FREE TRADE.

Hawke's Bay Weekly Times, Volume 1, Issue 52, 30 December 1867, Page 324

FREE TRADE.

(From the Sydney Mpraing Herald.) The question of free trade, which at this moment is one of the leading topics of political interest in nearly all the Australian colonies, is being discussed also in. imporiant centres of civilization, both in the old and new world. The genius of protection, which has allied itself to imaginary national interests, and sought to shelter its inherent selfishness under the guise of patriotism, is challenged to prove its virtue. And it was never more hard pressed than it is now to stand secure within its old lines of defence.

We reprinted the other day the pro gramme of the Free Trade League of New York. While America was peaceful and prosperous the financial and commercial loss of its protective policy was disguised. A rich and growing country can afford to spend and even to waste, and not feel the loss. And what the continental countries spent in keeping up immense armaments, the United States spent in patronising m anufactnres—and to much better purpose. But in addition to its peaceful development, the Great Republic has. now won the glory of being tbe greatest military power on the face of the globe. It has raised, clothed, equipped, drilled, and encamped more men at one time than any other nation had ever done before. It has fought bigger battles, fired off more muskets and cannons, and laid prostrate in one day more human beings, than there is any previous record of in .history. The world has duly rendered its tribute of admiration and fear. But to achieve this honorable prize in the competition ol nations has cost a great deal of money. The nation has to pay for war and protection at the same time, and the two accounts being rendered together come rather heavy. Indisputable facts show that the shipping trade of America is being ruined by tbe high prices that result from the tariff, and is passing into the hands of English rivals. National pride is making the Americans see truths to which national pride had previously bliuded them. The very jealousy of England which had prompted the public patronage of manufactures, is now keenly touched by the consequences of protection, uud the great, commercial fallacy is being attacked in its headquarters. The American miud is beginning to get a little loosened in its prejudices on this question, the soundness of the accustomed theory is being doubted, and a great collision and ultimate change of opinion is obviously commencing.

On the continent of Europe war has lately made Prussia the rising Power, and in this now important centre of Europe the free trade theory is pushing its way to prominent recognition. Discussions there, of course, take place according to the genius of the people and the rigor of the administration. We do not read of mass meetings and of popular harangues. But we read of a Congress of German political economists. Such a congress took place in Ham* buigh just prior to the election of the North-German Parliament, and was attended by over three hundred learned tnen, mauy of them, being University professors or editors of the leading German newspapers. Amongst the topics that came under discussion was the reform of the Zollverein tariff. The Zollverein, though a great benefit to the different German States, has been a great buttress to protection. The tariff was conceited in a very jealously protective spirit, and considerable vested interests have grown up under; it. But now that the national feeling is partly satisfied by the growth of unity, there- is an increasing desire for more" freedom both in political institutions and* commercial laws. The results of the free trade policy in -England; have been noted,' and notwithstanding the • sore feeling against England that has lately prevailed in Germany, the Cougress has selected England as its model for commercial legislation. Two of its 1 members,. Dr Wolff, from Stettin, tl}s editor of tlie Oaten Zeitung,and T)r Micliaelis, the editor of the Deutsche Allgemeine Zeitudgi Had at ;a previous session I been appointed : 'to'. bring up a report on tlib question, J iain'cF they produced resolutions as the

1. The problem of a revision of the tariff of Custom-house duties in the Zollverein consists in the abolition of-the protective system, and. the elimination of all articles from the tariff except those few absolutely required for financial reasons. 2. , The loss occasioned' to the revenue at first by a reduction of the duties may with confidence - be expected to be more than replaced eventually by an increase in the production and consumption, and also by reduejngthe duties and taxes on sugar to moderate financial rates, so as to render the consumption of that article more 1 accessible to the mass, of - the inhabitants of North' Germany. 3. To cover the temporary deficiency in tbe revenue, temporary duties on certain articles of consumption are admissible, but with the exclusion of duty on all indispensable necessaries of life. 4. As fur as the article of tobacco may be considered as belonging to-the lastnamed category, the principle of a moderate taxation on the consumption may safely be .recommended, but to the exclusion of all violent measures and vexatious control as regards the growers and manufacturers.

Nothing can be more explicit than the tone of these resolutions. They are moderate, and quite unrevolutiouary, so far as immediate practial measures are concerned, but they takeafirm and intelligent position, aud mark with emphasis the policy towards which it is expedient in the opinion of the Congress that the Parliament should strive. The resolutions were carried wtth very slight amendment. One speaker objected to any increase in the duty on tobacco, and objected to the vagueness of such expressions as “ moderate duty,” and “ necessaries of life.” But the amendments were immaterial and did not touch the principle .of the resolutions. The new Parliament of North Germany may not respond immediately to the programme put before it, but when these opinions are intelligently and earnestly adopted by editors and professors, and taught constantly in the Press and from the University chairs, it is quite clear that the general public opinion must soon become indoctrinated with them. Tbe only power that could ’effectively arrest such an influence over public opinion would be an equally intelligent and earnest preaching of the opposite opinion. No doubt the vested interests will find their utterance, but they will have to speak as vested interests—that is, as private and not as public iuterests. They will, doubtless, be treated tenderly, but they have no claim above that of the whole community.

Every new commercial treaty is now an advance in the direction of free trade. Several have been made during the last half-dozen years, and every efce of them has relaxed somewhat the rigid bonds of national hostility and suspicion. They are far enough from a perfect free trade, and indeed the mere fact of there being treaties at all is of itself a sufficient proof of the incomplete triumph of the free trade principle over the minds of men. But there is no mistaking the drift of European opinion.