March 14, 1839.
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Repeal of the Corn Laws will raise the price of Corn.
It is very important to look at this question with reference to the interests of the commerce of the country, and also to consider the effect of the abolition of the corn laws on the price of provisions and on the price of manufactures. Now, if we discourage agriculture to such a degree that any large body of persons and a great amount of capital come to be withdrawn from it, the price of native produce must rise; there would be so much less produce raised than before, that its price—the price of the native produce I mean—must rise. Now, the price of the corn imported will be the price of the diminished quantity of the home-raised corn. Would the manufacturing labourer benefit by this? Would the manufacturer find any advantage in it, when the diminished value of their wages was forcing the labourers to raise the market upon him? Would the merchant exporter gain anything by the change? Would it not be found that, in proportion as the manufacturer must pay a larger amount of wages, the prices of his manufactures must be augmented; and therefore the disadvantages of competition with merchants abroad be augmented likewise?
March 14, 1839.
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Foreign Governments would Tax the Export of their Corn.
There is another view of the question which I beseech your lordships to take—I mean the question of our dependence on foreign produce for a great part of our annual consumption, which would be caused by the abolition of the present law. On looking over the papers which have been produced on former discussions of this subject, I have seen proofs that in certain countries duties are paid upon the exportation of corn thence hither; and that statements are made by the sovereigns of those countries to this effect:—"As the corn is wanted by Great Britain, and her subjects can afford to pay the duty, therefore they shall pay it." This duty must come out of the pocket of her majesty's subjects, and be taken into account in the price of the goods of the manufacturers. Your lordships have heard a great deal upon the competition of foreign manufacturers with our own in foreign markets. I certainly am one who does not despise the consideration of these subjects; which, on the contrary, I think of very high importance; but this question is a large one, and it is necessary to consider it on rather broader grounds. This very consideration may be material with respect to some countries of which we have been the creditors; but I do not see how our relations with those which are not corn countries can be affected by any change in the corn laws. The power of taxation, which would be thrown into the hands of foreign powers, in the event of the repeal of the corn laws, constitutes, in my view, a most important feature of the case. Suppose we were involved in an arduous competition with Prussian or Russian manufacturers for the supply of a particular article: if we should make up our minds to rely solely on those countries for a supply of corn, as we are called upon to do by the opponents of the corn laws,—and if the success of our manufactures depends on the abundance and cheapness of corn among our population—must we not expect, according to the usual course of such affairs among mankind, that the corn exported from those countries would be taxed so as to render the food of our manufacturers as dear as it would be under any other circumstances? If that is likely to be the case, I would strongly advise you, my lords, to agree to no measure which may render this country dependent upon others for its supply of food. Let us persevere in those measures which have been successful in raising the agriculture of this country and increasing its produce; let us increase its produce to the utmost possible degree, and render all the articles of food as cheap as possible; and then let us see what can be done with reference to commerce and its interests; but let us, I entreat, begin by securing to her majesty's subjects a supply of the best food from the produce of her majesty's own dominions.
March 14, 1839.
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