Instructions to the Collectors of the Customs. France, enjoy any other privilege than that of purchasing such victuals as shall be necessary for her going to the next port of the Prince or State from which she has her commission. If she should do any thing beside this, it is immediately to be reported to the Governor, and the attorney of the district. You will observe, by the rules transmitted, that the term privateer is understood not to extend to vessels armed for merchandise and war, commonly called with us letters of marque, nor, of course, to vessels of war in the immediate service of the Government of either of the Powers at war. injurious imputations and suspicions, and proportionably to commit the good faith and peace of the country-objects of too much importance not to engage every proper exertion of your zeal. With consideration, I am, sir, &c. ALEXANDER HAMILTON. 1. The original arming and equipping of vessels in the ports of the United States, by any of the belligerent parties, for military service, offensive or defensive, is deemed unlawful. 2. Equipments of merchant vessels, by either of the belligerent parties, in the ports of the United States, purely for the accommodation of them as such, is deemed lawful. No armed vessel which has been or shall be originally fitted out in any port of the United 3. Equipments in the ports of the United States, States, by either of the parties at war, is hence- of vessels of war in the immediate service of the forth to have an asylum in any district of the United Government of any of the belligerent parties, States. If any such armed vessel shall appear which, if done to other vessels, would be of a within your district, she is immediately to be no- doubtful nature, as being applicable either to comtified to the Governor, and attorney of the dis-merce or war, are deemed lawful; except those trict, which is also to be done in respect to any prize that such armed vessel shall bring or send in. At foot is a list of such armed vessels of the above description as have hitherto come to the knowledge of the Executive. The purchasing within, and exporting from the United States, by way of merchandise, articles commonly called contraband, being generally warlike instruments and military stores, is free to all the parties at war, and is not to be interfered with. If our own citizens undertake to carry them to any of those parties, they will be abandoned to the penalties which the laws of war authorize. You will be particularly careful to observe, and to notify as directed in other instances, the case of any citizen of the United States who shall be found in the service of either of the parties at war. In case any vessel shall be found in the act of contravening any of the rules or principles which are the ground of this instruction, she is to be refused a clearance until she shall have complied with what the Governor shall have decided in reference to her. Care, however, is to be taken in this, not unecessarily or unreasonably to embarrass trade, or to vex any of the parties concerned. which shall have made prize of the subjects, people, or property of France, coming with their prizes into the ports of the United States, pursuant to the 17th article of our treaty of amity and commerce with France. 4. Equipments in the ports of the United States, by any of the parties at war with France, of vessels fitted for merchandise and war, whether with or without commissions, which are doubtful in their nature as being applicable either to commerce or war, are deemed lawful; except those which shall have made prize, &c. 5. Equipments of any of the vessels of France, in the ports of the United States, which are doubtful in their nature as being applicable to commerce or war, are deemed lawful. 6. Equipments of every kind, in the ports of the United States, of privateers of the Powers at war with France, are deemed unlawful. 7. Equipments of vessels in the ports of the United States, which are of a nature solely adapted to war, are deemed unlawful; except those stranded or wrecked, as mentioned in the 18th article of our treaty with France, the 16th of our treaty with the United Netherlands, the 9th of our treaty with Prussia; and, except those mentioned in the 19th article of our treaty with France, the 17th of our treaty with the United Netherlands, the 18th of our treaty with Prussia. In order that contraventions may be the better ascertained, it is desired that the officer who shall first go on board any vessel arriving within your district, shall make an accurate survey of her 8. Vessels of either of the parties, not armed, then condition as to military equipment, to be or armed previous to their coming into the ports forthwith reported to you; and that, prior to her of the United States, which shall not have inclearance, a like survey be made, that any trans- fringed any of the foregoing rules, may lawfully gression of the rules laid down may be ascer-engage or enlist therein their own subjects or citi zens, not being inhabitants of the United States; except privateers of the Powers at war with France, and except those vessels which shall have made prize, &c. Report of the Secretary of State, on the Privileges and Restrictions on the Commerce of the United States in Foreign Countries. PHILADELPHIA, Dec. 16, 1793. SIR: According to the pleasure