Source document: https://docs-lawep.s3.us-east-2.amazonaws.com/1697724356722.pdf (Canada)
1877 APRIL 16, 19031 1378 Orllllll-oew wharf, 17,000.

Mr. BI.AIN.

The statement was made by tile Minister of Public Work' last year that tblS work )VUS to cost about $3,000.

He made that stntemellt to the committee after bav Ing visited tbe place himself and made an inspection or the work.

The MI!\IS'rER OF PUBLIC WORKS.

I.le In round '!

'he total cost of tbe work will figures about $9,000.

01l,en Sound bllrbour-dredglng Bnd pile pro tecthm work!, $16,000.

)[1'.
)[1'.

THO)ISON (North Grey), I would ask the 'mlnlster Ir n POl'tloo of this mouey Is tOi' completing the pile work, Rnd where will thnt be done 1 'rhe :IUNISTEH 010' PUBJ~IC WORKS.

'rhe Information I baye Is thnt It Is tor com pleting th(" dredging twenty teet rleej) Dt low \Vllter, nnd completlng the plllng at the nOl·th-we8t side ot the barbour, extending 32a feet beyond tbe dry dock to a point 550 feet belolV the llortbern end of tbe piling.
There Is notblng In tbe estlmates ot the en ;;lllecr tbat refers to nny piling to be done tlll!re, )[1'.

THO;\ISON (North Grey).

There was some sheet pUlng done a year ago.

The work wag very well done, but In putting the enrtb back some part ot tbe plllng has been forced out, and "something should be done to keep It Intact.

harbour--repalrl to plen and Pickerlllg dredging, U,600.

~lr.

BI,AIN.

Is that a private harbour?


I notice thnt in one ot the newspapers that a deputation from there waited on the bon.

minister.

The MINISTER OF PUBLIO WORKS.

Yes, according to the Information we bave, this is private property.

This particular ex penile was made at the Department of Marine and FI8herJes tor the erection of a lIghtbouile there, and the pier Is tailing down and we are Illl:ely to lose the IigbthoUBe.

tbe Instance of Point Edward dredging, $10,000.


The ~nNISTER OF PUBLIC WORKS, they could not get a It Is reported that 'rbey pressed upon dredge to do fbI.

work.

me Its Importance.

They 88ld that it W88 urgent for the trade there, Bnd that it had to be done, and I would have to get a dredge from across the line il necessary to do It.

Some resolutions reported.

On motion ot BoulJe adjourned at 11 p.m. the Minister of Finance.

FIRST READINGS.

Bill (No.


107) to Incorporate the Empire Accident and Surety Company.-Mr. Oal vert.

Bill (No.

108) respecting the Ottawa Elec tric Railway Company.-Mr. Belcourt.

Bill (No.

109) to correct a clerical error In the Act to Incorporate the Edmonton and Slave Lake Railway Company.-Mr. FItz patrick, DISTRIBUTION OF DOCU?I{ENTS, It has been, In past yenrs, Mr. F. D. MONK (Jacques Cartier).
Mr. Speaker, before tbe Orders ot tile Day are I would like to draw the attention called, of the government to a complaint which has reached me from Montreal and other parts of the province of Quebec in regard to the distribution ot public documents to board.

of trade.

the to circulate the eUltom, as I understand It, Bills brought belore thl8 legislature and other documeuts of the BOIl8C, excepting , Hansard,' amongst the hoards ot trnde ot tbe Dominion.
That regulation has not been carrIed into etreet since Illst year, and I thing to re think It would be a proper establish the old custom of distributing pnb· Hc documents treely amongst tbe bonrds of trades.

I tblnk It Is sumclent to call tbe gOY ernment's attention to the matter to have It arranged In a satlstactory way, There are seventy-five boards or nbout trade Interested In receiving these docu ments, and I hope the government will gll'e the matter Ita attention.

sc\'enty or the attention of my hon.


The PRIME MINISTER (Rt.

Hon, Sir I have to WlIfrld I,aurler).

Mr, Speaker, friend (Mr. call Monk) to the fact tbat the government hns no control over the dISt:r1butlon.

This Is It mattt'r wblch Is under the cbarge of one ot the committees of this Bouse--I think the Printing Commlttre.

WAYS AND MEANS-THE BUDGET.

The MINISTER OJl I,'INANCE (Hon, W. S, Fielding) moved : That the HOUle r,Bohe ItBelf Into committee to conelder of the WaYB ead Means for ralllin.
tile Snpply to be granted to HI8 Majesty.

He said: Mr, Speaker, In presenting my seventh budget It Is once more my good tor tune to be able to submit to the HOUSH.

statement ot the atraln ot the Dominion for ft period of unexampled prosperity.

Two yeal's ago, after several yeara ot rapid pro there was allxlety 1n the mInds ot greiS, many observing men.

Some, Indeed, thougbt we bad already entered upon a period ot depresllon.
Otben, and amoug tbem I count mylelt, telt that whUe we were not likely to have any period ot severe depn.. ,loll', we might rel.8onably u:per}ence a check upon the very rreat proeperlty of re cent years, Howeyer, a8 It turned out, all HOUSE 01' COXXOIi'S.

THU:RSDAY, April 16, 1908.

The SPEAKER took the Cbair at Three o'dock... Bl:VI8Jm mmo!l' 9 COMMONS 1380 that our ae lean were nnnecetleary.

Tbe pros- proved to be ao .ery prosperoul 1t1 or that time baa continued.
Each revenue ~eeeded the expectation by a verT :ceedloC year baa SbOWD an Increasing· conllderable lum.

The revenue reAched tlJe ord, and we flod oureelveJI to4l1 with lum or $58,000,700, belng greeter than my outlook that II In nery relJPect enconr- estimate by $1,260,790, and greater than the .ng and uUaractory.

1 take up the atrain revenue or the prevIous year by fS.53G,088.. tbe flacsl year ending the BOtb ot June It too otten bappen.
that Increue or revenue rt, the accoonts or whlcb bave been before II Dccompanled by a colTe_poodlng locre8le ~ HoullC tor lome time.

In expendJture, but In this case It W48 DOt 10.

I am Bure that '1'1Ie expelldlture, os I hove shown, WitS very D. gentlemen will alleo with me wben I y that the exhibit made tor that year In doae to the estimate which I It & public accounta 18 a very gratltylng proved to be eomewfJat less.
But while my eatlmate ot the expenditure was tL clole e. one, tbe revenue as I have alread7 polutell Some hon.

MEMBERS.

Bear, bear.

out exceeded m7 eeUmale by a considerable In some .um; the reaull being that Inltead ot a 8ur' Tbe MINISTER OF FINANOE.

'Ipecta the reeult, IUrpaued the cousena- plu.

ot $5,800,000 wbleb I eetlmnted, we ve etlUmate whleb I ventured to lubmlt to eloBed the rear with an netual aurplu8 ot It I except the 8urplul ot onr Ie BOUie in the l88t budget Ilpeech.

My $7,291.398.
My $7,291.398.

ithnate at the revenue was $00,800,000 and own sho'9Jlng ot two 1eft.rS earlier, this I. tile Iy eallmate of tbe expeudlture chargeable largeet Iurplul that htl.

ever been recordCll In tbe puiJllc nCCDunts ot Caunutl.

The 111 , Income was $:;1,000,000, ble SurplU8 ot $:;,800.000.

80 fnr as tbe creases ot revenue will be found III nearly I how!
here a statemellt x1ltl\dlture was the 'I'oved to be a very cloae one, xpendltul'e being $OO,759,a91, but on the ,'arlolls branches tor thc ycan 1001 RIHI evenuc aIde the last montbs ot tbe actual giving n comparison ot tbe receIpts III concerned tbe estimate all departments.

]!Kl2.

Tlmt Itatement Is 118 tollows: leaving a prob- the yenr tormed; n.:TAIL8 OF Ra\'EsuE-CO.\aPAJlI80l" WITII 1900-1. .

.

~U'~'\I••..... E~CI'" PO'lt Offia> Railwa>,~, l)omimon Land~.

!rJi_llanOOlls ... .


Net incrt:llllt.. , ....... luo-ealM!ll The cblel Increasel ot revenue over the i>C!neral activit]' ot trade 10 aU department8.

Increllle ot revenue II sbown onder uenrl)' llrevlou8 fenr arose In customl, but In exelae, POlt nIl head.

ot tbe etlltoms bUllnesa, and only were alao large omce, and rallwafL In tb1a ltatement which In !be ease ot a tew article.

11'&8 there a [ bll.

VI!


rt'lld, the Item ot Dominion landa hi' too, the Increase waa clades royalties tram !be Yukon gold llelda, general, as appeartl by tbe tollowlng state nnd the talllng-orr I' dne to the reduction ment, whiCh glvea the quantltf ot good~ that took place In !be rllte at royaltf.

The nlld the dutlel accruIng thereon.

IncreRlle In customa ean be 8Icrlbed to tbe fol1luC-orr.

In e:s:e1ae, tbere EXCISE.


1901·1" ""'_""'"'=:-':--I__I"-~_" __ l~~, ---------- - - - •5,618,113 •439,83ct ...'"",,,," 100,;&3 1901·1, 19OO·L 1,Q11,l108 881,697 ",","" 2,433,SM 1,137,2'jD j 124,891'; 111,014 ~863,950 64,7'23,816 141.0!l6,889 121,383,!1S4 1l,S30,lU!i 9,848,803 ~l23,'" 71,460,519 m,780,516 134,236,1lS4 11,l'H.I,632 10.7Gt,961 Article.

II ---_._._------- 19Ot1··L ~ril4 It.

CigU1l CiA-arftt.M.

.. .

.

Tobaooo alld .nutf Raw leaf, foreign ....•.. ,.. , .. Ga11t.

L~.

No. "

LI.-.\ .. .. .


.. " HoD., IIr.

"IBLDING.

1381 APRIL 16, 1903' 136' The Increuslng revenues And Impl'oved (~oll<lltlon genernlly ot the finances ot the llost office Is wOI1:hy ot speclnl note, The following statement covering the expendl tnre IIsunIly given under the henli of post office, and IncludIng all except cIvil govern .

ment, Is Interesting: the domestic rate of postage was three cents, and that under the present admlul.

tratlon this has been reduced.


by one-third" nnd when we remember the great reductlonl tbllt have taken place in the pottage ratel to Great Britain and the colonies.

we mUlt n.1I feel that the financial results of' the pre sent post office administration bave been It II a record of' I'emarkably satlsf'actory.

~-".====c=====c====;==== Illdmlnlstratlon which the government auel the Postmaster General (Hon, Sir WilHam to with Deficit.

Mulock) particularly, may point POST OFFICE, ',Re\'cnuc.

Year.

.
Year.

.

I I Ex,~~d.

j.

"0< --'--1'--;-- --;-- ---.-- 11196 1S97.

1898.., lW-19.. ,.

1000.,... 1001, .

'oS' 1902..... : '., .

I .. 2,fl6.I,014 3,202,ll38 3,527,809 3,198,711 3,2(l!

';,~'\5 3,441,:104 3,!HS,H5 I :1,665,011 700,997 686,539 3,189,418 47,602 ll,57Mll 8,603,799 410,0'./1 3,158,OB ,&>2,419 489,941 3,931,4411 105,221 4,023,H36 sntlsf'nctlon.

Some hOD, MEMBERS.

Hear, hear.

Mr. SPROULE.

Is that deficit reduced out ot the revenue ot the post office?

The MINISTER OF FINANCE.


DS I am aware, It waH.

the point ot mt hon, friend's question.

80 far I do, not quite see that to $lOl'i,OOO, tormer years, ___ .__-,___ allowed- to explain.

- - - - - - - - - - - .

item put In the €Btimates The MINISTER OF FINANCE.


In the Department of Railways, Tile actual amount ot surplus or deficit 'l'lle Postmaster General has made n not quite see the dltrerence; ,Ur, SPROULE, Simply this, If I may be I understand that the -- old defiCIt ot $700,000 wal wiped out by au tor thnt purpoee, In tlle 1lOSt oftlce hns been thc subject ot but It was not revenue trom the post office.

l1luch discussion.
l1luch discussion.

There Is, howcver, no I do I'DOlll fOl' Rny mlsunderstnndlng on the SIIb- ject, the tact re statcment.

10 which, tor tile purpose ot com- mains that at the close of the year 1896 pm'lson with the figurel!l of there was a deficiency of some $700,000.

the servIce In the Yukon nnd Atiln districts Just how It was paId II of uttle conaeqUeI1~; Is omitted, nnd leaving this out there wns nod If under the c1rcnrnstancee: which I n sll1nll surplUl!I on last ye8r'8 operations.
bave described, my hon, frIend has reduced Consldel'lng that In previous years ot com- think that Is n record I tor a which even my hon.

trlend trom East Grey jJQrlson there WAlt no charge at all (Mr. Sproule) should receive with satlstac.

f:cl'vlce In the Yukon aud AUlD, It Is pel'- fectly tall' to make a comparative statement tlOD, In this way.

But It we tntt this Aside aDd aiAo.


compnre the expenditure ot the Post Office there Is a large Increase ot receiptl, We Department ot to-day with that ot fortner have been spending a great deal ot money yeal's, we have betore os the gratifying tnct on the Intercolonial RaHway.
the returnl thnt while tilere was In 1800 a deficit ot over tor which we expect In lome degree through Increased receipts, but also to some extent, $700,000, In the lost nscol year, 1901·1902, as In the case ot throBlh this deficit WAS reduced to $lM,oro, through service reno direct divIdendi, hut the It 'I'lle MINISTER OF FINANCE).
The Is gratltylng to know that the volume ot bnslness on the railways hal been greatly Increased, as appears by the tollowlng ltate tbe reatiit Ie the ment ot the revenue, expendltu1'e, nnd aur- figures I have here are $700,997, but I will took tllnt up.

However, Mme.

mer ndmlnlstratlon, office account wae upward8 ot"7oo,000, bon.

trlend tbe Postmaster General has not 1=====el;,n;;;,;oo;"';;';";'~R;;";';W;.
;'.~===~ ouly been able to carryon the service gen- erally In a very efficient manner, but be bns extended It, especially In the Yukon and the Atlln dlstrlctl at a conllderahle cost, and he closes the year with a defictt ot only $106, 221.

Even It this were the whole story of tile post office, thll statement would be a most gratltylng one.

ot wblcb the Postma.

ter deneral might well be proud.


But tbe statement becomefi Immensely better wilen we consider the great reductIon ot taxation whlcb hos at tbe same time taken plnce In the Post OMce Department.

Wben we re- member that under prevloul administrations' I ExpenditurE.

Expenditure orfe:~.n reVllllUS by _ ·_ - - - - - -1 - - ct& 1890 .. , ..... 2,928,080!l2 3,481,..11291 + M3,3!l2 ()(I 2,1140,11796 2,960,300 91 + 9,682 96 1895.,.,.,.

4,M2-0i186 4,4,81,404 69 -120,667 02 1900.

,.,..


, 4,972,2M tn 1),460,422 M. + 488,186 17 1901, 00.820 81 1902..

In 1896, tbe last year nnder tile tor- d ' " eftclt or a ser ell 0 years: :My RavENulI: ASH:E1PIL'i'U1TIIRIt-CoNlIOLlDATJ:oFt::SIJ '.rile (Ie- dered In the general development of 6,671,383 91 5,674,lJG8 30 - --' -'- '--- 'I'he POSTMASTER GENERAl" the deficit In the' pOBt plus or the country.

Nevertheless, tlelt In 1896 wns $781,000.

the canala, not buelnesa ot Revenue.

c!-8.

ctll.


_ I • • 441 1383 OOMMONS "M ThuI, on the Intercolonial Rallway proper surplus or tor ""',820.

the lut year there W88 • RA1L'II'Arll-CoS90LtI)ATlo:n FClIlt-CoLUCTrOX OF R&\'ENt!E-lIfCLtlOIS~ IST£AOOLONLIoL RA1L"'AY; PIlISC': Eow"lu, UUloil> 'llAILWAf ASO WISI~OIt BaASCH.

Ur.

BORDEN (Halifax).

Does the hall.

gentleman Include the Prince Edward Island I Railway 1 The MINISTER OF FINANCE.

r I Yftr.

Renmuf'.
r I Yftr.

Renmuf'.

I aid1_._-------- ----,---- t t ' " i::"l....di.

Sutl'lua.'

~6cit.

tUrf!.

I , II eren • 3'25-I.H2 113.764 w.n:> l!H,SOl opera"", un er ., I UW.o.. ,-'..ur, the Inte~loDI.1 RlIllway proper.

But the Rall'l'l"oy Depnrtment has to deal allIO wltb the Prince Edward Islond RallwllY wblcb 11891;.

II commonly IlIlociated with the interCflI.

1S9i ...• onlal, but II.

dU'rtrent road.

wltb • dIfferent' I ~.

.. gauge an coo '11900 .. ,.

tlonl, and under n distinct account.

The 1!lO1.


Windsor branch II also owned by the go"- HJO: ernment.

but leased to the Dominion So far I hn.\'e bl)en- deallo, with the ex Atlnntlc Railway Company 00 condltlunl nnder which the governmeqt keepi up thE' pendlturel of thE' yE'nr 1001-2 011 COllsolldated track fln~ receives n certaIn {llIrt ot the 'I account; that Is, the e:qleudlturel chnrgeable to Income.

There werr, of course, otlltr ex, earnlngl, and thnt railway yielded a lur- the year ot $33,228.
But agnlnsl I pelldltUL'ell, eboq;:eablc to ('upltnl and llPec plul for tbe Intcrcolonlnl.

luI nccount, which IIlIYc to be consldel·ell.

theSl!

alld on thE" Windsor ~!ancb, there WUIl 'I a comllnratlve stutement I 3.HO'Gi8 3,OOG,7&4 3,1~,9W..... :t.31;8jI 3,00B,lU!

•.•.

; '\696.61.

S.9-la,81, 1 ~,~22t:l -I,7H,llJ2 6,213,3111 1 6,j3!

),061 6,918.99i1 ti,lI6:,OOflI deftclt on Jh!


Prince Edward hland Rall'l of our expenditures for 1001 and 1002, co\'er' way of $7w,15Q, So that taldng the opera, In~ not only expendltul'c on consolldatl.

'd fund necount but nlllO nil the Items ot cap- tlonll ot thus showlo'" find that there was fl.

oct yenr ot $67,898.

.. lpeelel expenditure our totnl oullo)' tor the IWO' years: II.

i The fllllowlilJ; .Ilurplus for the Itol anll I 2-109,2(1)1 10S,!t.
'U 1 these three ra!lwaYII two 8uq)luses, together WE!- 61:;'6:"0 6i,8!lil 011 TOTAL EXP£SDln'll&!l 1901-:?

Co:\lPARED WITII 1900-1.

• eu.

I d.&.j .

8 , 'll.l!G6,~~ 1lO,,~,391~1-=!a.0"::.

:!.1 3.914.010 lJO I 6.102,838 99!

1,11l8.~ ~9 2,3tlO,6Ci9 ~ I 2,11~,6ll9 &II" ......

2,loo,1:.

'50'J 1,lll3,H170 1,006,983 39 1DI,771 07 I 269,060 90· 1Ii'O,837 97 2!19,691 43 I 136,lllH 79 I Hi.
:!,812 (j.l , ., i U8 70 , 8,918 87 , 2,383.1~9 72 I 1l,63iJ Ii -----1----- ------,---- 7,6~488 34 ,10,078,638 06 - ' - - - i - - - - - - - : - - - - - _ 2~ii,8lIO 01 I .. ".

I 2,1l12,328 Ni 1 2,093,9:f.J 00 I " .

247,741 4t1 !lO8,681 42, :":':':'~~:":':':':':'I~,0S9:18 ~,~~ _ 3,421,010 281 3,132,7ll.

'l83 .... " ....

.

:.:.:.

: ~.2~O ~t> ----,------_._-- - - - - 11,116,498 62' 13,2U,~07 89 2,091,9011 27 GGO,93!1 !Ii 6: ,!l82.800 .M; .

63,970,i.
63,970,i.

'19 86 I 6,D87,933 -10 CoMoIidaLed f·und .. ..... ...... .. .

CapiuJ- Rail.ay Can"l•..

.,.

', Pul"lil.'

