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JlOU$~ of etommons i1~bat~s FOURTH SESSION -SIXTH PARLIAMENT.

HOUSE OF COMMONS.

TnvltsDAY, 27th March, 1890.

The SPEAKER took the Chair at Three o'clock.

PRAYEltS.

PRIVATE BILLS.

Sir HECTOR LANGEVIN moved: That 88 the time for the reception of the reports of the the same be COlllmittee Oil Private Bills expire" to-day, extended until Thur8day.

17th April next.

Motion agreed to.

:M:ESSAGE FROM HIS EXCELLENCY.

:Mr. FOSTER presented a Message from His Excellency the Governor General.
:Mr. SPEAKER read the :\Iessctge as follows : - S ANLEY {II<' PR~;STO~.

The Governor General transmit8 to the House of Com mons Supplementary Estimates of sums required for the Serviee of the Dominion, filr the year ending aOth June, 1890; and in aeeord:tnee with the provisions of" The British North America Act, 1867," he recommends these Estima.tes to the House of Commons.

GovlmN~n:NT Bovs}:, OTTAWA, 26th March, 1890.

WAYS AND MEANS-THE BUDGET.

Mr. FOSTER.


Mr. Speaker, in rising to-day to the to present my second annual statement House respecting the financial operations of the completed year 1888.89, of the current year and my estimates for the year succeeding, I think I may congratulate the House and the country upon the satisfactory nature of one and all of these three.

think I may also congratulate the House and the country upon the results ')f the past twelve months.
They have not disap pointed the hopes which Were expressed concern ing them when I made my annual statement a little more than a year ago.

The general state of the business of the country has been reasonably in good, and although a defioiency of harvest I some portions, and the unseasonahle stitte of the we:tther, and the somewhat low prices which ranged for some of the stampIe artides, han~ had their depressing effects, on the whole the ye:tr hafo:$ heen, as I have sta.ted, a fairly average one.
The general trade of the eOllntry has kept up, aIHI in fact somewhat exceeded that of the preceding year, and, as a eonselluellce, the returns \vhich were anticipated hayc lJeen fully, or very nearly fully realised.
The railway huilllillg lluring the past year has heen vigorous, as will oe shown later when I come to spe:tk of the sums which ha"e heen taken from the puhlic treasury ill thc way of payment on construction of railways whid] han~ been suhsilliscd, and the volume of tmffic which has heen movel1 in our country has heen larger ()eean than in any preeetliug ycar of its history.
freights htwc continuell high, awl the vessel owners of the maritime portions of the Dominion have reaped a rieh and well-merited reward from the vessels which they have OWJ!Cll, while upon the great lakes and ri "ers of Cannda the tonnage has been well employed and the se:tson has hcen fairly I filHl that the immigration of this remtlJlHativc.
year has been superior in numhers and superior awl in class to that of IIMny preeelling years, lIOW titkillg there arc indications that place, which is to lIe, the strongest country; factor namely, the formation of ,t nucleus of people in our country, especially in the North-"'est, who having p~~ssed the earliest a,wI scyerest stages of settlement, and h:wing come into prosperous and are writing home to their settlell comlitions, friends and spreading information, which is the strongest ttIld best means of dmwing immigrants from those far-off countries to our own shores.
Not only htwe those interest" of whieh I have spoken been prosperous, but, I think I may say, from a general review, that the lumber interests have had, on the whole, a satisfactory year.
The farmers and the fishermen have prohahly had than an twcrage not more, their condition is year; but, taken on the whole, one of reasonable prosperity, and without the want in drawing people into that is I helieve, if not something less, this 2531* [COMMOKS] 2532* of the generosity and hardship which are found in many countries outside of Canada.
\Yhile the internal trade and the condition of the country has been thus fairly satisfactory, there has been something done as well towards the realisation of the hopes which have been entertained for a number of years, and which were placed in a permanent way of being fulfilled last year, by means of this House, which granted a sum of money t,owards the establishment of swift communica,tions between Canada and other important sections of the world.
Since last year a contract for building the Cana dian Pacific vessels which are to ply between Van couver and Victoria and China, and Japan has been let, and within a year we shall see some of the best equipped and swiftest \'essels making their regular voyages between our country and those far regions of the East, between which there will spring up, I believe, a very large and a very profit The Atlantic fast service has not able trade.
maiierlised, but the failure has not been due to any fault of the Government.

A contract was entered into which it was supposed would hanl had the result of placing a satisfactory line of steamships on the ocean between our ports and those of Great Britain and France, but various causes which are well known to hon.
memhers-the great rise in prices of ship-building, stimulated as they were by the rise in freights and by the operations of the British Government as well-rendered the fulfil· ment of th at contract impossible, and also made it impracticable, for a little time at least, to go into the market and supplement the effort which had failed to bring about the result we supposed it would.
The \Vest India trade, for which a sum of money was granted last year, has been inaug urated, and we have now three direct lines, with monthly sailings, between the ports of the Mari time })rovinces and different ports of the \\ est Indies and South America.
The two which ply between Halifax, .Tamaica and Cuba, respectively, are routes which have been heretofore tried; the one which plies between the ports of St. John and Demerara, in connection with the \Vest India Islands, is a new venture, and I am happy to be able to state to the House that, notwithstanding the newness of the enterprise, the numerous ports which have to be called at, and the expensive nature of these as ports of call, the nioneer sailings have been eminently successful, and the interest which has been awakened in the West India.
Islands, and morc especially in our own country, lea.ds us to believe that these lines will develope a large and growing trade hetween our country and that section of the southern country to which we must look largely as au outlet for our products in the future.

Taken all in all, we have passed a Mr. FOSTER.


yca-r in Canada in which want has been practically llnknown, in which labor has been well employed, and has found good remuneration, in which peace and order have abounded in all our borders, and out of which the 5,000,000 people, who have enjoyed the blessings of prosperity and peace in their homes look for the advent of other years, the successors of the past, equally prosperous and equally happy.
Coming now more particularly to the first part of my duty, which is to lay before the House a statement of the proceedings of the year 1888-89, I may say that the estimates of revenue compare with the receipts as follows :- R};n;xUl';' 1888-89.

Estimate.

Actual Receipts.

DIfference.

Customs .... $23,533,971 =$1~1,726,783 + $ 192,812 Excise.

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7,068,143 = 6,886,738 - 181,405 8,169,:M9 + 170,169 Miscellaneous 7,999,180= .
Totals .. $:l8,6Ul,294 = $38,782,870 + $181,576 This is satisfactory, not only as regards the close ness of the estimate to the amount which was realised, but also as regards the sum total which was rea.lised as the revenue of the past year.

Com· paring 1888-89 with 1887-88, the results are most satisfactory.

The Customs show an increase over the preceding year of $1,620,857, or n per cent.

; Excise, an illcr-ease of $815,252, or J31 per cent.
; and Miscellaneous shows an increase of $438,299, or 5~ per cent.-aml the total increase was $2,874, 408, or an increase of 8 per cent.
over the revenue If we take the revenues realised in 1887-88. derived ill 1880-81 and compare them with those of last year, we will find that the increase in Cus· toms and Excise has heen 28 per cent., and the increase in Miscellaneous 43~ per cent., and when we consider that this last is made up of invest ments and earnings, it is satisfactory to find that the larger increase is in that particular line of our rc\'enues.

The figures are as follows : - Cutsoms and Exercise.

Miscellaneous.

Total.


$23,942,138 00,613,522 $5,693,158 8,169,347 $29,63.5,297 38,782,870 1880-81 1888-89.

Increalm ..... $6,671,:-J84 28 II.C.

$2,476,189 43~ p.c.

