[Sidenote: 'Reciprocity.']
The fact is, that although both the States and Canada export to the same neutral market, prices on the Canada side of the line are lower than on the American, by the amount of the duty which the Americans levy. So long as this state of things continues there will be discontent in this country; deep, growing discontent You will not, I trust, accuse me of having deceived you on this point. I have always said that I am prepared to assume the responsibility of keeping Canada quiet, with a much smaller garrison than we have now, and without any tax on the British consumer in the shape of protection to Canadian products, if you put our trade on as good a footing as that of our American neighbours; but if things remain on their present footing in this respect, there is nothing before us but violent agitation, ending in convulsion or annexation. It is better that I should worry you with my importunity, than that I should be chargeable with having neglected to give you due warning. You have a great opportunity before you— obtain reciprocity for us, and I venture to predict that you will be able shortly to point to this hitherto turbulent colony with satisfaction, in illustration of the tendency of self-government and freedom of trade, to beget contentment and material progress. Canada will remain attached to England, though tied to her neither by the golden links of protection, nor by the meshes of old-fashioned colonial office jobbing and chicane. But if you allow the Americans to withhold the boon which you have the means of extorting if you will, I much fear that the closing period of the connection between Great Britain and Canada will be marked by incidents which will damp the ardour of those who desire to promote human happiness by striking shackles either off commerce or off men.
Even when tendering to the Premier, Lord John Russell, his formal thanks on being raised to the British peerage—an honour which, coming at that moment, he prized most highly as a proof to the world that the Queen's Government approved his policy—he could not forego the opportunity of insisting on a topic which seemed to him so momentous.
It is (he writes) of such vital importance that your Lordship should rightly apprehend the nature of these difficulties, and the state of public opinion in Canada at this conjuncture, that I venture, at the hazard of committing an indiscretion, to add a single observation on this head. Let me then assure your Lordship, and I speak advisedly in offering this assurance, that the disaffection now existing in Canada, whatever be the forms with which it may clothe itself, is due mainly to commercial causes. I do not say that there is no discontent on political grounds. Powerful individuals and even classes of men are, I am well aware, dissatisfied with the conduct of affairs. But I make bold to affirm that so general is the belief that, under the present circumstances of our commercial condition, the colonists pay a heavy pecuniary fine for their fidelity to Great Britain, that nothing but the existence to an unwonted degree of political contentment among the masses has prevented the cry for annexation from spreading, like wildfire, through the Province. This, as your Lordship will perceive, is a new feature in Canadian politics. The plea of self-interest, the most powerful weapon, perhaps, which the friends of British connection have wielded in times past, has not only been wrested from my hands, but transferred since 1846 to those of the adversary. I take the liberty of mentioning a fact, which seems better to illustrate the actual condition of affairs in these respects than many arguments. I have lately spent several weeks in the district of Niagara. Canadian Niagara is separated from the state of New York by a narrow stream, spanned by a bridge, which it takes a foot passenger about three minutes to cross. The inhabitants are for the most part U.E. loyalists,[2] and differ little in habits or modes of thought and expression from their neighbours. Wheat is their staple product—the article which they exchange for foreign comforts and luxuries. Now it is the fact that a bushel of wheat, grown on the Canadian side of the line, has fetched this year in the market, on an average, from 9_d_. to 1_s_. less than the same quantity and quality of the same article grown on the other. Through their district council, a body elected under a system of very extended suffrage, these same inhabitants of Niagara have protested against the Montreal annexation movement. They have done so (and many other district councils in Upper Canada have done the same) under the impression that it would be base to declare against England at a moment when England has given a signal proof of her determination to concede constitutional Government in all its plenitude to Canada. I am confident, however, that the large majority of the persons who have thus protested, firmly believe that their annexation to the United States would add one-fourth to the value of the produce of their farms.
I need say no more than this to convince your Lordship, that while this state of things subsists (and I much fear that no measure but the establishment of reciprocal trade between Canada and the States, or the imposition of a duty on the produce of the States when imported into England, will remove it), arguments will not be wanting to those who seek to seduce Canadians from their allegiance.
Shortly afterwards he writes to Lord Grey:—
It is not for me to dispute the point with free-traders, when they allege that all parts of the Empire are suffering from the effects of free-trade, and that Canadians must take their chance with others. But I must be permitted to remark, that the Canadian case differs from others, both as respects the immediate cause of the suffering, and still more as respects the means which the sufferers possess of finding for themselves a way of escape. As to the former point I have only to say that, however severe the pressure in other cases attendant on the transition from protection to free-trade, there is none which presents so peculiar a specimen of legislative legerdemain as the Canadian, where an interest was created in 1843 by a Parliament in which the parties affected had no voice, only to be knocked down by the same Parliament in 1846. But it is the latter consideration which constitutes the specialty of the Canadian case. What in point of fact can the other suffering interests, of which the Times writes, do? There may be a great deal of grumbling, and a gradual move towards republicanism, or even communism; but this is an operose and empirical process, the parties engaged in it are full of misgivings, and their ranks at every step in advance are thinned by desertion. Not so with the Canadians. The remedy offered to them, such as it is, is perfectly definite and intelligible. They are invited to form a part of a community, which is neither suffering nor free- trading, which never makes a bargain without getting at least twice as much as it gives; a community, the members of which have been within the last few weeks pouring into their multifarious places of worship, to thank God that they are exempt from the ills which afflict other men, from those more especially which afflict their despised neighbours, the inhabitants of North America, who have remained faithful to the country which planted them.
Now, I believe, that if these facts be ignored, it is quite impossible to understand rightly the present state of opinion in Canada, or to determine wisely the course which the British Government and Parliament ought to pursue. It may suit the policy of the English free-trade press to represent the difficulties of Canada as the consequence of having a fool for a Governor-General; but, if it be permitted me to express an opinion on a matter of so much delicacy, I venture to doubt whether it would be safe to act on this hypothesis. My conviction on the contrary is, that motives of self-interest of a very gross and palpable description are suggesting treasonable courses to the Canadian mind at present, and that it is a political sentiment, a feeling of gratitude for what has been done and suffered this year in the cause of Canadian self-government, which is neutralising these suggestions.
Again, on December 29,1849, he writes as follows:—
[Sidenote: Free navigation.]