WOf'k.

Dmuinion Land Militi.. .

.. C.'lI,di.n PlOCi6e R.il .

.

.

y .

Sl'eeiDI rillOll Railway Suo..idi...... ... .. 8oIJ.th Alriea" Conting~nt.ll .nd Halifa~ GDf- .. ..... • ·Bountir.ll (Ill II'M and Stt"el , Total SpeciAI........ Total Capital and Spacial.

Total EJ.I_ditur8 (of aU killdl.... HOD.

Mr, FIELDINO, 1:185 ========;==~_.

APRIL 16.

1903 1886 J tbat finances.


glrrllon, ·and Halltax The expendlturea on capital account tor railways, canals, public works, Dominion Inuds, militia and Canadian Paclflc Railway omounted in 1901 to $7,695,488.34, and In 1902 to $10,078,638.06.

Special expendlturea, 8uch as railway subsldlcs, South African contingents and bonntles OD Iron and steel, shoW" a total tn !901 or $8,421,010.28, and In 1002 ot $8,132, 100.83.
Our total expenditure ot all klnda In 1901 wu '57,982,8J6.46, and In 1002 $G3,9iO,i99.86. '

Coming DOW to tbe ad'aln or tbe fllcal n'nr 1902-3, we find an e"en more ..tlltae tory state ot our Tbe revenue trom the 1st ot July to tbe lOtb ot April was S48.

::US,125.t.>7, agalnllt tor the correa pondlng period last year $"3,100,658.

(», Ilbow Ing an increne In tbe nine montbs ot $5 tbe r';' tHl COIIMent li8.4G7.63.
malnder ot the ;rellr will sbow a turtber 10 crense, and J anticipate thot the reyeoue ot tbe year will come ver)' close to, It It does not reaeb $65.000,000.

Our revenue lnat J'eor was a lIule o"er $58,000,000, 10 tbat the House will see J om counllng on all Increase or re"enne this yeor llmountlng In rouod numbers to seven mllliou doll3rs.

Our ex IIelll1lture tor tbe current ycar up to tbe 10th ot April waa $32.870,204.96, and tor the corretlpondlng period lnat year $81,SW6,181.16.
Ibowlng an Increase this year ot W-4,023.79.

It will be observed that while doriog tht'ae nloe montbs our revenue baa Increased over $5,000,000, our npendlture, chargeable to in come, tor the corresponding period baA In J anticipAte crt'al'ed !PP!I than $I,OOO.OUO.
tbat this tavourable CODdltlon will coDtinue to tbe eud ot the J'enr :Iud thAt our n.pen this yelr dltnre cbarl;ellble to Income tor wlll be nbOut $51,GOO,OOO, nll:'alult n Ilmllar expeDdJture Illit year ot $5(1,769,391.97, abow Ing a 1Irob..,ble locrenle ot expenditure tur the year chargenble to Income ot only $800, 008.03, while tit the snme time I am count· lng ou au l11crense ot re"elllle ot $7,000,000.

Since I am eatlmntlng tbe revenue at $G5.


000,000 and our probnble expenditure charge able to Income nt $61,lI5O,000, It tollows that at tiS between I.ur tile year, oL'dlllnry expenditure chargenble to ll\come :md OUI" reveuue, we s1lnll have n mag-nlll clent surplus ot '13,1t50,OOO-a Bllt(llus (Ul' nnd nway nbo,'c nny pre\'loua sm'phls III tht.'

financial blstory ot our Dominion, the clole ot Assoclnted with n question ot tills clla'" there Is n!\\'o"s ot C'lUrse the ques acter tion ot our public debt.
An hOIl.

)fE:\t"-BER.

Henr, hE'or.

• 'l'lle :UI:SISTER 01~ FINANCE.

• Henr, henr' sn"8 my hon.

trlend oppoaltt', nud I nm dellghtetl to be able to ossure him tbllt IIpon thllt point olso 1 bove II stnlement to mtlke na 10 ",.blcb we nced not tear nllY J bave here a statement of compnrlson.

the Increal!el nnd deerenes ot tbe public debt, I I tbey have occurred from time to tlme, Those Increases nnd decreosel In our net public debt are OS to1lOW8: NET DEBT-STATJ!
:~ENT FOR SIIVlIlN YEARS .. .. .. .. 1891.... .. 1898.... .. 1199.... .

.. 1900.. 2,1l8&,liS .. 1901.... S,:W9.0Ni lllO2.... .. 1903 •......•••••.•••••••.•.• .. .. .. .. .• .. .. .. •• .... .. .. .. loere•••.

..1 S.041,183 .. J,~l1,802 .• 2.311,041 .

.. .. .. .. .. .. 114,111,'18 1.

'2',839 loereue, 1 yean .. 1 1,&11,851 1,091,319 Net AnaSt per year Al'era&'t of 18 yean, UJT!· .... _... 1898 ... _ .... 8,561,015 Deer.all.

I 17U39 S,lSO,flO U,n',At to e1oSf'ly estlmate.


For the current yenr we do not nntlclpnte all)' lucrense ot tbe publlc debt.

l.ost yellr we added $3,349,O&i to ollr debt, wblch waa In tbe consldernbly leu tbnn I expected.

8t:ltement I prelented n )'ear ngo, I antici pated a considerable IDereaae of our pubUc debt as we bad large capltalt'Il)endlrutel g0 tbe outcome ot wblch It waa Ing on then.
dllficult BtH happily tbe ootlay on capital account proved leu thaD my e8t1mate and tbe revenue very much greater.

Tbe te8ult WI!lB that we tbe cloae of added to our public debt at the year only tbe moderate sum ot $3,849, 085.93, wblch WI!lB conalderably lesl than I expected.
At tbe close or tbe present year, af[er providing tor all our cbarges agalnat Income and our expenditures on capital ac· little couot, which will be- $Il>,OOO.OOO or II more, 1 llntlclpate tbat we sbull not only odd nothing to the public dt'bt, but mnke n to the amount ot reductlon of ~:5,f.."iO,OOO.
II.S to the fllvourafile outcome ot the prelent yenr be l'eallzed-nnd 1 think we lDay eount with consIderable 811.tety on Its being renllzed III the main-we sball find that III the coune of seven years, we aball have Increnaed the IHlbllc debt by $7,681,657, being!

nn average ot n little over $1,000,000 l~r aunum, or to the Ilresellt nd be exact, $1,om,a7o under mllllstrntlon.
tbls, we have Alld agaInst the rnct that our pl'edecesaors l\lcrenaed our pllhllc deht during tbe elgbteeu yean ot their ndminlstrotlon trom 1878 to 181){l by $6,663,006 per ,·ear.

expeclo tlOll t·bat debt It my That, Sir, III n stalement mode 10 tbe c10ae ot the current year, wben we sball bave had seven yelltfl of flnanclol admlulstraUoll by tblll government, sholvlng tlint tbe average InCI'ease nC the public debt during tilese se,'en yellrs wns but $I,097,37ll per y(':It.
Bnt maklog a stalt'ment tor tour yearl only, Thllt In tbe course ot tbt' I nnd tblll result.

Inllt tour yt'ora, Including tbe present.

we llhall bave locreased onr pnbllc debt $0,33:)" 282.73 In the yeatfl 19lJO.Ql and 1902 and the amount ehall have Inctellaed It by .. .. .. 1900.... 1901.... 1902.... 1903.... .. .. .

.12,986,196 SO .. 3,34!J,OSIS 93 .. 163352SZ n • , 1387 COMYONS 1as8 -- --..:..::..,--_..::....._-- ot $6,429,63Q.71 in 1900 and 1903.

The figures!
The figures!

ndmlnlstl'ntlOD, were neal'ly twlee as grent are as tollows: as the reductions mnde by our predecessol'S <lurIng the whole ot time.

However.

NET DEBT-STATEMENT FOR FOUR YEAR..~.

willie I call attention to these reductions ll.nd regnrd tbern as a very gratifying feature ot I 77!J,639 71 I the financial statement.

I do not bcsltnte to I BOy tbat.

os n rule, a M:lulstcr or Finance wlll , Illit be nble to show reductlolls ot tile public Decreas.,.

Inerea.e.
Inerea.e.

theil' 5,650,000 00I<1ebt, nnd It wlJl be liO discredit to him It IM:!9 15~9 'i1Ihe Is not able to do 80.

I did DOt catch Year.

the csli- • So tlmt lllldng these tour ~·cars.

durl:l;.

;' d~ht per cnlJltn, fairest way to make tbe COUl[lnrlsoll.
I have prepared n stntelDent ot the public this, ot COUl'SC I>ell1g tile w"iell we 'h:n-e certainly mnde libel'al appro- It Is prb.tions tor the public servlce, during which 11iot to be SUPIXlsed thnt the public debt wlll GTcat publlc wOl'ks ~H,,"e been ClI.Trled Oil, rem:llu at a standstill; but, n& the country and durlug which our boo, friends opposlle J,.
''rows In population It Is oble to benr nil Ill have c\'eu cbarged us occasionally with es- CI'enscd amount of debt without Illcrensllll; travagence, we shall have paid our expend!- tbp weight of the burdell upon the peoille.

ftC- Ucglnnlng with the year ]891, we filld tllnt ture on cousolldated account, on capital COUllt, on- special account.

and every other the debt per cnpltn hns been M follows: account, oud will Dot have :HIded oue ~ellt to the public debt of Cll.nndll.

Mr, BOUDE~ rHalirux).


Populalloo.

Net Debt.

Per Capita.

NET DEBT PER CAPITA.

tIJe ·hon.

gentleman's figurfOS fOI' mated reduction of the pnbllc debt.

d 11 tbls govermuent, The MINISTEU OI!'

1"INANCE.

49.20 f9.f3 49.08 49,62 60.40 60.96 51.01 50.91 60.78 5O.0~ 49.98 49.97 48,at $%37,8~,030 241,131,U4 211,681,039 %f6,l83,029 :~a,OH.9!7 258,497,432 261,538,696 !63.9~,398 266,273,ff6 265,f93,806 %68.480;003 271,829,089 266,179,089 1891 .

.

.

.
.

.

.

4,833,239 _... 4,877,748 1892.. $5,050,- 18'3.. .. f,9%3,818 000.

Now wltll regard to reduction of pul..- 189~.. .. 4,9'U38 .. S,O%I,oo~ Ilc debt, It may be well to notice tbat It Is.

18,',,"" "cry seldom tbe lot ot a ll'Iu3uce Minister .. 5.012,341 ,'"," ., S,127,2l!O .. ot Canada to be -able to speak of a re UC 011 " 5,lU,373 189S,.

.. 5,2U,9:iO SOIDC .boo, gentlemen, 1899.. of the pulJlIc debt.
,have followed tbls matt<>1' 1900.. w1l0 may not .. 5,300,113 closely, may be surprised to leoru that prior ,.5,371,051 1901.. 5,4::8,913 001)' 19O:!..

to tIle ad\'eot of twice In the history of the Dominion of 5,509,000 1903..

The statement I have just gh'ell might be Canada WDS there a reduction of the public debt.
Once in our tIme, prior to tbe present, made even more favourable, In the esti ha"e we bad Q reduction of the public debt, mates of populatlon 1 bave tollowed the umouutlng" to upwards of $700,000, and now, method of calculation ustUl.lIy followed in In the present year, we baye tbls large rc- tbe cellSUS ottice, by which tIley add 0. ductlon to which I bave referred, While certain percentage from yeur to year during preseutlllg these tigures, let me fl'ankly say the htter\'al betw~n the times of census that I do not thlok ony Minister ot I.<'loance taking In of tbls country should be expected to show to account the, large Increases in popula In tlou during tbe cmrent yc:tl', thnt a corl'cct oftell a I'eductlon of the pu1;Uc debt.
stutement It one could be lIlude, would show a new country like Canada wIth a great mUll,}' publlc works requiring to be Assisted, a much Itll'ger population for the present with many demands on the treasury, 1t Yllar thau ill the estlmate I have Illadc, It woullt not be surprising that each year we wlll be seen that 1 estlmo.te tbe Ilollnlatlon would not only be obllged to spend our the present yeoI' at 5,500,000 olld the ordlnar)' re\·eoue but to Incur some dtlbt In lIet debt at $48.31 per llend, na ngnlnst $50.00 the rate when tills goycrnnlcnt order to carryon our great public works, But 1 have no doubt, pel' head, taking, for , .
'fbat, Sir, has been thc experience of can- eume into omce .

f!.da during tbe greater part ot its history.

On the questloll ot smplnsefl, which i8 Where we have had surplulI!s-nnd we have nlwoys nn intel'estlng question, 1 1Ia"e bere hnd mnny ot them-almost In\'arlably tbey n statement which glYCS tlle SU1'1)1118 Ot' de ha:re been absorbed by the expenditures on Bcit for each yent' from tIle yen.

]807 up to ('aplla!

account.


Ooly four tlmes In tlle bls- It will be l'emembel'Cd tot')· of Canada bave tbere been reductions that willie this government was ill poweL' there dllrl~g 1896-7 It hnd to Cllt'ry on the finnJlcllll In the public debt.
That Is fo sny, bn,-e been only four yeol'S In whlcb the atralrs of the country undcrcondltions wblcb' the main, came to it hy way ot Inherit Dominion was able to pl'Ovlde tor all it1'l h, It Wtlfl not III n el:pendltnres nnd have n balance wherewith n1!ce from its predecessors, the expenditures wholly; to reduce the debt.
Twice In the time of our position to control predecessors these reductlolls were made, In to.d the estimates for thnt yenr were Ill'C Dod twice In our time, And, If there is any- pnred by my predecessor, and, coming Into thing In mftldng tbl!

calculatlull, I may any office when tbere was no time to revlae them, tIld the reductions In tbe 8el'Cn YCflr8 ot our w(' wel'e glad to accept tbem, tn the m:llll, the pl'C8ent time.

HOD.

I[r, Jl'IELDtNO, 13tH) APRIL 16.

1903~ 1390 lIud net upon them tor that year.


It will be sl'en that, for that year, there was n deficit, bnt thnt for every yenr 81nee there hRS been II surplus :- SURPLUSES-1897 TO 1903.

Surplus.

Deficit.

., .•.•.• ,.

U19,981 H .

.

.

.

.

, .

.

.

, 1~9G-7 .. 1~97-8 .. 1S98-9 .. 189!I-lnoo .. lnOO-1.

.
.

1901-2 .. 1%2-3 (uUmntedj n,122,7U 33 4,837,749 00 8,O~4,71f 51 5,6~8,333 29 1.291,398 0Ei 13,350,000 00 .. Total tor 7 yeare .. $I0,ii04,907 19 ~519,981 H 519,981 44 Total net surplua Cor 1 years .... $40,384,925 75 Is so.

'£be figures I am about Average, $5,769,275.10.

Average tor 18 years, 1878-1896, $544,539.61.


Tbe general condltlon ot our couutry Is so l·rOSperous tbnt, It Is not necessnry to quote the purpose of showing :iUY stntlstlca tor tliat It to I:lve al"e IlOt quoted tor the purpose ot prov illg prospel'lty whlcb Is appnrent to all.

bllt becl\use the Budget Speeeh Is n sort of fin library In wbIcb you can ftle a tew nnclal Ilocumellts ot tbls character and whlcll will 1)(' tound useful and lnterestlng for fnture First, we have a statement ot rl'terence.
the deposits ot the people In the chartered bnllks of the country.

I give the figures for five yeal' perlod8 :- DEPOSITS BY THE PEOPLE IN THE CHAR TERED BANKS, JUNE 30.

Year.

1868.. 1870.. 1875.. t880..

188a., 1830.. 1895.. 1900.


1901., ]302., .. Feb. 28, 1903.. .. .. .. ~ 33,317,879 64,014,460 61.094,860 76,244,066 95.030.423 128,631,455 182.638,227 277.256,716 315,775,423 34U43,901 366,682,122 A statement or tbe dlscoUllt or the char tered blinks Is a weflSllre of the business ot the countl-y, ftve year perIods nre 88 follows:- 'I.

'hese figures fol' OISCOUNTS--CHARTERED BANKS, JUNE 30.

Year.
Year.

1868.. 18,0.. 1875.. 1880.. 1885.. 1890.. 1835.. 1900.. 1901.. 1902.. .. Feb. 28, 1903 .. .. .. .. .. .. DIIJcount,.

$ 51,366,120 67.101,167 136,171,619 111,956,858 162,841,002 U5.i81,40!

224,601,301 316,634,6Ut 318,240,~9 348,690,611 382,226,338 .. '1'l1e total trade also Is one ot the means whereby we measure the prosperity or tbe .. country.

tolal exports and lmport8 :- I have here a 8tntemeut ot Ihe .. Year.

1868.

1870.. 1876.. 1880.. 1885.. 1890.. 1896.. 1900.. 1301.. 1902.. TOTAL TRADE!.
$131,027,532 148,387,829 200,351,2611 174,401,206 138,179,Bt7 218,607,390 224,420,485 381.511,236 386,903,151 423,910,Hl Then lI&,urei InclUde total eJ.porta and total Importll which in lurn include col4l and bullion.

My next statement Is one 8howlng the Im IlOrts tor consumption and tbe exports:- STATEMENT OF MERCHANDISE IMPORTED (FOR HOME CONSUMPTION) AND EXPORTED.

Year.

1868.. 1810.. 1816.. 1880.. 1885.. 1890., 1895.. 1900.. 1901.

1902..
1902..

Import" $ 61,090,159 66.902.014 111,408,568 63,900,542 93,756,715 111,682,573 100,615,891 172,606.878 117,700,694 196,480,190 EJ.porta.

~ 49,739,998 62,608,814 74,628,212 83,336,191 84,263,164 91,387,296 106,013,39'-' 177,716,OH 194,509,143 209,970,864 These ftgures Include merchandl8e only, (coin and bullion excluded), Equally satl8 factory Is n statement ot our exports con fined to howe products.

.. TOTAL EXPORTS-HOMIll PRODUCE.

Year.


1868.... 18,0.... 18,5.,.. 1880.... 1385.... 1890.... 1895... 1900.... 1901.... 1902.... .. .. ~ 45,M3,171 56,081,193 67,490,893 70,09f,l91 76,183,6L8 83,336,514 99,528,351 163,~10,790 117,431,386 196,019,763 I It ougllt III connection with the s1ntemellt of SUi' pluses wblch I brn'e rend, think, having reference to some criticism which occaslon nlly Oppeltl'8 III the pl'ess, that I should otfel' n further obsen·atlon.

llot to hI!
llot to hI!

llt.-eessal'Y to mnke nllY e:ql!anntlon l'Oll C('I'IlI11g these surpluses, uut 8Om~t1me8 we gee III the public presa, and even In journnls from whIcb I would expect grentel' Int('] llgellce nnd gl'entel' flllrnes8, tile 8t1'1ten\l~l1t that the 8urpluse8 whleh the government have been able to set forth, are unreal, be' cause they do not COVel' nil classes or ex !If!udltures.
Now, It llUg1Jt to 1J.I.o well und~r· stood by hon, gentleman, and It will be un derstood by the older members ot the House, that the distinction wblch Is obsel'Ved In our public accounts betweeu capital espell dltllre nnd e:zpendlture chargeable to Ill come, 18 not a dlsco\'ery willch I ha\'e made.

1391 COMMONS 1392 It 18 not nil In"entIon or mine.


It hos existed In the public nccounts tl'om the begInnIng, It hns llropel'ly existed; nnd I bope It will be c1enrly understt:od thot hi tunt respect there Is no changc.

The publlc accounts III thIs respect ore kept nl tuey nlways have 1'here Is D propel' dlstlnctiou.

been kellt.
been kellt.

to draw the Sometimes It may be difficult line, but us respeetl the ,I-enter port or our expelldltures 011 eapltnl nccoullt tllere Is n pro»f'rly dro.wlI line betwl'('n cnpltal ex penditures f.nd expenditures chargen!Jle to Income.

HO"'e\'er tllnt may be, we bll\'e xlmply C1IITlcd 011 the fame method or l.cell Ing nccountfl tbnt our prooccCllsoI'S 11:1.\'1" fol lowed.

An bon.

MEllBER.

