The Bounty System. 75 



were directed to warn the people to take precautions in the fu- 

 ture, for premiums could not be allowed on such stores.^ 



There seems to have been some talk of discontinuing the 

 bounty, for a number of merchants who had heard rumors of 

 such intention entered a strong protest, in which they enlarged 

 on the good efifects which the act had produced in the 

 increase of importation, the great reduction in the price of pitch 

 and tar, and the increase of exports of British manufactures. 

 The merchants said that they themselves had, in consequence 

 of the encouragement, gone to the expense of sending over 

 workmen and utensils for improving the stores; and if now 

 the bounty were taken off, the Swedes would regain their mo- 

 nopoly and again set what prices they pleased, to the ruin of the 

 English traders.- From other sources the government was 

 continually reminded of the bad policy of depending on the 

 northern powers. The bounty act remained in force, but Par- 

 liament added a clause to 5 Geo. I., c. 11, by which it was 

 enacted that, on account of the complaints made by the Navy 

 of the poor quality of the pitch and tar recently imported from 

 America, after September 29, 1719, no certificate should be 

 granted until such pitch and tar be free from dross and pro- 

 nounced "clean, good, merchantable and well-conditioned." 

 The officers of the customs were required to examine the stores 

 before making out any certificates. 



In the meantime, the northern war of Russia, Denmark and 

 Saxony, against Sweden, (1701-1721) had seriously interrupted 

 the Baltic trade. Sweden had laid a new duty of nearly 25 per 

 cent, on iron, which caused great distress among British iron 

 merchants; the Danes had raised the price of boards from $8 to 

 $9 (the rix dollar equalled 2 shillings, 2f pence) per 100; and 

 Finland, the great tar-producing district, had fallen into the 

 hands of Russia.^ The exigencies and uncertainties of the war, 



^Copy of circular letter to the governors of the plantations. B. T. 

 Plants. Gen. Entry Bk. E, March 5, 1718. 



^Petition of merchants trading to New England, Virginia and Car- 

 olina, B. T. New Eng., W: 38. 



'"Letter to a Member of Parliament," 1720. 



