It appeared, however, unquestionable, taking the two Navigation Laws together, the American Law and that of England, so far as the trade between the United States and Great Britain was concerned, that we had decidedly the worst of it. Again: the fifth clause of the Navigation Act was the cause of much question at the Customs, and occasioned great inconvenience; this clause ran thus: that all “manufactured” goods shall be deemed to be the produce of the country of which they are the “manufacture.” Thus, coffee imported at Hamburg from its place of growth in Asia or America was roasted and ground there; but, when merchants attempted to bring it into England as a manufactured article, the claim was refused by the law officers of the Crown. Again, mahogany, cut into veneers, was at first not allowed to be a manufactured article; but this decision was afterwards reversed, and veneers were deemed manufactures. In like manner, ostrich feathers, brought from Africa and manufactured in France, offered a very doubtful case, and was, in fact, left undecided, though the impression was, on the whole, adverse to their admission. Refined sugar was deemed a manufacture; and, thus, while raw sugar, the growth of Brazil or Cuba, could not come in from Holland, it could, when refined, be imported. A recent Act required that refined sugar should not only be the produce, but the growth of the country from which it was imported, thereby causing a new difficulty, and showing that the law discouraged the refining of sugar in Holland, and discouraged it at the place of growth.
Anomalies of coasting and internal trade.
Again: it was shown that, from the earliest period, foreign ships which could not carry goods from London to Plymouth, could, nevertheless, carry passengers, as such a trade was not considered by the Customs authorities to be trading coastwise. Nay, it further appeared that foreign vessels could have engaged in the internal trade of the country, there being no legal impediment to prevent a Dutch vessel from plying, either with goods or passengers, between London and Gravesend. The like principle might have prevailed on any of the rivers of the kingdom; but a foreign vessel would not have been allowed to carry goods from one port to another. The interdiction against foreign vessels carrying “passengers” was only inserted for the first time in the 8 & 9 Vict., cap. 88 (1845), and, previously to this period, there was no law to prevent a foreign steamer carrying passengers between two English ports; while, even in 1847, a vessel built in Norway could have plied in the Thames. Foreigners, however, either were ignorant of the law, or did not avail themselves of it, considering it a barren advantage.
With Mr. Braysher’s evidence may be brought to a close the extracts necessary to be given from the mass of conflicting statements and documents laid before Mr. Ricardo’s Committee, and I may now proceed with the general history of the measures pursued and subsequently adopted.
Committee’s last meeting, July 17.
General dissatisfaction with the results of the inquiry.
On the 17th of July, the Committee of the House of Commons held its last sitting; and as a dissolution of Parliament was impending, the Committee, after having published four successive reports, strictly confined to the minutes of the evidence taken before them, came to the conclusion of closing the inquiry. The Protectionist shipowners complained that this abrupt termination of the inquiry was brought about with the view of suppressing the evidence of Mr. D. C. Aylwin, an intelligent merchant connected with the Calcutta trade, who was in attendance to give counter-testimony to many of the Free-trade witnesses. It was also patent that, during the investigation, while twenty-five witnesses had been examined in favour of the repeal of the Navigation Laws, on the other hand, for their defence and maintenance, only nine persons had been called to give their testimony. It was therefore urged that the proceedings of the Committee and the abrupt termination of the inquiry were anything but fair, the more so that no practical results had been obtained, though the evidence procured was, ultimately, of considerable importance.
Thus ended this important inquiry in a manner scarcely satisfactory to either party; nor was the investigation again revived in the committee-rooms of the House of Commons, the scene of the contest being transferred elsewhere. On the 23rd July, 1847, Parliament was dissolved; and at the subsequent general election the Free-trade party was triumphant everywhere, Mr. Cardwell gaining his election at Liverpool, while Mr. Cobden was returned in his absence for the West Riding of Yorkshire, as well as for Stockport; Mr. C. P. Villiers, on whose motion the Corn Laws had been repealed, being also doubly returned for South Lancashire and Wolverhampton, both these elections affording thereby unmistakable evidences of the feeling of the country in favour of unfettered commerce. With so great an accession of strength to the Whig Government, further progress in Free-trade measures became inevitable, and the greatest uneasiness prevailed among shipowners as to their future destiny.
Commercial panic
Though events of a calamitous character to general commerce intervened, the shipping interest escaped, and, indeed, flourished. Beyond the large quantities of corn necessary to import, so as to meet the urgent wants of the famishing people of Ireland, it was found by the end of December, 1846, that the deficiency of grain in France, Belgium, and Germany, as well as in the south of Europe, was greater than had been apprehended, and, consequently, prices rose throughout the Continent, the average reaching 75s. per quarter in England.[77] Suddenly, large quantities of shipping were again required to execute orders received from France and Belgium for purchases made at advanced prices. The alarm lest the scarcity should still further increase became general; and, in consequence of this, together with apprehensions for the home crops, the average price of wheat rose in May (29th), 1847, to 102s. 5d.[78] Such prices naturally led to great speculation; while the efforts made to bring corn from the most distant regions gave an enormous impulse to the carrying trade, both in Europe and elsewhere.[79]