British Policy in the Illinois Country, 1763-1768

by Clarence Edwin Carter

The plan thus outlined by the ministry was never legally carried into effect, although the superintendents used the outline as a guide in their dealings with the Indians. The original intention had been to levy a tax on the Indian trade to defray the expense of putting the scheme into operation, but it was found that the budget was already too greatly burdened; and the Stamp Act disturbance which soon followed illustrated the possible inexpediency of imposing such a duty. [114]

The foregoing considerations serve to indicate the importance the ministry attached to the Indian trade in general. But what of the trade in the Illinois country? This region had been one of the great centers of the Indian trade under the French regime; and, in addition, the French inhabitants had been one of the main supports of New Orleans since its foundation early in the century. The commercial connection between the Illinois villages and New Orleans had never been broken, and at the time of the occupation of Illinois in 1765 French fur traders and merchants still plied their traffic up and down the Mississippi River. Now that the title to this trade center passed to England it was expected that the volume of trade would be turned eastward from its southerly route. The necessity for this was patent if any solid benefits were to accrue to the empire from the cession. [115]

The home and colonial authorities early saw the importance of the redirection of the trade. They hoped and expected that a trade would be opened with the Indians in and about the Illinois country immediately after the active occupation by the English troops. [116] A large number of individual traders were early aware of this and representatives of some of the large trading corporations of the East were also preparing to take advantage of the early opening of the trade. In 1765 Fort Pitt became the great rendezvous for this element, and when the army reached Fort Chartres in October, 1765, it was followed as soon as the season of the year would permit, by the traders with their cargoes to exchange for the Indians' furs. Among the more important figures was George Morgan, [117] a member of the firm of Baynton, Wharton, and Morgan of Philadelphia, [118] and the firm's personal representative at the Illinois, where he first appeared early in 1766, [119] remaining there the greater part of the next five years. [120] Other representatives of this company left Fort Pitt in March of the same year with a large cargo of goods, which reached Fort Chartres during the summer. [121] Firms such as Franks and Company of Philadelphia and London and Bently and Company of Manchac also traded extensively in the Illinois during the following years: all the larger British companies becoming rivals for that portion of the Indian trade which the English were able to command.

Other and perhaps greater sources of profit to the English merchants lay in the privilege of furnishing the garrison with provisions [122] and the Indian department with goods for Indian presents. [123] Although the houses of Baynton, Wharton, and Morgan, and Franks and Company were usually competitors for the former privileges, the latter company generally had the monopoly. [124] On the other hand, Baynton, Wharton, and Morgan derived their greatest profits from the sale of enormous quantities of goods to the government through the Indian department for distribution among the Indians accustomed to assemble at the Illinois. [125] But whether all these houses received profits commensurate with the risks undertaken is problematical. [126] In the Indian trade, in which all the merchants were interested, they not only had to compete with each other and with independent English traders, but with the French and Spanish who had not ceased to ply their trade among their old friends the Indians. This continuance of foreign traders in British territory was probably the most serious problem in the trade situation. Not only did it affect English traders but the interests of the empire itself were seriously threatened by the presence within its limits of unlicensed foreign traders.

It is therefore evident that the close of hostilities between France and England in 1763 and the formal transfer of Canada and the West to Great Britain by no means closed the intense rivalry between the fur trading elements of the two nations for predominance in the western trade: it rather accentuated it. As has already been suggested, France, until cession of the West, had naturally possessed the sphere of influence among the savages of the Mississippi Valley and Canada, and consequently the monopoly of the fur trade accrued to her subjects. In the upper Ohio river region and among the tribes bordering on or living within the limits of the English colonies, the British, during the first half of the eighteenth century, were either strong rivals of the French or were completely dominant. And it was generally expected that after the cession of the West the British would inherit the influence of the French among the Indians and succeed to the monopoly of the fur trade just as Great Britain had succeeded to the sovereignty of the territory itself. But the Conspiracy of Pontiac, due in large part to the machinations of the French traders, postponed for a considerable period the entry of the British traders, during which time the French became more strongly entrenched than ever in the affections of the savages.

The character of the French fur traders has already been noted. Their methods had from the beginning been different from those pursued by their neighbors and rivals: they lived among the Indians, affected their manners, treated them kindly and respectfully, and supplied all their wants, while the missionary, the connecting link between the two races, was ever present. This association of religion was one of the causes of the success of the French in gaining such a permanent foothold in the affections of the Indians, but was entirely absent in the British relation with that race. The English traders were in general unscrupulous [127] in their dealings with the savages and deficient of that tact which enabled Frenchmen to overcome the natural prejudice of the Indian and acquire an interest with him which would be difficult to sever. In that section of the Indian country where the influence of Great Britain was such that her traders could go among the Indians, there was always considerable dissatisfaction on account of the methods employed by the large number of independent and irresponsible traders. Many carried large quantities of rum, some dealing in nothing else. [128] English traders frequently attended public meetings of Indians, gave them liquor during the time for business and defrauded them of their furs. [129] This abuse was one of the great causes of complaint against British traders. [130] Indeed, wherever they participated in the trade, its condition was deplorable. Many of the independent traders had little or no credit so that the legitimate merchants suffered as well as the Indians. [131] They adopted various expedients to draw trade from each other, one of which was to sell articles below first cost, thus ruining a large number of traders. [132] Fabrications dangerous to the public were frequently created to explain the price and condition of goods. [133] But probably more injurious still to imperial interests, was the fact that whole cargoes of goods were sometimes sold by English firms to French traders thus enabling the latter to engross a great part of the trade, [134] depriving the empire of the benefit of the revenue accruing from the importation of furs into England. This practice was probably followed to a greater degree in the farther West, where the French continued to have a monopoly in the trade.

