As soon as the Peace was proclaim'd, an open Trade with Monreal was carried on with such Earnestness, that Monreal was fill'd with Indian Goods, and Albany exhausted; by which means Monreal became the principal, if not the only Indian Market, and the Indians depended entirely on the French for what they wanted.
Our Merchants were fond of the Canada Trade, because they sold large Quantities of Goods without any Trouble, the French taking them from their Doors; whereas the Trade with the Indians is carried on with a great deal of Toil and Fatigue; and as to the Interest of the Country, they either never thought any thing about it, or if they did, had no regard to it.
Now I have brought this Account to the Time your Excellency arriv'd; what has happen'd since, your Excellency knows better than I can by any means inform you. From the whole, it seems plain, that any Difficulties and Disadvantages this Province has been under, have only proceeded from the Wars, which have continued since the first settling of the Province, to the beginning of the last general Peace. But now, that not only this Province, but likewise our six Nations of Indians are at Peace, and in Amity, both with the French, and all the Indian Nations with whom we can have any Commerce, these Difficulties are all remov'd, and we now enjoy the most favourable Time, that at any time can be hoped for, in order to extend the British Commerce in North-America, while the French not only labour under the Difficulties which I have shown to be inseparable from the Situation of their Colony, but likewise under another Disadvantage, (not before taken notice of) by the Furr-Trade of Canada being restrain'd to one Company. This Company is obliged to pay heavy Duties in France upon the Importation of Beaver, or any other Furr; for which reason they always fix a Price upon Beaver, and their other Furrs, in Canada; and the Indian Traders of Canada being restrain'd from selling to any but the Company's Agents there, they cannot raise the Price of Indian Goods as the Price of European rise, or as their Profit on the Goods they sell to the Indians is lessen'd.
The Merchants of New-York allow our Indian Traders double the Price for Beaver, that the French Company allow their Indian Traders, the Price established by the Company for Beaver, in Canada, being two Livres, or eighteen Pence Sterling, the Pound-weight; and the current Price of Beaver in New-York being five Shillings New-York Money, or three Shillings Sterling the Pound-weight. Therefore it plainly follows, that our Indian Traders could under-sell the French Traders, tho' they were to give as great a Price for European Goods as the French do, and did transport them at as great Charge, because of the double Price they have for their Furrs in New-York.
But as our Indian Traders not only have a double Price for their Indian Goods, but likewise buy the Goods they sell to the Indians, at half the Price the French Indian Traders do, the French Traders must be ruin'd by carrying on this Trade, in Competition with the English of New-York. And the French Indian Traders had been ruin'd before now, if they had not found means to carry their Beaver to Albany, where they got double the Price they must have sold for in Canada.
It may be objected, against this Argument, That the Canada Company as soon as they find that the Traders cannot sell at their established Price, will allow a greater Price. But if we consider the Duties the French Company is obliged to pay to the King, they cannot allow so great a Price as the English can at New-York. And if it should be insisted, That the French Company may obtain a Remission of those, yet if the clandestine Trade with Albany be entirely stopt, the French Traders will be ruin'd before such Remission can be obtain'd, and their Trade will be at an end.
My Inclination led me to show what Advantages not only the Indian Trade would reap by extending our Frontiers as far as the Lakes, but likewise the British Trade in some other Branches, which the Parliament of Great Britain seem to have much at heart, viz. Naval Stores; for the Soil on both Sides of the Mohawks River being as rich as it is possible (I believe) for any Land to be, will be found the most proper for raising of Hemp, of any Part of America, and the whole Country round it being full of the largest Pines, the royal Navy is as likely to be well provided with Masts there, and at as cheap a rate as any where else. But I have already too far presum'd on your Excellency's Patience.
Cadwallader Colden.