The Planters of Colonial Virginia

by Thomas Jefferson Wertenbaker

For Virginia this startling development was all-important. During the darkest days of the Restoration period her share of the total returns from the tobacco crop could hardly have exceeded £10,000; in 1699 it was estimated at £100,000. Even if we accept the conservative statement that the average number of hogsheads exported from Virginia in the last decade of the century varied from 35,000 to 40,000,[7-6] the planters still would have received £75,000 or £80,000. From dire poverty and distress the colony, almost in the twinkling of an eye, found itself in comparative ease and plenty.

Nor is the reason difficult to discover. It had never been the intention of the British Government to destroy the foreign trade of the colonies, the Navigation Acts having been designed only to force that trade through English channels. The planters were still at liberty to send their tobacco where they would, provided it went by way of England and paid the duty of a half penny a pound. That these restrictions so nearly put an end to shipments to the continent of Europe was an unfortunate consequence which to some extent had been foreseen, but which for the time being it was impossible to avoid.

It was undoubtedly the hope of the Government that the foreign market would eventually be regained and that the colonial tobacco would flow from the colonies into England and from England to all the countries of Europe. Prior to 1660 Holland had been the distributing centre for the tobacco of Virginia and Maryland; now England insisted upon taking this rôle upon herself. But the authorities at London were hardly less concerned than the planters themselves at the difficulties encountered in effecting this change and the unfortunate glut in the home markets which followed.

None the less they persisted in the policy they had adopted, even clinging stubbornly to the half penny a pound re-export duty, and trusting that in time they could succeed in conquering for their tobacco the lost continental markets. In this they were bitterly opposed by the Dutch with whom it became necessary to fight two wars within the short space of seven years. Yet steadily, although at first slowly, they made headway. In 1681 the commissioners of the customs refused the request for a cessation of tobacco planting in the colonies, on the ground that to lessen the crop would but stimulate production in foreign countries and so restrict the sale abroad of the Virginia and Maryland leaf.[7-7] This argument has been denounced by some as both specious and selfish, yet it was fully justified by the situation then existing. After all, the only hope for the planters lay in conquering the European market and the way to do this was to flood England with tobacco until it overflowed all artificial barriers and poured across the Channel. And eventually this is just what happened. Since tobacco was piling up uselessly in the warehouses and much of it could not be disposed of at any price, it was inevitable that it should be dumped upon the other nations of Europe. There is in this development a close parallel with the commercial policy of Germany in the years prior to the world war, when no effort was spared to produce a margin of all kinds of wares over the home needs, which was to be exported at excessively low prices. This margin was a weapon of conquest, a means of ousting the merchants of other nations from this market or that. And when once this conquest had been effected, the price could be raised again in order to assure a profit to the German manufacturers.

It is improbable that the English economists of the Seventeenth century, like those of modern Germany, had foreseen exactly what would happen, but the results were none the less similar. When once the English leaf had secured a strong hold upon the Baltic and upon France and Spain, it was a matter of the greatest difficulty to oust it, especially as the ever increasing influx of slaves made it possible for the planters to meet the lower prices of foreign competitors and still clear a profit. Thus it was that during the years from 1680 to 1708 the Chesapeake tobacco succeeded in surmounting all the difficulties placed in its way by the Navigation Acts, the necessity of the double voyage, the re-export duty of a half penny a pound, and so gradually flooded the continental market.

It is unfortunate that figures for re-exported tobacco during the earlier years of the Restoration period are lacking. In 1688, however, it is stated that the duty of a half penny a pound was yielding the Crown an annual revenue of £15,000, which would indicate that about 7,200,000 pounds were leaving for foreign ports.[7-8] Ten years later, if we may believe the testimony of John Linton, exports of tobacco totalled 50,000 or 60,000 hogsheads, or from 25,000,000 to 30,000,000 pounds. Not more than a fourth of the colonial leaf, he tells us, was consumed in England itself.[7-9] Once more Virginia and Maryland were producing tobacco for all Europe, once more they enjoyed a world market.

This trade was extended from one end of the continent to the other. Vessels laden with American tobacco found their way not only to the ports of France and Holland and Spain, but even to the distant cities of Sweden and Russia.[7-10] The Baltic trade alone amounted to from 5,000 to 10,000 hogsheads, and added from £10,000 to £24,000 to the income of the planters. The chief Russian port of entry was Narva, which took annually some 500 hogsheads, but large quantities were shipped also to Riga and Raval.[7-11] The northern nations bought the cheaper varieties, for no tobacco could be too strong for the hardy men of Sweden and Russia.

The trade was of great importance to England, as the leaf, after it had gone through the process of manufacture, sold for about six pence a pound, yielding to the nation in all from £60,000 to £130,000.[7-12] As the English were still largely dependent upon the Baltic for potash and ship stores, this constituted a most welcome addition to the balance of trade. To the colonies also it was vital, carrying off a large part of the annual crop, and so tending to sustain prices.

France, too, proved a good customer for English tobacco, and in the years prior to the War of the Spanish Succession took annually from 8,000 to 10,000 hogsheads, or from 4,000,000 to 6,000,000 pounds.[7-13] Micajah Perry reported to the Lords of Trade that from 6,000 to 10,000 hogsheads went to France from London alone, while a very considerable amount was sent also from other ports.[7-14]