of the House of Representatives, expressed in their resolution of Commercial Privileges and Restrictions. February 23, 1791, I now lay before them a Report on the Privileges and Restrictions on the Commerce of the United States in Foreign Countries. In order to keep the subject within those bounds, which I supposed to be under the contemplation of the House, I have restrained my statements to those countries only, with which we carry on a commerce of some importance, and to those articles also of our produce, which are of sensible weight in the scale of our exports; and even these articles are sometimes grouped together, according to the degree of favor or restriction with which they are received in each country, and that degree expressed in general terms, without detailing the exact duty levied on each article. To have gone fully into these minutiæ, would have been to copy the tariffs and books of rates of the different countries, and to have hidden under a mass of detail, these general and important truths, the extraction of which in a simple form, I conceived, would best answer the inquiries of the House, by condensing material information within those limits of time and attention which this portion of their duties may justly claim. The plan, indeed, of minute details, would have been impracticable with some countries for want of information. Since preparing this Report, which was put into its present form, in time to have have been given in to the last session of Congress, alterations of the conditions of our commerce with some foreign nations have taken place, some of them independent of the war, some arising out of it. France has proposed to enter into a new treaty of commerce with us on liberal principles; and has, in the meantime, relaxed some of the restraints mentioned in the report. Spain has, by an ordinance of June last, established New Orleans, Pensacola, and St. Augustine, into free ports, for the vessels of friendly nations having treaties of commerce with her, provided they touch for a permit at Corcubion in Gallicia, or at Alicant; and our rice is by the same ordinance excluded from that country. The circumstances of the war have necessarily given us freer access to the West India islands, whilst they have also drawn on our navigation vexations and depredations of the most serious nature. To have endeavored to describe all these would have been as impracticable as useless, since the scenes would have been shifting while under description. I therefore think it best to leave the report as it was formed, being adapted to a particular point of time, when things were in their settled order, that is to say, to the Summer of 1792. I have the honor to be, with the most profound respect, sir, your most obedient and most humble TH. JEFFERSON. servant, To the SPEAKER of the House of Representatives of the United States of America. The SECRETARY OF STATE, to whom was referred by the House of Representatives the Report of a Committee on the written Message of the President of the United 3d CoN.-42 States, of the 14th of February, 1791, with instruction to report to Congress the nature and extent of the Privileges and Restrictions of the Commercial Intercourse of the United States with Foreign Nations, and the measures which he should think proper to be adopted, for the improvement of the Commerce and Navigation of the same, has had the same under consideration, and thereupon makes the following Report: The countries with which the United States have their chief commercial intercourse are, Spain, Portugal, France, Great Britain, the United Netherlands, Denmark, and Sweden, and their American possessions; and the articles of export which constitute the basis of that commerce, with their respective amounts, areBreadstuff, that is to say, bread-grains, meals, and bread, to the annual amount of Tobacco Rice Wood Salted fish Tar, pitch, and turpentine $7,649,887 4,349,567 1,753,796 1,263,534 941,696 839,093 599,130 537,379 339,753 252,591 236,072 217,177 137,743 620,274 Commercial Privileges and Restrictions. sions, in one year, that is to say, from October, 1789, to September, 1790, inclusive, as follows: Spain Portugal France Great Britain United Netherlands Denmark Sweden Tons. the quintal. Other salted provisions pay that duty in all cases, and salted fish is made lately to pay the prohibitory one of twenty livres the quintal. 19,695 Our ships are free to carry thither all foreign 23,576 goods, which may be carried in their own or any 119,410 other vessels, except tobaccoes not of our own 43,580 growth; and they participate with theirs the ex58,858 clusive carriage of our whale oils and tobaccoes. 