Exeept on Iron.

tbe bounty 011 Iii!."

tenr a 1111 hOIl.


tl'om re\'CIIU(', The lIHNISTEU 01" 1 nUl ll·INANCE.

friend hnl rcmll:ded lIle or ~I:l.d that, hut 1 ,"auld hn"e spoke:1 or It III allJ It you lwk :It tile st:ltrmenlJii whlcll CiSCo the bend at all)!tlll nllIl 1111{M':lrOO uut1<'!'

the statements to-d:l", you will nod tlmt t.be ouly lie", item or nny colll'iden:ble Ilmount iI~ thnt rcspt..'Cllu; the bount,r on Iron.
Ko\\', tllat the tormer method or de:tllng wiltl oeed bounty W:lS oue with whlcb we tbe comparison.

What wns 1I0t llll.

'thod ot k..'eplug nccounts with form{'r ft'gnrtl lroll?

We !.Jouutles to h:l.d tbe moneys deducted trom tbe custows re\,('lIue&, tILe)' were classed DJ; n n(ulld of moneys.

ConsIdering that not a pt'nny went h.to the tnmsur,·, It would lie djllieult to Ull' d::l~1;(nlltl how they C<.tuld 1J.e properl)' classed liS II rl"fulld.

There lIe\·el· wt!s nuy UlOIlt!)'


thlfl connection; Iiald Into tli':!

tl-enllUI'y III but yea~ ntlel' YC"lr the p:l)'lll(mt of t1l.

:::se lJountlCl>, fol' 1lOIUC fe380n thnt I IUl\'e lie"er 1K.~n llh:~ tu l'lId~'Ntand, ""tll': 1Il11l!e Ullt or the CUSIOOlS Dcpr.rlmellt n'ld It:Ill'/1 Jlr\ II dcdllctloll 1 think nny bu:·I· IlC~S lua~1 "II • illler IIlde of tilt' House will Ih:knowlc~l;:c wllh IIII.'

l\ propet' W:I)' or keel)llIg tll·"!

11('('Oll1ltS.
11('('Oll1ltS.

You lJoUlltlCl:I 01: co not "\11 III~vllllllg 1I110ut t11(· iron III If )·0": lool,f'd lut" the AutlltOl' O{'loel'a!

's He· port, )'ou mi,e:-Iit ulllc""el' tllnt.

In l:ls UIl"I)'· slil or the wo1'11 of the CIl>jtOIllS DepDl'tmcllt that eel" IIt'('Ollllt V,'IIS tllkell of taln monel's were paid ns II reCund, or some tllill~ of that kind, Iron, Well, so long all tbe suma paid tor bounUe8 were 1I0t \'cry lnrge, l)erhnIU; was not a \'ery sel'lou':!
mnttcl', though, WllCthcl' the /jllffi WIlS IUl'ge ,n' 6'119.11, It WIlS 1I0t a SOllllti method ,Jr bookkeepIng.

Dut whell It cnulU to uur !Jounty Ilrrungemcl\t we WCI'C IlItel)' to pny I:\rgl.'

sums o~ 11I0Ile)' running up pCl'11npS to lUiI· 1I01ls of cloll:ll'8 II.

yenl', tbenlt becl'lIle n('{'CI!'

sury thnt we S110UId h'cat the mattcr pro lome otber place In perly In the jlubllc necounts, and 80 we lK>gnn to treat It In the same way aa we trcat a mil way I!uhsldy.
Therefore "'e ba\'e cllor~ed tbese bounties on Iron Rnd steel to what Is j,lt'lwledg-c thnt uuder Ilw !lubllc lleCOUu18, thnt thnt '1',111 not lJoUlltlCH Oil llS a rule.

and put the l'n<-t tlilfl thlll rOl' It Hotl.. )(1'.

FIELDING, I tblnk that called II special expeudlture, wbleb 18 pract!· <,ally a capItal accouot.

Is justified.

But I wnnt to 6ft).. Mr. Speaker, thnt whether tbnt Is jusllf1ed 01' 1I0t, dues 1I0t nt'fect my argunlent.
As regards tbe total ot tbe surpluses the bounty OD Iron and steel Is a ,pry small Item, alld It you i'tlrlkl;l tout or the lIccouut till!

mUlle)' wlilcb we ba\'e paId In the sbape ot bounties all Iron lind steel, nnd It you cbargc tbnt to SOllie other sen'lce nnd deduct It from our sllrllll1l., llll\'e substautiall1 stili Um 811111e record us that wbleb I prescnt to )'011, n rt.

'COrd ot n sc:,leH of bandlOWI!

Itur "Iusel> tl) th'!!

credIt ot the Llbt:rnl i>Q\'crn men!.

)'OU ,vIII !l>nw, !Ilr.


Sjx'nli:C!I", tiler,· n~ l:lCt$(Ins ""ho 8 ,:netimes wonder why, III n )'enr, In wbleb tlint nnnn<.

'eS nre Yt'l)· 1II'OlIIJCNUll.

we SII)' W~ :Ire sllll horro.... lu~ m(;Il('.I'.

'rhel"C fire IlCullle who ~nllot underilt:tud how thnt !C!Lould be lle(:~:lry.

But e\'en in l)r;ynte t};l're nre oc,:;aSIOUfl wilen tue C'J,tcrprl.so..--s m~t PI'OSJlCroUS buslnt"!tLI noqulrt"A IOOIlIil to meet Immediate obligations.

So It II wltb the nation.

Tbere sre time!"


when the Intlow Or revenue InlO tbe treasury Is greater than the outgo at expenditure, and tben we I\ccumul there llre a te a considerable bD.lance.

But other times wben the revenue, thoogb stili ftourlsblng In compnrlsoD wltb tbe revenue ot correspondIng periods, III Insufficient to mr.et the dcm:mds.

telli\Xlr.lr)· lunliK nrc resorted to tor short periods, nud In thut wa)' we b:ll'"e had 80me telll110tllry loans dnring tbe pnst year.
On tbe ht or Jannnry Inst, we hnd ontl>tnndlng treilllut)· hills UWI)',lIltill); to £1,250,000 sterling.

Tileel' '.lIIs were n:lIC\VOO III J.ondon tal' n tCtm or alx months lit 3i per cent luterl'ilt.

'rhnt Is n 80mewbnt 1I11;1Ier rute than In ful'luC!'

Urnes we bad to pay.

But:tll en'r)' bual· the condition!'!

oC tILe lIf'8ll mnn Ix nwnre, mouel' market tlmc P3St b:n-e I!Omc tor "cell "el'y stringent, and having regard to lIlCl>e eolldlUons.
tbe rate \\"nll n tnil' Oll'~, .-\t such tlIN·/it 1Jurlng tile Inst mont!1 01' tW(I ou\' re,·enUl' IIHt; InCI'eal('d Sf) rnpldly tllnt Wl' have fouml ourselves able to redeem some ot these trea sury bllls In ad,'ance ot their mnturlty, At tbe time we raised tbe money, ot course we could not hn,'c toreseen the Increosed rc· veoul'S tbat ha"e come In, But we hl\ve been able to redeem some ot the u'easury bl1ls already, so tbat we bave reduced tlw HIllOllllt of the tl'eMury bills outstalHllllg to £950,000.
Tltelle wllJ mn turc on the ht of July, nnd our expcctntlon IS tllat we the balnuec of 8ball be nble to pny tbe8C on·the 1st oC July out or our nCC\1l11ll· Intlng revenue.

orr I come now to the question ot loans whlcb It we had only to conalder are maturing.

tILe question or current expenditure \\'e would not require to go upon the !.ondon lIluney market tor some considerable period.

except III tlte way 1 ha\'e spoken ot.


'We bave to con· sider, however, not only the question or Ollr tempoI'8ry loans tor occasional 1393 APRIL 16.

1903 18K current expenditures but also the Question ot outstnndlllg loans, Issued many' years ago, whlcb will trom tbls tlme forward House.

I bave a statement ot begin to mature.

thosfI maturing soon, wblch I present to the LoANS MATURI~G SOON.

_~ Date of 'Maturity.

.

Kate of ' i Amount.

~terellt_-_1 Sinkinlf .

__=.d._.__.. _ &lanoo.

[.

LOfldo".


Per cent.

Oct. 1, 1003 .. 1, IflO3 .. .

Aprili, 1904 May I, 190L ..

In Ctllt{ldo.

~"".

I, 1003.

5 4 4 4 • , I I, I £ i £ £ Kone.

-1,000,000 000,080 1,000,000 3oO,lJoo I : 009,500 i 20.5,000 1,024,WO ; I I I .

--6:;;00,000 1-"'ii"99,'OOO:- 4,101,000 •2,l!52,OOO .

, .

, 2,tl52,OOO i 500,000 ~,500 lIMOO 2,975,!JOO Nonl!.

.

Is tbat .-\S tbe House will see.

one of tlJese lonns.

wblch will matore 00 1st November next, i8 n domestic loan.
am1untlng to $2,&i2,OOO, whlcb was Issued In 1883 and !>eal'S Intel'est :'It 4 per cent.

My expectation Is tbat .we shall be able to retund this 1080 In Canada nt a saving ot one-balf per cent Interest A tew ;rears RgO we looked forward to more tavourable terms than tbls.

But tor se"el'lll years the condition ot the money market hOB been one ot considerable strln ;;t>IlCY, aod the present Indletltlonfol are by llO means favourable to cheAp money fl.t 1111 early day.
Under tbese circumstances I Iltlxe thought it well to provide tor this lonn by Issuing n domestic lonn tor a short period.

The proposal the holders ot tbls lonn shall receIve new stock, run· nllig only for ten years at 3i per cent.

I h:lVe no reason to doubt but thnt tIlls will tlle he regal'ded as a fair otr'el', a nd that holders, liS a rule, will IIC glad to renew the loan on tbese terms.

It In nny case tbey arf!


not, I nm 8atlsfled that we CUll easily plu('e the new stock In other quarters {It tbe rate mentIoned.

fI.

domcstle I have spoken ot lonn wbieh will mature In 'November In Canada.

On the 1st ot October we have two louus maturing In I..ondon, olle a five loan tor :£500,000 sterling against P('I' cent which there Is no sinking tund, tberetore, the whole amount ot it will bave to he IW..)vlded tor.
The other Is a tour per cent lonn ot 0,500,000 against which we wilt 1J:l ve a sinking tund ot abOut £1,000,000 .£500,000 to be II'Hving n balance of about !Jl'm'lded for.

tlmt by the ht ot October wc cnn, out at our re\'enucs, jll'(,vlde tor the !lve per ceot loan ot :£500, uno, and for such portion of the four per c('ut loan as may tben be outstanding.
But, lr we should not be able to provide tor the "'hole ot It we cnn con'!r the balance by feel hopeful I a small Issue of treasury bills which will carry the transaction over Into the next year, wben we SbRn have to take Into considera tion other obllgatlons arising, and at which time we hope tor a more favourable stote ot the money mRl'ket.
I tj) reter the trustees under Jo'r!1n this time forth, tor some years, we shall receive considerable suws from a new source, money whlcb we shall receive vir tually as trustees, but which, w11l, tor the time beIng, be a valiabIe tor our own pur· poses.

sums which may be derived trom the sale ot lands by the Can adian Pacl!lc Ratlway.

The first mortgage upon these lands, given In 1881 to secure all Issue ot $25,000,000 of bonds, has been practically all paId oft.
The moneys bereafter realized trom the sale ot Canadian Pacific Railway lands become available tor the pay ment ot an Issue of $15,000,000 ot 3; per cent llfty year bonds Issued In 1888.

The government guaranteed the Interest on theee bond8 nnd the MinIster ot 1,'lnance became one ot tile mortgage.

It Is provided thnt all woneys renllzed tram the sale ot these land8, after the payment of tbe first mortgnge, shall be pnld In to the Dominion goverument.
The government allow 31 per cent Interest upon the mone,.

In nccordance with au arrangement made bJ our predecessors, - wblcb rllte which the company bave to pay to tile bondholders.

So 800n 88 the fund accumu lated In tbls way 18 equal to the principal sum, the company sho.

!1 be released.

from nil liabilities.

Tbe government, with the mone,.

tn hand to protect Uselt, wtll become lIable to the bondholdeu for both principal nnd Interest.
We have not yet receIved any money under tbla mortgage, the transactions connected with the first mortgn.ge bavlng' only recently been dosed.

But In view ot the great demand for lands In the North- thc Is 1895 COMMONS 1396 tbls Is tlJe sOlludf!st nlld satest realizIng that 31st Janu,~rr.

1895.. 1896.. 1897. .

1898.. 1899.. 1900.

1901.. 1902.


1903.. west tllere is every probability that we sl.La1l mllny ot tbe others tound their circulation rUllnlng close up to the Umlt ot tllelr paid receive a large sum trom this source 111 the early tuture.

It is dlfflcult to make nil up capital.

Several scbemes have been IIUI; estlmnte ot the amount.

Probably $2,000,000 sested with a ~Iew to Jncreuslmt tbe power per nnnum will not be an excessive estimate.
ot tbe banks to bsue notes, We have not As I have already pointed out, It Is not n telt Justified in eJlcoumglug any depnl'tUl'e case In wbich the Dominion profits by tbe from tile pl'luc!ple now recognized In the transaction, We shall have to repay ultl-, Bunk Act, namely, that paid up capital sbnll mately to tbe bondboldcrs all money which I be the ouly basis tor tim bauli circulation, we IIlJnll 60 recetve, But tn tile meautiUle, lind altilOugll, at one stnge, one or two ot the government will bave tbe use or tilE'" tile bankers were Inclined to tnke allotll('l' and to the extent of SUUlS coming tnto theIthat money at the rate ot B!
pel' cent pel' annum Iview, I think there Is a general agreement rill:.'.

treasury In this way we IIhall be relieved A uumber ot banks, thn;\" should have, not only 8. sufficient ch'culatloll from tlle nced o( borrowing.

A very Interesting teature in connection: (Ol' immediate requirements, but nlso a sate with tbe enormous development o( business I mal'gln to IDeet tbe development o( business.
In Canadll, and a feuture which llluSt h:n-e ba,'c taken steps to Increasc ·thelr capltnl, attracted tile attention of !lome or my hOll.

1 nnd, or course, with the Jncrease ot actu.11 fl'iends opposite who are Interested In lal'ge paid WI CUllltnl there com",s an Increu~.. {lnanclal concerns, is that this grent develop- ot circulating power.

In tbls way, It Is tuUy ment o( business has been carried on In the expected that during the present yeal".
evell ill-I' with the great development ot trade which Dominion with a compUl'tltlvely smnll crease ot banking capltlli.

When we lool~ Is going on, tbe banks will be In 0. posttJon to provide amply tor that part ot tbe cur back we lind tlJat In 1895 the paid up capl- tal ot the chartered banks ot Canada W9.8 'roIlCY syslem ot the Domlnton which depends I the increases upon them.
$01,085,329, and we find tilat I Wbtle the banks ot the country turni~h tl'om year to yellr bave heen as (ollows: Ia considerable portion ot the ootes (or ell' CHARTERED BANKS-PAID UP CAPITAL.

culatlon, another portlon or the requlrement~ .$6~,68l'i,329' ot thc country Is met by tbe Issue ot Do- .. 6~,196,.98 mlnloll govel'lJUlent notes, There has been t. I .. 81,766,818 no c ange 0 e SSlle ., 62,292,614 ot these notes tor quIte a long period.
Un- .. 63,284,I:H3 Idel' the Act as It now stands the governmellt .. 63,73.,846 '1 are autborlzed to Issue $20,000,000 ot Do- .. 6U~8.767 minion notes with a reserve ot 25 pel' cent .. 87,621,011 Iwhich reserve must talie tbe torm ot eitber 72,856,125 It will be observed tbnt fot' a long perlotl gold 01' debentures guaranteed by the illl there was practically little ot' no cllangc Iperial government, wblcll are practically the issued tn III that was the tnct, h'ade and commerce con- i excess ot $20,000,000, tbe government bold tlnued to expand In a.
It will thus he seen flud the banks were able to handle all these 1 tbat under this law the government are pel' The explanation, ot coul'se, i mltted to Issue $ll'i,ooo,OOO of notes unsecUl' transactions.
that til to sny $20,000,000 being allo'\\" Is to be tound In the tact that owing to the ed; increased wealth ot the depositll have been gl'Cotly Increased, 011(1' $5,000,000 ot tile tssue Wl"lF1 protected by fl that In this way hanks bave beeu provided deposit ot gold, and $15,000,000 were lssued with ample tnnds I Increased bmdness or the country.
li'Ol' a think It will be generally admitted that If 10llg time this worked ont satlstactorlly and canada at tlmt time was justified In tssUlng there has been no dltJ1culty 1n supplying $ll'i,OOO,OOO of notes on the general credIt the necessary amount ot bank circulation ot the country, tbe great advance that bas taken place 1n the revenue and wealth ot to Cllrry on business, but dming tbe pHt the country will Justify the Issue ot 8. larger year, owing to the great developmeut III busIness, some ot I propose to 8slt parliament they woold to amend tbe Currency Act by providing nnxlous 8S to wbether or not Instead ot $20,000,000 to be Issued.
be able to supply the llecesSDl"y amount ot 1 tbat 'rhe law provides tllat n ,with a rescrve ot 25 pel' cent, the amount bank circulation, the reserve bank Is permitted to Issue Its own notes till,' f;hall be raised to $30,000,000, to its paid up capltn\.

RtllI to he, ot COUI'se, 25 per cent.


For all to an amount equal Most ot the banks have, In times past, tound Issues over $3O,OOO,()()()-n.lld our circulation tbemselves with ample 1I0te circulation to\.IIIFI already COllFllderably above that figure their business.

But during the past year,.

we shall contluue to hold tn gold dollar tOl' with the great Incn~a8e In the trade ot the idollar.
The effect ot the proposed cbange country, the ,present resources tn tbls rc~pect might be r Act, there are $15,000,000 of notes unsecured banks' the bankK at all I and resting upon the general credit ot the InsutJ1ctent.

times had a safe margin to work on, but country, under tile new proposal there may the bank ied on tbe basis ot 25 per cent reserve, the volume ot bank cnnlt1l1, but while I same as gold.
tor carryIng on the upon the gencral crcdlt ot there began to be n teal' that tbe w11l be, remarkable degree i dolla.r for dolltu' tn gold.

the banks began to he sum to-day.

that, wbereas, uuder e aw respec ng For nll notes tbe country.

Sevefftl ot the people, 1-.

II • I I Hon.

Mr.

FIELDING.

• .

I' I I' h '.

.. Hall.

1398 be-cll.u~e APRIL 16, 1903 you keep t II - 011• .ur.

rcserve III cash?
rcserve III cash?

I'AGGART '''111 1397 --------- ----- -- -------- ----_.- --._- ------- I be $22,000,000 Issued under similar condl- bnt we think that in this way we may make tlons, wblle $7,500,000 will remain In the' a I'endjustment which will commend Itself the fonn of gold or I;uaranteed to nil experienced financial men.

treasury III debentnres, to form the usual 2G per C1!nt: of resen'e on the Increased nmount.
Thill; I nm sure, readily commend it- step, will, 8ei~ to the House, But, '1'be i\IINIST1';R OF FINAI"CK '1'he pro I may add tbnt!

I have only tilken it after very carefnl COll-, \'ialollil of the Act I'equire that the I·eserve sldernllon and consultation with the mOl'lt must be either gold or Cnnalllan debenturell ileal'lng tbe guarantee of tile Imperial gov conser~atlve financial men, who agree wltil me 1)11 to the wisdom o~ the proposnl.
lllld we It tllere 19 no demand for theRe notes, of ~ wlll 1Iot dellart In nlly way fl'<lw that.
We ('Ourse, they cannot be Issued, but It is well i wlll simply change the word from' twenty' that we should hl)ve the power to Issue these' to • thirty' hut the charll.ctel' of the reserve notes, 80 that between thl8 additlonal power ot ISllue nnd the Increased bunking cupltal \ve 8hnll hnve I) larger margin tor c1rcolaUou ~erve to tbe Savings Bank deposits nnd reUeve the nn:tlety felt ROme months ago iJ.8 to tbe probnblllty ot tllere not belnl{' The )fTXIWnm OF Io'l~ANCE, Oh, yes: n. sufficlcncy at clrculntlon.
But, wblle wltb Illl'ncttc:llly 1 think we wll1 1I1)\·e to lUake one hand we propose to allow ourseh-es that lit gold brcause these gunrnnteed dei)entureB Issue,Idebentures are llvnllnble they lire ns good /.."l'eater liberty wbich will give us prnctlcnlly IVIli gru(lunlly run out.
But It gUfll·nnteed $;,500,000 of an Increased power of If the public deslrc it, while with one band as gold, to we propose enlarging our pOlver8 In tbat t Uritlsh cOllsols_ IlrQhnbly ulreetloll, with the otller hand we propo"e Ibe found uecessnry to estll.bll8h the rcser\'e 'lin goM, fOI'l doubt If we can at nil Urnes to mflk" aD I)pproprlaUon of the money.

lemment which Is all good n8 goill, they nre equivalent IVIlI l'emain the same.