It had been expected that the Illinois villages would be the center of trade for the English side of the upper Mississippi Valley just as it had been one of the centers during the French regime. [135] But, except for the few tribes of Illinois Indians in the immediate vicinity, very few savages found their way to these posts for trading purposes. English traders, on the other hand, did not trust themselves far beyond this narrow circle. [136] But their French and Spanish rivals from Louisiana, many of whom formally lived in the Illinois, carried on a trade in all directions, both by land and by water. [137] They ascended the Ohio, Wabash, and Illinois rivers [138] and crossed the Mississippi River above the Illinois River, plying their traffic among the tribes in the region of the Wisconsin and Fox rivers. [139] This was probably the most productive area in the Mississippi Valley in the supply of fur bearing animals. The Mississippi River from its junction with the Illinois northward was also considered especially good for the peltry business: the otter, beaver, wolf, cervine, and marten were to be found in abundance. [140] But the British traders dared not venture into that quarter. The loss of this trade, however, can scarcely be attributed to their misconduct, for the French had never allowed it to pass from their own hands. The latter continued to intrigue with the Indians throughout the greater part of this period just as they had prior to 1765. As we have seen they pointed out to the savages how they would suffer from the policy of economy practiced by the British government. [141] Thus by giving presents and circulating stories and misrepresentations the French subjects of Spain attempted to checkmate every move of the English. [142] The Indians were constantly reminded of the bad designs on the part of the English, and were encouraged with unauthorized promises of aid in case they took up the hatchet in defense of their hunting grounds. [143]

This state of affairs continued throughout the greater part of the period, although it was probably modified to some extent after 1770, for in that year O'Reilly, the Spanish governor of Louisiana, issued an order to all the commandants in that colony to prohibit the inhabitants crossing the river in the pursuit of trade and whenever any excesses were committed satisfaction was to be given the English commandant according to the laws of nations. [144]

During the first years of the British occupation there was considerable friction in the contact between the two alien peoples in the Illinois villages. In spite of the fact that the French who remained became subjects of Great Britain there was for several years sharp competition between the English and French residents in the vicinity of the villages. [145] The latter were on terms of friendship with the savages and could go into any part of the country without difficulty and those Indians who came to Fort Chartres to trade generally preferred to deal with their trusted friends. The French often carried the packs of furs thus obtained across the river to St. Louis or transported them directly to the New Orleans market. Although the British merchants were occasionally to pool their interests with French residents, such cases were exceptional prior to 1770. In that year, however, General Gage informed the home government that "the competition between his Majestys' old and new Subjects is greatly abated & must by degrees subside, for if carried to extremes it would be very prejudicial to both." [146]

We have seen in the foregoing study how the British traders were handicapped in the prosecution of the trade by their French rivals. Naturally the large quantities of furs and skins obtained by such contraband traders as well as by the French residents of Illinois were taken directly to New Orleans and there embarked for the ports of France and Spain. These foreign interlopers, however, only followed the course they had long been accustomed to take. On the other hand it was expected by the government that the traders who carried English manufactured goods down the Ohio River would return by the same route with their cargoes of peltry for the purpose of transporting them to England. In this the aim of the ministry miscarried. English traders and merchants followed the line of least resistance: the route down the Mississippi to New Orleans was easier and quicker than up the Ohio and across the country to the sea-coast. [147] Moreover, the New Orleans market was attractive, for peltries sold at a higher price there than in the British market. [148] The tendency of the English traders and merchants to follow this course was discovered soon after the occupation. [149] In a communication to Secretary Shelburne in 1766 Gage informed the government that "it is reported that the Traders in West Florida carry most of their Skins to New Orleans, where they sell them at as good a price as is given in London. As I had before some Intelligence of this, the Officer commanding at Fort Pitt had Orders to watch the Traders from Pensilvania (sic) who went down the Ohio in the Spring to Fort Chartres; & to report the quantity of Peltry they should bring up the Ohio in the Autumn. He has just acquainted me that the traders do not return to his Post, that they are gone down the Mississippi with all their Furrs and Skinns under the pretense of embarking them at New Orleans for England." [150] A few weeks later he wrote again in a similar strain: "That Trade will go with the stream is a maxim found to be true from all Accounts that have been received of the Indian Trade carried on in that vast Tract of Country which lies in the Back of the British Colonies; and that the peltry acquired there is carried to the Sea either by the River St. Lawrence or River Mississippi." [151] Gage seemed to believe that the part which went down the St. Lawrence would be transported to England; but that the peltry passing through New Orleans would never enter a British port. [152] "Nothing but prospect of a superior profit or force will turn the Channel of Trade contrary to the above maxim." [153]