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THE  TROPICAL  AGRICULTURIST. 
Oct.  I,  1896. 
COMMERCIAL  FEDERATION  OF  THE 
EMPIRE. 
Mr.  J.  G.  Colmcr's,  C.  M.  G.,  prize  essay  on  the 
Commercial  Federation  of  tea  Empire  has  been 
published  in  The  statist,  and  the  following  is  a 
synopsis  of  the  essay. 
The  scheme  may  be  divided  into  four  parts : — 
1.  The  granting  of  preferential  treatment  to 
Colonial  and  Indian  products  in  the  United  Kingdom. 
2.  Preferential  treatment  of  British  products  in  the 
Colonies  and  India.  3.  The  additional  revenue  so 
derived  to  form  a fund,  if  the  Mother  Country  and 
the  Colonies  and  India  agree,  with  a view  to  im- 
prove and  supplement  the  defences  of  the  Empire 
outside  the  United  Kingdom.  4.  The  formation  of 
a Colonial  Council  to  give  the  Colonies  a greater 
voice  in  Imperial  affairs,  and  to  provide  for  the 
administration  of  the  fund. 
1.  It  is  suggested  that  in  the  United  Kingdom 
small  specific  duties  should  be  placed  on  certain 
enumerated  articles,  about  twenty  in  number,  when 
imported  from  foreign  countries — similar  imports 
from  the  Colonies  and  India  to  remain  duty  free, 
as  at  present.  These  duties,  it  is  anticipated,  would 
realise  about  £2,700,000. 
The  enumerated  articles  are  live  animals,  meats, 
cheese,  butter,  wheat,  flour,  hemp,  and  other  fibres, 
ivory,  undressed  leather,  sugar,  unrefined  and  re- 
fined,’ wool,  tallow,  seal  skins,  fish  oil,  long  wood, 
mahogany,  and  nuts  and  kernels  for  oil. 
It  is  also  proposed  to  reduce  by  one-half  the  ex- 
isting duties  on  imports  from  the  Colonies  and  India 
of  cocoa,  coffee,  and  tea,  the  duties  on  the  foreign 
imports  of  those  articles  to  remain  as  at  present. 
This  re-arrangement  of  the  existing  traiff,  with  a 
reduction  of  5 per  cent,  in  the  duties  on  tobacco 
from  all  countries,  would  mean  a decrease  in  the 
revenue  to  the  extent  of  about  £2,000,  00.  It  will 
be  seen,  therefore,  that  the  scheme  involves,  roughly 
speaking,  a net  increase  in  the  revenue  of  llie  United 
Kingdom  of  about  £700,000. 
It  is  urged  that  an  increase  in  price  is  not  likely 
to  result  from  the  placing  of  duties  oO  foreign  im- 
norts  of  the  enumerated  articles,  at  any  rate  to 
the  extent  of  the  proposed  duties  In  every  case 
there  would  still  be  a considerable  importation  of 
the  different  commodiliea  from  the  Colonies  and 
India  As  they  would  lemuin  duty  free,  the  supplies 
coming  from  within  the  Empire  would  dominate 
the  market,  and,  with  the  foreign  compciiiiou,  have 
a tendency  to  prevent  the  increase  in  pi  ices  uhich 
perhaps  might  follow  if  duties  wore  placed  upon 
such  imports  from  all  c un tries. 
2 As  the  fiscal  system  of  the  Colonies  and  India 
are  so  varied,  and  the  nature  of  their  trade  exchanges 
so  different,  it  has  apparemly  been  found  difficult  to 
make  any  proposal  giving  preferential  treatment  of  a 
uniform  character  to  British  imports  in  those  markets, 
in  return  for  the  concessions  suggested  on  the  part 
of  the  United  Kingdom.  It  is,  therefore,  recom- 
mended in  the  essay  that  the  Mother  Country  should 
take  the  initiative  in  the  matter,  ^^9  <-olonies 
and  India  what  advantages  the  United  Kingdom  is 
prepared  to  offer  to  the  imports  of  the  articles 
inunierated  from  within  the  Empire,  and  ask  what 
concessions  of  a preferential  character  they  would  be 
prepared  to  extend  to  imports  from  the  United 
Kingdom  over  imports  from  foreign  countries.  It 
is  believed  that  correspondence  of  this  nature  would 
nave  tnc  way  for  an  Imperial  conference,  at  which 
the  details  of  the  proposals  could  be  discusse  ■,  and 
definite  arrangements  agreed  upon,  by  which  in  every 
nart  of  the  Empire  there  would  be  a pieferential  treat- 
ment, on  a moderate  scale,  for  inter-lmperial 
t.iade. 