I refer to the r~ ::'lfr.

HAGGART.


think It will country, to protect the country.

snvings bnnks?

;o,[l'.

nOUDEN (Halifax).

Whlle under the proposed arrangement re- obloln the guaranteed debentures.

receive Issue of Dom- , '1'l:le MINISTER O~ I(INANCM, Yes.

Ur, nORDEN (Hnllfax), That wlll merely the mean, borl'owing trom one class ot the Pll\} no Ilc lo secure nnother class.
I nsk ~pectlllg Ollt CUI'rency, we shall the hon_ gcntleman whether the proposition nuthorlty for an fludltlonal To Issue ten mllliOIlS wOI·tb o~ Inloa notes to the amount of seven and n Is this: I do not propose to DominIon notes \lpOn which there will be half mlilion dollar8, II.
reserve of two and a half mllllon'-thll.t utlllze this additional power for the ordln- nry expenditures ot I have Is provkled the pubUc ask tor It-and If the another proposal to mnke under which· pUlJllc do uk fOl' It It Is proposed to utilize nearly tbe whole sum wlll be- applied to the thnt money ill the creation of I) reserve of creation of another reserve against another tell per cent upon tbe ftrty-nlne mlllious of dnss of Dominion IInbll1ty.
We have nt mOlley which Iius been deposited In the present deposits In the government &tvlngs Bank amounting to about fifty-nine mlllloD8 of dollArs.

We have never hIId any l't'- these deposits.

Tbe whole 111'1"1'1' :IllIount now rests as In tbe past 011 find genernl cl'edlt of Prac the Domlnlon vne 111)8 el'er doubted that It Is 1\ readjustment and not nn Is well able to assume l'espollslblllty ~or it.

Ocally yes.
Ocally yes.

Increase; to use a flomewbat famous phrsse, N"e,'ertheless, D8 a matter of sound f1uallce, Coming IlOW to tbe question o~ the tarllt, now thnt these deposits .have grown to SUCh a VHY large sum, I thlilk It well that we I hnve two clauses to propose wl:llch wlll lltrect the tarltr In certain directions, aud I should take some steps tOl" tlie crentlon of IIhall ask fOI· acmll amendments to the free lit nny time, :J there should be a special demand 11pon UB list.
Of these I shall speak presently.

With for these money8, we should b:'-'"e a ren80n- these eXC1!ptlolls-and they nre huportant .lble sum available Immedlatel)" to respond excl'ptlons as respecta tile clauses referred 10 to the demand.

to -~'e do 1I0t propose nllY change In the ameud the SavIngs Bnnk Act by pro\'ldillg Ilclledule rlltes of dutlable goods.

We nre Ihnt thel·e has a reserve ot gold equal to tell vel' cent of beeu some agltntlon for a g-eneml revision the totnl amount ot the deposits.
This reo of the tnrltr, but we think there Is 110thlng lu the present clrcumlltances o~ the country sen·e.

applied to about (lollal'8, will nmount to ~Ix mllllonll, so tbnt which calls tor tbis, and thl're nre some ot the 8evell and 8. half mllllolls ot dolInrs str01lg fenROns why nny extensl\'e changes III tILe torler schedulell would be Inopportune.

ror which we a8k lucreased authority llllder 11.

MEMBERS.

Heal· hellr.


Ihe Currellcy Act, six millions will be fit once IIpp\led, not to the general E'xpelldlhll"e , .

.

of the country but to the creation of thl8 I1S ~e thInk, necessary I'CSer\-e_ 'henr, llear.'

nt'w, The object theretore of the cbange III to gin the government an nddltlonal Some hon, 3.IElmERS.

We will cheer times hold not uumlndful o~ the tuct 'J'ile ~nNIS'l'ER OJ,' 1"INANCE_ tbe Dominion IIllnll at nil lhat Is a very mlill llot loan then.

:Mr_ HENDERSO~.
:Mr_ HENDERSO~.

therefore pt'opose IIlxty OlllllollS of l'esel'l-e fund; so that If, me on lIflght thnt !lut, the So " I , ' 1399 COMMONS 1400 , that It must with tbe motber thnt 8ult you tor 11. cheel'?

Tbe MINISTER OF l"INAKCE, TlJe MINISTER 01i' }'INANCE.

Indeed Sir, tbe manufactnrers tbem- SolDe other lion.

MEMBERS.

How docs there are not excep- we quite realized tbat Now with regard to tbe trode relatloDs country.
We deelded The se"ernl yrats ago to gront n preference to country Is pL"Osperou8; Our manufacturing the mother country In the markets of OaD 1'bere haa been a dCfllre among b:Jth Industries han', on tbe Whole, enjoyed, and /Ida.

pnrtles, among all classes ot tbe people of nre enjoying, great prosilerity.

Canada, that that preference should be ro Some hOll, MEMBEUS.

Hellr, henr.

clprocaJ.

We do DOt diller In Ibnt.

All will 'J:he ~n:\lSTER OF FINAl\'CE.

Where ndmlt that It tbat could be broug1lt about.


Were are exceptlOlls to tbls rule.
It would be a desirable thing for Canada, Ilot be bnstl1y 8lI8UWed tbM these excep- and we bope for tbe motber country as well, 'fhere may But we ha"e bad different Ideas as to tlie tlons nre tlue to tarlft' causel;, lHtllt means ot accompllsblng this, We have be some eases In whlcb tbat Is debatable, lJut I tJllnk It will be found that In many been criticised b)' bon, gentlemen opposite cllsea where complaint Is made, It tliat com- becAuse we ga"e a preference to tbe motber ])Ialnt Is well founded, thl' causes of countr)' without demanding something In diffienlty are not to be found whully In the return_ We liave thought tbat our "lew was tariff, the better one_ We tbought tbat under tbe selves wbo have communicated with U8, ba"e clrcumstancet In wblcb we were tben placed tbat It would not only be useless but harm ratber bUed lbelr claim for changes, not to baY"e pressed a demand upon the tul 80 mucll upon the prelU'nt condltlou of altalra as upon the poohablUty, 88 they thluk, Brlti!
'h government for a return of tbe pre tbat we sball sooo bnY"e les8 prosperous ference_ In this, Sir, we were not speaking our own times, I tblnk, Sir, that most of tbe manU- ,-Jews alone_ Membel'8 ot this go"ernment facturer8 to-4ny are surlerlng, not from want or orden, but for lack of 8umclent bandsj had the opportunity to colDmunlcate with and factory space to enable them to supply I able, experienced and Inflnentlal men In the Imperial parlinment, and tbe conclullion we the demand, reached, after Iluch communication, was tbat Some bon, MEMBERS, Hear bear • tbe time was not tavoura ble for IIrellslng n I aln.
claim ot that cbaracter_ At tbe Ilame time In fnr trom ll4ying tbat tluns to tbls, hut 1 tblnk It Is not too muclJ.
wblch changes rapidly OCCUfj and In tbe dis to 88y tbat Ilubject to some possible exccp· cusslon of the question In this House, we the general condltlon not only ot tlJe bave repeatedly said thnt It wns quite wlth tlons, l..'Onntry at large, but ot tbe manufacturing in tbe bounds ot IIOS81blllty, nnd e,-en probn Intere8ts of Canada In tbe main, Is blghly blllty, that at no dlstnnt day some change prosperous_ 'We know tbat all classC8 ba,'c mlgbt be brought about In the attitude ot prospered In Cunuda of Illte years, and ItIthe British government and the British poo tbat m3nu!~cturel'S pie 011 thut subject.
HOII, gentlemen OP[lO ls all tbe largest degree ot tbat site hnve frequently endeavoured to Rssure baye sban'd III tor they bave beld theh' home Ithemseh-es nnd others that the hnperlal au prosperity, thcy lIa"e alii thorltles were I'endy snd willing to J::l\"e us mal'kels to a large extent; 01' nearly nil been busy, and their shljl-I n preterence_ We rememlJel' iJow It wns menu to tor('lgn markets hO"e bcen COll-.

stated thnt Mr. Obamberlaln had practically stontly Increasing.
Therefore, even fl'olU n oltered us n [ll'efel'ence, ond thot we lind manufacturers point or vIew, we think tlie declined to bove It, We rememiJcl' how It situation ill 1J0t so uncI.

TiJel'e mny be II was suld tbat the Duke of DCYODsilh'c bnd lleccsslty at some early dote to make fur- also pl'!lctlclilly oft'ered us n prcterenetl, oud t1H!I' tnrllt cbangcs thall those whieb I now we hnd l-etuscl.1 It.
All thelle thillgs, how IlI'opose, but It l:IO the extcnt to which these ever, were mere faneles_ Mr, Cbambcrlah\ changcs should ile Dltlde and the character made 110 such otrer, and the Dul;:e or Devon ot flntl)' denied the degree dependent upon the attitude at cer, It was quite e,"I tnln other couutries towards Cnnada; cel'- dent that we had nothlug to CXllect In thnt tnln countrIes as to which we are not to-day way; bllt a chunge might come, tlml it dill In a position to say exactly what they mo)' come sooner than we had reaSOIl to expccl be disposed to do 1I0W or In the carly future, not a change, however, which took tile form 1 suppose It will be generally admitted that ot tillY preference to the colonies.
the while we are anxious to Impro\'e 0\11' trade midst ot a great wnr, In a time ot tllltillcial treasury.

whIch relations with the world at large, thel'e are strain UllOlI two countrlcs with wbl~'b we natm'ally have stili government 01' would like to have Intimate trade re- adopted tlie policy ot a tax on brendstnft's.
lations, The one, the Imp(!rlal the go'-ernmeut produced n new sltuntlon of Is our mother country; neighbouring republic, because they nre so whlcb we bave not failed to tllke ad,-antage, near to us and 80 cl08ely Identlfted with us It WAS olle thing to propose, as our oppon· In mony things that we must desire to have ents did In 1897, thllt tbe BrltllIb government should tax the food ot tbelr people tor our close and friendly relstlons with them, the cbanges may be Jo a cQnstclerllble shire, when appcalcd to, ,-Iews nttrlbuted to him, It goes without 8aylng, Tbat cbange on the part ot interesting f:lct tbese nre daYIl the Imperlnl the other JIl tile BI-IUsb continues, III loll', HENDERSON, 1402 1401 APRIL 16, 190~ If ===--- = =-===7'1======== that thing, however, !
'Oom, however, for matters ot the colonies, but henefit, Canadian goods from tbe taxation.

It was too would 1I0t be pI·oper much to expect that In order to 1;I'IIIIt an exemption of 'I' national but International questions, and It that the British taxpayer, i kind to be made public unless It were so In the then state of lltlllllc opinion, would Iullderstood trom the beginning.
There Is no representations were made, lle\·ertheless not of much materlul 'Vilen the (ll1tlt~s wel't~ but be wJlllng to adopt the poltcy of preference.

for any misunderstandIng It waR It yery dlfferent to 3S to what hnppened on the question of propose to tbe Brltlsll government, 1I0t tlmtJ preferential trade, or as to the posltlon taken they should tax the food of their people tor illY the Cnnadlan government.
Not only was the fmkl' ot they' the subject discussed again and ugnln In should tnke olt taxatlou lIy granting n IIfL,-1 tIle confer~lJce, but we had frequent oppor· terence In favour of colonial products.

WI!

: tuultles of discussing It with the British ba,·e not failed to pI·ess these views IIl10ll: mlnlstel'S Indlvldunlly, and partiCUlarly with' the Imlwl'llll autborltles from time to time, i MI', Chamberlnln and Mr. Gerald Balfour, the president of the Board of Tl·nde, We and III vurlous wnys.
contended, 8S appears In the blue-hook con· Imposed, wllbont success.

We resolyed to earry the I tnlllln" the proceedings ot tile conference, (jllcstlon Into the colonial contel'ellce to he, tilat the preference was not only of sentl hch] in London in connection with the cor- ~ mental value but a180 of great material onntloll; nod at tilat couferenee tills sl1bje'ct II ynille to the Brltlsb trader and manutac It will, tm·cr, While we contended thnt the prefer occupied a great deal of attention.
be remembered tbnt In a speech by Mr.!

t~llce nlready grnnted was of more value to c;!la miler-lain at the beginning of tIle confer- ,GI·ent Brltnln than the British officials had f'lIce, he expressed the opinion tllnt the pre- ' been disposed to admit, we told them that ferellee grnnted by \lS, while of vnlne as n ,It the ImperIal government were prepared marlt of the good-wlll of Canadll, lInll much I to adopt tbe preferential policy and give our to be apprecIated 8.8 a matter ot se!ltlmellt, !
Ill'oducts exemption from the duties now \Vas Imposed 01' bereafter to be fmposed on tor· '·alne; nnd he added tbnt t.he question I c1gn goods, we would be prepared to grant of gl·llllting a pl·efel'enee In the motltet' eunn.I l;lOIlH> further pr~ferenc£', subject to certain tr)' coultl he entertnilled tit all, It would.

condltiollS whl~b were ~1early laid down.

have to be by the granting ot some further' We frankly stnted tbnt we could not under Flubstantlal preterence on the part of Canada.
I:nk:e to give that further preference In a 'Vhlle we regretted thot Mr. Cllnmhel·lllln; manner whlcb would operate to the dlsod· look tbat view, we felt that we should 110t!

Vlll1tage of our own Industries.

As between on thnt llccount fall to press -our views 011 'the Br!tlsh mnllufncturer and the Canadlllll the otlier sWe.

This statement of MI'.


ChUlU- : manufacturer, we thought we had gone as berlnln Is very Interesting, however, us nu i for In the way ot reduction of duties ns we evidence of his attitude Oil the qnestloll.

1"01' I' could.

Dut we pointed out thnt Cannda con a lon.l:' time It wos commonty represented by sumed u large quantlt,.
of goods Imported our opponents In tbls country that Mr. Cham- I from foreign countries; nnd In return for lJerluln had been making speeches al'owlng the preference which we sougbt tor Canada, his readiness to grant a preference, and simi.

, we were prepared to 80 rearrange our tarla lnr c10ims hod been mnde wltb respect to as to glve Great Britain a fUl·ther preter the Duke of Devonsblre.

But what clo we enee, not o,·cr tbe Canadian manufactnrer, nnd?

We find that not only was Mr, Clmm.


i hut o\'er herlulll never disposed to grant ns any pre-: ference, bnt he bas now said that hefore, he could consider tbe question of a mutual I The MINISTER OF FINANCE, The preference to be with an tbe realm of prae-I vlews ot the Canadian government on thnt Ilcnl polley, we In Canada would be ohllged question are referred to In the memorandum t.o consluel' whether we would not give a Isubmitted to the conference by Mr, Gerald whIch some hon.
gentlemen opposite baveIferenee- report, and reads as follows: IUlll for ycars regardIng Mr. Chambel'lnln's attltude o,n tbls questlon Ie an entire delu- I Memorandum by Mr. Gerald Balfour, President sian.

rei haps In Rome respects It Is to be Brltllh Board ot Trade.

AI a result or the communlcatloO'll whlcb have regretted that the con~erenee were not wade public.
However, taken place, 1t II under.tood that the reprellln thele were good rensons for the course tbat tatt"el or the colonlel hereinafter mentioned It was understood from the are prepared to recommend to lhelr relpect!ve was pursued.

begJnnlng that the proceedings were to be parllamentl preferential treatment of British confidentlnl, and some of the A'entlemen pre- good, on tbe rollowlna lines :- !>ent, relying on that, discussed mattere with the freedom or confidential negotiations.
To have published all uUderstandlng would of course bnve been t1cI8ll- n hrr.ach ot faith.

In a conference of that character there are 1l.Iways arising not only furthel' preference to Brltlsb goods, It Is Balfour, president of the British Board of therefol·e pertectly clear that tile Impression Trade, which appears on page 35 of the con d the speecbes at'tpr tbat on addItional preference on list.

ot lelee~ed :~.

Tbe ul.t1ng preference at !3~ per ce t (8) by further reducln.

tb.

dutle.
tb.

dutle.

In f."our Some bon, MEMBERS.

Hear hear.

the tull proceedings ot PREFERENTIAL TRADE.

the foreign competitor.

of tbe Unlted Kln.dom; OANADA. '

1403 ==-====.~.,===~~==== COMMONS [40.

(b) by rlll,IDC tbe dutles agalolt forell'D.

Im port, ; (e) by IIlIpollo& duties on certAle.

forello Im port, now on the free Ult, The rest ot the memo.

refers to Australia, New Zealand !lDd tbe Cape, and I need not detain the House by rending It.
Now, the resolt of the whole dl8CUludon, 80 (nr ns tlJe record si.lows, Is 8. fe&Olutioll found on page tlJlrtY'lJlx :- The aenerat resolution that wa.

floally adOPt ed a. e01'erlDI" tbe principle underlylll& lhe lev eral propOIIII, comprIsed In Mr. Balfour'.

memo orandum.

wa.

a.

follo".

:- 1.

That tht.

cooference recoph:lI tbat the lJrlnclple of preferential trade between tbe United Kingdom aDd HII Majesty', dominions beyond tbe lei.
"",ould etlroulste Ind lacltllale mutual commercial IntereDU"e. Ind would by prOfDoUng tbe development or tbe relourcu and IndUltrlel or the leveral partl, .trengtben lbe empire.

Z. Tbat tbll conrerence recognizes that, In tbe pre1Jent e1rcumltallces or the colonial, It II not practleable to adopt a general IYltem or free trade al betlfeen the Mothor country and the DI'IUlh dominions beyond the seal.

3.
3.

That with a view, however, to promotlng the Increue or trade within the empire, It II desirable that thOle colonies which han not al ready adopted luch a pollc,.

Ihould, 1.1 far Ie their clrcumltaDces permit, give lubuantlal preferential and treatment manufacturel or the United Kingdom.

to the products 40.

That the PrIme Mlnllteu of the eolonlel respectfully urge on HII Majuty'.

lovernment tbe expecUenc,.

of lTant1Dg ill the United Klng- dom preferential treatmellt to the product, and manUfacture.
of the eoloniel, either by ezemp tion from or reduction of duUu now or here after Impaled.

Ii.

That thc Prime :&lIollte... prelent at ihe conference undertake to lubmlt to their rupec the gonrnments at the earllelt opportunlt,.

the principle of the reeolutlon, alld to request them to tlke .uch mellure.

I I may be neces IIry to ,iYe etreet to It.

ot character reciprocal It will be observed that the wbole dl9C1Jsslon WDa lIr.

BaltOUl·'a memo.
BaltOUl·'a memo.

Ilpeuks Of au ,Increased preterence to be granted to Great Britain b)' Canada, lIut duell not mllke any reterence to allY prefer ellce to be grnnted by Great BrItain to Can Tbo.t, however, meanll nothing, be nda.

~o.use the the nr1'8n~ment W68 well understood and 80 expressed In tbe otber documents.
The con c:Iu810n ot that tbls nddltlonal preference wblcb we were deho.t1I1G was only to be gro.nted to the mother coontry for and in consldern tlon ot UI(,' prete~nce we had asked tor the pro dncts of Canada In the mo.r],;ets of Oreat Brttaln.

That Is made abundantly clear In the mf'mo.

of the Canadlall mlnl8ten.

wblch Is ·tlled on tbe 8ub~t.

That memo.

Is a little leugthy, yet] must ask the Houlle to bfttr with me while 1 read It.
bt!en.UIle ai thongh It wu published fIOme months ago, A8 It Is It Ittl nature may be forgotten.

etntement not 0111,. ot our ,.Iews.

but of tbe vlf'w« whIch WIre e~reMed b,.

