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MARINE REVIEW. Canadian Discrimination Against American Marine and American Ports—How Sir John’s Constituency Figures in it. At this time when the Canadian government is apparently seeking for more liberal trade relations with the United States and a powerful minority party is in favor of unrestricted reci- procity, it is well to consider whether the course being pursued by the Canadian government is such as will most surely tend to bring about the relations desired, and also prove its sincerity in the overtures being made to the United States. There is per- haps no better illustration of the reciprocal manner in which the Canadian government treats American interests than is shown by the treatment accorded to the shipping interests of each country while using the national canals of the other. To illustrate: American vessels passing through the Wel- land canal, connecting Lakes Erieand Ontario, are obliged to pay tolls to the Canadian government amounting to 20 cents per ton on most classes of traffic and also a tonnage toll on the ves- sel itself of 1%4 cents per ton on the vessel’s registered tonnage. On the other hand, Canadian vessels are allowed to use the United States’ St. Mary’s canal, connecting the waters of Lakes Superior and Huron, without payment of tolls of any character, either on cargo or vessel; in fact St. Mary’s canal is made abso- lutely free to the Canadian marine. Surely here is an oppor- tunity for Canada to prove her sincerity and desire for reciproci- ty by according to American vessels and cargoes passing through her Welland canal, the same treatment precisely that Canadian vessels receive from the United States government when using its national canals. For some years past it has been the policy of the Canadian government to issue an order in council each spring before the opening of lake navigation, granting a rebate of 18 cents per ton of the tolls on grain passing through the Wel- land canal, provided the grain goes through to Montreal. As the larger class of boats engaged in carrying grain from the upper lake ports are unable to pass through the St. Lawrence river canals, it has been necessary to transfer their grain cargoes des- tined for Montreal to lighter-draft canal barges. This transfer, up to the season of 1890, was made at Kingston through floating levators, owned and operated by Canadians. ‘The large number of vessels going to Kingston with Montreal grain for transfer purchase supplies of various kinds from the Kingston tradesmen and this with other advantages has made the citizens of Kings- ton anxious to retain the exclusive control of the grain tiansfer business for Montreal. During the season of 1890, another route for this Montreal traffic was opened up, viz: by way of Ogdensburg, N. Y., and during that season considerable grain for Montreal was transferred from lake vessels to canal barges at that port,and it was found that the American port was likely to prove a strong competitor to Kingston for the transfer business, on account of its better eleva- tor facilities for transferring and storing grain,and also on account of its being about 70 miles nearer to Montreal than Kingston. There are several lines of American ships running between Og- densburg and the upper lakes and these boats found it for their interest to engage to some extent in transporting grain for Mon- trreal. The Kingston people seeing this business likely to drift away from them, made strong protests to the Ottawa govern- ment against allowing the usual rebate of 18 cents per ton on Montreal grain when transferred at Ogdensburg, claiming that the rebate ought only to be paid on grain transferred at a Cana- dian port and not when transferred at an American port. The Ottawa government therefore declined to pay the rebate on grain transferred at American ports and took the matter under con- sideration, with the result that no decision was made until about the close of navigation for the season, when it was decided that the rebate must be paid on grain transferred at Ogdensburg,same as though transferred at a Canadian port; in fact, no other deci- sion was possible, as the order in council of 1890 granting the re- bate made no mention of port of transfer and therefore under it no discrimination against American ports was possible. The ef- fect, however, of the government refusing to refund the tolls and withholding its decision until the close of navigation was to near- ly stop the transfer of grain at Ogdensburg, as grain shippers did not care to assume the risk of an unfavorable decision of the government. During the recent Canadian election, Sir John McDonald stood for the Kingston district and one of the principal issues made was the question of transferring Montreal grain at an American port, the Kingston electors demanding that in return for their giving Sir John a majority of their votes he must give ‘them the assurance that if returned to power he would have the order in council for 1891 so framed as to prevent the refund of canal tolls on grain for Montreal when transferred at an Ameri- can port, and it was understood that if reelected the demands of Kingston would be acceded to. Sir John was again returned to power and on March 25 an order in council was issued granting the usual rebate of 18 cents a ton of canal tolls on grain for Mon- treal during the season of 1891. ‘The conditions of this rebate as stated in the order are as follows: First. The products aforesaid on which the refund may be claimed shall be shown to have been originally shipped for Mon- treal or some port east of Montreal before entering the Welland canal. Second. Shall be shown to have been actually carried to Montreal or some port east of Montreal. Third. ‘Transhipment, ifat a Canadian intermediate port, shall not prevent the refund aforesaid being made. The grain shippers generally interpreted the last clause of this order to mean that the rebate would not be paid on grain transferred at an American port, and the order was doubtless in- tentionally so framed as to convey this impression, in the belief that the effect of the order would be to prevent shipments of Montreal grain for transfer at Ogdensburg; and if trial shipments should be made, the rebate would doubtless be refused, the mat- ter taken under consideration and decision reserved until after the close of navigation for the season, or at least until after the Canadian commissioners should have made their visit to Wash- ington in October next in search of reciprocity. As a matter of fact, shipments have been made and grain transferred at an American port this season and on arrival at Montreal the refund of 18 cents a ton has been declined and the matter taken under consideration by the government at Ottawa. It is tobe hoped that when the conference between the Canadian commissioners and our government is held at Washington in October next, that the president and Secretary Blaine will demand, ‘ First. ‘That American vessels and cargoes be allowed to use Canadian canals on precisely the same terms as are accorded to Canadian vessels in the United States canals. Second. That American ports, vessels and consumers shall not be discriminated against as is now done by rebating 18 cents a ton canal tolls on traffic for Montreal and not on traffic brought to American ports by American vessels and for American con- sumption. Third. ‘That American ports shall not be discriminated against by payment of refund on Montreal grain when ‘trans- ferred at Canadian ports with no rebate when transferred at American ports. The entire grain produing west and the grain consuming east, as well as the enormous marine interests of the lakes are all deeply interested in these matters, which should be thoroughly un- derstood in order to fully appreciate the course Canada is pursu- ing. It would be well if the boards of trade or other representative bodies of the principal lake cities would either by petition or delegation communicate with the government at Washington, to the end that the importance of these matters to American inter- ests may be fully understood and considered before the visit of - Canadian commissioners to Washington in October next, and, if this is done, it is reasonable to suppose that this condition of af- fairs which now imposes a tax of several hundred thousand dol- Jars perannum on American shipping and consumers will be given the importance to which it is entitled. |The liberal, party in Canada seems to have some ground for claiming that the over- tures being made by the party now in power in the direction of _ more liberal trade relations are insincere and made for home ef fect only. . see