$9,147,573 or 31 p.c.

The following are the principal items from which increased Customs duties were received lut year, as compared with the year 1887-88 :- , t 10,044 Animals 15,218 Arrowroot, biscuits, &c ..•,........

Grain (If all kinds..... 50,.510 Flou r and meal....................... 106,015 56,706 Carriages.

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Car(tets, N. E. S.... 8,4~ 14,1112 Coal and coke.

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6,906 2533 [MARCH 21, 1890.]

Fancy goods $ 24,332 Flax, hemp, &c....................... 30,220 FruHs and nuts, dried.

5,213 Gutta, percha ..... '" .

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21,3.

'n Iron and steel .

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.. 318,739 Leather, ma.nufactures of.

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'"">6 Marble, and manufactures of .

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3,741 8,554 Musical instruments..... .....•.....• Provisions.

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]56,328 Silk 60,369 Soa.p .

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6,527 Spirits and wines ]91,003 f'tone.

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4,764 Sugar of all kinds ....•.......•...... 242,300 Molasses.

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7,584 Su~ar candy......... Toha,cco.

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48,853 46,218 'Vood .

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162,110 Wool, and manufactures of.......... '" .. .. .. .

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In the following articles there has been a falling off in the duties paid :- Bricks and tiles ,$ Coffee .

Drugs ....•.......................... Embroideries .

Fish ...............................•.

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Fruits .

Furs Gloves ..

Hats .....•........................... .

Metal .

Oils .

Paints .

Seeds ll.nd roots.......... .


5,030 3,665 ]0,233 6,942 3.778 27,765 5,991 ]3,319 5,289 5,280 ]6,073 5,261 35,607 "Then we come to Excise, we find there has been an increase all round, as will be seen by the follow_ ing table :-- .. aIt .. ·· ~irits.·1' 2,405,7]6 gals.I 2,972,mnI $3,873,n07!

1 48,640,467Ibs.

or 5] ,111,429 ~ I 15,944,rJ02gals.

Iii,363,349 , 92'599'1\201 fl3O,949 56..'l,172 I Cigars .. 9O,783,5S8 T'b'eo ~ Citrs &/Sn'tf 9,248,033 Ibs.

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9,749,213 1,840,522 I $6,808,250 $914,598 -----'-----_...:...._-_.--:---- $774,591 30,922 9,105 99,\180 It is satisfactory to know that this increase of spirits is not supposed to represent a corresponding It is explained increase in their nse as a beverage.

a,s being by the Inland Revenue Department largely due to the duty paid alcohol taking the place of methylated spirits in the preparation of tinctures and liniments and the like.

For the information of hon.


gentlemen, so that they may not have to refer to the report, I have a statement showing the use per head of spirits, wine, beer and tobacco, comparing 1867 with ] 888-89 : 2534 Tobacco.

Ib8.

2'116 2']53 On what Spirits.

Beer.

Wine.

galls.

gall~.

gall~.

'143 2·633 1'176 '09i 3'263 '776 Sir RICHARD CARTWRIGHT.

Averu,ge since 1867. .

1889. .

do do population is the percentage based?

that Mr. FOSTER.
that Mr. FOSTER.

On the percentage used by the Customs Department in the calculations of it~ averages.

Turning now to the question of expend it would iture, it was intimated last year reach $36,600,000 ; the actnal expenditure has been $:J6,917,834, an increase of $.'U7,834.
To show how this increase came about, I way state that the amount expended for interest on the public debt shows an increase oyer 1888 of $325,618; superan nuation, an increase of over $6,000; militia, an increase of over $50,000 ; mail subsidies and steam ship subventions, increase; ocean and a slight river service, an increase of $106,636; lighthouse and coast service, an increase of $22,521; expend iture upon Indians, an increase of $112,000 ; mis cellaneous, an increase of $128,000.
There were also consiclerable items of decrease, but taking the two together, they show a difference of expend iture over that of the estimate, of $.'U7,834.

The I1mount that was estimated for revenue, as I said before, was $.18,601,294; the amount which was actually received was $.'38,782,870.
I estimated last year that we would have a proba.ble sur plus of $1,900,000, the actual surplus is $1,865, 035, a surplus which was very close indeed to that which was estimated, and which was very satisfactory, as showing an increase over the pre ceding year.

Taking the surplus of the past year and adding to it the sinking fund, which is so much offset against the public debt, the two sums amount to $3,601,679.
Taking the minus surplus of 1887 8B and the sinking fund of that year, they amount to $1,129,046; so that the operation of the past year as compared with that of the preceding year, counting surplus and sinking fund together, shows a favorabl(' difference of $2,472,633.

The follow ing table shows the capital expenditure, estimated and actnal :- E ' Capital Expenditure.

1 stlmatec .

Railways and Canals ..... $2,772,867 3&'>,700 Public Works.

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Dominion Lands.......... 100,000 1,205 North-West Rebellion.... 3,094,386 Redemption of Debt.

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1,183,428 Railwll,y Subsidies .... , l Over Aetna.

Expend't $3,682,774 $909,907 189,708 30,684 30,243 421,705 336,707 575,408 130,684 31,448 3,516,091 846,721 $7,537,586 $8,78.
'l,126 $1,245,540 In railways and canals, the excess is owing to the fact that these works were under contract and they were pushed with great "igor, and conse lluently earlier and larger payments had to be made 2535 [COMMONS] 2536 I a of net addition find that anticipated.

In public works there was a capital of the year will amount to $113,000.
than were the 1259,352; from Excise, $5,li9,220, and from mis ~ncl:ease was caused by [1n expenditure of $243,334 1 cellaneous, $5,440,932, or a total of $2y,.8i9,504.

In the I If we were to proceed upon the SUppOSItIOn that Ill, lluprovemcnt of the St. Lawrence.
from the 20th March to the 30th redemption of debt the increase in the expenditure i we would get oyer the estimate is owing to the fact that we IJune of this year the same revenue in propor have redeemed $300,000 o,f 6 per cent., cur,reney of I tion that we received during the same period Canatla, British Columhia Bonds, $3:~,O()O, and last year, it would add to these amounts: from some A and B stock, making a larger expenditure I Cnstoms, $6,91:{,819; from Excise, $1,914,7:17, for rCl1emption of deht than Was anticipated, hut and from miscellaneous, $3,080,238, or a total of whieh is, of course, so much of our debt moved $11,908,794, which would give a total revenue of In regard to railway suhsidies, it $39,788,298.
But I cannot proceed altogether upon out of the way.

that assumption.

is a difficult matter to estimate with any degree of the revenue has certainty what will be the expenditure, as it is somewhat diminished since the 1st January, in the work will be comparison with the same months of the preceding not known with what yigor the con pushed, or how many of these companies may year, and a proportionate allowance for tinuance of this diminution during the remainder make contracts and go on with their work.
De.

dncting redcmption of debt, In the latter of $;3,267,0:~5, against a part of 1888-89 there was credited to the Con· expcnditure htst year capital expenditure, exclusiye of redemption of solidated Revenlw Fund an amount of accrued debt, of the preceding year, of $3,464,321.

The interest of about $100,000, as was also an amount net deht on the] st .J uly, 18S8, was $234,53] ,358, of $3i5,OOO from Open Railway Accounts.

These showing an addition in that year of $7,216,583.
sums will not to that extent come into the revenue The net deht on the ]st .July, 1889, was $237,330,- I for the latter part of the current year, and making $2,998,683.

i these deductions, I estimate for the cl;1rrent year: Oil, showing from Customs, $24,000,000; from Excise, $7,000,.

