The Sun.
London, England, 1848-01-03 00:00:00

derstood. We do not, because we vindicate the rights
of the merchants and the manufacturers of the coun-
try to purchase in foreign markets, deny the import-
ance of great home markets for Germany. On the
contrary, the desire to extend the home markets is a
reason the more for maintaining free trade. The re-
strictions placed upon indirect importations, by the
introduction of differential duties, would not promote,
but, on the contrary, greatly injure, this object; and
herein we find a principal argument against the pro-
posed Navigation Act.
Germany possesses emporiums (Weltmarkte) of
greater or lesser extent, and cannot be indifferent to
the importance of possessing them. Of the impor-
tance of the Hamburgh market some idea is given in
Table XIV.,t in as far as this can be done by stating
the number of exports and imports. But perfect
freedom of trade with all countries, full liberty of
withdrawing their goods from whatever place they
like, be it distant or be it near, are the conditions
under which the Hanse Towns have grown into such
important markets. Stettin, if declared a free port,
would most assuredly extend its commercial relations
far beyond their present circle, like the free port of
Trieste, which has already betitme one of the marts
of the world. Hamburgh, deprived of free trade,
would still remain, it is true, an important place for
the imports, and more particularly for the exports of
the Zollverein, but it would cease to be one of the
great markets of the world. London and Liverpool
cannot be cited as examples of the contrary, for the
circumstances existing in England are of a peculiar
nature; whatever mischief her navigation laws have
occasioned has been compensated for by her great
colonial possessions, her former relations with
North America, and the immense developement
of her industry. The restrictions imposed by
those laws on the importation of colonial
produce from Europe, is, with regard to the
staple article, as of little advantage to the markets of
England as restrictions imposed upon the introduc-
tion of corn, tallow, and other such things from Eng-
land would be to North Germany : on the contrary,
the most destructive effects of the navigation laws in
England is their interference with the importation of
the chief productions of Europe, as the most injurious
effects of the differential duties in Germany would be
their restricting the importation of colonial produce.
It would hardly be justifiable, in Germany, to impose
such duties, at the very moment when England is on
the point of relinquishing the former.
That we treat of the restrictions imposed upon
indirect importations, as equally touching all impor-
tations in general, will, we trust, be found fault with
only by those who unconditionally believe the propo-
sition so often propounded in commercial manuels,
that the price of goods is enhanced by their being
drawn from indirect sources. Were this proposition
correct, indirect importation would soon be sup-
planted by direct importation. No merchant gives
orders for goods, without calculating upon some pro
fit to be derived from them; should they, therefore,
by coming through indirect channels, rise to a
price above that which he can obtain for them, he
will certainly rather leave them where they are ;
Should he, on the contrary, be able to dispose of them
at a higher price than he has given for them, this cir-
cumstance will prove, that in this case the indirect
importation of the goods has not raised their price,
but has, on the contrary, lowered it. The above
proposition is only correct when the price of an
article on its way from the hands of the first producer
into those of the last consumer continues to be re-

gulated by its first cost, in which case the goods cer-
tainly become dearer in proportion to the number of
hands they pass through, and to the distance whence
they come. Such cases, however, in fact only occur
in the transfer of goods from the retail dealer into
the hands of the actual consumer. To the smaller

markets of a particular country or of a particular dis-
trict, goods are brought only to supply the wants of
the place, and the retail dealer determines their price
according to the expenses which he has himself in-
curred in procuring them. To the great world
emporiums, on the other hand, goods are brought
for many other purposes, not immediately con-
nected with the wants of the consumers ;
and the wholesale trade, which holds possession of the
goods on their long passage from production to con-
sumption, differs essentially from the retail trade.
The wholesale trade is, as we all know, affected by
manifold conjunctures, such as the abundance or scan-
tiness of the supplies, the state of the money market,
and of the rates of exchange, &c.; and it often hap-
pens in the European markets that an importer, in-
stead of waiting for a more favourable moment, parts
with his goods at a lower price than he has given for
them, perhaps with a view to new undertakings, or,
perhaps from the necessity of obtaining money to
cover the outlay incurred by former undertakings.
Occasions such as these are to be seized upon by the
merchants of other towns, and it would assuredly be
most injurious to the principal commercial cities of
Germany, were they to be prevented, by differential
duties, from availing themselves of such facilities, and
to be forced to obtain from more distant countries,
and by direct importation, that which they may ob-
tain in a shorter time and at less cost in the Euro-
pean markets.
The proofs stated above, and founded on numbers,
that at present the German ports, and more particu •
larly the Hanse Towns, obtain the greater part of
their supplies of colonial produce direct, and they
draw only a small relative proportion from the inter-
mediate markets of Europe, is a weighty argument
against the necessity of differential duties, but it
cannot be reversed to prove, on the other side, that
such duties would not be injurious. The very cir-
cumstance that though the direct imports of an article
comprehend 80 or 90 per cent. of the whole amount
imported, there is nevertheless an amount of 10 or 20
per cent. imported indirectly, proves that this small
quantity was required to complete the supplies of the
market, be it because of their lower price, or because
they could be obtained with more dispatch, or because
of the variety of quality.
In addition to this there is another important con-
sideration which must be taken into account—
namely, the peculiar circumstances in which the
commercial men of the Hanse Towns, and of the

