Mexican Mining Duties.
The Times, 1824-12-08T00:00:00

It was stated in the city a few days ago, tlatthe Mexica Cengress lihad (ldcided against any augmentationfif the small duty at present levied on the export of tbe precious metals, either in the shape of coin or bullion. We have received the report of an enlightened Commission appoint- ed to examine that question, and find that its opinion is stronglyin favouref sucha liberal policy; but we have not yet seen the decrne said to be made by the Legislature in consequence of their recommendation. Whether the measure has passed or hot, that report, from the temperate iaEanner in v ichit is drawn up, and the thorough acquaint.. ainee which it shows with the established principles of pc. litical econly, deserve3 our notice and our prgise. It will be fortunate for the trade and future trospects of lVl?ito if the sound maxims brought forward and appled fit this particular case, shall preside at the formation of th(e other parts of its fiseal and commercial codes. The Commissior begins by stating, that if the progress of commercial kn.iiv- ledge among the people permitted it, and if the present ideas respecting the part which the precious metals performa in a state were removed, they would be ready to ljropose an absolute abolition of the duties on the expott of the produce of their mines. Every such tax on bttlion, the report observes, must be a restraint on trade in proportion to its amount, and the necessity imposed of coinling bullion for foreigners who do not employ the metal in the shape of coin, is only a necessity for main. taining a tertain number of men uselessly at the public expenwe. The following is a brief analvsis of thec argu. ment of the Commission against increasing the existing duty, either on coin or bullion-an argumewt whieh wou l be equally strong for itsentire sappresslon. A duty im- posed upon the export of the pleeious metals can have o dig' one of two objects-either to benefit the revenue, or tv check the issne of the metals. It cannot answer the firt object; because the duties on imports efiect the purpose much bet- ter. The precious metals are not given to foreigners fof nothing: foreigners must pay for every ounee of them in produots or manufactures of oLher countries: tfhese pro- ducts and mauufactures may all be taxed on iipotatiox in proportion of the doubleduty on the export,and impbSt, and thus all the expensive machinery and aU thelfitb vexations attendant on a new duty might be spaeL Ta thif consideration may be added the temptation which h;hii diu- ties gives to smuggling, and the facillty of. if1iviiig commodities so minute in proportion to teir l rfroiE the observation of the fiscal officers. NTor is it any `AisKsea to this reasoning to say, that a duty on exports iaevited .rt foreigners, whereas natives pay the import duties The fiiimer are nomorepaid by ibreigners than the latter. Theplbiof commodities coming from abroad is reduced as low, as -it ceri be, by the double operation of a great competition and slack demand. The foreigni merchant cannot sell at a loss. Itf therefore, a duty is imposed upon the article which he takes in exchange for his goods, and its price be thus raised, he must likewise raise the price of his jOoos in return, and thus indemnify himself for the new ckarge. He has no other alternative, but either to raise his terms or to abandon his trade. In neither case, of course, will the Mexican Treasury or the Mexican people benefit by at- tempting to levy a tax upon him. With respect to the second proposed object of a tax on the e*port of the pre- cious metals, still less need be said. Supposing a duty eflfctual to check export, what advantage would accrae to Mexico? The precious metals are either to be considered as an in- strument of exchange, or as an article of commerce. In the former capaeity, by increasing their amount beyond the quantity necessary to circulate the property or commo- dities of a country, the wealth of that country is not in- creased. It is only represented by soute million of dollars more, which dollars in this came are rather an Incumbrance than an advantage. If an increase takes place in the arti- cle which represents all commodities, while the quantity of these commodities remains the same, all the mighty advan- tage which we could gain by the change, would be the necessity of going to market witb a greater weight of metal in our pock-ets, to bring home precisely what we formerly might have obtained for a less. If this proposition, which may be regarded as a truism, required any illustratiou, we might refer to the state of prices, and the state of our currency during the war, and at the present moment. A bushel of wheat is new as valuable when ropresented by seven shil- lings as it was when represented by 12 or 15. Suppose a metallic currency had existed during the war, instead of the paper one, what prudent Minister would haye pro- posed laws to keep so much silver in the country as would always enable the bushel of wheat to be represented by twelve or fifteen shillings? While such a disproportioned abundance of money would be useless wfhinz a particular country, it would be injurious to its external commneree, by enabliing nations less plentifully supplied with it, and consequently representing their commoditiesby lower prices, to undtersell itin the foreign market. If, lastly, the precious metals be considered in the light ofa produsetion of the Mexi- caa soil, aud as commodities of ornainentor use in commen lifo, it would beas absurd to check tbeirexport as it wvould bea to check that ofsugar from the IVest Indies, or tobacco from the United States. If to facilitate the exportation -of a com- modity be the best means of encouraging its production or preparation, why should not the precious metals be subject to the same rules? After dwelling on these arguments, the report proceeds to state the advantages which had re- sulted from a diminution of duties on tining since the de-. claration of independence, and the prospects held out of Da- tional improvement by the employment of foreign capitaltm working the mines, if that low rate of duty was continued. The contracts entered into with foreign capitalists had been expressly grounded ca a confidence that no obstacles would be raised to a free exportation of the metals which they should drawy fromn the Mlexican soil. Such is an outline of this plain and sensible document. It is pleasing to see the liberal spirit in which it is written, ndthe sound principles which it develops-a spirit and principles as far superior to any thing which we could have expected from the agents of the Spanish Government, as independence is tO slavery, or commercial freedom to colo- nial restrictions. MEXICAN MINING DUTIES.