Mr. Cham berlain on -behalt ot the Brttlsh government.

Hon.

Xr.

FIB:LDJ'NG.

aud waa pUblished wltb l.L/s authority, ] thllLk we shall do well 10 gh-e lis tf'rmll OUI' L'C>llslderntlon :- MEMORANDUM: OF CANA.DIAN MINISTERS AT COLO~lAL CONFERENCE.

Thil lubjeet b.. fr.queatl,.

e~ed the at telltlon ot the conference.


At an early ltare Mr. Chamberlain l\1&&ested that the queltlon eould mOlt conTenlenU,.

be conlldered by the re presentatives of elch colony placing- them"l"ea In commUllleation with the President of the Board of Trade, Mr. Gerald Balfour.

alld the om clals ot thlt department.

Accordlnrly the Cana dian minister.

had .."eral protracted Illteniews with these gentlemell, and dllcussed the whole subject "ery rully.
Opportunity lfl6 also ta.1teo to present the Cnnadlan view to Mr. Chamber lain.

Now tbnt the coorerel.l<:e II drawing to a clole, It Is dClllrable that th", <:our1l8 of the die cueslon, and the cOllelualons tbe Canadian mlnlatert, outlined and placed on record.

reached b,.

Ihould be th-e recentl,.

Imposed.

Reprelle.ntltionl From the hellnnlog of tbe proceedings tbe Canlldlall mInisters have claimed that In con· slderatloo.
of tho substantial preference gl\'en by Canada ror lome years to the products ot the mother country, CanadIan food produ<:ts should be exempted In the United Kingdom from the dutle'll to thl, eltect prevloully made through the Hlrh Commissioner for Callada were lupplemented by the mlnlltera, both In ",rltlng and In the personal Interviews with the Imperial mlnl.tera.

Mr. Chamberlain, on bebalf of the Imperial lfal ullable to Igree to the pro go"erllment, the Canldlan mlnllters.
He repre pOIIl1 of .ented that lfhlle Imperl81 ,oVlrum.nt, hlg1lI,.

appreclatlnr the good reeling m&lIlfeeted b,.

Canada In the ITllIUng of preferential treat ment, did not thlllk thl material relulte to the trade of the Ullited Klnldom lfere as STeat all the Canadian millistefl tur claimed.

ther Did t1lat the change detlred by Canada "'ould be an Importallt departure trom the estlbllshed l18cal pollc,.

or the K1n,dom.

ane!


tha.t If tbe propoeals could be entertained It nil, •• to "'hlch be lfal not prepared to eom mit blmlelf, It lfould be neceSllaTY for Canada to oll'er some material tarlft' conceaslons heyond thOlle "'hleh Ihe had alread,.

voluntarUy ,Iven.

lubmltted II memorandum on the lubJect of the advanta«ea I\lready received by Oreat BrItain trom the view to Canadian preferentl.l ILDd Ibowlng that theel!

were of much 'Value, I!ntltled to lfelght In the conllderatlon of tbe whole aubJed.
The Calladlan mllliiten, therefore, ",Ith I tarill', He In the United Kln«dom, While urclnK that the henefttl of the prefer ell<:e lfere luch I I to enUtie Canada to the de sired e:UmpUon from tbe e!utlee on food pro· duet.

tbe Canadian mlolsters ltated that lflthln l,lerta.ln lImltatioDl they ",ere prepared to cotzllder the requllt ot Mr. Chamberlain for turther con<:ellloni In til turn for the dellred prererence In tile markeUi not of the UDlted Kingdom.. WIllie deemed nece..a...,.
to eDter Illto queltlon to the wtl40m or uDlflldom of the pollc,.

adopted b,.

all COVlrumenl.l In CaDacia, of ralslD,K Ibe revenul!1l chlefty trom cu.t01D8 dutietl.

the Calll dian mtnll1el"l palDted.

out that WIder that po_ licy large lndu.trlel had ITOW1l up Which hid to be considered..

In cODnection lflth propoled tarltr chaD&es.

Larg-e redUCtiOD of dUUeI hid been made In recent yean.

elpeelally on Brlt- It 14.05 APRIL 16, 1903 1(00 lib Importl.
It wal teand tbat In 10Dloe IInu of Imporlance furtbcr rl'dudlollII m.ll:ht create a dllturballce of trade Which would Dot be con dud.e to the welfare ot tbe countn'o But tbe Clnadlan mlnlatera pointed out tbat the t:aaa· diaD tarllt .a.
by no meaol prohlblti.e, tbat lar5' quantltletl of 500dl were Imported, and that a great proportion of tbele came tram for· elgn counlrle., ht aoy Hllel 10 whlcb It ap peared tblt tbl 50od_ would he m&putactured 111 Oreat BrUa11l It mll'bt be ponlbll to 10 re adJult lome duUe.

.. to-she an additional ad ..anlage to the Brltl_b manufacturer, &Ild tho turn over to blm a ..olume of trade wblch at preuot II beld by the mlllu!&cturen of torelp coulltrle•.
Ind p8ftlcularly graot The CIllldlall mlnl.t.n Itated If tbey could be .nured that tbe ImperiI!

CO"l'rnmellt would lI.ccept the prillciple of prdeftlual trade I'eller to tbe food pro· ally, ducts of Canada In tbe United Kingdom nemp lion from dutlel now Jlll'led, or hereinafter 1m 1)Qll'd, the Canldlln mllliiterl, would be prepared to 10 turther Into the lubJect.

and en deavour to «Ive to the BrlUlb manuClcturer lome IncreAled advanlage O1'l'r bl_ forelcn com pelltofl In the marketl of Cauadl.

they.
they.

lIunwhlle the Canadian mlnJltefi determined to present to tbe co.nfercnce a fe.oIlltlon amrm Ing tlle prlnclplc of pretercDtll1 trad•• and the dulrabl1Hy of It.

adoption by the cOlonll'll cen erally, aod aliO exprenlnc the oplnlon of tbe Prim.

Mlnllten of the colonie.

that HI, Malel ty'.

government Ihould reciprocate hy 5ranUnit preterentlll term.

to the products of the col onlel, In the muketa or the mother country.
Tbe Canadian mlnlete", dellred to ha•• It un derltODd that tlley took thll courae with tbe Itrooc hope alld npeellUon that the principle of preterentl,l trade would be more Widely ac (,f'pted by the eolonle., and that the mothcr country would at an early day apply the ..me prlnclple by ezemptlng the products of the col If, after ullnc enr)' onl.. from custome duU.., .lrort to brlnc about 8u('h a readjultment at the tbe Clnadlan 1°" fIIeal policy of the empire.
eroment 8hould lind that the principle or pre ferential trade 18 not acceptable to tbe colonlu ,enerally.

or the mother couolry, tben Caoada ehould be tree to take IUcb action ae mll"ht be d~med nl'enury 10 the prl'lence or lucb con dlUoD.l_ to consider London, Auguet 11, U03, Surprise bas been exprl!8sed In some quar t~rs-I have beard It e:zpressed, I tlllok, in this Honse--tbat the colonial conference dld not produce lome more deftnlte retult, I thot i8 the re!lult ot some mls think thnt Rpprebenslon.
The colonial conference was 110t 0 legislative body; It \V08 not what could be called an executive body; It was at the lW-It merely an advisory body.

All It could do was tke various subjects brought before it, and to expreu the con clul'Ilons which might be reached by the gentlemen comprising It, the governments concerned U1e dnty of talr:lng 11~ tbe matter later on It It should be deemed IJllccl'lsary.

That la exactly the posltton In wblch trade thl8 matter of preferential 8tands to-day.
The end II not yet.

We are not prepared to a1 at tbls moment what may be the anlwer of tbe British go't'ern m('nt with regard to the 't'lew we have placed before It.

leaving to all :\fr.

JUIlY be, tbls much Itt We are nware, Sir, that Mr, Chamberlain.
tbe ahle Coloola~ Sec:retary, whose Interest aDd support we would naturally desire ::lOd hope to obtain, hal been for some montlls nbsent In South Africa, wbere be htls reno derPd very 'faluable service to the empire, While we tlre glad tbat be wal tbere to t.hat Bervlce [0 the paclflcaHon ot I'ender &outb Africa, hla absence bU, pel'haps, to lOme extent, been n 1088 to us.
Inasmuch DB, had he been in Loudon durlDg these six montbB, we mlgbt have had hla 't'liluahic help in tbe conBlderation or this matt@}'.

The budget lpeecll of the new Cbancellor of tbp Itltchle, baa not yet been Excbequer, delivered.

We ore 110 close to It.

that· It that tbla aub may be too much to expect Uut, how jcct would be dellit wltb In It.
eVer that lenst may be &aId-that, os we wer~ Invited by Mr. ChtllUberlnln ttl exprcsi our ,"Iews on this subject, llS be took an Interest In Ibe IDat ter, and ns there nre others In the Imperial parliament who tnke an Interest In It, sowe of whom ue prepnred to uprl"Sll themselv<"l!

more freely than Mr. Chamberlain himself WtlS prepared to do, tbe least tbnt the Bri tish authorities can expect 19 that ,ve (than ollow a reasonable tlme to elapse uerore 0.11)' thing further II done.
But U, after tur ther considerntlon, tbey come to the con· elusion thnt our I'equest II not 0 retllonable one, If, owing to their adherence to certain "Iews thto,)" cannot grant us tbe preference.

we shal!

be free to mke our own course.


In such a cue It: would be Wile" Whether, to modlty or In tbe luterelt8 of Canada, tnrlft', would be a change the oprerereutlal question to be considered, putting t18lde other consideration I, tbe Brlthrb go\'erument and people do not sllow IIny ap preclatlon of tbe value of tile pl'cference, theu, so tnr 81 the BrItish goverulIlent and IJeollie are concerned, thcy cnunot complaiu It we see tit to modify or chanse ('hat pre rerenHal tarlfl'.
Of coune, Sir, there would remaIn the more Important conatders.· stili HOIl.

how tar, If at all.

tbllt tnrltr could IJe chnnged wltb due regnrd to the Interest ot the muses ot the Cnaadlnn people.

But, It II Next Is not I suppose It to Great Britain, the country with which, In tile palt, we have been accustowed tbe United to 8ay we dellre to delli, States.
too much to Bal that, for 80me leara, our friends tlcrotla tbe border have not beell too well disposed towards tbe ndmlsslon ot CaDtldhlll pro ductl Into tllelr martea.
While from one point (If ",lew, we have been dlBpoaed to re pet tIlm attitude, there a.re other consldera· tiona whlcb would dispose UI to modlry "ery mucb any expresllona ot dlsaatllfacUon, When tbe people ot Canada dllcovered, dler frequent etrorts, nud nfter nDlple time given there was a strong for conllderatlon, that b08tlllty 011 the part of the United Stat",s authorlt!es to granting liberal trnde arrang....
ment., the like lenllble people, made UP matt@}' but, they cen.ed to rt'umble about 1407 COJornONS 1408 , t 1 B on our lim sure rour monthe, It II a fatal tbut clnss at lleoille Is UOII" to clamour tnt('s.

III Moreovcr, I Iblnll It w()uld bi!

unadvlsabh.

b IJeetloo to the early aummonlng oC It.

their mlndl!

to seek for murkeh elsewhere.

Ithe HIl"h Commluloner bad heen entrueted.

JIllluhel' ot vcrs ullie llud i polntl.


think' I will tor 'reclprodty ~Itb the members or our parliament, th ut the jlnst, I .
I think am eorr)' to sar that, I.e far "I we .re concel'll And they sought and tound tllem, the Pl'ollollltlon thot theae people8 Ilv- ed 00 thlB side of the 1I0e, It would Dot be pos· thot sible to reanemble the commission before the hlg side ill' side aboul(1 enjoy u greater 'ft'ee- .ummer, Tbe seulon ot conuelS end of next dom at recillrocal trode, 18 os sound to-dlly will close on tbe ttb ot March.

but our own U It ever Wtlil.


But It Is the simple trntil eeulon will not commence before tbe 12th or the need at, the nme montb, and It Ie expected to I.st .t to any that we 110 101lger teel reciprocity nil keenly AI we once did.
There Ilell3t three members of .nd II.lI the commls.lon on the Canadian side are all() will be 110 disposition I IHtl't I)b· U I d S ere con Ie 110 (oU t to 1I te tbnt While, tile tendency of the have tbe commlealon to meet olllcially, ullleaa Amf>rlcnns geneL'olls hun1 been adn!rse to II we are PNtty lun In ad,'ance oC belDg able to there hnv(' ulwu)'11 hcen in the come to lome conclullon on some Important l'eclPI'OClty, If )'OU wll\ permit me a suggeltlou; Uullcd Ntutes 0 Illell who I'll I'e been wl'll dis· i all soon aa our v_rllament bas been prorogu~ed, thoughtful t/I,ke an opporlunlty of asklDI you Co, a poS('(1 townr(J bettertNlderelutioDs, I"round acaln and ft1 .. date ror tbe commlulJJl tbut IIlCl'CHS1IIg oILd thot to meet again.
th£'re Is a manifest growth of IllIbllc Olllnion In tuvour ot betler tl'ndc re- lations iJetw('Cu the Uultcil States uud Can· :lda.

tavoul' of l'ecJproclts has lleell Jllallifeste-d III severnl Tbe Hon, SeBator Falrbankl ways.

one ot t-hem being uu upproach Oil WUbillgtOn, DC ' the part at an autborlzed l'l!preSelllatlve at tbe UnJled Stlltes government tu the gov- ernmellt at Canadu, Cowmlssloll, which luet se,'eral yeal'S ago, !lrst at Quebec and nrterwllrds at 'Vasblng- tlon, shnll he lignin convened.
thllt slldl all w~lI kIlOW]], at noullced In tbe public press, "erhall!

!, Ie quite well enough tbat we should :l.r· It rllnlJe for a private Interview, after your pa.r- II prorogued, .nd, as you el.lgge-t, ~o exuctlr !Low the muiler stall( I, an Ilament !laked the Prime Minister to give me the tbat we m:lY consider tbe work before UB lind correspondence wblch, If the House does not agree upon a daill ror reauemblinl", object to receh'lng It 1n this mlluner, I wlll letter tram senator Falr- read.
Is ns tollows; ilauk!!

to tile PrllUe .\llnlstel' My dear Sir Wlltrld,-I obaerve tbat the nC.,t The tnd seulon ot your parllament Ie nelr at band and tbat.Jt ""Ill 1I0t be prorogued early enol.lch to enable us to rec,onvene tbe Joint High Com· 'J'he I1c>.
:1 comwuulco.tlull the Jolut HIgh r,'I\!rllll11[;s wnll as tallows; Iprl,'ate Interview, wbere we could survey the Tbc Senate II called 10 meet III e:xlra acsa:on return the Honse would desl1'e to know t to· morrow, Wh~n It adlourns I to Indlanapolla, lIpproach hus he{!11 mude III for Itlilis oc'Cl\ nn· I thongllt that.

minion hefore the clole of tbe Bummer.

YOUrB very eillcerely, (Sgd.)

WILFRID LAURIER.

Ihall to relllain Indetlnltely.

Wasblngton, D.C., Marcb 4, 1903.


Tlmt growth ot opinion III Believe roe, my dear Senator, Tlle first tounle, Sellat~JI' frOlll that ao 1 d .

, I Unlteu Statu Senate, I Waablngton, D.C., February 13,1903.
My dear Sir Wilfrld,-Tbe matter between tbe boundary between Alaska and Canada havillg bun trallBferred to :l Iveclal tribunal by our 110 retpecl\ve 1"0VerUDlentl, preaume that obatacle remains to the reanembling at tbe tberefore, to Joint HI"h Comml$8lon, Inquire when It wl1l be agreeable to YOU lO MVe it reconvene, Any date aCter ths middle of next monlh 'I'm IUIt tbe convenience or the commlsalonere or Ihe United Statn.
J write, The procre" we had -made In tbe conalder aUon ot thll lubjecll of the protocol at tbe date at our adjournment glvn wurant for tbe hope that we cao delermlne many If DOt all of them, X have the bOllour to be, My dear Sir Wmrld, Very elncerely youn, (Sl"d.) CHARLICS W. FAIRBANKS.

Sir Wilfrid Laurier.

Ottawa.

To thla the Prime M1nllter replled : Otta.wa, 11th P'ebruary, 1903, My dear Senator,-I duly rB\lr thouchUulnen, and I baaten to glye you my re ply.
It ia a grel\t aatlsfactlon tbat, at laat, the Alaalla boundary Ie In a ralr war to be bonour .bly eetUed.

This makes tbe course clear tor ta.e l'lttlem'lDt of {h~ other questIoDl with whlcb appreciate Han, )(r, FIELDING, I have the bonour to rernalll, My dear Sir WlUrid, Very respectfilily "OUte, (SlId.)

CHARLES W. FAIRBANKS, Sir Wilfrid Laurier.
Ott....a.. !lnd I As tile correspondence ludlcutcs, we arc 1I0t,In a position to torm any decided opinion oa to wbat QlllY be tbe outcome ot tbe pro lJOsed negotlatlons, The letter at the PrIme that MIIlIst~r to Mr, J<'alrbunkl poillta out It the 11'1 hardlJ' worth while to summon High CommlaslOD It we are to meet with tile StlUl~ dltflcultlea as before; aUI sure I am right lu Interpreting the Prime M1n1ater'1 letter to meaD that, unless a pre IlJllhuu'y dlscussloll .~Ivcs ns s. me I"CllS02" nille hopc tilat tbe outcome at aDotber meet, tbere will iJe talrly illltlatactory, iug will lie 110 desire all the part or thl8 government 10 ha\"l~ tile High Commission resume Its Ilttlngs, BUt, Sir, whtle we should assume n dll:"lllfled and proper attltude, while we our Amerlcnn could not again approach tor reciprocity, yet, friends!
wltll a request In tbe Ught at rer.eut It they are disposed, events, to take a more llberal view of the trade relat:l:on.

between the two eonntriel, and manltest a desIre to bave the High Corn o 1409 APRIL 16. l~OS 1410 I Is 1I0t tlllnk It tefl'itol'y, in both these watterll theon' "Oll must uuderstand Ill(' to bring about modify your ,·Iews.

Some bon.

MEMBERS, Hear, hear.

:Mr. MACLEAN, You are coming to It.


that we sholJ)(\ whereb'y' yout' 0p\Jonent pln~'s the lfllme, Ir necessary, that you JUay be able, miilsloll l'e('011\'rl\(' tor the \lUt'pOse of trYlub.1 is commercial Wftl', nnd In a,cOlltest of that In good f,llth, to bl'lug about a beitel' state of chanlclel' It Is 1I0t enoultb to haye iI guod old Illethoull atfain In tbls respect, It is due to thE>m liS well H" to our OWll self.r(>speet ""0 !Ileet them lu II.
fnir and geu(>rous spirit, aOll to join In any reasonable e!tort .

'!

'Ilch l'cadjustmcilt of the relations betwe~u Canada a"d the Uulted States (IS wlJl be IJOlloma\".ic ~o both countrIes and adVll!lta;;p.- OilS to tile ltllerests of the people.

While I am de 1I<,t !IlO {'onDdcnt as to the results which to have my ,'Iews endorsed by my 11lny l!ow, either trom Olll' lIllpllentlon ~O the lighted.

It Is uot only neces· Imperial government with regard to preter- hOll.

friends opposite.
tnllJe, or from tile possible Jl~gotla- sary that we sbould tnke account ot ent!.ll tlie tiol1s with the United States In re~p~ct 10 wn~' O'ur opponent plays the game, hut once too mucb to In n whUe It may even be necessary, lu ex recipl'oclty, "tly tiJut to meet 111m with ellough to requIre us to stay our bands and his own tIlctlcs, It that doctrine meets with to ;H!C willlt will be done as respect" these the npproval ot IDy bon, trlends oppo1llte I two Important matters betore we enter upon am not dIsposed to complain, In n countl'y ot such vaat extent as ours, a country ot any e.lttellslve cilsnge In our tarllT, there 011 'l'here will be have endeaVOUI'M to avoid extremes.
polley ot the government on tbe tarltr hilS questIons of this character.

been n polley ot moderation and stability.