14,655 During their former Government our tobacco 750 was under a monopoly, but paid no duties; and Of our commercial objects, SPAIN receives fa- our ships were freely sold in their ports and convorably our bread-stuff, salted fish, wood, ships, verted into national bottoms. The first National tar, pitch, and turpentine. On our meals, however, Assembly took from our ships this privilege. as well as on those of other foreign countries, when They emancipated tobacco from its monopoly, but re-exported to their colonies, they have lately im- subjected it to duties of eighteen livres and fifteen posed duties of from half a dollar to two dollars sous the quintal, carried in their own vessels, and the barrel, the duties being so proportioned to the twenty-five livres, carried in ours-a difference current price of their own flour, as that both to- more than equal to the freight of the article. gether are to make the constant sum of nine dollars barrel. per They do not discourage our rice, pot and pearl ash, salted provisions, or whale oil; but these articles being in small demand at their markets, are carried thither but in a small degree. Their demand for rice, however, is increasing. Neither tobacco nor indigo are received there. Our commerce is permitted with their Canary islands under the same conditions. Themselves and their colonies are the actual consumers of what they receive from us. Our navigation is free with the kingdom of Spain-foreign goods being received there in our ships on the same conditions as if carried in their own, or in the vessels of the country of which such goods are the manufacture or produce. PORTUGAL receives favorably our grain and bread, salted fish and other salted provisions, wood, tar, pitch, and turpentine. For flaxseed, pot, and pearl ash, though not discouraged, there is little demand. Our ships pay twenty per cent. on being sold to their subjects, and are then free bottoms. Foreign goods (except those of the East Indies) are received on the same footing in our vessels as in their own, or any others; that is to say, on general duties of from twenty to twenty-eight per cent., and, consequently, our navigation is unobstructed by them. Tobacco, rice, and meals, are prohibited. Themselves and their colonies consume what they receive from us. These regulations extend to the Azores, Madeira, and the Cape de Verd Islands, except, that in these, meals and rice are received freely. FRANCE receives favorably our breadstuff, rice, wood, pot, and pearl ashes. A duty of five sous the quintal, or nearly four and an half cents, is paid on our tar, pitch, and turpentine. Our whale oils pay six livres the quintal, and are the only foreign whale oils admitted. Our indigo pays five livres the quintal; their own two and an half; but a difference of quality, still more than a difference of duty, prevents its seeking that market. Salted beef is received freely for re-exportation; but if for home consumption, it pays five livres They and their colonies consume what they receive from us. GREAT BRITAIN receives our pot and pearl ashes free, while those of other nations pay a duty of two shillings and three pence the quintal. There is an equal distinction in favor of our bar ironof which article, however, we do not produce enough for our own use. Woods are free from us, whilst they pay some small duty from other countries. Indigo and flaxseed are free from all countries. Our tar and pitch pay 11d. sterling the barrel. From other alien countries they pay about a penny and a third more. Our tobacco, for their own consumption, pays 1s. 3d. sterling the pound, custom and excise, besides heavy expenses of collection. And rice, in the same case, pays 7s. 4d. sterling the hundred weight; which, rendering it too dear as an article of common food, it is consequently used in very small quantity. Our salted fish, and other salted provisions, except bacon, are prohibited. Bacon and whale oils are under prohibitory duties; so are our grains, meals, and bread, as to internal consumption, unless in times of such scarcity as may raise the price of wheat to 50s. sterling the quarter, and other grains and meals in proportion. Our ships, though purchased and navigated by their own subjects, are not permitted to be used even in their trade with us. While the vessels of other nations are secured by standing laws, which cannot be altered but by the concurrent will of the three branches of the British Legislature, in carrying thither any produce or manufacture of the country to which they belong, which may be lawfully carried in any vessels, ours, with the same prohibition of what is foreign, are further prohibited by a standing law (12 Čar. 2, 18, § 3) from carrying thither all and any of our domestic productions and manufactures. A subsequent act, indeed, has authorized their Executive to permit the carriage of our own productions in our own bottoms at its sole discretion; and the permision has been given from year to year by proclamation, but subject every moment to be withdrawn on that single will; in which event, our vessels having any thing on board, stand interdicted from the entry of all Commercial Privileges and Restrictions. here. They lay such as amount to prohibitions on our indigo and corn. SWEDEN receives favorably our grains and meals, salted provisions, indigo, and whale oil. They subject our rice to duties of sixteen mills the pound weight, carried in their own vessels, and of forty per cent. additional on that, or 22 4-10 mills, carried in ours, or any others. Being thus rendered too dear as an article of common food, little of it is consumed with them. They concuitously through Great Britain, levying heavy duties on them also; their duties of entry, town duties, and excise, being $4 34 the hundred weight, if carried in their own vessels, and of torty per cent. on that additional, if carried in our own or any other vessels. British ports. The disadvantage of a tenure which may be so suddenly discontinued, was experienced by our merchants on a late