The Sun.
London, England, 1853-04-22 00:00:00

be dispatched by vans and railway to other ports, where
they were again to be re-shipped. Goods mignt,
for instance, be sent across the country in this manner
from Hull to Liverpool, and they were thus removed
almost directly from ono ship into another without being
examined or disturbed. Now, several objections were
raised to this arrangement, the most important of which
were, perhaps, that some description of goods, the impor-
ation of which was altogether prohibited, such as copy-
right books, might in this way be introduced, and that the
Customs laws might be contravened by goods bearing Bri-
tish marks being sent through this country and sold
in foreign canneries as British goods. There was, no
doubt, considerable force in these objections; but, after
fully considering them, the Government had thought
that they could not be sustained, because if people found
it to be their interest to imitate British marks, they
could send their goods direct to continental ports as easily
as they could bring them through this country, and, there-
fore, if they insisted upon opening an examining goods,
such goods as he had alluded to might be sent by other
channels, over which this country could exercise no manner
of control. It had, therefore, been resolved, with reference
to goods in transitu, that they might be landed and conveyed
by railway, under the superintendence of a Custom-house
officer, from one port to another, where they might be
re-shipped and exported to other parts of the world, with-
out being opened or in the slightest degree disturbed. These
arrangements had only been in existence about two years,
but they had been attended with remarkable success,
and had exercised a most beneficial influence upon
the trade of this country. The following was the
quantity of foreign goods which had been entered
for trans-shipment in this country in the year 1852 :
Butter, 203 cw ; cheese, 5,026 cwt. ; corks, 15,0101 b. ;
grain (all kinds), 1,641 cwt. ; ditto, 8,637 quarters ; glass
(all kinds), 44,446 cwt. ; ditto, 131,598 lb. • spirits (all
kinds), 400,852 gallons; sugar, 21,482 cave. ; wine (all
kinds), 78,874 gallons ; tobacco, 1,474,160 lb. ; but, in addi-
tion, articles not requiring specification, comprising silk,
leather, woollen and cotton manufactures, watches, per-
fumery, confectionary, and other manufactured goods to the
value of 3,414,4511., had also passed through this country
during the last year. In the very last month (March), the
value of goods entered under the latter description was
420,0001., or at the rate of 5,000,0001. per annum. Now,
the effect produced by this traffic on the shipping trade
of Liverpool was very remarkable. He would take two
periods, the ono previous to the repeal of the navigation
laws, and the other since these new facilities were afforded.
In 1845 the total British shipping entered inwards and out-
wards amounted to 1,838,449 tons. The total British and
foreign shipping entered inwards and outwards in that year
was 2,819,014 tons. In 1848 the total entries of British
shipping showed a slight decrease, for they amounted only
"to 1,817,000 tons, the total entries of British and foreign
shipping being 2,924,000 tons. The increase in the
total entries was, therefore, between 1845 and 1848, 105,000
tons. Now in 1852 the amount of British shipping entered
inwards and outwards at Liverpool had been 2,185,000
tons, and the total entries of British and foreign shipping
had been 3,785,000 tons, so that the increase of British
shipping between 1849 and 1852 had been 868,000 tons, and
the total increase of shipping 861,000 tons. (Hear, hear.)
He did not mean to say that this increase was to be entirely
attributed to the transit trade, but when they took it in
connexion with the fact that goods of the value of about
5,000,0001. were annually in transitu through this country,
he thought a very large portion of the increase might be
attributed to the transit trade. (Hear, hear.) It was,
therefore, the opinion of the Government that every pos-
sible facility, under which the revenue of the country
might be defended from risk of fraud, should be afforded
for the extension of the transit trade. Ho thought when
they had exposed the shipping interest to competition with
all the world, that it was their first and bounden duty to
afford that interest to all those facilities which mightmake
them the carriers of the world. (Hear, hear.) They had
this advantage—that, whereas many continental countries
were so unwise as to impose transit duties, not only did the
British Government impose no transit duty, but they went
to considerable expense in order to afford all possible
facilities for the transit of goods ; andthe Treasury minute
called upon the Commissioners of Customs to extend those
facilities which had been partially given with regard to the
towns he had mentioned to every town where railway
communication existed and where transit was practicable.