Taking the operationR of ]888-89 m'er 1887-88, $8,200,000, and comparing them with the operations of ]88i-88 000, from Miscellaneous, total the oyer 188G-Hi, I fine1 that there was a gain in rev.
making think revenue which $:~9,200,000, against my estimate enue of $2,874,408, or 8 pCI' cent.

in 1888-89, as we' will get compared with a gain of $1i):~,970, or less than one.

about a year ago of $.19,176,000.

The expend.

half per cent.

in 18Si-88.

There was an increased iture to 20th March of this year has been $22,35:~,­ expenditure of $199,3m) on consolidated revenue, 399.
The expenditure last year from the 20th in the former, as compared March to the 30th June, if applied to the remainder or one·half per cent.

in of the current year, would lead us to expect added with an increase of $1,0(;0,8L3, or 3 per cent.

the latter year.
the latter year.

The surplus of 1888-89 shows an expenditure of $13,771,778, if we proceed upon the same scale of expenditure for the remainder of amount of $1,8G3,03i,) as compared with a deficit of $810,031 in 1887-8R The capital expenditure the current year, shOWIng, on that basis, a total is a little less, while the deht increase was less expenditure of $36,125,177.
I haye, however, just the previous year's placed on the table the Supplementary Estimates than $3,000,000 as against for increase of $7,217,000.

The following statement the year 1889·90.

They are a little larger than I had expected, and, therefore, in order to be will show this :_ on the safe side, I think the expenditure for the present year should not be estimated at less than $:l6,500,000, which was the sum at which I esti mated it a year ago.
Suppose this holds good, the expenditure will be $.16,500,000, and the revenue 011 Consolidated Fund Account $.19,200,000, giving us a surplus for the current year of $2,700,000 as against the surplus actually received last year of $1,865,035.
I am sure this statement is one which will be particularly pleasing to the House and the country, as showing the buoyancy of our resources, and the fact that we have a surplus of this magni tude without imposing any increased rate of duty, and in fulfilment of my forecast of about a year a~o.

In regard to the capital expenditure, including sub· sidies to railways, the position is as follows : - Passing to the year 1889·!
}O, it will he found that about a year ago I estimated that the Customs would yield :jj;2:{,900,OOO, the Excise $i,I25,OOO, and the Miscellaneous $S,150,(lOO, or a total of $39,li3,OO().

The receipts up to the 20th March from Customs, $17,- of or 1p.

c. 8,.- compared with $1,060,815, or:3 p.c.

Surplus of $1,865,035 as compared with (deficit) $810,031.
Surplus and Sinking Fund, $3,fl()l,679 a" compared with $1,129,046 Capital Expenditure $:>,2G7,o:n a·s compared with $5,464,521 Debt Increase, $2,WS,(j83 as compa,red with $7,216,;')83 a" compared with $1.53,970, or nearly} P.c.

Gain in Revenue, $2,874,408, or 8 p.e.

Increased Expenditure, $1!¥.1,R39.

this year have heen: ] 887-88 over 1886-87.

18M-89 over 1887-88. and I 2537 [MARCH 27, 1890.]

2fi3S Debt.

Total.

1889-90.

Estimated so far as 407,000 100,000 from what Ry.


Subsidies that period, statesmen of Expended Estimate the proportions of , 2,417,267 1,806,502 1,095,202 1,510,228 336,447 $1,000,000 $3,715,917 80,027 CAPITAL EXPENDITURE.

INCLUDING SUBSIDIES TO RAILWAYS.

in excess of the amount excellent and gratifying results, for re to 20th last year.

March.

mainder of year.

Rys and Canals $3,836,521 $2,299,443~ Pub.

Works.

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Lands..... Redemption of think, gratifying and satisfactory to the House.
After twenty-one years of our existence as a Do minion, to find the three years, 1889, 1890 and 1891, showing the financial results which they have shown, and which I have had the honor of detail ing to the House, is, I think, a cause for congratu lation.
Mter this period of struggle to come into 610,765 2,417,267 existence as a Dominion, after all the difficulties 400.000 1,910,228 and all the disadvantages incident to the early period - - - - - - - - - - - - - - of growth, I say it is a matter for congratulation that $2,010,765 $8,043.412 the three years supervening upon these show such $7,855,990 $6,032,647 the The total is somewhat which was estimated last year, but the excess is finances of the country are concerned.
This leads largely due to the greater expenditure on subsidised ns irresistibly to look back in swift review over railways.

Taking off the redemption of debt from the history of the Dominion trom its inception.
the capital expenditure for the current year there Evoked as it was by the summons of the master will remain $5,626,145, and deducting from that I might the surplus of $2,700,000 and the sinking fund call almost a chaos of scattered Provinces, and the debt of $1,790,000, a from large, unexplored, and unorganised terri which is offset against the Dominion has swiftly advanced upon total of $4,490,000 to be taken from the sum before tories, It has steadily assumed mentioned, we shall have at the end of the year an the view of the world.
addition to our debt of $1,136,145, which is about continually enlarging and one-third of the addition made to the net debt in substantial greatness, and to-day it stands self· the preceding year.

Taken in all, the operations contained and confident, wielding a practically the northern and greater of the year 1889-90 as compared with those of absolute sway over this 1888-89 show as follow :- half of It has overcome the difficulties which continent.
were incident to its first organisation, and we all It has know how great those difficulties were.

surmounted the disadvantages of wide separation, It has and we know that these were formidable.

conquered the almost illimitable distances which the people who lived a score of years ago, and scanned the future of this country, thought almost It has conquered these diffi insurmountable.
culties; it has solved this problem of immeasurable distance, and has succeeded in moulding the am bitions of its widel:r different ~reeds, ann races, and interests, into a growing and dominant senti confidence in ment of national unity, and a It national progress and national development.
has built magnificent channels of inter-communi cation; it has dotted its broad waters with busy ships, and its broader lanns with wide and vary in~ industries, and has laid broad and deep the foundations of a development, the wonderful pro gress of whose past is only to be excelled by the It has or about the same as for the current year.

The still more wonderful promise of its future.


Estimates already brought down to the House done this by pouring out its treasure-treasure amount to $36,035,445, .and if we consider the pro- which was hard earned by land and by sea-and It has done this by bable increase at $664,555, we shall have a pro· pouring it out like water.
bable expenditure of $36,700,000; deducting this an expenditure out of Consolidated Revenue, be from the estimat.ed revenue, we shall have for ginning with $13,500,000 in 1867, and reaching in 1890.91, the sum of about $2,500,000 as far as consolidated revenue total of the review $558,000,000, or an average of twenty-five and is concerned.
So far, Mr. Speaker, lone-third millions ayear; and it has besides pledged and retrospect of 'When we come to the year 1890-91, of course all certainty fails, and I can simply make, as I had to make last year, a probable estimate of what we may receive.
Looking over the state of the revenue for the past year, the condition of the trade of the its resources, and the condition of the country, country itself, I think I may be warranted in saying that for the year 1890-91 we shall receive: $39,200,000 = $38,782,870 + $417,130 Revenue 417,834 36,917,834 - Con.

Fund Exp.
Fund Exp.

36,500,000 = 834,965 2,700,000= Surplus........ 1,865,035+ Capital Exp ... 359,110 5,626,145= 5,267,035+ Incl'easeofdebt 1,136,145= 2,998,683- 1,862.538 Net Debt., ...238,666,186 Customs Revenue Excise ......•.............•..... ,.

Miscellaneous Works-Revenue... in this year near\y $37,000,000, and, the munificent the English-speaking portion of $23,500,000 7,000,000 8,700,000 these years have been, is realised, a surplus of if this forecast these years, 237,5:10,041 Difference.
$39,200,000 1888 89 TotaL R 2539 [COMMONS] 2540' I concerned.