IconnIcts ot opinion, and there will be con Tllronghout this whole tnrltr question we grent It Is Inevitable that (lltrerences ot oplnloll 'I'he Ishull be willI' there IS ceptlOllsl circumstances, The MINISTER OF FI:"l'AXCE.

flIcts ot There nre extreme views held on questlolls Interests.
There will be the ex of this character, Th(>re nre extreme pro- treme view 011 the one side, and the extreme teeUonlst views, tilere are those who seem view on the other, We hold that It 1$ the that we should mnke things at duty ot the go,-ernment not to yield to thes.c' to Insist home, nnd who do 1I0t always stop to con- extreme views on eUiler side, but to eu sider what the cost will be, Sometimes, It deS\'Ollr In tile to reconcile these views, you endeavour to ascertain trom the gentle- hope thnt we may bring about a comDlon mell who advocate these views what nre nctlon wblcb the wbole country cnn aceept It you care to call It sucll, the duties which tbey wish us to Impose In l\ compromise, order that we may make these tIllngs at We al1peal tbe dUterent llome, we dIscover tbat they nre not very sectlolls, e-acb olle to yield up BOmetblng In sometimes they nre only wlillng to order thnt we may re(lcb a ground upon rrank; give us their views on that matter In conf!· whIch nil can act In harmony.
deuce, and not always then, Our manufacturing tl'lmlds have express I think, Sir, I may say that wblle there Is a widespread, cd n desIre that the tariff should be kept out a unh'ersnl sympntby tor home Industries, of polltlcs, Sir, how nre you going to keep whllo every man In tills Dominion ought to the tnrltr If 0111' be prond ot our home Industries and de- manufacturIng friends Insist upon duties so slrous ot gIving a preterence to Ollr home high that they nre sure to antagonize great In all masses of the people?
Especially should we manufactured goods, these matters R questlon ot cost; and when consider thellC things when we observe tbe ma.nutacturers come to \1S, as 'I'be seed tilat has been sown In the last few sometimes do, and desire to have duties which wlll go up as high as 50 pel' cent, 60 years Is bearing trult.

When we see Imml per cent, nnd even 70 per cent, on the cost grant!!
t10wlng Into that COlllltry trom nll or the goodl'l, then I say there wlll be mnny parts ot the world, we caullot fall to observe times, The power ot con· In this country to question wlletllpr 01' not we cnll ntrord to carry protection as tar as 11'01 Is pnsslul;' from the east to the west.

Is the prosperIty ot eastern nud that, There are extremes ot thnt killd to Gl'eat there nre pxtremes 011 celltrlll Cannda, greater still Is the prosperl be Dvolded.
Theil ty of the yast region lying west ot Lake the other side.

There nre pC!Ople who, rely- Ing upon the sound prluclples of tree trade, Snperlor, Ontario nnd the mlu'ltlme pro sOl1ml enough In tllt'lr J)ropl'r pillet', :Ire lll~- vlnces are losIng memberM.

the west Is gain· posed to cnrry them to a point whlcll Illg' membt>rs, Thllt Il'rent population In the 110 account or the conditions.
They seem to west Is going to be a grenter power In the lind they say; You mmt adopt a theory, tutlll'e tllnn It Is at present, These welltern theory regardlel:ls of what people, proollclng articles that depend tor carry out thst mny be done elsewbere; the tnrltr Is world, would chatI' \Iuder a system of 11lgh I am lIure we protective dutle!

!, nnd wonld unquesttonnbly done elsewhere, Well, Sir, Is It not hf't1l'l' to meet cannot go ns tar as that.

Commercial ques- orgnnh;e against It.


i<ll!L'lt of compromise.

nnd tlons nre every day occupying more atten- tlon In the t1eld or public afl'nlrs, Ther~ III tnrltr, tIU!

nl1optlOll ot a hIgh grent rivalry llmong the nntlollll; nn,., thel'e rather Fix your own their value on tbe open markets of they what Is bnupenlng In 0111' great west, them to Join liS In fl moderntt' tilese people In II rill!
; to the pC!Ople ot never mind what the signs ot thfl flut of politIcs ftOme ot than, b)' there Is polley, tnkf's still and IHI 45 REVISED EDInoN 1411 COMMOKS tU2 I 1>1.'

that the: fact, (]ut\(os ("lnllS!!

1.1;;111'1" '1'll11t the (hllle;; from Grent Bl"itaill.

I ('Ollie uow to Gel·wull)".

1;;n~' It.

we tbeu receh'ed, living In iln~' case thnn tllC' l'l.

'Ccll·cd the 1X!llctit of whilt .


fl"OW tIle encouragewent tbat tnrtff poller, lIrrar them against the manu- I n:rr bopeful, tnctUl'tug Intet'ellts of that at no dlstaDt date tile east?

I wouhl be In tbe Interests of the manllfae-: Wl' ~hOlll IJl' ilhle tll eX!l'lI(1 \'el'~' cOll"ldl'rn\)I~' turCI'S tbclllseh'cs to take aceount of these, the scopc of our Ilrcsellt cowUlcl'cial treaty thlllgS, The best war :rOli CUll help thc wltll FI'lI1ICl', nUlllufllctl1l'Crs of Can~da Is to fill UI) 1'1'h)!'
10 July prairie r('glollS of ;\fllliiloha and the NOI·tli-' ~I, Ib'R", we llnd a trent,}' \l'ltll G('I'mnll)', 01' WI~llt wltli II prosperous and contented peo- II to Lw lIlorc ('xact, we were p<lt·tldllfttiug tn pit" who wlll be consum("rs of the mallufae- a tI'cal~' between Great Rrltalll and (;{'rlllaIlY liS tllC llJOlhf'r tun'll goods of tile ensl.

But If, tlJl'ouglJ tll('!

nudcl' which we, as well adoption of Ull extreme pollc~' of protection Il'.
)uutl')", Is wll/eh the~' would rl'gal'd rlS burdl'lIsome to CI:lIOO tllC favoul"cd nation treatmcnt, That tht'lllSeh'es, you werc to uudertake to Impose W1\S the condition ot al'tah-s fOl' muny )'ears, I'utcs of duties so excessive as to c1mllellge But that treuty, whlle satisfactol',}' us fal' as tlie lJOstilltJ' of these people, tlien I say tbere f;\\"ourt'd llation treatmellt was COUcel·Ul'll.
will \)c un antug-onlslU betwccn the east aod N.llItaiued ouc CI,\uSC that was Tery obuox !I'IlS to the poople, not oul)' of Q\lIada but of the west, nnd thc result wlll be uufavour· ulJle to thc uillmllding of Canada, lI'eaty COIi thc COlOllic8 generall)', I..et us l'flthel' hold out the hand ot eneouragemeut llUl"lOlIC,1 tainNl a to thellc people who comc In and open up ilium <:ovds ('oming frolll GI'I'lUan~' slLoultl nnw homes hi that hm{l, let us udopt a policy IllOl llol oilly III CUllmla Lut tltl'onghollt the ellljll:'C', 8110111<1 llut I.tlJ hlght'l" undl:I' which th(' expcnses of 1I\"lng" will IIOt illl{JOse-d. Oll iJe excessive, under which, [11 shall be as ehe3p as posslule.
As I ha"e g"od>l comlll; Fa,' Sllld, tbcl'e ha,'e been extrcme \'Iews 011 bOtJl NIl"ed I1UIlOIl treatment dcals with UIC gh' WIdCIl, and we bu\'c tried' to uvold th{'DI.
"'e Ing to olle nation of as fal'olll'aule trcat llIf'ut as ~'O\l give to lilly otller uatioll, Tl.lis ha 1'/' C'1Il1E'U"Olll'("(1 to gh"e Ihe COUI1I1·.I' a tal'itl' It required that tr(!at~' wcut beyond thut, ill so fHl' o.s.~ ()( ~l;1I,HlIy, a tal'lff whlcll, tlll·ttl' h:lS nny I'elatlon to jlrO-"\lerltr, IHls be<'11 we should give German.\' not olll~' fu\"olll'e<1 tilt!

Sllllle treatment llll [mportallt {llCtOI' III Ihe de\'elopment of Il'iluon trcntlllellt but Canadn tbe last few yenr!
', Thc cl'torts we we "'Ctoe gl\"illg the mothcr 1'0111111')'.

'.rlll~ ha\'c made to colll]womli"c conflicting lute- dlllUIl' the old tl'~at~' WflS a vcrr ob the wlllinguess we huve manifested jC'ctiounble one !lud wal\!

freqtlelltl~' the sub rests, .I('et of comment IHlll prole!

't on the part ot to meet opposlu~ Intercsts nnd eudea\"our tllf' colonies, But, nil Olll' jlt'otestR werc un to l'l'cone!le them, al'tords the best J;\lul'Iln, ]8fl7 ClIlllldn rathel' l\,"allln~.
However, tl~C that, In an)' future c!lallg"l'S wlllcll ma)' III till I'e to be mad(', tnrltr f('n:l'd tILe Isslle b;t' asserting" ill bel' the question will be up- proached In the same spirit lIud, lei \IS hope, of thut year hel' right to j;:"1'lIllt II prcference tu the j;:"oods of the motllel' COlllltl'y oyer the with the same .hapPl' results.

I:0Mft o'f any fOI'ell!lI uatlon, Thnt l'ij!llt \Vu!
', in t'lll"stiollcd and nftel' H lC~lIl 1lI'j;:"umellt thnt the couutrics uIHI the United Stutcs, It wa'" hcld that we wei'€' which we naturally feel the most Intercst, Loth III trade wutters and [II other rcspects, that Wl' Ill'e Frauce and Gcrmany.

W\tll regard to IIlllst gi"e to the producls of G!

'tman)' 111" I"rullee, we Ila\"e a treats exlstlng for a num· same tl'{'tatment tllat We l;'l\'eto tllf' product!

: ~'eal's which co\"(:I'';.


Ull{ortlluotely, or the lIlother COllntry, and It followed tlllIt 1>1'1' If we gO"e It to Gl't'lIlall~' thell the so culled olll~' f;II'ollretl natloil Irentll'll with other countries l\<lt to the w(' How€'I'er, If It bas 1I0t been yerr 8ul'cessful other ('ountrles as well; so thnt 1II"1Ictieally In Ihe de"clopmcnt of busluess, tbat treaty tlle pr~ferellCe to the moth('!'

collntry W;I.~ But.

whllt' ItH.~ done somethIng.

lind 'We bope It wll!


pre· pnl'c the \\"llr for better tblngs, During tlie the Imperial gOYl:'rnmcnt felt bound to take Ihat "I('w, pHst 3·CiU'.

when !>!

'I'eral m!nlsll't·s of tlle~' Imllledkttely l'ealbed that tlie th:n was a condition of al'talrs thflt should Crown wcre In EnrOll{', we a\'sl1OO oursch'C!

: of the 0PPOI'tllnlt3' ot gOing Into this qucs- lJOt con1l1nl(' and tlley jZavc llot!l'e thut aftpr tILe tl'Nlty would tlOli of trnde with France.

lImI with the all' lSflS,.


th" 31s1 of July, 'l'11(,Il, a Ilrol"fll of Hh )rjlje!

;t.I"'~ gO\'ernlilPnt, we ("(';\se lind dclE'I'mllle, lUtl.

lIlill entered Into lIegotl~tlolls with tbe Fl'eneh lI('W Illlcstioll al"OSI'.

Shortl~' hcfol'C the ex III Paris.

pll'y of the tl·(,III.I' Jlc/rotlfltlolls W('I·t:!


Of\CllfOd go,'crtlment at the Fol'elgn Offic(' 1 ftlll glad to 1>c able to suy, tor new u slll'e It Is not tlle German j,((,,'ej.nn](~nt Wl'rc 1101 !w(>jl;tI·...1 to make a Fl'llllCh autborltles lIlet II'!

with e\'eQ' paRS' lli'l"lllfllll'nt trNlt.'"

with all.'"

C'OUllt!·,I" at that Ihle ('ourll'!l~' and eonsldl'l"ntlon, and manl· lillH', lour Ihal tllt'.I· Wl'l"!'
lIIakltlA' JlI'ol'i~lol\al fl'st€'tl a ,'l'rr warlll d('slL'e to extend their trllde rcliltloll.q with Cnunda.

Unfortunate- they Ir{'ntles to tide on'r .

'I Iy the tlllll' wouill not ]lcrmlt \l!l.

to follow til) mude n pro,'!Ftlollnl lI·fOat.\" witll Or!

':lt nr[· taill wher{'hr Gl'('at Rrlt;111I WAF!

to continue tlit!

lI('gOtl:Ltlolll~ to a coucluslon; bill I teel (,f II small list of lll't!clcs, fpllte sall!sfactol'y to u'" thiuk It little one-sided.
callie In nnll we had 10 give It though I am I,," tIll' to Sll~' It, that the tl·f'nh'.

Impt:'l'ial It Will'!

f':i"]lllllnf'd Ihat I SIIII!JOse, Sir, that next to Gl'eat Brltulll right Wil!

'l denied.

lJo-ll11d I,)' IlIItJ which Is Its tl'rlll~: III the tf'I'm'" of lhe treat,I'.

the moment ClllICl'lled.

ft'\\" ~'f'al·$.

antl Is perhnps il.

j,(overnlU('nt llcCCflsar.l· tor III It HOD, Mr, FIELDING, 1418 APRIL 16, 1903 1414 to hu\'e the heuell.ta ot tU\'OUl'ed Ilntloll b:ent.!

prenDt a dl,tllrbAne.


(If the COalmerelal rela· IDe-ut, btlt th~\' specIfically excluded Canndn tion.

betw.eD Guman)' aDd Cauada whiCh mu.t to tb.

dlsadnDtqe ot both (rem tbe benefits e( thnt tren.ty, otb"rwlse re.ult countries.

Yr, BORDEX' nud the colenies.

(llnllrnx).

Grrot Britnln Tbe :\UNIS'l'ER OF Pl:oJAKCE.

Yes, they Th.

e:ttended It te Great Britnlll nlld tbe rololliea £encrnlly but they particularly excluded Cnll Se soon as tbnt becomc knowll we flcta.

el1tered n pretest ngnillat it.


CoulIuunlcn ti0l18 llos8ecl hctw~1l OU\' goverumcut nlld ti,e HIgh Commlsslel1er I.clldoll.

The III trf'tlty dId 1I0t exph'e UlItJl the ciltl of the moulll ot July, 1808, llmt on the 11th of ,lilly, lSflS, SllOl'tly bl!fore the trenty nctu, lilly <,spIred, Lord Strnthconn tlddl'es!lC11 II to the Undel' Secretul'y ot Stute tor 11OttCl' the COIOIlI~s.

We slIull la)' on tbe Table ot Ihe House :111 the ~l1biect.
but tor the pllrpoRe of my speec::h I will rend one or two letten which wlll 111lt tbt'!

Botl!<e In pOSfIe8t'Ilon of the essentllli facts, the correspondence 011 RELATIONS WITH GERMANY-LORD STRATHCO~A'S LETTER.

17 Vlclorla Street.

to London, 11th July, 1898.

Slr,-l beS to acknowledle )fr.

COll'.


letter or the ~th Inll~ant wltb a COpy of the note from the Marqueu of the Germnn Ilmbaundor Sp.lIlihury, ctJmmunl~atlnl tho decision of tho BundeJrll.th on the quelltlon of provisIonal com mer~lal relatlonlJ between the German empl,'e and Great Drltaln and lhe colonlell, on the expiry or the presenl trea~y.
Tbe Dominion gO\'ernmen~, I am advised, have Ob.en'cd .....ltb much regrel lo be excluded trom lbe crant of the molt favoured natlon treatment which I. to be extended bT Germany after the 3111t In.tant to Import.

trom the l:nlted Kingdom, the British colonlel Ind the for.l,;n po"t'S.lon.

of the empire.

that C~nada I. that If It laritl' arter It II true tbat the Dominion II ,;rantlDS to the l:nlled Kln«dom anj to c.rtaln BrlU.h po•• ....ion.
a pretHeDtlal the 311t In.tant, but that Is :\ m!l-tter ot purely domntl.

: pollC1 at distinct from forelsn poilCT.

And In thl.

connection I may .tate that Can.da pro 10 Gerlllt:ny the same prl· PO'" to extend vllegl'S that 'Sre accorded 10 all otber forelsn to tbe Domlltlon pO'l\'era.

government Is poulble to continue thl.

policy so tar as Germ3ny Is concerned.

An" that Canadn asks In r..'nrn 19 the .ame ~II treatment Is bclng e.~t(!ndcd to Germany.
Xo .UggCltlOD has ever been put tonrard tbnt should to.

the e'lportl trom tbe Dominion placed In G~rmaDY on tbe lame tOOtlDJ' as ..oods .

:'tehaDeed b~tween thc dltferent .UltCll Ibat form tbe G':'rman empirc.

It wilt be gratlfylill thougb In tbe Frencb.

Spanish There I. ODe other point I rna)' mention, It and Is lhat Portuguese CQlonles preftrtntlel ralu ot duty are eone-ed.f'd 10 Import, trom tbe metropollhD councrlee, 1 belle,..
I am correct In ataUDS tbat import' Inlo GermaD)' from these colODlea are not refoud moet favoured nallOD tre.tmeDt.

to a.k Her )isJe.I)".

government I ha...e beeD requested b)' the gO'fernm•.at 01' to CaDllda.

r.preaenl the matt~r to the GermaD soverD' men!.

and wltb :'III rupect, I venture to expre•• the hop.

that the GermaD IOVerDment will nnd It pOlilble to reconshter Itt decl.lon Ind thus "I 1m Sir, Your obedleDt tervaDl, (Sed.)

STRATHCONA.

Under Secretar)' of State tor thl:!


Colonia., ColoDlal Olllee.

Downlog 8treet, S.W.

1\11 all Unfortunately, We have been criticised in thla Houae tor IlUvlng adopted retaliatory legislation Hot I admit tbat thcre wall towards Get'wany, n~I'y much In the circumstances to tempt to tuke llUt'!}]

n course.
n course.

How llUl'lIt11uent tbe view wblch we took wall tbat in c\'el', mntters ot intel'nationftl cllarncter we llllouid 1I0t adopt any busty or III advised legislation, but !bat we sbould endeavour by patient reprellentllUona to impress our vleW8 en tb.- German government, In tbe bope tbll.t a better understanding would be brougbt nbollt.
and ItO, trom the beginning, ft8 Mown by JArd Stra!brona'a letten under Instrue tlolls from the government, we made the8e cur rt'presentatlons, efforts In this direction have proved un lluccessful.

Representll.t1one were made through the diplomatic t'!bannels ot the Brit Ish government, but without suce8S.

In the fill: ot the year 1001, and particularly in tbe usual NO\'ember, we concluded that all form ot diplomatic negotiations througb the Imperlnl nuthorltlrB hRd Dot pre,'oo flUt'!
('Nlsfnl, we would l1\'all ourselvell ot oppor tunities to dlscUllS t.he 8ubject with the ~n­ t1eman who holds the very bonourl\ble poBI tlon ot In Mont Imperial GerMan Consul 1'(:111.

Mr. Hopp.

He WI1S good enouch to lIlf'Ct U8 In a friendly splrtt and gave 118 the till\:!

ot bl!!
ot bl!!

erncl,,1 \:!bannel of communication to expreas our vlewa, Ot course, represent in our conver III'; the German government, sations with blm, be WtlB by no meaDS ready to nccept our views, but we thought that we 8hould prell8 the matter upou the German .cro,'"ernment through bim, RS well nfl through tI!l' more official cbannels ot the colonial olfl.ce.

Thereupon, 1n the monlb of :"l'ovem ]90J.

ntler a conference held hy the \>pr.

l'l,dlt hon.

(Rt.

leader of the government fInn.


~Ir Wilfrid Lllurler) the hen.

}I1nlster ot Customs (HOD.

Mr. Paterson) lind my· ~It with lIr.

Bopp we prepnred the tollow Ing memorandum :- RELATIONS WITH OERMANY-)iR.

FIIILD I:-JG'S MEMORANDUM FOR THE GERMAN CO~SLL AT MONTRE~ The unde1'liSDed ):llnlster of Finance, h...·IIl..

