The morning call. [volume] (San Francisco [Calif.]) 1878-1895, 1892-06-21
RETALIATIKG ON CANADA.
President HarriSOn'S Message to
Congress.
RECIPROCITY NEGOTIATIONS ENDED.
Canada Violates the Treaty Of 1871 by Distrimi-
Mating Canal TOIlS-A Breach of In
ternatiORal Faith.
RECIPROCITY NEGOTIATIONS ENDED.
Special to The MORNING CALL


by recommending that Congress proceed to
retaliate upon Canada for its persistent
denial to American citizens Of the rights
guaranteed by the treaty OF Washington in
connection with navigation on the Canadian
canals. 1de President says his answer to
the resolution was delayed at the suggestion
of the Secretary of State until the confer
ence on June with the Canadian repre-
sentatives took place.
The President says. in part: "The result
of the conference as to the praeticabllity Of
arranging a reciprocity treaty with the Do
minion Of Canada is clearly stated in Mr.
Blaine's letter, and was anticipated, think,
by him and every thoughtful American who
had considered the subject. A reciprocity
treaty limited to the exchange Of natural
products would have been such only in
name. for the benefits Of such treaty
would inure almost wholly TO Canada. Our
previous experiments on this line have re-
suited unsatisfactory to this Government
A treaty that should be reciprocal in fact
and of mutual advantage must necessarily
embrace an important list OF manufactured
articles and secure to the United States the
free or favored introduction OF these articles
into Canada as against the world, but II was
not believed that the Canadian Ministry
an arrangement The conclusion of the
Canadian commissioners IS stated in the
report Of Mr.. Blaine as follows:
Not Ready for Reciprocity.
"In the second place it seemed impossible
for the Canadian Government, IN view OF
its present political relations and Obliga-
tionS, TO extend TO American goods prefer
entail treatment over those of other coun-
tries. As Canada was part of the British
1rafr q
petent for the Dominion Government TO
enter into any commercial arrangement
with the United States from the benefits OF
which Great Britain and the colonies would
be excluded
1T is not forsthis Government" said the
President. ito argue against this announce
ment Of tue Canadian officials opinion. Ii
must be accepted, however. | think, as a
statement Of a condition which places an in
suDeFable barrier 10 the way Of the attain
ment Of that large and beneficial intercourse
and reciprocal trade which might otherwise
be developed between the United States
and the Dominion.
Discriminating Tolls.
"Mr. Blaine reports as one Of the results
Of the conference an informal agreement to
repeal and abandon the drawback of IS
cents ton given to grain carried through
Montreal and shipped thence to Europe.
By the American railways running from
Ogdensburg, OSwegO and other American
ports shippers have paid the full 20 cents
a ton. while in effect those by the way OF
Montreal pay only cents. 1t was under
stood that the Canadian commissioners who
were members of the Canadian Cabinet
would see to the withdrawal of this discrim-
inatiou. The report of the recent confer
ence by General Foster shows that the
Canadian commissioners declare that this
does not conform TO their understanding Of
the matter; that all they intended was that
any complaints will be taken into consider
alton by the Ministry. Foster, on the con-
trary, confirms Blaine'S statement. This
misunderstanding is unfortunate, but a
serious phase of the situation is that the
Canadian Ministry, instead Of resembling
the discriminating canal tolls, reiSsued them
after the return of the commissioners and
without any communication with this Gov
eminent
Violation Of the Treaty.
'The order continuing this discrimina-
ton" the President says, us an order in
direct violation Of the articles of the treaty
of 1871, which reads: To secure to The cit
liens Of the United States the use Of the
Welland. st. Lawrence and other canals
in the Dominion on terms Of equality with
the inhabitants Of the Dominion
at is a matter Of regret" says the Pres
ident. that the Canadian Government did
not respond promptly to our request for the
removal OF these discriminating tolls. The
papers submitted show how serious is the
loss inflicted upon our lake vessels and upon
some of our lake ports In view Of the fact
that the Canadian commissioners still con-
test with US the claim that these tolls are
discriminating and insist that they cOnSti-
tute no violation Of the letter or spirit of the
treaty, it would seem appropriate that Con-
gress, if the view held by the executive is
approved, should, with elaboration and vet
y,r.Fr faLr oh etc
saTy TO secure the just rights OF our citi-
Zens."
The President says in view of the delay
which has already taken place he has not
felt justified awaiting further communi-
cation from the Canadian Government sug-
gested In the recent conference. Should
any come he will at once transmit it to the
Senate.
Relating to Treasury Notes.
Secretary Foster sent lengthy letter to
the Senate to-day in which he recommends
that the provisions OF the act OK June s,
1872, be extended to Treasury notes author
lied by the act OF July Il, 1890 Under the
latter act S97. 39l, $50 in Treasury notes has
been issued, mostly 10 smaller denOmlna-
lions, to facilitate their distribution. Fos-
ter's predecessor, Secretary Window, in
order that there might be no ground for dis
elimination against them, ordered these TO
be treated the same as United States notes
which the act Of 1872 authorized TO be re-
celyed on deposit without interest from the
national banks in sums Of not less than
100000 aud the issue therefor Of
certificates Of deposits Of denomina-
ton OF not less than $1,000. In view
of the fact that the act of 1890 did
not specifically provide for the receipt Of
the otes authorized by IL in the said manner
Secretary Foster some time ago referred the
matter to the AttOrney-General, who rem
ders an opinion that the said notes were not
so receivable. Foster thereup0n decided to
discontinue their receipt as special deposits,
but thinks as the cr0p-mOving period is near
at hand. which would facilitate distribution,
that as soon as the return flow of money TO
the business centers is established, large
addition OF new currency OF small denomi-
nations, without the privilege Of special de-
posits, would prove embarrassing alike to
the public and the department, and result
in an increase in the proportion OF notes OF
large denominations. Therefore, in order
TO keep the distribution regulated to meet
the needs of the people, the Secretary made
the request above noted.
Results OF Reciprocity.
The acting Secretary of State sent to the
Senate to-day lengthy reply to the resou-
tiOn some weeks ago inquiring as TO the
practical effect OF the reciprocity negOtia-
tiOns. lie says: 1.-The PRACTICAL effect
cannot be measured by the commerce of a
month or a year. for it must depend upon
the degree to which the concessions OBJ
tanned are utilized by private commercial
enterprise. Before the full results can be
obtained we must provide the means of
transactiDg our own business independent
of the ships, banks and capital of our COM
mercial rivals. That the advantages are
recognized and appreciated is already ap-
Parent by the interest awakened among the
commercial and industrial communities of
this country. 1t is gratifying 20 note that
there has already been a considerable in
crease in our exports and there is good
reason to expect that it will be permanent.
1t is equally noticeable, too. that the ex-
ports from Great Britain to the Latin
American countries have fallen off with
even greater rapidity, so much so as to ex-
cite apprehension here of commercial organ
iZations and impel them to seek protection
from the Government"
In conclusion the acting Secretary says
"The act has not only brought about the
result of securing the repeal of the prohibit