Note return — PART VIII.

In one particular instance, the entire failure of the free trade system to procure any corresponding return from the very continental states whose harbours it was chiefly intended to open, has been singularly conspicuous. In February 1821 the reciprocity system, in regard to shipping, was introduced by Mr Huskisson, and acted upon by the legislature; and the following reason was assigned by that eminent man for deviating from the old navigation laws of Cromwell, which had so long constituted the strength of the British navy. Mr Huskisson maintained—"That the period had now arrived, when it had become indispensable to introduce a more liberal system in regard to the admission of foreign shipping into our harbours, if we would avoid the total exclusion of our manufacturers into their harbours. The exclusive system did admirably well, as long as we alone acted upon it; when foreign nations were content to take our goods, though we excluded their shipping. But they had now become sensible of the impolicy of such a system, and, right or wrong, were resolved to resist it. Prussia, in particular, had resisted all the anxious endeavours of this country, to effect the introduction of goods of our manufacture, on favourable terms, into her harbours; and the reason assigned was, that the navigation laws excluded her shipping from ours. The reciprocity system has been rendered indispensable by the prohibitory system, which the other European powers have adopted. The only means of meeting the heavy duties they have imposed on our goods and shipping, is to place our duties upon a system of perfect reciprocity with theirs. Foreign nations have no advantage over us in the carrying trade: from the London report, it clearly appeared, that the ships of Norway, Sweden, Russia, Prussia, France, and Holland, cannot compete with British, either in long or short voyages. But at any rate, the repeal of our discriminating duties has become matter of necessity, if we would propose any trade with these countries."19