occasion,* when an official notification that this law would be strictly enforced, gave them just apprehensions for the fate of their vessels and cargoes despatched or destined to the ports of Great Britain. The Minister of that Court, indeed, frankly expressed his personal conviction that the words of the Order went farther than was intended, and so he afterwards officially informed us; but the embarrass-sume some of our tobaccoes, which they take cirments of the moment were real and great, and the possibility of their renewal lays our commerce to that country under the same species of discouragement as to other countries where it is regulated by a single legislator; and the distinction is too remarkable not to be noticed, that our navigation is excluded from the security of fixed laws, while that security is given to the navigation of others. Our vessels pay in their ports 1s. 9d. sterling per ton, light and Trinity dues, more than is paid by British ships, except in the port of London, where they pay the same as British. The greater part of what they receive from us is re-exported to other countries, under the useless charges of an intermediate deposite, and double voyage. From tables published in England, and composed as is said from the books of their customhouses, it appears that of the indigo imported there in the years 1773-74-75, one-third was reexported; and from a document of authority, we learn that, of the rice and tobacco imported there, before the war, four-fifths were re-exported. We are assured, indeed, that the quantities sent thither for re-exportation since the war, are considerably diminished. yet less so than reason and national interest would dictate. The whole of our grain is re-exported when wheat is below 50s. the quarter, and other grains in proportion. The UNITED NETHERLANDS prohibit our pickled beef and pork, meals and bread, of all sorts, and lay a prohibitory duty on spirits distilled from grain. All other of our productions are received on varied duties, which may be reckoned on a medium at about three per cent. They consume but a small proportion of what they receive. The residue is partly forwarded for consumption in the inland parts of Europe, and partly reshipped to other maritime countries. On the latter portion they intercept between us and the consumer so much of the value as is absorbed by the charges attending an intermediate deposite. Foreign goods, except some East India articles, are received in vessels of any nation. Our ships may be sold and naturalized there, with exceptions of one or two privileges, which somewhat lessen their value. DENMARK lays considerable duties on our tobacco and rice carried in their own vessels, and half as much more if carried in ours; but the exact amount of these duties is not perfectly known April 12, 1792. They prohibit altogether our bread, fish, pot and pearl ashes, flaxseed, tar, pitch, and turpentine, wood, (except oak timber and masts,) and all foreign manufactures. Under so many restrictions and prohibitions, our navigation with them is reduced almost to nothing. With our neighbors, an order of things much harder presents itself: SPAIN and PORTUGAL refuse to those parts of America which they govern all direct intercourse with any people but themselves. The commodities in mutual demand, between them and their neighbors, must be carried to be exchanged in some port of the dominant country; and the transportation between that and the subject State must be in a domestic bottom. FRANCE, by a standing law, permits her West India possessions to receive directly our vegetables, live provisions, horses, wood, tar, pitch, and turpentine, rice, and maize, and prohibits our other breadstuff; but a suspension of this prohibition having been left to the Colonial Legislatures, in times of scarcity, it was formerly suspended occasionally, but latterly without interruption. Our fish and salted provisions (except pork) are received in their islands under a duty of three Colonial livres the quintal, and our vessels are as free as their own to carry our commodities thither, and to bring away rum and molasses. GREAT BRITAIN admits in her islands our vegetables, live provisions, horses, wood, tar, pitch, and turpentine, rice, and breadstuff, by a proclamation of her Executive, limited always to the term of a year, but hitherto renewed from year to year. She prohibits our salted fish, and other salted provisions. She does not permit our vessels to carry thither our own produce. Her vessels alone may take it from us, and bring us in exchange rum, molasses, sugar, coffee, cocoa nuts, ginger, and pimento. There are, indeed, some freedoms in the island of Dominica, but, under such cirIn the cumstances, as to be little used by us. British Continental Colonies, and in Newfoundland, all our productions are prohibited, and our vessels forbidden to enter their ports. Their Governors, however, in times of distress, have power to permit a temporary importation of certain articles in their own bottoms, but not in ours. Commercial Privileges and Restrictions. Our citizens cannot reside as merchants or fac-| duce, and each be free to exchange with others tors within any of the British plantations, this be- mutual surplusses for mutual wants, the greatest ing expressly prohibited by the same statute of mass possible would then be produced