed white, and ultramarine blue. Metallic colors, viz: cobalt, zinc, and tin.

Diamond drills for prospecting for minerals.
Dye, jet black.

Kainite or German potash salts for fertilizers.

Lumber and timber, plank and boards, sawn, of box-wood, cherry, walnut, chestnut, gum wood, mahogany, pitch-pine, rosewood, sandalwood, Spanish cedar, oak, hickory, and white-wood, not shaped, planed, or otherwise manufactured, and sawdust of the same: provided that hickory lumber, sawn to shape for spokes of wheels, but not further manufactured, shall be also free.

Settlers' effects, viz: wearing apparel, household furniture, professional books, implements, and tools of trade, occupation, or employment, which the settler has had in actual use for at least six months before removal to Canada, musical instruments, domestic sewing machines, live stock, carts and other vehicles, and agricultural implements in use by the settler for at least one year before his removal to Canada, not to include machinery, or articles imported for use in any manufacturing establishment, or for sale: provided that any dutiable article entered as settlers' effects cannot be so entered unless brought with the settler on his first arrival, and shall not be sold.

The following goods are added to the list of free goods:
Asphaltum.

Books, bound, which shall have been printed more than seven years at the date of importation, except that foreign reprints of English copyrighted books shall be subject to the copyright duty.

Books printed by any Government, or by any scientific association or other society now existing for the promotion of learning, and letters issued in the course of their proceedings and not for the purpose of trade.

Chronometers and compasses for ships.

Copper, in sheets.

Hatters' plush, of silk or cotton.

Iron and steel, old and scrap.

Iron beams, sheets, or plates, and knees for iron or composite ships. Iodine, crude.

Manuscripts.

Marble in blocks, from the quarry in the rough, or sawn on two sides only, and not specially shapen, containing fifteen cubic feet or over. Newspaper, and quarterly, monthly, and semi-monthly magazines and weekly literary papers, unbound.

Attar of roses.

Platinum wire.

Seeds, anise, coriander, fennel and fenugreek.

Spurs and stilts, used in the manufacture of earthenware.
Sausage skins or casings, not cleaned.

Valerian root.

Wire of brass or copper, round or flat.

Wire of iron or steel, galvanized or tinned, fifteen gauge or smaller. Wire of spring steel, coppered, for the manufacture of mattresses, number nine gauge and smaller.

Strike out the item concerning "Steel in ingots, bars, sheets and coils, railway bars and fish plates," and insert the following:

Steel railway bars or rails, and fish plates, and in sheets for the manufacture of saws.

The export of deer, wild turkeys, and quail in the carcass is prohibited. PAUL LANGE,

UNITED STATES CONSULATE,

Consul.

Saint Stephen, N. B., June 9, 1883.

THE CANADIAN AND AMERICAN TARIFFS.

REPORT BY CONSUL PACE, OF PORT SARNIA, ON THE CANADIAN AND AMERICAN TARIFFS AND THEIR EFFECT UPON TRADE AND MANUFACTURES.

THE CANADIAN TARIFF.

I have watched with much interest during the past few years what is known in this country as the national policy, being in fact the system of protective tariff inaugurated and carried into effect by Sir John A. McDonald and the party which sustains him. During the very active political campaign of 1877, the watchword of the conservative party was protection to Canadian industries. The reform party then in power, and under the able leadership of the Hon. Alexander McKenzie, took direct issue with the conservatives on this point. The result was a sweeping victory for Sir John and the party of protection. The time selected by the conservative leader for the introduction of his new policy could not have been better chosen, as it was during the great monetary crisis, when the business of this country (and most other countries of the globe) was suffering in the throes of commercial paralysis, the industries of the Dominion were languishing, and expressions of discontent were everywhere prevalent; but the decisive majorities which protection received at the polls must have surprised even the leaders of the "policy."