In conJuDction with lbe Rleht HODourable tbe Prime :MInister and the HODoureble the MID Ister ot Cu.toma, had an IDtemew at Ol1:AW'a with.
Herr Fran~ Bopp, Hl1 Imperial German ~faJe.tJ'a CoD.ul at )lontreal, on tbe .ubJect ot the Irade relation.

between tbe German empire lubmlte tor tbe lnd Ibe DomlnloD of C;\nada, ~OD.
(Ilder~t10D of couDell tbe follo"IDS obser vallons thereon, Prior to 31st Jill" 189.!1, Canada, a. a porlloD of the British eruplre, received tbl ruo.t favouT- 1415 COMMONS 1416 lreatnH'nt In Germany, under able larlff terma of the treaty which bad long exlated be- tween that country and Great Drltaln, On the date named, that treaty, bavlng been denounced ceaaE'd to havu by the British government, etrect.
Provisional agreements have since been entered Int6' from time to time between Great has Britain and Germany, Canada, bowever, ~e:~ts~X~'h~e~r~~Ou~t:I':f ~:::Ja o;r:u~~ f~~:~~ , the EXI'OIlTS OF THE PRODUCTS Ol~ CAXADA TO GERMAXY DURING THE FISCAL YEARS EXDIXG JUKE 30. lS:t~.

18:';.

16:,8..

IS!'!'.


1900" $ 60G,ill9 76t,5S0 1,H:"I,0~6 l,alp,3,3 1,128,163 for tarIff, 1:'01., In \'h,w of 1'be reason assIgned by relaUons of thl1 mnnlls for the commercIal tbls evidel1ce tbat in favour of Germany, drne"," or unfriendliness and retaliatory tarltr legislation.
in tho German marl(~ts, this dlscrlmlnatlo'l, the nlld~I'~il{lled thinks that It would, therefore, seom that tho tho present Ilj»crlmlnalton against l,374,61G the trade be admlttf'(l Jnto Gl'rmany on the favoured terms I known In the German tariff as 'convel111on:lI ' tween tbe two countries continues to be \"ery dutlt\s: but are ~1,ecl:l.lIy excluded therefrom: larl>\€'ly tbe purchases tho i j:;reatcr than Germall)"S purchases from Canada, and made subject to the higher duties of tb!l: Crom that country being more than 111"0 times gcneral German jl;OVlJrllDlcnt the German go\"· against Canada Is the enactment by the Do-' cromcnt may be Cairly asked to give the pro minion of l<lglaliltion grantfng preferential tarJff uucla of tbe Dominion th~ most fal'ollred trt'at· rates 10 the producta of Great Britain.
The!

ment undersigned dealres to poInt out that the policy' Tho fact that Canada, while so largely a pur of the Canadian government was not desl6"ned chaser of the goods of Germany, Is treated un· to glvo any forolgn nutlon more favourad tre~t- I Cavourably hy the tariff laws of that counery, r('gardell hy many In the DominlOll as <"l\"l. ment than was to be allowell to Germany, The I' 18 to de Canadian policy bas been conflnt'(J to a 1'1'[1.
(1- juslmellt of 'flle Dominion with the British cmplre of which It' Canadi.tn government hayc nol yiel<lell to such Is n part, n domcstk affair Which could lHlrll)y d"manus, deeming It better to place the facts !><-forl) the German j;OVel'lllllent In the hope Ihat be open to reasonable obJE'ction by any Corelgn governmllnt.
the i,roducts action of Canada afforded 110 Juat ground for TIL,' Canaulan government would at a eoo complaint by Germany, The undersigned Is of opinion t.hat lI10lnent be pl'ellared to eonsiu~r the th",re ILas beeo some mlseoncep- tlon of the Canadlao pollcy In thlH respect, anu g<'lIcral question of tmde relntlons between Gel' bopes that upon further conslderatlon tbe Ger· many and the Dominion.
The undeulj:;lINI un d('I..~tnnds, how('ver, tlmt it Is not the ]wller of man gOl'ernment will sep. tbat Canada, Ing tbe "tep referred to, did not the German ,,"o\'ernment at prescot to make auy claIm 1.0 the aill'anlages accorded by Germany commercial treaties extendIng beyond the )'ear to the most fal'oured n'ltlons.
190:1, It being desirell that at that time- all com- tbe mercial arrangements with to reign nations shall from the be subject Canadian pollt'y In queallon, It would lberefore be Inexpedient for the CanadIan government to en Invites attention to the fact that the this moment with a ter tv;een tho two countries, which was :Xc go· vIew to a !,:eucral treaty with Gerlllany.
tn fa,'our of Go;:rmany under continued to be equally favourablc since tintlons oC thal character necessarill' occupy treaty ceased to exist, Canada was and stlll!

conaldl'rahle ttme and It III probable tllllt be Is a. to Iloth a o;mall pur-I counll'lcs could be reached the.pertod Cor ..... hlch Germany wag and stll-l chaser oC the producta of Canada.
The follOW; Ithe German j:;overnml'lIt are disposed to agree IMPORTS FRmr GERMANY INTO CANADA Iserl'lug for InK statistIcs wlll clearly show how largel~ th, would almost have expired.

balance of trade Is In favour ot Germany.

lnrge purchaser of German goods, wblle.

Core la bUI the undersigned trade be- lllrg'Jly tho treaty, haa tbo oC Canada may be remo\'ed.

therefore submits thnt, In tak- forfeit her Inlo n('gotlatlons at Apart, howel'er, The lIndp.rlli"nc<l nrrangemenl to revision.
satlsfactor~· purpose of hilS It'd v('ntl'lIt any FOR HOME CONSUMPTION FOR THi: FISCAL YEARS Er\DING JUNE ~O, 1896"., t8!l7",.

18~8.,., 18'9"" 1900 .. " 1901.. , ,$5.931,45~ 6,<193,368 5,5S1,01-l 7,393,456 8,3~3,498 7,O~1,405 Is lleslrnblc that a. re further coosilleratiou the question of a trpnty to tal,e etrel"'t artH !he yeilr 1'03, temporary ar- , It In vif'I\' of !

rangt:ment be made with Germany, fll;ure~ already presented, showln!,:, }IOW I' the in fayol1f of trade Is .
largel)' i Germany, it would not be unreasonable to ask I nle German government to take that Important : lact tnto eonsilleratlon and extend to Cauada , the tarltr advantages from ..... hlch the Dominion the halance of friend!)'

ThC'se Imports it Is bellevcd bave been sub- , Is lit present excluded. "

" ,.
" ,.

Illantlally all of Germll.n origin, DURING THE FISCAL YEARS ENDING JUNE 30, " Tho only matters in which the products of : Germany arc at nny dlsadvanta/l:e In the Cana TOTAL EXPORTS OF CANADA TO GER~B.NY I dian 1llarkets as compared with the prodllcts !

of olhl'r foreign cOUUlrie!!
are those ..... hlch arise out oC the arrangements made between France ' and Canada by the commNclal trcaty of 1594, i The advantages of that treaty were extended to 'Germany and were only withdrawn after lhe I adoptlon by the German gO\'ernment ot the Itd~ I verae polley wbleh la the suhject of thts mem- In the event of Germany agreeing to ,orandum, to the pro- _alloW favoured uatlon treatment A porllon of these eJ:ports waH not Canadian' ducts of Canada the benefits which are grRnted but merely paaaed tbrough Canada In tranSlt'j to France nnder the treaty of 18n4, should, of The foJ1ov.
'lng atatemant I'Ihowa more accurately couraE', be extended to Germany, thus plal"'lng to what eJ:tent Germany la a buyer of Canadian German gOOdH In every reapect on equal terms ,lIooda : - $ 757,531 1,Ot5,432 1837 U8 2:219:569 1,715,903 2,141,55~ ..'\th tbe goods of otber foreign countrIes, 18'6, , 18~i, , 18~8.

18':"1. , 1900 .. 1901. , Hon, Mr, FIELDING, lUi APRIL 16, 1903 1418 - tbl.
fact, The making or a tormal treaty ,.,ould require tbe :appointment of plenlpotentlarlea by lila l.hJUI}· the Emperor of Germany and Hla ),Ia Jest)" the Klnl;' of Creat BritaIn on beh.lf ot tbe C.nada.
Out while recol':DlllDI': un'lerslKDed III of oplttloD that a frleodly tiI cbaoge or "le"'l1 belween membera of tbe Cana diaD I>o..eromeot aDd Herr Bopp, reprueoUoll tbe "o\'e-rruneot ot Germ.oy, may be "ery uae In brln,lD, about a better uDderataDdlol', ful .lind tberefore It la reeon:uneoded tbat a copy of thb memorandum be furnlsbed eontldeaUaU)' It Herr Bopp abOUld be able to 10 Herr Dopp.
IntlOiate tH an early date tbat the lUnutiona bereln made lire received ....Itb t"'our .tepa could tbea be l....:ea to ba.,e tbe matter dealt 'Wltb more forma II)' tbroUcb tbe proper treat)' makin, ('bannela.

(Sd.)

W. S. FIELDlXG, Mlnlater of Flnaoce, r~pllrtmcnt of Finance Ottawll, XOV('mber 1!

: 1901.

In 'flu.· tim 111l'~c hnlnllce or this mcmoraudum are ligures 111'()Il~Jlt Ilowll to tlte ('11d of the IIs('HI )'('lII' l'lHlln.t: 30th .lulle, 1001.

TIll!
TIll!

t1g111"t)!I f, I' the [ullowlllJ; r{'UI' l:lllf;tnin tile position ttll,ell 111'1 tmde fn\'"m'ahle t .. to Gel'n18ny, In that year, 1902, our 1m IUII'ts (l'()1ll Gel'mull)' for home OOIlHI1l11ptlUll w('re $10,S"'-3,HI9, wllile our eXllortli to Gel" malL,\' of the 111'01I\1('e of Ctllllllill were oilly Slt',l regret to lJ[ln~ to ';:1" thnt Sl,2!lS,a,:;.." unfOI'tl1l1/lwly 1111 thl'Se {'lrorlilio hr1l1l:'ooout 1l hettel' tllulel'l1t:mdlllg with Germtlll)' have liS It will be failed.
We baye patiently, the loug pel'lOO of n,'e n('kuowledgetl, .ye11tll "11<1'-11\" 1Il'e'1 to hriug nhollt IIncil an UlltI1'11O<t:llullu;:-:t Iwriod tll:1I1 l,<OWC longer bou.

l:"I'nllf'lllf'U opposite wete willing to l\'al!, for tbey ttltlclsed US, nud perhaps wltb Ik:Nluse we did not make lOme reuon, ~·t'ar... How hO"llIe mo\·..ment 10 pre\'louli e\·Eor.

~jr, we do not Iblnk tbllt we can atrord to let thl' mliller l!ltttnd III Its preSI!D[ Ilosltll>1l anr I'mgt'r, for :'iIElIBERS.
Henr, bear, to tnlic 811Ch steps tiS will Some hon.

The :'I1T:\"IWn:n. OF lo~l.~U:SCE.

Arter these th'e )·e:l.rll of careful, patient negotla.

lIull, we think It Is our duty 10 11111CC nil the Iltll'iltlrucot of COlllldn the fnets lo('roN!

nurl tllc I'igllt or the pel ple of Cnllndn to lunke 01' tradt!
l'lIUgl;'lIlf'lIfi<, OJ' lI11r other matters, with the mother coun, try or Rny part of the Brltlsb empire, with J'lght of any foreign ('lIt 1ltlmltllllg tile lHHloll 10 Inll'tfere In tbe malleI' In till)' shnpt' 01' liS respi!Cts lIMert ..hllel' fol'lU, tbelr Some bon.

~(ElIBERS.

Hear, heu, The :'III :\"ISTER OF FlNA:\"CE, Our Ger.

Illtlll (l'lemlll 1111\'e ~h'ell 1:1S some ltl~ of how WI' llln~' delll wllb a matter of tbat sort.
"-e h:, ..e not auy leglslatlon In our taria to deal n[ IU'('f't"nt whleb would enable nil With lInch n n exceptlonal condition, Our f;...rlllnn frleud" 4:n'e sll(ln-n us, bOIVe\'er, how tlle thing moy be d'me If we care to foUr,w them.

I ha"e In my bandl an eJ: trrt<,'t from the ne'" German tarltr, Thill II recently p:1saed tbe tnrllr Inw wbleb WflI In operation at bnt think Is not \\'hleh I It Is to be brougbt Into the pr('BCnt time, operation by order later on.
But It Is tbe Intest German tarltr law, It 8:l.1s: Dutiable.

a:oodJ prOC('edIDi" trom Jtate.

that treat German ahlps or producta leu ta.,ourabl,.

tban tboae of otber nltiODS U1a)' without pre· JUdice to the tarltr dutlel, be burdened ....Ith a JurtaJ: ran«lac up to 100 per cent ot tbe tarllf Imposed on aucb cooda, or enn with a dut)' auttax equh'&leot to tba total vllue ot Ute I':ooda themaelves, Gooda free ot dut)' III .,Irtue of tbe tarll!
may UDder tbe ..me eondltlon be taIed lrltb a dut)' not t!J:c~lnl 50 per cent aot .,al_ onm, Germnu)' would hurdl,.

00 oble to I..-om pluin If we slil>ulit copy thnt clause Into om tnrltr.

Some bon.

MEnBERS.

Hur, hear, Put thel'e, It 1'\]c :\nNIS'I'F.n OF FlNA:SCE.

Hut sUlI thnt polley of I\l:JllemUou whlcb line.

wltli nlwtlrs to be oh~el'\'eo.l-- ft clol.ae to tbe effect Some bon, "n;MBERS.

Hear, hear.'

The :\nNIS'I'EIl 01,' Jo"lNANCE.


We mny leUI'll a useful Icsson fl'om forelgu COUtl In the lUatter.

trlcs wltl!

)llt going 100 fn!'

We do 1I0t Ilropose to Interfere, liS tile Oer~ m~n Writ!'

11l"0llOlK'li to tlo, with frl'e IDlIllOr18.

In their 11I'OllO,,"1 IIml tile 11O"'el' they take the)' etln Impotle It duty on In their tlll'IIT, lo:"OOtl~ w!llch would otberwl.8e fret!

go' dIS; be fl-ee but which In thIs partlcular cnse woul,J 1)(' I1ml:t ..le.

We do not propose to do tll:tt.


Rllt we do Ilr'OIXMie lhat a8 res Insert the dutlnble goadll we sholl I)('CIJl In our tarltr thnt trents the hD' wilen 111ly foreign c·.lIntt.

)- IlOrt.!!

from Cannda OJI kSl' fn"ournhle terula thnll the Imports from oUI{'r coulltrles ; tben III there llln)' he Imposed 00 tilC ;::o::dl!l of F:\1{'h fON!lgll colilltr)', a aur llh(l"e the o.Il1lil.."8 expres&ed lax ",.

('t' tnrltr, which Is com III s{'!I.

'(hlle A of om' monl)' known 11M the generlll "llrtn.
'l: 10 til' ·ol\{'-thlrd of the dnty so ex [ll'eHs(.

'(1 III !

'dwo.lllie A of the general tarltr, This I:!alls\l tl,e HOllse wlll ohserre la gen Cl'nl lIS Il'rlllll nnd mn)- be nlllllled at III tlllY tlJm~ 10 lilly flJI'e1ltn ('OHl1t1')' whlcb: pl'QdnC18 Hnfllvnurably, IrCl1ll> C;llllHlInn IJnmedl:ttely Bnt Wl~ jll'OIIOl'lC to npIII)' It 1.0 UW t:11f;C or Germany llUll take It will !

't!
't!

'uct ,:;-oodB In nil l'NllIl'ctll 1111 Gel'mllll tbe CU8toms-houseB of CnnlldR to·morrow morlllug- ll11ch :'l c;uW: ;11111 :Ill tnl'lff, such to Some boo.

MEUBERS, ReM, bear.
MEUBERS, ReM, bear.

The )II:"ISTER O}' "'INA~C&-Subject, bow('ver, to tbls reanoable quallftcatioD tbllt It ahull liOt :tllply to any goods wblcb have been actuslly purchAeed by aDI oorporatloD, nrm or p......l1ll In CanAda prior to tbls mo lIIent for Immedltlte trnnllporTnUon to Cnna drt, Wllh Thllt IlllnUnetltlon, nt (','ery cit8 tom-Iiouse In Canada to-morrow the BUr til x will he Im()OSed on Germ:t u Jro~d~, ODIP.

14]9 OOMMO:<1S 1421> froul lillports effect of this I StlP}IOse 'I'll!
untunlJlJ be to dllllllljllh OUI' (jt'rUlall~' aud to lenl!

our Imlmrt('rs tll f'end their ordel'8 to COUlltl'iCfl' "'hlch flI'{' ill,rc l!lsllOsed to bu~' (loom lIS, uul!

I 11ll1)1l0Se one etrect will to the be to gll't~ a further ('llcourngNllcllt tmdc with the Urlth;h "'('st If thut !>houhl Imppen that also would ue of some IIUnllll:lg.·.

Indies, l'lIt('qll'j,,,(,,~ \n'l'{' not sntl~t:It!ll fhilt Tliere llrc two or three otlier larltr mat tel'!!
to which I wish to Invite the attentlon ot the ~ House, Whlle we have desh'ed to meddle as JUt Ie as possible with the tarllt' schedules, there nrc 0 rew Items which stalld in pecullal' circumstances, For the post year the mnuufuctlll't!

of roils bas been cnnled tn coonectlon witb tile on to some exteut .\lin'I(', :It Sault Stt' gl't'llt TIll' go\"ernment, Industry Og rCNgnlzlng tlmt one d('Bervlng or euconmgcment, gave tlll' company n large order tot' ru{]s, wblcb It was onl3' able III part to fill.
We havc not been unwilling to view with tn"our n pro posal to extend to this rnonll(nclul'e the same degree ot tarltr encouragement which is enjo,red by most ot our industries, But in tbls ClIse, we have ilcsltnted to do tilat becflll~~' \\'1' IILl' mIll Il position t.o at Sault Ste, Marie was III 81lPI)ly eltber the quality ot rolls required by tlJe Cauadlan rallwuys, the hUI)Gsltlon It h1tll ot a duty uuder such coodltiOlls would not l!Ierve Its purpose, We Ililve decided thilt while we sl10uld Dot be justltled ln imposius a duty 1I0W, wc may reasonably fisk the to take ('trect House to ngn'c to n dnty, when tllfre are rail mills, elthcr lit Sault Ste, :Malie or elsewllere, In n position to turn out 1'3.1I~ ot Ill'Oller quality and III reasonable tlJeretol't!, ask tlJllt power quantity, We, be sl\'en to the Goveruol' to tn COlmcn a duty of $7 impose by Ol'(ler l)er ralls, provided, howeY{'I', ton on stf-el thn,t sHch ordt'r sllall 1I0t be passed until the govel'lllllcllt m'e satisfied thut thel'c arc roll mills tn CamuL., lllnklllg the best quality or rnils, and III a sufficient qunntlty to meet Ilittrket, the rel\sonnlJle deOlnndii or' Thts lll1t~', WhfOll hnllOsecl, will, ot counc, be to the HI'lUsh prefcrence :IfJ usual.
the qUillltlt~' or seemed to lUI Iu COll1lell ,<;uuJect tbat the illl]lO"'t,tl w"ulr'l Icnd Illtl\lstry ot AIlOtll('I' Illdustry Oil whose hehnlt Ul'gcllt l'elll'losentnfiolis lillve bccn mlldc to us, i~ BrlUsh Columbia, tIle Wc find, however, tlJnt the dutles wbich the lleople Interested III that hllll1stl'y desired to /It'(' IWCl.
's"ltnte a relldJIl!<t lIlent of other dlltles, Im'oh'lll~ cOllsldcrnblc Increases which wc nre 1I0t IlL'('llared to en Ill> tarltr changes tertain, Tllercfol'e, so tal' are coneerued, wc ftlld otlrscl"cs una hie to flgree to tllp lll'oposala.

Nc\'crtheles8, Wl,l flppreclate tlle Importancc ot the lelld Indlll~' try find reall?e the desh'nblllty of cucotlrng' to cOllsldcl' whe lug It, UII(l we nre willing' thcr the situatlou tnny be met by I>ome reo IldJustmcllt of the I:nv l'eSllectlnJ; bOllllt!
(!S 011 lenrl, Further t1la'n this ,\"c nre lllmble to go nt present.

