320

A—s

can I possibly deal fairly with the Cape, or possibly give to the Cape any preference that is worth the name, unless I impose a differential duty as against the foreigner upon those raw materials ? ) Dr. SMARTT : Try us with a one-shilling reduction on tobacco. Dr. JAMESON : Surely that is a difficulty for the Colonies themselves to get over. Mr. ASQUITH : I was told just now that this is a matter which the Imperial Government must decide for itself. Dr. JAMESON : Exactly. Mr. ASQUITH : I am not going to do injustice to you. Dr. JAMESON : You passed the South African tariff over very lightly, which is very significant, because it gives a preference not only on the bulk of British goods, but on nearly everything. Mr. ASQUITH 1 agree—over 80 per cent. Dr. JAMESON : It even goes so far as to put 25 per cent, on foreigners now on our free list. The only people having a free list in South Africa are the British Government. Tt was rather significant it was passed oyer. The tentative tariff of Australia, which is merely an instalment of what is to come, occupied your main criticism. Apart from that, the Cape is willing to give 25 per cent, of its Customs duty preference to the United Kingdom. Knowing there is 28.000 Z. of stuff that comes over and knowing that the Cape cannot get much, the Cape is wishful to grow, and to got something. This is a way in which it will grow if there is a preference on that very small amount which they send at present. That is the answer to that doctrine. Mr. ASQUITH : Unless human nature at the Cape is very different from what it is everywhere else, if the inhabitants of that Colony found we were giving large preferences to Canada and Australia in respect of wheat, butter, . and meat, and things of that kind, which were being very beneficial, I will assume, and considerable in their amount, I should be very much surprised if the people of the Cape would be content to have a small preference on 28,000 Z. of food, wine, and tobacco, when there is 10 millions of raw materials being sent from the Cape to this country every year. Dr. JAMESON : How does it hurt the Cape if the Cape has nothing of that kind to send over ? Surely the Cape is not going to be the dog in the manager and say Canada is not to get it. Of course, Canada will get infinitely more advantage than we, but we hope to grow m course of time. Dr. SMARTT : You made a point upon the smallness of the amount of Cape wines sent to this country. Before Cobden made his treaty with France we sent nearly one million gallons of wine—over 800.000 -for consumption in Great Britain, and we send practically nothing now. Mr ASQUITH : I agree it has gone down. Dr. SMARTT : Tt would grow up again if preference were granted.

Tenth Day. 2 May 1907.

Preferential Trade. (Mr. Asquith.)