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1902.] MARINE REVIEW. 19 either have concessions in the Canadian tariff or move to Canada with his factories. Canada has for a number of years past endeavored to enter into a reciprocity treaty with us, but in the meanwhile, by her protective policy, is building up her own industries. The original treaty of 1855 was based on improper lines. It was limited free trade. What is now demanded is mutual concessions from the existing tariff. Canada's regard for the mother country is so strong that she allows imports from England a special rebate of one-third of the Canadian tariff, and to still further build up the trade between Great Britain and its colonies the Hon. Joseph Chamberlain has called a convention of all colonial premiers, to be held in London immediately after the coronation this summer. If this prove successful the differential allowed England will be even greater than at present, and the American manufacturer will be still further handicapped in selling his products in the British colonies. "We are no longer in our swaddling clothes, but as President Eliot of Harvard university said in his greeting to Prince Henry during his recent visit, 'we are a venerable nation compared with such a young gov- ernment as Germany,' and the actions of our government with its pro- tective tariff have been watched by other nations, and they have adopted the same policy to a very considerable extent. It is true that this, in part, has been caused by a spirit of retaliation, but even so, now that they great service to the country. About thirty years ago we first established a commissioner of agriculture, Judge Watts of Pennsylvania being the first to hold this office, and under his careful administration so much valuable information was collected that it finally became a cabinet posi- tion, and a very important one. The same course of proceedings should be adopted in regard to the department of trade and commerce, and I hope we will soon see the day when the needs of this department will be recognized and a cabinet officer placed in commission having this im- portant department in charge." Lo PESSIMISTIC VIEW OF SHIPPING. The London Economist discusses the outlook of the competitive ocean freight trade with some pessimism. It reviews the unremunerative market of last year and cites various reports from trade sources regarding the present market. The trend is plainly declared to be towards a fall in prices. On these statements the Economist comments as follows: "Such rates as are named cannot possibly pay a 'living wage' to the ship owner, especially if he acquired his vessel in the period between 1898 and 1901. Since the beginning of 1901 the cost of building has declined fully 30 per cent.--perhaps more near to 50 per cent., when the cost of United States battleship Illinois and the British battleship London, now in the English channel. The London is the flagship of the Prince of Wales. The Illinois is the flagship of the American squadron at the European station, and is under command of Rear Admiral Crowninshield. have retaliated, would it not be wise for us to come together and by cutting the inequalities in our tariff make concessions to other nations, not because they demand it, but because they will give us something of value in exchange therefor? In other words, any revision of the tariff should be made by its friends. There is no doubt in my mind that reciprocity would be of incalculable aid to American manufacturers if the principles were intelligently and properly applied. This, however, can only be done by men of wide experience as diplomats and thoroughly versed in all branches of trade. "During the proceedings of the United Reciprocity Convention, held last fall in Washington, George C. Seabury of New York made what I consider a very valuable suggestion--that is, that a secretary of com- merce and a tariff commission be appointed, composed of able men who have made a practical study of trade and commercial economics, to whom all questions affecting international trade and commerce should first be submitted; this department of commerce to be under the jurisdiction of a member of the cabinet, to be known as the secretary of commerce. Such a position would be a most important office, and one which would be of financing and everything else is taken into account. On inquiry in ship- ping circles, we find a pretty prevalent feeling that if more vessels are not laid up, the situation is bound to become worse, and the losses upon charters larger than ever. Yet instead of more vessels being laid up, we hear of the ranks of the unemployed at the outports being gradually re- duced, as boats are being got ready for sea again.. The government have been paying penalties for cancelling charters right and left. These re- leased vessels have now to seek employment elsewhere, and their owners, having handsome cancelling payments to the good, will be willing to take anything offering to keep their boats in commission until the clouds roll by. With the knowledge of this and the expectation of the early further release of the large number of liners still in South Africa, charterers will not increase their bids. Thus depressed as the freight markets haye been for so long, the conclusion of peace is bound to increase the depression. Peace will restore confidence all round, and confidence will insure in time a commercial and industrial revival everywhere. With that revival must come a revival in the freight markets and an improvement in the condi- tion of shipping; but that time is still some distance in the future."