•1  Assuming  that  the  Colonies  were  prepared  to 
grant  preferential  treatment  to  Britiish  trade  (upon 
which  no  doubt  appears  to  exist,  in  view  of  the  reso- 
lut  ons  of  the  Ottawa  Conference),  assuming  also  that 
Tndin  was  readv  to  follow  their  example,  and  tha 
K rearranged^heir  tariffs  iu  favour  of  British  trade 
in  a manner  satisfactory  to  the  United  Kingdom ; 
and  that  the  formation  of  a fund  lor  defence  purposes 
was  agreed  upon  as  part  of  the  scheme,  it  is  fair  to 
suppose  that  the  Colonies  and  India  would  be  able  to 
contribute,  as  partly  or  entirely  the  outcome  of  their 
preferenttal  treatment  of  British  imports,  according 
to  their  local  circumstances,  a sum  equal  in  the  aggre- 
gate to  the  net  amount  of  the  additional  revenue 
(£700,000)  to  be  raised  in  the  United  Kingdom.  In 
one  of  the  appendixes  of  the  essay  a suggestion  for 
the  apportiontment  of  the  £700,000  among  the 
Colonies  and  India  is  offered.  This  would  provide  a 
fund  of  nearly  £1,. '500,000  per  annum,  the  joint  con- 
tribution of  the  Colonies  and  India  and  the  United 
Kingdom,  which  it  is  suggested  could  be  used  to 
supplement  and  improve  the  existing  defences,  in- 
cluding graving  docks  and  coaling  stations,  in  the 
outlaying  parts  of  the  empire.  Among  other  things 
the  maintenance  of  guard-ships  in  the  leading  ports 
of  the  empire  is  proposed.  These  vessels  would  be 
useful  not  only  for  harbour  defence,  but  in  connection 
with  the  training  of  naval  militia,  whtoh  it  is  believed 
could  readily  be  formed  in  the  leading  martime  ports 
of  the  Empire.  This  force  would  not  only  be  valuable 
locally,  but  would  be  available  for  drafting  on  Her 
Majesty’s  ships  that  n.iglit  be  operating  in  the  neigh- 
bourhood of  the  Colomob  in  time  of  war, 
4.  In  order  to  give  the  Cojonies  a large  voice  in 
the  affairs  of  the  Empire  than  they  now  have,  and  to 
enable  them  to  participate  the  administration  of 
the  proposed  fund  for  defence,  the  formation  of  a 
Colonial  Council  is  suggested.  It  would  consist  of 
the  Secretaries  of  State  for  the  Colonies,  Foreign 
Affairs,  India,  and  War,  the  First  Lord  of  the 
Admiralty,  and  the  Chancellor  of  the  Exchequer, 
the  Colonial  Secretary  being  president.  The  High 
Commissioner  for  Canada  and  the  Agents-Gcneral 
of  the  self-governing  Cofonies — or  such  persons  as  the 
Colonies  might  appoint — would  be  members  of  the 
Council.  It  would  be,  as  its  name  implies,  a Council 
in  which  the  Colonies  would  have  a voice  throuh 
their  representatives  in  regard  to  any  matters  arising 
out  of  the  preferential  trade  arrangements,  and  upon 
all  other  subjects  in  which  the  Colonies  they  repre. 
seuted  had  the  right  to  consult,  or  to  be  consulted 
by  the  Imperial  Govdrnmeut. 
Retaliation  on  the  part  of  countries  foreign  is  not 
anticipated  as  the  result  of  the  adoption  of  the 
scheme,  because  their  import  duties  are  now  as  high, 
generally  speaking,  as  they  can  be  made,  and  any 
increase  would  react  on  the  countries  themselves. 
Besides,  with  the  Imperial  Customs  Union  in  exist- 
ence, a policy  of  retaliation  would  hardly  be  lightly 
undertaken. 
The  following  are  some  of  the  advantages  which  it 
is  claimed  would  be  derived  by  the  Mother  Country, 
on  the  one  hand,  and  the  Colonies  aud  possessions 
on  the  other,  from  the  adoption  of  scheme  of  com- 
mercial federation.  It  would  bring  the  Mother 
Country  into  closer  union  with  the  Colonies.  By 
giving  preferential  treatment,  on  a moderate  scale,  to 
British  trade  within  the  limits  of  the  Empire,  the 
bond  of  unity  would  be  material  as  well  as  senti- 
mental. By  such  preference  the  doctrines  of  free 
trade  that  prevail  in  the  United  Kingdom  would  not 
be  seriously  endangered,  and  freer  trade  than  at 
pre.sent  would  be  made  possible  within  the  Empire. 
On  the  other  hand,  the  British  manufacterer  would 
retain  the  control  of  the  rapidly  increasing  Colonial 
Council  for  mutual  consultation  on  matters  of  general 
interest.  Greater  attention  than  ever  would  be 
attracted  to  the  Colonies.  Emigration  would  flow' 
in  larger  number  to  their  shores,  and  increase  the 
demand  for  British  goods.  The  investment  of  capital 
in  the  Colonies  would  bo  encouraged,  and  their  powers 
of  production  be  so  increased  that  the  United  King- 
dom would  year  by  year  depend  less  upon  foreign 
sources  for  her  food  supplies. 
Attached  to  the  essay  are  several  statistical  appen- 
dixes, illustrating  the  commercial  affairs  of  the  Empire, 
aud  showing  that,  relatively  speaking,  the  trade  of  the 
United  Kingdom  with  the  Colonies  lias  been  increas- 
ing in  a greater  ratio  than  the  trade  with  the  other 
parts  of  the  world. 