To-day, Sir, sary public works in this country.

its resources to the extent of $'237,000,000, all to inspects our gas, our staple foods, our weights and equip itself for a noble race and leave to its measures; it provides motive power to the extent children a goodly heritage.

I all!
here to-day to of $3,000,000 for our post office and $4,000,000 for maintain that every dollar of this expenditure, and our railwaJTs and canals; and over and above these that all of these obligations which the Dominion and other ordinary services, it give~ into the hands has taken upon itself, have been wisely assumed, of the Minister of Public \Vorks more than $2,000, and in pursuance of a policy which has been for the 000 with which each year to build new and neces best interests of the country, as far as its present Such a contri and future is after bution as that seems to me to be a generous and twenty-one years of existence, we are face to face princely contribution for a people of 5,000,000 to with an abundant and buoyant revenue, which carryon the ordinary serYices of the country.
The ranges from thirty-five and three-quarter millions in capital obligations, for the building of railways and 1887, to $:39,200,000 as estimated for 1890·91.
We canals and other public works of necessity and are here with an average expenditure out of the utility, may be met by the surplus which I have out Consolidated Fund, for the ordinary services of the lined, and which we may look for in these three country, of about $36,500,000 for these five years years, to the amount of about $2,500,000 per year, which I have named, and we are here with a which, with the sinking fund, would give us about capital expenditure averaging' somewhere about $4,500,000 per year to meet the capital obligations $5,500,000.
But, Sir, as I said last year, so I will we have 'assumed, and the expenditures we may think it necessary to make on capital account.

take occasion to utter this year, a word of caution, and if it be allowable in one so young, a word of We must recollect what we have done in this I stated last year that looking at country in the way of building public works and counsel as well.

the condition of the country, and looking at the opening channels of communication.
find that munificent contributions which had been given we have spent out of capital: for the Intercolonial the Pacific Railway by this country for her public works, and at the system, $35,776,129; splendid equipment which Canada had by me'tns of for the Short Line Railway, these contributions gained for herself, it seemed $209,356, besides the subsidy which is to rilll now for some nineteen years, which, at present value, is to me that we ought not, after for Intercolonial extensions and other the year 1889, for we ought not to increase the public expenditure Government railway extensions, $4,389,760; the St. Lawrence channel, for ordinary purposes, and, for by a pruclent course, without stinting the public $2,968,838; far, system, service in any way, to carryon this service in a $32,841,932; for Canal works now under con generous manner, to Dleet the capital obligations tract, $5,158,749; and for the two large and com which we had already assumed, and to go to the modious docks which face our eastbrn and our year 1892 without adding to our net debt.
After western waters, $1,857,499; making the total capital that it seemed to ple that we might well take into equipment considera,tion whether or not we could not gradu- expenditure in of all)' decrease the amount of the debt which we tercommunication and commerce, $147,781,392.

had assumed and placed upon ourselves.
Now, This is the amount we have paid out of capital for Sir, the the equipment of the country in its race for com time of making that to affirm that merce, foreign and domestic-for channels of com I believe the same may be said to-day with lDunica.tion which were absolutely necessary to equal emphasis and with equal truth: $.16,500,000 open up this vast extent of country, and which the country has willingly and cheerfully paid for, from our Consoli- of ordiuary dated Revenue Fund gives us, what?
In the first for the sake of present advantage and future ad place, it is sufficient to carry our national debt, vantage in the great race this country has to run that is to pay the interest on the debt; it provides in its competition for commerce and trade with the for onr legislation and civil government; it admin- other countries of the world.
For what Canada isters our justice; it polices the North-'West; it has assumed in this respect, I believe she has had J)1'ovides a million and a third for the militia system full warrant; her circumstances, her hopes and her future demanded it.
To carry her present burdens of the country; it gives over $300,000 for steam- I believe she is amply sufficient; but for any ship subsidies and subventions; it sustains an ex· pellditure of $900,000 on lighthouse, ocean, river and further increase I believe good reasons are demand coast service; it gives $4,000,000 for distribution ed, and good reasons must be given.
"re have a to increase the public debt, that $2,679,529; that it was possible the improvement of country out of grea.t means system, $61,899,600; am here to-day, t.he close of expenditure, the Canal statement, one year among the 'different Provinces of thii:!

Dominion; princely equipment, a royal endowment in these it looks after the collection of our revenue; it great works I have mentioned; and if private B Mr.

FO"'!'F~.

these after this for for so of I 2541 [MARCH 27', 1890.]
2542 -------~-----~- - - - - - - - - --------------~-- ---------------'- this country, the long fight of Hon.
gentlemen who it the future of enterprise continues to take holU a,fill work in which has been given to the great manufacturing is doing every day industries of that country, hut may proceed a little unison with them, as more and more, further in some directions than even the legislation on account of tha,t equipment and the facilities which has heen in existence there for the las tten is assured; and for the sake of years.
As nothing has taken place in the history and given thereby, the country will cheerfully Lear condition of the United States to make us believe that future, their proteetive policy will be abandoned, so no the burdens impm'led upon it hy the building of lines of eommunication.
Now, Sir, thing has occurred ill the wider history of European these great I come to the secolHl partof my duty this afternoon, countries to show that the principles of protection and I must beg the indulgence of this rather worn have taken light root and are not held as strongly and tired House.

After the as they were, even more strongly than they have I will try not to trespass on its patience been for a number of years past.
N or have any night, circumstances arisen in the Dominion of Canada any longer than is really necessary to set forth, in which make it lIecessary, or reasonable, or pru- a very brief way, what I propmle to lay before the dent, that, once having set our hand to the House in the shape of changes and emendatiuns in plough, and determined under existing circum I suppose it will be taken for gmnted stances to fairly and reasonably protect our grow- the tariff.
ing industries, we should now look back and that in bringing down certR,in resolutions to-day disturb, in any material way, the reasonable system I am not going to propose anything that will of protection which this country has declared for, interfere very mu.terially with the system of under which it has prospered and under which it I reasonable protection which was assured to this is expected to prosper for many a year to come.
know I will be said to be tinkering with the tariff, country in 1878 a1ll1 IS7H, and which has been and thereby offending against some special eternal pnsse.l principles which underlie tariffs when I introduce retained since.

throngh the long and able discussions of IS7S and my resolutions for some changes in this tariff.
But it seems to me that tariffs are, in the main, a device the succeeding yenrs will know that if ever a matter for the raising of revenue and the protecting of the the intel'ests of the country, and that they are not like was well argued and thorouguly discutised, changes involved in the tariff of 1879 and the confessions of faith, which, when once settled, principles which unJerlay it were well discussed, must endure for centuries; but, being sncha device, were ably argued, aIllI were settled as thoroughly they will change according to the circumstances of the as any (luestion could be settled, hy intelligent peculiar time in which they are operative.
And the conditions in the discussion and considera,tion of everything in valved.

Sir, it was stated in 1878, and in 1879--and I think country and out of the country, so it becomes necessary that alterations from time to time shall my hon.
friend from North Norfolk (Mr. Charlton) be IllMle in the tariff to keep up its original idea of reasonably fair protection to industries which it is was oile who indulged in some, as they have proved, fanciful imaginings l:tt tlUtt time-that the system proper and right to protect If of protection which W~tS then devised would be values change, then the relative protection that was given by specific or by ad tYtlorem duties If new products shortlived,an(l would die chiefly because the system certainly change with them.
of protection in the great country bordering OIl ours come into existence they must have a category in to the south was doomed, where free trade principles which to he placed, and in order to prevent c{}nstant disputes i~ practically carrying out th~ Cust?ms were even then coming quickly into the 10Bcendant laws, pronSlOn has to he made for them 1l1SectlOns ' and that III a lIttle tUlle the protectIve system of I of the tariff laws.
The same is true when new that country would he ft, thing of the past, and with industries open up-and new industries are contin it would pass awa,y any system of protection which l~all~ opening up; and it is tl~e p;ide and the grati ficatlO~ o!

the party on thIS SIde of the ~ollse we were building up in Canada.