In the case 6f Grimsby, and all the ports on the eastern
coast, the arrangement made was that upon the arrival of
a ship the cargo might be immediately removed to railway
vans, and conveyed by railway, in charge of a Custom-
house officer, across the country to Liverpool, where it •
might be reshipped for tho Brazils, the United States, or
any other part of the world without being disturbed. It
was now necessary that each individualjproprietor of goods •
should give bond to the Custom-house for the amount of •
duties to which such goods woull be liable; but in order •
to increase the facilities of transit the Governnient had '
provided that one single bond should b 3 received from those •
railway companies who were willing to give it, and the
companies would be held responsible for the safe delivery
of the goods in a bonded port or dock. The committee •
had suggested that a similar facqity should be afforded
with regard to coasting vessels, but he was sorry to say
that the Government felt it impossible to comply with that •
suggestion. There was a great deal of difference between
sending goods coastwise in small vessels and sending them
across the country by railway in charge of Custom-house •
officers. If they allowed goods to be re-shipped in coasting
vessels unexamined, they would not know the contents of
the packages, which might be tobacco or anything else,
but entered, perhaps, as flax ; and such a system would,
undoubtedly, open the door to very extensive smuggling.
With regard to goods which had been examined, however,
the Government did not intend to withdraw the privilege
which now existed of removing them from one bonded
warehouse,to another, either by coasting vessels or by rail-
way. The Government proposed to introduce another im-
portant modification which was not recommended by the
committee. At present, in the case of large transactions
between London and Liverpool, when goods were removed
in bond, the merchants so removing them had again to
give separate bonds for every transaction, and until very
lately they had to give bonds for double the amount of
duty. He thought it would very much facilitate these
transactions if one single bond was given, to run from time
to time (as wo understood), and covering a certain amount
of transactions. (Hear, hear.) Ho hoped the great success
which had attended the facilities that had already boon
afforded with respect to the transit trade would lead the
house to support the Government in extending these
facilities still further. The committee expressed their opi-
nion that there was no fiscal reason why the importation of
arms of all kinds in transit should be prohibited. In that
view the Government agreed, and therefore arms would in
future be allowed to pass through this country in transit,
but in each case the party importing would bo required
to obtain a Treasury order, as an intimation to the
Custom-house officers of the extent and character of the
transaction, that no improper use mightbe made of the per-
mission. The Treasnry orders would be issued as a matter
of course, and were only intended as a precaution to prevent
the law from being contravened for political or other pur-
poses. The committee made some observations in the re-
port as to the size of packages, and suggested that with
respect to goods to be exported there need be no restriction
on this point. With regard to spirits, tobacco, and some
other articles, which presented great facilities for smug-
gling, the law provided that they could not be imported in
packages below a certain size. He thought the mere cir-
cumstance of goods being imported with the object of being
exported could make no difference as to the opportunity
afforded for smuggling. Suppose a ship approaching these
shores was boarded by Custom-house officers, who found
that the cargo consisted of brandy in small casks of five
gallons or ten gallons, the captain might say, " Oh, this
brandy is for exportation, but the officers would have no
means of knowing whether it was intended for exportation
or for home consumption. The present practice of the
Custom-house, however, he thought entirely met the views
of his hon. friend (Mr. Mitchell) because speoilled regula-
tions had been sanctioned by the Treasury, under certain
securities, for the introduction of brandy and some other
articles in very small packages for the purpose of being re-
exported. If, therefore, persons wished to export brandy
in casks of 15 gallons, or wine in cases of one or two dozen,
for exportation to Mexico, Peru, or Chili, they were
enabled to do so ; but it was clear that if there was a gene-
ral regulation, whole cargoes of goods might be introduced
in small packages, ostensibly for the purpose of exportation,
but really for home consumption. The next point was
with regard to fines on shipping, and on this subject the
committee reported :
" Your committee are of opinion that the criminal respon-
sibility of the crews of vessels for an act of smuggling on their
part, ought in most cases to be a sufficient security to the re-
venue; and that it is therefore not expedient to detain the
ship or to fine its owner, expecting when the fraud has been •
committed by the captain or chief-mate, or when such exten-
sive preparations for fraud have been detected as to argue
great negligence on their parts."