of those 12 Car. 2, c. 18, commonly called the Navigation things which contribute to human life and human happiness-the numbers of mankind would be increased, and their condition bettered. Act. In the DANISH AMERICAN possessions a duty of five per cent. is levied on our corn, cornmeal, rice, tobacco, wood, salted fish, indigo, horses, mules, and live stock; and of ten per cent. on our flour, salted pork, and beef, tar, pitch, and turpentine. In the American islands of the UNITED NETHERLANDS and SWEDEN our vessels and produce are received, subject to duties, not so heavy as to have been complained of; but they are heavier in the Dutch possessions on the Continent. To sum up these Restrictions so far as they are important: 1. IN EUROPE. Our breadstuff is at most times under prohibitory duties in England, and considerably dutied on re-exportation from Spain to Would even a single nation begin with the United States this system of free commerce, it would be advisable to begin it with that nation, since it is one by one only that it can be extended to all. Where the circumstances of either party render it expedient to levy a revenue, by way of impost, on commerce, its freedom might be modi fied, in that particular, by mutual and equivalent measures, preserving it entire in all others. Some nations, not yet ripe for free commerce, in all its extent, might still be willing to mollify its restrictions and regulations for us in proportion to the advantages which an intercourse with us might offer. Particularly they may concur with us in reciprocating the duties to be levied on each side, or in compensating any excess of duty by equivalent advantages of another nature. Our Our tobaccoes are heavily dutied in England, commerce is certainly of a character to entitle it Sweden, and France, and prohibited in Spain and to favor in most countries. The commodities we Portugal. offer are either necessaries of life, or materials for Our rice is heavily dutied in England and Swe-manufacture, or convenient subjects for revenue; den, and prohibited in Portugal. her colonies. Our fish and salted provisions are prohibited in England, and under prohibitory duties in France. Our whale oils are prohibited in England and Portugal. And our vessels are denied naturalization in England, and of late in France. 2. IN THE WEST INDIES.-All intercourse is prohibited with the possessions of Spain and Portugal. Our salted provisions and fish are prohibited by England. Our salted pork and breadstuff (except maize) are received under temporary laws only in the dominions of France, and our salted fish pays there a weighty duty. 3. IN THE ARTICLE OF NAVIGATION.-Our own carriage of our own tobacco is heavily dutied in Sweden, and lately in France. We carry no article not of our own production to the British ports in Europe. Nor even our own produce to her American possessions. Such being the restrictions on the commerce and navigation of the United States, the question is, in what way they may best be removed, modified, or counteracted? As to commerce two methods occur: 1. By friendly arrangements with the several nations with whom these restrictions exist; or, 2. By the separate act of our own Legislature for countervailing their effects. There can be no doubt but that of these two friendly arrangement is the most eligible. Instead of embarrassing commerce under piles of regulating laws, duties, and prohibitions, could it be relieved from all its shackles in all parts of the world-could every country be employed in producing that which nature has best fitted it to pro and we take in exchange either manufactures, when they have received the last finish of art and industry, or mere luxuries. Such customers may reasonably expect welcome and friendly treatment at every market-customers, too, whose demands, increasing with their wealth and population, must very shortly give full employment to the whole industry of any nation whatever, in any line of supply they may get into the habit of calling for, from it. But should any nation, contrary to our wishes, suppose it may better find its advantage by continuing its system of prohibitions, duties, and regulations, it behoves us to protect our citizens, their commerce, and navigation, by counter-prohibitions, duties, and regulations also. Free commerce and navigation are not to be given in exchange for restrictions and vexations; nor are they likely to produce a relaxation of them. Our navigation involves still higher considerations. As a branch of industry, it is valuable; but, as a resource of defence, essential. Its value, as a branch of industry, is enhanced by the dependence of so many other branches on it. In times of general peace it multiplies competitors for employment in transportation, and so keeps that at its proper level; and in times of war, that is to say, when those nations who may be our principal carriers, shall be at war with each other, if we have not within ourselves the means of transportation, our produce must be exported in belligerent vessels at the increased expense of war-freight and insurance, and the articles which will not bear that must perish on our hands. But it is as a resource for defence that our navigation will admit neither neglect nor forbearance. The position and circumstances of the United States leave them nothing to fear on their land, |