Ron, Mr, FIELDING, twine, twille 011 Another Industrs wilich occupies a pecullar In 1897 position is that of bindel' the fl'ee list, we placed blndf-l' It wns said U,)' mnll)' pt:'ople tl18t that wns tlie death blow ot Ihe bInder twille lndllstl'y, thel'c nre more Strnllge to M.J, hOWeyel', binder ill Canndn to-day witbout than tbere were witIl n dlll)'-nnother Instnnce show!llg thnt theories and fncts do Ilot nlwa~'S come togethCl'.
twine tactorles II duty, Mr, MACLEAX.

We h:we seen n lot ot those theorlcs to-dll~'.

The MIKIS'l'ER Ol~ 1"lNA~CB, I nm 1001,- I see the whole Ing nt my hOll.

WI/I'hl Wllt'll fl'lf"lld, I louk :It him, Mr, MACLEAX, world cltbc:" It Is uot a had looking lJl) sllnl1 to a certain potnt nud is used lu manufactures, The :1fIXISTER OF FIX_\.XCE.

Oh, the IJlcusnnl.
Wlth a good world 1001,s VCl'~' gO"erlllllellt and :I good tal'ifT, It Is 1I0t sncll to tile bindel' n bod world, With respect twine ludustl',)', it ~1:"'lJw(1 Itl 110111'1,;;11 on l( free tnHh' uast;; : bllt a pe<:lllinr position has nrb;en owing to tbe leglslntloll of the Amerlcnll go\-el'lIment wltil respect to the Pblllppine Islands, '1'hot gov Imposed llll c:qmrt duty ot el'umeut has three,elghths ot a cent per l)Gulid on manilla exportud to fill countries, with tile proviso that whcre the manilla goes to tbe United States tile \)e nllowed n re\)ate mOllu(ncturel' eqllnlllllg the amount ot the cXIlort duty, 'I'hls pl'tlctlcally "moullts to a to hount~' to the ell:tent the Alllel'lcnn lllallufnctUl'(l(' ot tlllit duty, III the ense or the hludel' twhm lllallll(lH:tUl'el' hl Canllllll, this works a pllr tlculnr hnrdship, While JI(> hilS no lld\'ant tal'In', his American nge whatever C(llnpflt!tol', helng nltlC!d by tills boltlll~', hftl< fl'cc IlCeCf'fl to 01ll' marl,et, Thts Is a eOllllitioll ot nt'l'ah's 'wllich '\'e !ldmlt and tllougll we nl'e cnlls tor I'Iomc Ilctlon; the tnrirr l'esoll1t1oll~, 1l0t dealing wiih It hI the go\"el'llillcilt will lntl'Odllce, before the session closell, some leglslatloll whereby the binder twine manufncturers of Cnnada '\'\"111 be l'ompenlJllted for fhe dlfl.,'1tl\'llllta~e undcr whlell lhe export 11,<; dl1t~' on manlllll Imposed by the AUli.
"rlcall gO\'el'lUllent.

rNII)CCIs hcsldf-s III Olll' fmIrel' th('~' fol' 1't':.
:i~ll':ltlon 'ro pI'm'cllt in CnllfHla, 'i'hen' Is un ltC!lll In the t:ll'lft which Im poses a duty upon tOI'Clgn-bllllt !1hlIIS Wbf'-ll ('ntl'l'f'll \Y,> found thnt I'Iome PC'fSOllS evnded the \)I'o,\,,[s lOllS of th~t Inw hy fnldng' torC1gu-hllilt Slll]lf'l to Newfoundlalld, registering thcm as British llhll)S, nud thell brlll~lllg' them liS sucll illto this eVllflloll, we pro Cnlllllln, vld('d hy If-I;lslatlon ln8t scl'l81011 tor the Im position ot torelgn built ships engn,::lng- ill our collstlng trnde, That "!II (lid not ttt OIlCE' b~('ome law, l.lut \\','lS the l't'"el'\'('(\ It hns f'lince bf-en COll hnl)el'llIl gO\"('J'IlJll('llt, tll'lned h~' Hb .\I11.lPSt~·'s gOyerlllu{'Jlt.
And t~ now 1n torC'e, We did not the Illst Se!ofSIOll, so thnt as tbe dutJ' 011 shlpf'l license tee upon all {'onflld?rlltlOIl rtlpcnl for tllf' of l\ 1421 APRIL 16, 1903 matter stands nt prescnt we hrlVe both the duty Rnd tbe license tee, which, of eouree, tbe intention at p.ullament.

We ,,"as 1I0t tlJerefore proflOSf!

to repeAl the tartlf Item which Im[)O!es tbe duty, and le:ave tbe mat· ter to be regulated by the license tee.
We have tor some time past gmnted ex ('Illptlon ot duty on lIl:lcblnery Imported tor the mnnllfncture ot beet·root sugar.

That exemption expired 011 the lst or April.

We ploopo~e 10 renew It tor Rnother yenr up to the lst or Jul)', 1004.

WIth n view ot enco\1l'llglug n.lIuvlnl gold IUlulllJ; tlle Yulwil dl!
'ltrlcl, we propose III the Housc to 1)lnce 011 the tl:ee list 10 Alll, ulllil the 301h ot June, ]l)().l, nJnclJillery.nnd AppllAlLces or n kind not mude in Cnundn tar ('Icillsh'e lise in Alluvlnl ~old Hllnlul>.

, I think I bn\'e now Mtntf'd all the chnnges to be IUudf' ill the tarllf.

:\Ir.

lJ."CI,EA)J.

Woollens.

Ilold the Act 'l'he :\lINISTER OJ.'

FIX.-\XCE.


Tbere Is olle other change which Is not Included III my re30lutloD!I, but wbldl wtll rome later, the Customs Act Tbf're Is a pro"lslon III tbat we mny 811mlt tree ot duty certain ar ticles tor the use ot manufacturers.
IUp I l>ose the princIple 8hould the thnt nud It we could tile ]eHB; great'll' Illcludell tuke the duty orr nltogetber, It would leem to be II sensIble lnfer('Dce that we could take orr part of It, However, III 1I0t 80 It we wnnt to give the manu· Intel'preted.

facturer absolute freedom of duly, we cau do It; but If we think tbat tllls II too mucb nnd want to give lliru something IN!S It Is the Ilresent Act we bnve beld tllfll: under not power to do It.
'i'here are some curious thlugll III connection ,vltb tbe ndmIDI8trat1~n of our tariff laws.

Tbere are cascs In whIch It Is fouod tbat tbe raw ma.terlal;; whlcb IIn"e 10 be Imported from n forel!.

'1l country are ch:m::fd n higher \Iuly 'h:m Ille mnnnfac· trom lIuch materials tur('() arUcle mnde which eom('s In from Grt'llt BritAill lIuder tnrlft'.

Wllh Ibt> "Iew of Ihe pref('relltial meeting such n calli, we propose to ameud the ClI!<toms Act ~ thtlt we shall not ooly tll(' pow!

'r In lHIl.
'r In lHIl.

"h n cnse to "tloJl811 hnw' the I'llll~.. but to reduce 11.

I,; 'I'h(ll'l' 111{' bmlgf'I, \)l1tslde tile Hne Of :lllOtlH'I' mntlN', pel'hilllS 1<OJl](l· lmt wh:'lt 'H'\'erthf'Ie~1ot much llllp~ll'tnHc", as to wh1t'h I d('slre to mllke n sbort IltAt(llUtL llt.

Tbe DOlll1nloll has spent A Ht.

':!t !

'Illn e,f l\Ioue~' In Ihe collstructlon of eltun]s nnd 1:1 Ihl' IDlI)rO\'emt'nt of our wnlN'way from lhe t!l(l lakt>8 10 llie OC:.

'I1I1, by wnJ of .

::-r('nt tbN!e St. T.llwn!IlCe rh·t'r.


('nlitllll bAd btlt It was deemf'd wise to enl:lrge nud l'lef'lll'lI tb~m, at a "f'ry hea,·y eost 10 the C:ul3dlnll tr~a511rj.

The canlll system 18 nowl nbo\'t rOIllI)If't~, ADd we lire looking to It.

AS wt>1I nlilO our rnllw3js, to carry tbe gri'at volume of Irafflc which must plUS bt>twec!n [be WP5[' ('r1l nnd en8t~rn portion, of Canndn.

'fhosl' who lire most closely lISSOC]lltt'l!

with the little depth ot "'lltl'r.


Some "ears I1g0, the wat~rwllY8 lire Jlo.luraJly operatIon of nnxlOU8 tbllt e"er)' possible oblltscle IDay be remo,'ed aod f'\'er1 rf'&5ooable f'DCournge Uleut gh'en for tbe IransportlMlOD of Ollr products throllgh t!Jele channf'ls to lfoulrf'al A l:tnte delJUt:tlloll nnd otller ocean porta.
of gentlemen Intt'rf'81f'd In tbe tratfl.c re centl)· wnlted UPOII nnd urged tbat, with 0. view to gh'lng greater I:'lIcourngement lolls should be abollslled, aud tbe lulllllci waters 'l'be IIIndt' ItS free to sblll8 [Ill tbe ocenn I", the sulJJect yery gorerlllllent lIn,'e gl\'cll for CHI'(\ful cOllslderntlOll, ilOllle doubt ",helb!

:!l' Rl'e chllrgl!d al'e 1l11'ge enough to be II sel'loua ohslncle 10 tlle traffic.
to tile buslm"u, cannl tbe gOl'prnment There Is l'OUlli tolls thnt the tbnt But ,vhl~ tbelle dou1Jt1 t'XI81, we (10 1I0t they nre sucll AS sbould pre"f'ot (eel us Shillg tbe propoul n trIal.

'I'be re,'enue lu\·olred.

tbough (''01I8Idernble, II 1I0t Inrge enougb to prO"e n dllliurbing ftlctor 111 tbele Ila)"1 ot prOlperon.
Canndlau fiun.ucell; lind we would glltdly )'Ield up tbls Itt'lll of onr rf'Cellllg It we could reel DSlurt'd that It would ba"e the great ('treet antlcll)lltl:'d by thf' deputa the geutlemen who eomprllle<l 11011.

We delilre to r1.

'8ene our rlgllt all to (utnre action, whlcb IIllty depend upon the 1'l'lIUItS of the experhuf'nt whlcb we Intend 10 lllnki'.
SullJect to that regen-at!on, I uow AlIllonllce Ihat Ihe go,'ernlllent hn\'e deter IIllnell for It perIod of two )'cnrs to lIui'lj)end lhc chnl'ges 'for t01ls lind lilA!>!!

the enUre l'nnnl g)'stem of CnnA(la nilsollliely tree to 1111, TIlls, A8 I hA\'e said, we will the elld ot the two )·en.... :l tr)' ns till eXl'k!rlmeot.

We hope It mny be Juslll'ied,.


;\IId 1\'1": rest'rve ollr rlg1.lt ns to whllt OlAY' he tlolle at 'Ve li:lnd will be aU thllik thAt thnt tlH:Sf' more particulllrly lllteruted In Ihls mntter call ask us to tlo, nUll we do It with the df'1I1re that our grettt wnterwR1II thall carr)' the trnffle wblcb IIntllre llnll de Illlled they should cnrry.

trlnl of IIl1lt I (utm'e tllnt ;1m SIl1~, :l.lr.


Sp<'aker, ,,'e hn re cyen more 1'('ASOll thnt e\'ery IIlt'm· Ilel' ot this HOlllle :l1Id e"ery good citizen of CllJHltlU w1ll rejoice on"r the IInPlly c8nd!

tlOllS which ennble me 10 mnke such n gratl r)'lllg sintemeut of the ntrnlrs of the Domln hn, WI!
hn"e e"eI'Y reason to view the Ihe pnllt with ('onnlry III prO~I'i'~S of 0111' Ilh'lI11Ul'e, for lnol;ln~ fm'wllrd wHIl hope And conlidellce to the ,zrf'flt is hefore those whose H.-h·lIe::::e II Is 10 dwell 011 thla lIorth f'1'U hn1t of the .\merll'an contInent.

W'e llllt not in our may dltrer In mn.ny rf'tJpt'('ts, ,zrnllnrllllon thnt plOOSjl?rlty In a Iltrge de gree hns "hj!tt'd om ffluntrr.

In Any previo1l8 period in our history was tbe tuture S4) tull of promiSE".

Xel'er be fore III her hlstor.)'


did our country loom tbe eyf'5 of tbe world.

We 80 largely III bal'e oUrtlClns l00Jr 1)et'n awnre of tbe ma, terrltorlel, nUlcent hut our ("lTorU to olfll;;e reliourcCII knOIl'u nnd npjll'eclated nilrond ha\"~ llOWl!- resoureetl ot our vnlt Ihese l"e'"f'r 1423 COMMONS 011 tht' less successful tile J"('lllllJlIc to the south of us, thnu could hnye thill'S lll'ell lJeCll wished, nut wbnt<!H'r mar he Mid of tile past In tlm!
r<!sl,ect, we hn"e lwthlng to colll]llaiu~f 1lOW, In the l1lollH'l' COUlI the continent of EUl'ope, and even try, III lOt or)' of Cann(\a's nd"nncenwlll, C:lIl1\(ln'~ \\'l'lIlth of rE!SOllL'ces, and Cann(ln's Sjlll'ndid fUllln' Is cngn;;lng thl1 lltlcnt!

()ll of the IIPOpil', :llld Iho\l~:lllds of llllllligrilllts of lhe he,;t IIlll11," chiS!!
arc cI'owding tilc SlC:1111shl]lS :I11(l tlw l'llllw:ly lI'alns III Ilnste 10 re:le1l Ihelr Ilw ncw country, "'e han' e\'cIT )'p:lson to wI'l· \Yc al'C I;"lnd to !a:llW come tliE'Sl~ people, thnt lot with llS.
Let us, to w!Jom, as members ot jJUrllamellt, Is g-11"t'1l tht> Itigh Jlril'lIe~e of dh'cCtillJ; the allah's ot lIll)' thlll:; th:lt Is within our Ilol\'el' 10 I;"ln~ UI; Slll'llllrC 10 OUI" the 11111I1 to wl,lch OIC," hu\"e come I~ onc llwt wjJ] 1"(!\\'1inl Illtelilgent nlld (ailhful Inl'om with lUlllplupss nnd pI'OS the hle~;;ill.~8 ot ll<!ncE', llel"ity, lx'g to sll'e llotlce of the follow Ill:.
: Ih('~' nl'e casllug III !lew c:ltlzens tllut tllis Huminlon, r('8011l11"1I11; fall not tlH'h' ill j It That IS expedient to further amend' The Cusloma Tariff, 1891: to the following effect : That Ihe following seetlons bc added to the satd Act ;- The Co,'crnor rna}' by Order in in Councll Councll direct that a duty or Beven dollnrs !ler ton sh~ll he Impo3Cd In Schedule A Oil all iron and steel railway bars, or nils In any form ror raih\'a~'a, Imported Into Canada; and rrom In amI after the' Canada Gazelle' be le\'lcd, collected and paid oD all Such rails; and \h",rcaft~r item 238 In SChedule A and Item 685 iu Schedulc B shall be repealed.
lh\' publication of such Order shall such Ilul.les Pro"ld",d, however, that such Order shall not be pHased unlll th~ Governor In Council Is satia rails or thP.
best quality, suit, fled that swel able for the use of CanadIan railways, are helng tram steel made III manufactured In Canada, Canada, the or dinD-I'y requirements ot Ihe markrt, In sumcl"nt quantity to meE't Articles which are the I;TO\\'tll, produce or manufacture of any foreign country which treals Imports from Canada less fll\"ourahly th.an tho$e rrom"othl'r countries may be suhject to a sur ver and above the dUlles or Schedule A, tal( 8uell surtax In en'ry case to be oue-thlrd of the duty as ftxed by such Schedule A, Such sur/a.x shall apply to anl" artlele, the chief nlue of which was produccd in such for eign countr~', although It may hal'e been im proved or ad"anced 10 value hy th!'
labour of anolhl'r country, notwlthstand!ng the provisions ot the Drlllsh pref~rentlal tariff and regulatlons thereunder.

Auy question arhlllg as to an}" forelJ:"n coun try or goods coullng under the operatIon ot thla secllon shall be d...ctded by the MInister of Cus toms, Whose deciSion shall be noal, The MinIster ot Customs, vo'lth the appro\'al of Ihe Governor In Coullell, lIlay make regula_ tlons tor carrying out tbe purpnses of this Sill.'

Uon.
Uon.

SlIch surtax shall not apply to &ny goods ac tually purchased on or before the 16th day ot April, 19<)3, by any corporatIon, nrm or person in Canada, Immediate transportation to Canada.

tor Hon, Mr.

FIELDING, That the period of exemption trom dul~' ot DlII~hlnery ot every kind and structural IrOll and steel ror use In the conatructiou and equlp meut of taetorles for the manutactur(> of SURar rrom heet root be extended t'o the 30th dll)' or ,TunE', 190~.
That it<'ln ~(l9 In Schedule A, respecting duty rln ships and otber v~8Selll built in foreIgn coun Irles and applying tor Canadlsll register, be ),l'pealed.

That machinery a.nd appliances of a kind uot In Canada for exclusIve use In allu"lal mud\!

gold mlni"g be add(',1 to the free liat nntll Juue Ut, l'I)~.

:'oIl'.

Bonn!':.'..

; (Halif:tx) lllo"ed the ad· jotll'nlllf'lIt of the debute, TIlt> PHDfE MI;'\'ISTEH, ('nn Jun'e no olJ.le('lloll 10 tlie re(jue~t ot my hou.

(t'i(,lld, h1l1 h:n'E:!


10 1",11 111m that If we do not pro c(>('11 with tills debute at luesent, he will hal"e a little dit1lculty to settle wIth \lis n!.'i:.

:lluOlll· pIr.

Spl'oul(') bceausl1 tllnt 11011.

J;"clltlC'lllall Illnt we lInd nothing' to go all wIth lJ\1t (,bjected Jeslerda,\' the estlmntC's.

It Is usual :'0[1'.

nOflUE" (Hnllfllx).

011 occnsiollS ot to adjourn the tlelJaH', this kllll!

:11](1 1II."

chief reuson for not wanthtJ.


;: to ~o all to-/hI)" Is Illnt I lim "SutrerhlJ,: tr01ll s~\"('re hOlll'S('IH'NS ltud ltill srrllld that I F;hnll H:Jt he lthle to llluke ill)"selt hennl by tile Honse.

I mar also ~tnte to Ill}" Ilou.

fl'lend tlillt we to my bon, extended n slml1ur CQurtesy fdelul ltS Wf' al'C ll!\n\~'!ol ~11I(1 to do, br waiting n llnl!

hatH' in our I<f'llt!lo fOJ' the House to opell.

Ihe :'oflnlster ot Flullllce, 'rite :'o1!Xlf';TEIt 01-' I"IX,\':\CE.
It \\'ns \I'()'tll w:titlng fOI'.

)(l'.

HORf)E~ IHnllfnx).

nl:l~' ue :;elltle, tlmt.

t\\"o f'l'lnlons nuont uwn II< (jlliln sure of it, other hou, g('lIt!elllen llln~' not share In his Oplllioll, Th(')'l.'

Th~ lIon, The I\IIXISTEit OF FIXAXCE.

glze to my hOll.

t)'lencl.

I nllOlo· :'orotioll aflTeed to, lttlcl dC'!J:lle adjolll'llC'd.

.\t I<ix '''clocl;, 1I011~1' TOol; I'('C('SS.

After Recess, HaIlSI' I'('sllllled fit elgllt o'clock.
SUPPLY, House lignin ill Committee of Sup]ll~', Public works-ehargl.

'able Income-har bnun lind rivers-OOltarlo-Port Elgin, dredg log and r~.palrs to tanding pIer, $4,1)0(1, to The MI~TS1.

'En OF PUBLIC WORKS (lion, J1HllfS Suthel']llnd).

TIlls Is to eOill 'J'lJe dredging wlll Sl,'e 111",te these WOI'k.S, It dej)th of fourteen fl'et at low watel', )[1'.

SPROUl,E, Would the :'ollnistel' ot Publlc Works please furulsh the stntement