11h~tt prediction has .

.


that wlthm the last ten years and under the mflu- not been lulnlletl, and every succeedmg year m the ences of the tariff which has been the law in this the United Stlttes goes to country new industries have sprung up as by magic legislatIve history of prove that the principle of protection has received in t~is Dominion;.

and if we look ~o-day at tht: no set-back in that country' hut to-day after an qualIty, at t?e varlCty, at the q~antlty of manu- ' .
factured artICles, as compared WIth ten years ago, electIOn run, not between free trade and protectIOn it is astonishing to see the progress which has but upon the question of a higher or lower degree been made in the various industries throughout of protection, the Republican party, which went to t!lis coun~ry.

So t~at not only is it.
not my: inten- tIOn to mterfere, 1ll these resolutiOns, WIth the rinciple and the policy which has been adopte.d the .country on the ground of an mcreased pro- tectlOn, came back from the polls strengthened, and by this Government and by this party, but It IS to-day holds its majority in both Houses of Con- not my intention to be frightened by the cry that gress ; and if what we see reported in the papers we are continually ~inkerin~ with the tariff.and so he prevented from mtroducmg changes whiCh are .
18 a foresha.dowmg of wha.t ma~ be.

expec~ed ~ necessary.

At the .same time, I hold it to be tr.ue, happen, We may find that legIslatIOn whIch 18 that it is neither WIse nor prudent to be makmg there will not disturb the protection too frequent changes in the tariff, because the gen- imminent the country and according to the needs of just as conditions change, in the country.

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25.1,3 [COMMONS] 2544 I It Last year the tariff; in its working.
to strike out all 'Vhat I propose, then, repetitions through the different clauses the headings trade industries of the country demand that: serve as raw materials for manufacturers, or which eral no changes be made without sufficient reasons: would, by their admission, help to develop the the tariff to: resources of the country; and, ill the fourth place, being adduced to prove a revision of be necessary.

repeated applications!


to re-ctdjust certain duties, which for various were made, and many pressing uema.nds were r reasons are not now considered as effective eLS they brought forward, demands which, in some cases, !

should be.

I do not propose to weary the House 'seemed to the Minister of Customs and myself!

by reading all the different items which are em justin the premises, but we felt that the tariff', having bodied in the resolutions.
I propose to name a been re-arranged in 1887, should be left to its own few of the more importa.l1t, and then submit the workin~ for another year.

This year we propose i resolutions for the action of the House.

Oue item various changes; not all the chan~efS which have which in changed is that of acetic acid and vinegar.
been }}ressed upon us, for there ha,-e been many Vinegar bears a duty at present of 15 cents per requests made which, I must say, after very care- gallon, and acetice acid a duty of 25 cents pCI' ful consideration, the Minister of Customs and my- gallon and 20 per cent.
The difficulty that has self have not deemed it wise to recommend to the arisen is that acEtic acid has been imported far Government, and which the Government have not above the degree of proof, coming in ett 90, and deemed it wise to adopt as alterations in the tariff as high as 95 degrees, and it was possible to law.

But this I can say for my colleague and my- evade the plain intent of the item, which was to self.
that every proposition which has been put exact a duty upon the acetic acid as com before us has been carefully scrutinised, has been monly known to commerce.
This interfered with closely considered, and that we have come to a the manufacture of vinegar, and led to frauds decision on those questions with a desire to do upon the re,-enue, and it was in every way un justice in the premises, to the interests themselves equal is proposed to put as well as to the interests which would he affected upon acetic a.cid and ,-inegar a duty of 15 cents per by them, and which are so intimately connected gallon on a strength of 6 degrees, and on every with them in the country.
llegree of strength ahm-e that to add I cent addi broadly in my resolutions, is this: to introduce an tion:tl duty.

That will keep vinegar at pmetically interpretation clause, by means of which certain the same duty which is upon it to-day, and will cor often used terms will he defined, and which rect the abuses I have explained.
However, as acetic will, therefore, make it unnecessary to have con- acid is largely used in various manufactures, and in the making of fwetcttes and ,-ariou8 other suh tinual of it is proposed to continue the privilege stances, which are fonnd now, and which are so mis- enjoyed by these manufacturers of getting their leading, in the Customs law and in the tariff as acetic acid at the saUle rate of duty as before, and it is arranged and distributed.
For instance, without any limitations upon its degree of strength.

we have a heading "tubing," and following a The article of fancy boxes and cases and all the little down below" tuhing" we come to "jellies cognate fancy manufactures h,we heen raised from and jams," and it is difficult to know what in the 30 to 35 per cent.

This is an industry which is grow world jellies and jams have to do with the heading ing in this country, and which has proved to he "tubing" which stands but a little way before it.
excellent and varied in its kind.

Large duties The heading "pianofortes" later on is followed are paid upon the different articles that enter into by "pickles," but what these have to do with one the manufacture of these boxes, and altogether it another it is impossible for the average untrained is felt that an increase of [) per cent.

is due to that industry, in view of the strong competition it has mind to tell.

The skilled and ingenious mind of my pon.


colleague the Minister of Customs IIlay at labor being to meet from German manufacturers, to so cheap in Germany, anti these artieles being put the present time know.

such low rates.
such low rates.

A change cancel all Orders in Council which have been together passed under the authority of the Customs Act, item of and the substance of which is to be embodied in paints scattered here and there all through the It is the tariff changes; and then to repeal all the items in the tariff in which any chaJnge is made, so that proposed to classify all paints under five different the item will be enacted anew; and, to classes.

On some of these tl'he duty is increased, the new items in the Act.
The purpose and the increase takes place upon those made from enact of to render mat,erials and substances which are found in large more plain to the business public some of the items quantities in our own country.

The next item is that of glass, and a redistribution has been metde of at present existing in the tariff which, though carry- ing their meaning clearly to the Department and the duties.
At present in the tariff, common and its officers, are yet somewhat indefinite to the out- colorless window glass, plain, colored, stained or side and business public, and to enlarge and re- tinted glass, ornamental, figured, enamelled, colored model these, and to add cognate articles which the glas3, painted and vitrified glll.SS, amI stained glass Customs have placed under these different headings, windows, all stand at one rate, 30 per cent.
This but about which disputes might constantly arise be- has the effect of placing the highly finished and per tween the trade and Custums Department as to fect article at exactly the same rate of duty as the whether they should be included in that class or not; parts of which it is made; and with reference to in the second place, to reduce in some instances common and colorlesf!

window glass, the duty of 30 existing duties which changed conditions have per cent.
is as high as the duty upon the stained rendered in our opinion higher than they should window glass or the other higher grades of..glass.
be, or upon articles which, failing to be manu- Now, common and colorless window glass has not factnred in this country, should bear a revenue been ma.dc in this country, and under present con tariff, and a revenue tariff only; in the third ditions we do not think it can be successfully made It is u~d throughout the country in every place, to put on the free list articles which either here.

tariff, and, it seems, without much system.

the resolutions broadly is this: is made in paints.
It is proposed, also, One finds there at lastly, the Mr. FOSTER.

2545 [MARCH 27, 1890.]