After election the reins of government were duly handed over to the victors, and the defeated reform party became once more the party of the opposition. It was confidently predicted that this party of protec tion, being on the question of tariff so decidedly anti British in sentiment, could not long endure in Britain's chief colonial dependency, and that the policy of Sir John would surely suffer defeat when it again sought the suffrage of the electors; but in this the advocates of free

trade, or low tariff, were mistaken. After a trial of four years it was found that this system had given new life to Canadian industries, and that it had gained friends from the ranks of the opposition; and a new election for members of Parliament, which occurred this summer, only expressed again the confidence of the Canadian people in a system which protects labor and its products. To say that Canada has not been benefited by the policy of protection would be to ignore facts in the outset.

At this point is shipped, by tri-weekly line of steamers, the implements of agriculture and tools of trade which are destined to play an important part in the development of Canada's great northwestern possessions. These products of the loom, the anvil, the furnace, the field, the workshop, and the factory are all the products of Canadian industry. Take away the tariff, and a more convenient market would doubtless be found for the pioneers of the British territory; but the factories and workships of Ontario, which are now crowded to their fullest capacity, would have to close their doors and discharge their artisans.

THE AMERICAN TARIFF.

Whilst upon the subject of tariff it may not be amiss to offer a few thoughts upon our own tariff legislation, and especially in its relation to the products of Canada. During the past year the price paid in Port Sarnia for merchantable combing-wool in the fleece was from 17 to 22 cents per pound. During the same period of time (being the season when farmers usually dispose of their wool crop) the same class of wool found ready market in Port Huron, Mich., at from 36 to 42 cents per pound. As only one mile intervenes between the two cities, and as the American duties on this class of wool, together with entrance fees, amount to only about 13 cents per pound, a number of Canadian farmers in this vicinity took advantage of this difference in price between the two countries, and sent their wool to the Port Huron market. The advocates of a diluted tariff will argue that if the duty on wool should be entirely removed, or reduced to but a fraction of the present rate, that foreign competition would step in and reduce the price of this product, and render much cheaper the price of clothing to the masses. Upon this point I have again to offer some observations as a witness in a number of instances.

These farmers from Canada, after having disposed of their wool in Port Huron, actually invested the proceeds in American ready-made clothing; brought the same back to Canada, and paid on it a duty aggregating about 27 per cent. ad valorem, and then claimed to have made money by the transaction both ways.

Some years ago Congress deemed it wise to remove the duty on animals of superior breed imported into the United States especially for breeding purposes. At the time, this action of Congress met the hearty approval of farmers and breeders everywhere, and I have no doubt but this legislation had a tendency to stimulate to some extent the desire on the part of the American farmer to improve the breed of his domes. tic animals. Large numbers of horses, cattle, sheep, and swine were purchased in Canada by American buyers for this purpose, and the sale of breeding animals still continues to a very large extent. The Canadian stock raiser was not slow in finding out that animals espe cially adapted for breeding purposes were in growing demand, whilst the prices of working horses, store cattle, and sheep, only merchantable when consigned to the slaughter house, the livery stable, or the plow,

had not advanced very materially in price. The animal which had been raised to the dignity of a breeder at once became much more valuable to the Canadian stock raiser, and as a consequence the price to the American buyer was correspondingly advanced, in most cases fully 50 per cent.

Here we have another lesson from observation and it teaches this: The only farmer who has been benefited by the abolition of the duty on breeding animals is the Canadian farmer; the mare which for ordinary purposes he had sold for $100 he now finds to be more valuable to the American buyer, as, in consequence of her admission to free entry, the purchaser for the American market can afford to pay at least an advance of 20 per cent., the sum which, under former tariff regulations, he was called upon to pay as duty to the United States Government. But the Canadian stock raiser does not stop at a mere advance of 20 per cent., but in most cases the value of breeding animals is advanced 50 per cent., and even more, and the transaction may be analyzed thus: The Canadian farmer gets $50 more than he would have received but for the abolition of duty on the mare he sells; the American buyer pays $50 more than he would have paid had the duty been allowed to remain, and the United States Government derives not a cent of customs revenue from the importation.