German ports in general, are placed. These men
are not generally great capitalists : around the great
commercial houses, which extend their connexions to
all parts of the world, is congregated a far superior
number of less wealthy merchants, who avail them-
selves of their connexions with some one particular
and less distant locality, in the first place, indeed, as
a means of livelihood, but also as a means of extend-
ing the home markets, and who would be suddenly
crippled in their undertakings, should their particular
line of business be obstructed by increased duties.
Great undertakings, entered with a view to distant
contingencies, and requiring large capital or long
credit, or numerous connexions, only come within the
reach of a comparatively small number of individuals;
to oppress the weak and to favour the strong would
however, be a commercial policy in no wise justifi-
able; and the system above alluded to, according to
which all classes enjoy an equal degree of protection
from the laws, and every one can contribute accord-
ing to his abilities to the prosperity of the whole, is
not only the most natural but also the most desirable.
The system of differential duties would completely
disturb it.
With this question of the creation, or rather the
maintenance of our German emporiums (Weltmarkte),
is connected that of the transit trade (Z wischen-
Handel) of Germany, Hitherto we have only treated
of the import trade, without any reference to whether
the goods imported were meant for the consumption
of the country, or whether they were intended to be
forwarded thence to, foreign countries. The amount
destined for the latter purpose forms the elements of
the transit trade of Germany, whether this be carried
on for its own account, or on commission, or by
agency. Now by its situation in the heart of Europe,
Germany is marked out for such transit trade, which,
in consequence, if left unfettered, must be very consi-
derable. Unfortunately we want the necessary sta-
tistical materials for farming a correct estimate of
what itis at present, and we are consequently obliged
to forbear giving any account of it in as far as con-
cerns the German markets in general, and as it is
carried on along all the routes leading out of Germany
by land or sea, but we shall be able to give some in-
formation concerning the transit trade of Hamburgh.
The direction of this trade, owing to the geogra-
phical position of the city, is towards the north-east of
Europe. In 1845 the amount of the exports from
Hamburgh by sea were—

Marks Banco,
To Russia in declared value) _ . ... 1,173,250
Sweden and Norway ... .. 2,058,560

Denmark and the Duchies ... ... '471,990

3,703,800
Add the exports to Altona ... ... 13,262,580

16,966,380

The last sum is here added, because in reality it
represents the amount of exports made by way of
Altona to the previously named countries, and par-
ticularly to Norway. That goods having this desti-
nation are frequently shipped in Altona instead of
Hambuxgh, is solely owing to the accidental circum-
stance that the Norwegian vessels generally prefer the
former port. But in this respect, as well as in many
others, Hamburgh and Altona must be considered as
one and the same port, and there will therefore be a
further addition to be made of all that has been ex-
ported from Altona to Norway, without touching the
port of Ramburgh.

t This table, which is taken from the well-known
work of Gmlich, is only introduced here for the purpose
of allowing of a comparison with the most important
markets, wnong which. Hamburgh holds the third rank.
The estimates on which the table is founded are not
given. Sh ould they be stated too low for the other Ger-
man comm ercial towns also, as certainly is the case with
regard to liamburgh, this will nevertheless not prevent
the possibi.lity of making the comparison. The second
comparative table, which is added to this, is drawn from
sourp ea.