2546 tariff, except home, and I find, in looking atlast year's returns,that there were 14 million odd square feet of that kind of glass imported into this country and it paid a duty of $87,893.
It is proposed to reduce the duty on common or colorless window glass from 30 to 20 per cent., which will involve a loss to the revenue of about $30,000 on the basis of last year's figures; and, so far as that is concerned, I suppose that hone gentlemen opposite and myself will look through the same glass and see the same conclusion.
The ornamental, figured and colored window glass, the painted and vitrified glass, which now bears 30 per cent., is made to bear 25 per cent; and the stained glass windows, the finished product, bears its present duty of 30 per cent.

Silver plate glass remains at 30 per cent., as at present; bevelled glass bears 35 per cent.

The others remain as they are that when they are in the present bevelled they pay an additional duty of one cent per square foot.
Gloves and mitts, which now bear a duty of 30 per cent., are raised to 35 per cent.

\Ve imported last year $346,059 of gloves and mitts.

We have raised the duty on one or two of the constituent articles on account of in dustries having developed in this country which make them here; and altogether it was thought better to raise these 5 per cent., and to give to that industry, which is largely prosecuted here, the Canadian market, so far as reasonable protection could do it.
Wall paper and hangings of various kinds have been reduced.

The present duty was placed upon them on the basis of from 30 to 35 per cent.

protection, but the prices from that time to this have fallen very considerably, and what was a protection at that rate in 1887, comes to be a largely increased protection under the present Representations have been made, and prices.
very forcibly made, by the dealers throughout the representations have been country, and counter made by the manufacturers, and the cut in the duty is not so great as it would have been if it were not for the peculiar state of that industry now in the United States, and the peculiar difficul ties which, owing to the total disorganisation of that business in the United States, and the con sequent slaughtering of prices, our manufacturers would have to contend with while that state of things exists.
However, it is determined to reduce the rate of duties somewhat as follows: Brown blank and white papers had respectively a duty of 2 and 3 cents under the old tariff.

The two have been grouped together, as the prices are now very nearly the same, and a duty of 2 cents has been placed upon them.

Print bronzes and colored bronzes had a duty upon them of 7 and 9 cents per roll respectively.
The prices of these two differ very little, they have been put together, and the duty of 6 cents imposed instead of 7 and 9 cents.

F.Jlll.bossed bronzes bear a duty of 11 cents; that has been reduced to 8 cents.

Colored borders, narrow and wide, had a duty of 8 and 10 cents respectively; these are grouped together on account of the little difference in price, and a uniform duty of 6 cents is placed upon them.
Bronze borders, narrow and wide, had a duty of 15 and 18 cents respectively; they are grouped together for the same reason as the others were grouped, and a uniform duty of 14: cents per roll Embossed borders, which now bear 20 cents a roll, have been placed at 15 cents.

All other wall paper hangings are 35 per cent.

ad valorem.

Dry plates have borne a duty is imposed.


of 15 cents heretofore, and have been a subject of much contention between the dry plate manufac turers and the photographers, and representations and counter representations have been made for many years with reference to this duty.
Mter I a careful consideration of the whole matter, have decided to reduce the duty from 15 cents to 9 cents, which will give a good round protection, but at the same time will diminish the inordinate It is rate of duty which they at present bear.

believed that the dry plate makers will not find it difficult to hold the market with the rate of duty which it is proposed to give them.

Sir RICHARD CARTWRIGHT.

What do these specific duties represent on an ad valorem standard?
It the say what equivalent, On umbrellas Mr. FOSTER.

to a square inch basis.

to I think it will give between 35 and 40 per cent.

at present prices.

A change has been made in stereotypes and stereotyped plates.

The old duty was framed on the weight, it was so much per pound, but a radical change has taken place in the method of manufacturing them.
They are now put up very lightly, and the weight has been reduced until a duty founded upon the weight be comes no longer anything like an equivalent of the duty which was placed upon them at the time when they possessed this heavy weight.

It has to cpange the duty from a been thought best weight is pretty the is difficult difference in weights is so great.
However, the duty has not been placed very high, but the change has been thought to be a wise one, for two reasons: First, in order to give the adequate protection which it was proposed to give when the tariff was arranged; and, secondly, to encourage the labor of setting type and making these plates in our and so adding to the employ own country, the duty is ment in that line.

to 35. changed from 30 per cent.


There are indications that the manufacture of umbrellas will be undertaken in this country and pushed far more vigorously than it has been.

Last year we imported $303,777 worth of umbrellas.

The silk of which they are made bears a duty of 30 per cent., and the other cloths in proportion.
The margin of protection which the manufacturer had was so small that it was insufficient to give this industry a start and maintain it properly, and, therefore, it is proposed to increase the duty to 35 per cent.

In regard to wire of copper and brass, which has heretofore been free, manufacturers are now making, and are prepared to make to a suffi cient extent to fill the Canadian demand, and it was thought wise to put, not a heavy, but a mo derate protection upon that article of 15 per cent.
Covered wire is to be 35 per cent.

instead bf 25 per cent.

as at present.

All other kind of wire is at 25 per cent.

The woollen industry of the country has, for the past few years, not been particularly pros perous.

Several reasons have been assigned for this, which can better be gone into when the item is before the Committee.
Under all the circumstan ces, considering the decrease in weight and the strong competition manufacturers have to meet, and the large expense they are at for machinery, it has been decided to give woollens an increased duty, raising the present duty of 7!cents a pound and 20 cents ad 'l:alorem to 10 cents a pound and 20 per cent.

ad valorem.
ad valorem.

A re-arrangement has been made [COMMONS] 2548 of the duties on spirits and alcohol, and the prin ciple which has been adopted is that the duty shall be arranged upou the proof strength, .and that spirituous liquors which are imported with addi tions of strength above proof shall pay in propor tion to the strength they have.

The duties at the proof rate remain at about the same rates as at present.
The only change of any moment is in the principle which has been adopted, that the duty shall be paid on the proof strength, and that strongly fortified 'spirits which are brought into .

the country shall not have the advantage of the payment of a less rate of duty over the spirits which are at or about proof.

The ex:planations with reference to this I shall not trouble the House with now, but I shall be prepared to make them when we are in committee.

Sir RICHARD CARTWRIGHT.

Has the hon.


gentleman adopted the English system?

I Mr. FOSTER.

and that kind of think the system we have adopted is more nearly like the American than the English system.

We have had deputations and representations from both sides of those engaged in the hat business.
Strong pressure has been brought to bear in order to have the duty on the different kinds of hats and caps raised, both on the wool, the fur, the felt and the straw hats, and representations have been made from counter the importers and dealers in foreign almost all goods.

After looking over the whole matter care fully, we have decided to recommend a change.
There were a number of articles which went into the manufacture of hats, such as sweats and linings, thing, which were a.llowed in free, and which it was found had takcn intended, and were range than was larger a. used for the manufacture of other articles, thus escaping the duty.

For insta.nce, silks supposed to be for the purpose of linings alone, were used to make neckties, and so these articles went into a larger consumption tha.n it was intended to allow.
these It has been decided to recommend that articles shall be ta.ken from the free list, that these sweats and linings shall pay their legitimate in duty, and especially because they are now, great part, being made in this country.

It is proposed 8-8 a. compensation for tha.t to increase the duty on straw hats and woollen hats by 5 per cent.
Ladies' hats remain at the same rate of duty a.s present, and fur-felt hats have $1.50 per dozen additional, with a reduction of the ad valorem duty from 25 to 20 per cent.