In that recommendation the Government entirely con-
curred, but he believed the practice at present coincided as
nearly as possible with the recommendation. The act of
Parliament provided that, if it should be made to appear
to the satisfaction of the Commissioners of Customs that
smuggled articles were on board a vessel without the know-
lodge or privity of the owner or master, and without wilful
neglect of reasonable care on their behalf, the commis-
sioners were authorised to deliver up the vessel to the
owner or master. He had made special inquiry on this
point, and, as far as he could ascertain, it was the rarest
possible thing for vessels to be detained unless it was quite
clear that the captains and owners wore implicated in the
fraud. If it should be found that the present law was not
sufficient to carry out the spirit of the recommendation of
the committee, he would be quite ready to consider any
suggestions which might be made for its improvement.
The next point of the report was one of extreme import-
ance, relating to the bonding 'or warehousing system—an
institution to which they were, perhaps, more beholden
than to any other commercial regulation for the growth of
' the trade of this country. It was now 100 years since that
system was first proposed to the House of Commons by Sir
Robert Walpole, who was compelled to abandon the
• scheme by the violence of mobs who attacked members on

their way to the house, by the opposition of the City of
London, and by the general spirit of insubordination which
was excited throughout the country. In 1733 Sir Robert
Walpole first recommended to the House of Commons to
adopt a bonding system with regard to tobacco and wine
only. The previous system was, that a merchant on im-
porting paid the duty, and on re-exporting received a draw-
back. That the system of drawbacks afforded great facilities
for fraud thero could be no doubt, but whether the mer-
chants of that period were influenced by such considerations
it was not for him to say. Certainly, however, when Sir
R. Walpole proposed a bonding system, even to that limited
extent, the members for the City of London, directed by the
Common Council, presented petitions from all classes in the
city expressing their strong objections to the measure. In'
consequence of members being mobbed on their way to the
house, the house adopted resolutions declaring their deter-
mination not to be deterred from the performance of their
duty, but, the bill having been read a second time and
passed through committee before it was reported, matters
assumed so serious un aspect in the country that Sir R.
Walpole called a meeting of his friends, which was thus
described in Cobbaes Parliamentary History :
" On the evening before the report Sir Robert summoned
a meeting of the principal members who had supported the
bill. It was very largely attended. lie reserved his own
opinion till the last ; but perseverance was the unanimous
voice. It was urged that all taxes were obnoxious, and there
would be an end to supplies if mobs were to control the Le-
gislature iu the manner of raising them. When Sir Robert
had heard them all, he assured them that he was conscious
of having meant well ; that in the present inflamed temper of
the people the act could not be carried into execution without
an armed force ; that there would be au end of the liberty of
England if supplies were to be raised by the sword. If,
therefore, the resolution was to proceed with the bill, he
would instantly request the King's permission to resign, for
he would not be the Minister to enforce taxes at the expense
of blood.' "

Accordingly the bill was dropped ; it was postponed to a
day beyond the period to which Parliament was likely to
sit ; and it was not till 1803 that we had the advantage of
this system. With regard to tho present practice, the com-
mittee made a complaint, which appeared on the face of it
an • extremely just. one. The theory was, that you got
credit for the duty till you wanted your goods, and you left
them in the possession of the Crown as a security for the