I speak of the free importation of breeding animals, as in this case it seemed to be the desire of Congress to remove, as much as possible, what seemed to be a burden to the American stock-raiser, and to inspire him with a desire to improve the breed of his animals. In some degree, as I have before intimated, he may have been encouraged to purchase superior animals for breeding purposes, but the cost of these animals has not been lessened to the American buyer by legislative enactment. As in all other like acts of legislation, it has only euriched the foreign producer at the expense of the American purchaser.

From the foregoing it will be perceived that the fiscal policy of Canada is based on the same principles as that of the United States. That it is avowedly so is conceded by those who framed and established it. Canada is not so well situated politically or geographically as the United States are for the development of native manufactories. This seems to be illustrated by the fact that while frequent attempts to establish large manufacturing concerns have been made in the province in Quebec, they have failed to retain the native population in the country; while the manufacturing towns of the Eastern States are full of French Cana dians, who there find employment in the mills and factories. Perhaps this may be accounted for by the rates of wages, which are higher in the United States than in the Dominion, while the cost of living is no greater. In order, therefore, for Canadian manufacturers to compete successfully with the United States, wages must be increased; because the hands will not work at home for less than they can get by going a day's journey. Besides, steady employment is not always to be had

on this side of the line. The superior advantages and better opportu nities to be found in the United States must continue to attract the young men of the Dominion to seek their fortunes by emigration. That it will be many years before this condition of affairs will change is evident; and not until the United States is much more densely populated, and the struggle for existence consequently intensified, will Canada begin to rise to that measure of prosperity, of which its vast resources undoubtedly contain both the promise and the potency. At the same time it must not be forgotten that the relations of the two countries are so intimate that prosperity in the one is surely reflected in the other. It is a fact that cannot be gainsaid that the people of the Dominion are at this moment beneficially sharing the good times which have reappeared within the past two years in the United States.

EFFECTS OF THE TARIFF.

CANADIAN TARIFF AND EMIGRATION.

The commercial agent at Ottawa writes as follows concerning the effect of the tariff on American trade with Canada, and emigration therefrom to the United States:

Owing to the operation of the new protective tariff, the imports of manufactures from the United States have fallen below any preceding year for a long period. The principal article, however, is anthracite coal; and this shows an increase from 10,000 tons brought in the last year to 14,000 tons in the present year. The duty of 60 cents a ton has therefore failed to affect the grade, it having been found impossible to force Nova Scotia coal as far west as this point, to compete with the American market. On the other hand, the trade in American refined sugar seems to have been completely killed by the tariff. Before the present tariff came into operation nearly all the sugar used here came from the United States, but now the trade is monopolized by two refineries at Montreal, which enjoy a protection that effectually shuts out all foreign competition.

The tea trade is also very much ent off from the United States by the law which placed a discriminating duty on all teas that do not come in unbroken cargoes to Canadian ports.

AMERICAN DUTIES AND CANADIAN EXPORTS.

REPORT BY CONSUL BLODGETT, OF PRESCOTT.

I notice by the press that there may be a modification in the tariff on hay. Will it be in order for a consul placed where a large amount of this article is exported to say a word on this subject?

There is hardly an exportation the real value of which is more variable, and noue where it is more difficult to arrive at this value, owing to different qualities and prices in different localities.

If a change is to be made, I would suggest a specific duty as better for the Government and exporter. I believe better faith is kept with the Government in exporting merchandise carrying a specific duty than ad valorem.

While on this subject of specific duties, I would like to say a word about hop poles, railroad ties, telegraph poles, fence posts, eggs, and iron ore. I am told that exporters of hop poles are protesting against the present duty, but they purchase with their eyes open, and every dollar they may recover from the Government is so much put in their pockets in profits.

Another thing is as certain-the moment the tariff is taken off hop poles, that moment they go up in price here just the amount of the present duty. It is so with all exportations. Butter pays 4 cents per pound duty. It is 5 to 6 cents less in price here than in American