As hon.

gentlemen are aware, for a year or two there has been considerable discussion with reference to the Hour duties.
The millers are in this position: that they have a. protection of 50 cents per balTel on their Hour, while wheat comes into this country at 15 cents per busheL At the rate of 4f bushels of wheat to a barrel of Hour, the duty paid on suffi cient wheat to make a. balTel of flour would be in It has been the neighborhood of 71 or 72 cents.
felt that this disparity of duty between flour and wheat should be remedied, and it bas been decided to give an advance of 25 cents per barrel upon flour, and thus t>qualise it with the wheat duty.

For a country which produces a surplus of whea.t, and has 'capacity to mill &11 the fiOlIr which is neCe8 _ry for the COtl8tlmptiOB of this country, a.nd to npply <mtside markets &s well, it is not reuonable to believe that this will do more tilan keep the at Mr. FOSTER.
is sent that It is felt ma.rket for Canadians.

It is not reasonable to suppose tha.t it will materially raise the price of flour.

The milling capacity is so la.rge, and the competition is so keen, that the flour will go into the hands of the consumers at about the same price as it does now under like conditions.

It is proposed to introduce added protection to another series of the great farming products of the coun in a country like ours, try.
with its large grazing areas, equal to any in the world, with its rapidly increasing da.iry and cheese industries, with its unrivalled facilities for the production of meats of va.rious kinds, the time has come when these great industries should be protected by a.n adequate duty from the competition which they are at present receiving largely from the country to the south of us.
For instance, in the article of beef, we find that last year there wa.s introduced from the United States 3,795, 105 pounds of beef, at a value of $160,624.
We find that bacon and hams were introduced to the value of $335,159, the large amount of 3,653,758 pounds; 174,944 pounds of mutton were imported, at a cost of $13,555 ; 15,205,972 pounds of pork were imported at a value of $992,42.1; prepared meats to the amount of 983,834 pounds, value $90,305; and of tried lard there were imported 8,290,000 pounds, value $636,078.
to the To-day, beef markets of Halifax and St. John, and all large and small towns west of that, and is sold to the dealers in meat, a.t justsufficientcut to enable them to dictate lower prices to the raisers a.nd producers of cattle in our own country.
It does not follow at all that the consumer gets his meat one single tenth part of a cent less, but the introduction of this im ported meat makes it possible for the jobber and dealer to bring down the price to the native pro ducers; and so the producer is met in this cQuntry with a. competition which makes it difficult for him to pursue his industry with profit to himself.
Now, there is no reason in the wide world, to my mind, why Canada should not only raise all the meat necessary for the consumption of her own people, but should become one of the largest ex these different kinds of meat to foreign porters of countries.
It is with a view of fostering these mea.t - producing industries with a fairly pro have tective the farmers come to the conclusion to protect by raising the rates on these meats in this way: Mess pork, or heavy pork, which now bears a duty of one cent per pound, shall bear a duty in the future of one and a.-half cents; all salted a.nd fresh meats, which now bear a duty of 1 and 2 cents per pound, shall bear a duty of 3 cents Prepared meats which now bear & per pound.
duty of 2 cents, shall be raised to 3 cents.

Tried lard, which now bears' a. duty of 2 cents, shall be r&ised to 3 cents; and untried lard, which now bears shall Live cattle, hogs and be raised to 2 cents.

sheep shall have the duty raised upon them pro portionately from 20 to 30 per cent.

This, in brief, is the schedule which is jroposed in the resolutions which will be 8ubmitte to the House.

Now, it is proposed &8 well to make some changes with regard to the corn duties.

The people at.
The people at.

the :Maritime Provincee especially, use a Ia.rge -qua.ntity of corn meal.

It is used by the usher folk, and by people of the rural :po.rts of tae Provinces, and it :rIl6re Iarselyconsumed by the people of NovaSootia., a duty of Ii cents, the Government duty, that [MABCH 27, 1890.]

of It of some revenue and les8 largely by the people of New Brunswick and the other Provinces.
It is proposed to couple with the duties which have been already men tioned, this provision: that in the case of corn kiln dried, or to be kiln.dried, and ground into meal for human food, a rebate be given to those who mill it, of 90 per cent.

on the original duty paid, and that Customs regulations shall be prepared and put into force for the carrying out of this resolution.

is also proposed that molasses, which to-day bears a duty of 15 per cent.
when im ported direct from the place of production, and which is practically confined to the tests between the duty on 40 and 55-it is proposed that molasses shall be lowered about one-half, and that a duty of Ii cents per gallon, when im ported direct from the place of production, shall It is also proposed that the be charged upon it.

test for molasses shall be lowered, and that it shall run between 30 and 35.
The duty collected upon molasses hi-st year, was in the neighborhood of $123,000, and by lowering the duty by about one-half, it will be seen that we propose to meet a loss in this, $60,000.

Molasses is an article which is used very widely in the Maritime Provinces.

In the Province of New Brunswick from which I come, molasses of a good grade, not the vile stuff called" black-strap," is used in all our rural districts, and the same is the case with reference to Nova Scotia and Prince Edward Island.
It is, therefore, proposed to couple the rebate on corn, when milled for human food, and the reduction of one-half of the duty of molasses, with an increased duty of 25 cents upon flour.

I now come to another item about which there has been considerable discussion in the House and out of it.

It is that which relates to plants, fruits, shrubs and the like, and with which this House dealt in 1888.
By an Order in Council of 14th April, 1888, certain fruits and plants and shrubs were placed upon the free list.

This arose from the fact that in the Tariff Act of 1879, there was a clause which left it permissive with the Government, on a certain list of articles, to either reduce the duty upon them or to remove the duty altogether when such articles were either free, or of less duty in the United States than was charged here.
The matter was brought to the in 1888 under the attention of the Government time pre peculiar circumstances which at It was contended by gentlemen of the vailed.

Opposition that it was not treating the United States fairly, when they had anyone of these articles at a lower duty, if we did not place that article on the same tariff footing as it was in the United States.
It WIWl contended on this side of the House that this clause of the Act WIWl simply permi8Bive and not mandatory on the Government, and that it rested with the Government of Canada to say whether this should be done in individual instances or not, and that what was contemplated in that article in the tariff law was that when those them as product8 &IJ a whole, or as many of Canada should consider it to be in her interest to reciprocate in, we~ placed on the free list or .had a lower rate of duty imposed upon them, the Government would reduce its duties npon them to the same level.
Howeyer, under the circumstances that prevailed at that time, it was decided to put .heee articles on the free lillt, and Itt very consider able amount of duty wa.e lost in consequence, and that a it It is, produce spring, enabling a very considerable damage was done to a large and important interest in this country.
For it must be borne in mind, that the removal of the duty from those .articles did not place our people in a position of fair and equal competition with the people to the south of us, and there are various considera tions which will easily suggest themselves to the minds of hon.

gentlemen conversant with this subject when I make that statement.
For instance, there was State legislation in most of the bordering States, making it practically impossible for men who raised nursery stock on this side of the line, to undertake any profitable conduct of their business on that side, owing to the way they would be hampered as aliens "engaging in trade in that country.

the United "With reference to fruits, States has a wide range of climate.

Its fruits com mence to ripen from late in the winter or early a gradation of.
and it has in the climate certain to class of fruits through a range of three or four or even five months.

The season with us is short, and the competition for this reason was felt to be unfair to the large fruit-growing and nursery therefore, pro industries in this country.
posed to put these articles back in the same place they occupied in the ta.riff previous to 1888, with the exception that on blackberries, gooseberries, raspberries and strawberries, the rate of duty shall be 3 cents instead of 4 cents.

Then we have placed on the free list: bananas, plantains, pineapples, pomegranates, guavas, mangoes, shaddocks, wild blueberries and wild strawberries, which were formerly on the dutiable list.
Beet, carrot, turnip and mangold seeds, for the use of farmers of this country, are also placed on the free list.

The House will recollect the discussion which took place here a short time ago on mining machinery, when I urged that the House should defer the discussion until the Government had brought down its tariff measure.
All over our country the indications of interest in the development of our mining resources are plain and unmistakable; our resources are being, every year, more and more explored; we are com ing ourselves to have a better and more adequate knowledge of the immense wealth we have in this line; and this information is filtering out into other countries, and is producing an interest in the minds of capitalists in other countries, which is continually growing, and which we believe will be productive of large investments in this country.
On the whole, it appears to me that we are on the eve of large developments of the mining industries of this country, and in the future we may look for large accretions of interest and increasing employ ment of labor in the development of the vast and metalli~ stocks which we have mineral this country from Cape scattered throughout Breton to British Columbia.

There has thus arisen a demand for free mining machinery.
It is stated that the best and most improved machin ery must be used by experimenters who put their money into enterprises the outcome of which they It is felt by them that the cannot certainly see.

It is very best possible machinery should be got.

felt by some that for a period at least there should be no restriction -whatever on the buying of it, and by others, that there should be no other restric imposed by the consideration tion than that whether or not the machinery in this country.
Looking over the whole question~ is made 2551 [COMMONS] 2552 that industry; the period It will give the Government have come to the conclusion that it will not be wise or prudent to resist this demand at the present time, in the interest of the development of that large part of the country's resources, and it is proposed to allow mining machinery of a class and kind which is not made in Canada at the time of the importation, to be im ported into this country free for the period of three years and no longer.
That will have a double effect.
to those persons who are investing their money in the development of our mining interests the freest market for the purchase of the best possible machinery they can get-a market, the freedom of which is only limited by the fact that the machinery they may require is made in Canada; and no person, I apprehend, is so unpatriotic as to wish a provision to be inserted which would allow him to buy machinery outside -of Canada when it could be made in Canada by industries which have been fostered and brought into their present state, by the operation of the It tariff which we have enacted and maintained.
will have this other effect.
By the free introduc tion of mining machinery such as is not made in Canada, and by the impetus which will he given to mining after the period of experimenting is over, the richness and paying qualities of and after there will these resources are demonstrated, development be a continued and progressive of and after that of development will naturally three years add to the demand for this the production of machinery in Canada, which will, consequently, promote and encourage its manufacture after that period.
There has been another subject brought to the attention of the Government, that is, the It may be building of iron ships in this eountry.

an open question whether or not the wooden ship has seen its"aay.

I do not believe myself that the wooden ship, so far as the sInaller kinds of coasting vessels are concerned, has at all seen its best days.
I do not think any person who sits at these boards will see the time when the good, trim, staunch coasting vessels of our Maritime Provinces will be .superseded by iron or steel or any other material.

But the whole trend of development to-day goes upon the line of building steel and iron vessels for quick transit and for large carrying capacity between foreign and distant countries.
We have this anomaly in this country, that an iron or steel vessel can be built in Great Britain on the Clyde, and can be brought into this country and put on our lake, river or sea routes free of duty entirely, if she is registered in England, while people inter ested in the building of similar vessels in Canada who import the steel and iron machinery and parts which are necessary for building them here, and which cannot be made in this country, are met by heavy duties; and so the industry is handicapped.
It has, therefore, been determined, for the encou ragement of industry which has already planted itself in our country and which is promis ing to develop with very great vigor, to assist it in the following way: by allowing all steel and iron parts, which are used in the manu facfure of iron or steel vessels, to come in free, 80 long as they are not made in Canada ; and that designation at the present time will take in a very large proportion of the heavy iron and steel work which enters into the construction of these vessels.
The Minister of Customs has asked me not to this Mr. FosTER.

forget another point, and for the benefit of hon.

gentlemen who have been urging the matter for some time, I will mention it.

It is this : that alllong the other numerous articles which have been placed on the free list in these resolutions is that of corn of the kinds used for seed to be grown for ensilage purposes, and thereby we remove one of the great standing grievances, from the standpoint of hon.
gentlemen opposite of which the farmers have to complain.

"With this brief and incomplete introduction I beg leave now to lllOVe that this House resoh'es itself into a Committee of Ways and Means on the following resolutions :- I. Re80lved, That it is expedient to amend the .Act 49 Victoria, chapter 33-Revised Statutes-intituled: " An Act respecting the Duties of Customs," as follows :- 1.
By repealing section one of said Act, and substitu ting the following in lieu thereof:- In this Act, or in any other Act relating to the Customs, unless the context otherwise requires: (a) The expression or contractIOn .. ad val."

represents and has the meaning of the words "ad valorem.'

(b) The initials N.E.S.

represent and have the meaning of the words" not elsewhere specified."

,(e) The initials N.O.P.

represent and have the meaning of the words .. not otherwise provided for. "
(d) The initials F.O.B.

represent and have the meanIng .

of the words" free on board."

(e) The expression "gallon" means an Imperial gal.

Ion.

avoirdupois.

(f) The expression " ton" means two thousand pounds .

.

.

(u) The expressions" Pt:0of" or "pplof spInts,': ~hen applied to wines or spirits of any kmd, mean SPIrIts of the strength of proof as ascertained by Sykes' Hydro- meter.
(h) The expression" gauge," when apphed to metal sheets or plates or to wire, means the thIckness as deter mined by Stubbs' Standard Gauge.

(i) The expression "in diameter," when al>plied to tubmg, means the actual inside diameter measurement.

U) The expressions" sheet" or" sheets" when applied to metals mean sheets or plates of not exceeding three- sixteenths of an inch in thickness.
(k) The expressions" plate" or " plates" when appl!ed to metals mean plates or sheets more than three-Six teenths of an inch in thickness.

2.

By enacting that the interpretation clause~ co~­ prised in section 2 of the" Customs Act," 49 Victoria!

chapter 32-(Revised Statutes)-as amended, shall, unti the context.
otherwise requires, apply to, and form a. part of this Act; and that any Jlower conferred upon the Governor in Council by the said" Customs Act" to trans fer dutiable goods to the list of goods which may be im ported free of duty shall not be by this .Act abrogated or Impaired.

3.

By repealing sub-section 1 of section 5 of SaId Act, .

.

and substitutmg the following in lieu thereof: .


The importation of any goods enumerated in Scl!ed,ule " D " is hereby prohibited, and any such goode, If lrn ported, shall th,ereby become forfeited to the C~own, a:nd shall be forthWith destroyed,-and any person importlllg any such goods shall in each case incur a penalty of two hundred dollars.

4.
By enacting that all medicinal or toilet preparatIOns imported for completing the manufacture thereof, or for the manufacture of any other article by the addition of any ingredient {II' ingredients or by mixing such prepar I ations, or by putting Ul> or abelling the tlame alo.ne, or with other articles or compounds, under any proprIetary or trade name, shall be, irrespective of cost, valued for the ordinary market duty and duty paid thereon at value in the country from whence imported, of the compieted preparation, when put up and labelled under such pro~rietary or trade name, less the actual cost of labor ana material used or expended in Ca~ada in com pleting the manufacture thereof, or of puttmg up or of labelling the same.
b.

By enacting that regula.tions respecting the ma.nner in which molasses and syrups shall be sampled and tQlted for the purpose of determininr the classes to which they shall belong with reference to the duty chargeable thereon shall be made by the Minister of Customs, and the instru ments and apphances necessan' for"suflh determination shall be designated by him and SUPPlied to such officers as shall be by him charged with the duty ofsampling and