No. 62.

Mr. Perez to Mr. Fish

Mr. Secretary: In the communication which I had the honor to address you on the 7th instant, it was not my intention to state that, in the opinion of my government, the treaty of 1846 between New Granada, now the United States of Columbia, and the United States of America had become null and void.

On the contrary, in soliciting, as I did, the issue of certain regulations, and in basing this request expressly on the provisions of the treaty, I think I recognized that it is now in force, and I have received no instructions whatever to present any observation against this.

It is, moreover, obvious that when my government thinks proper that any modifications should be introduced into said treaty, it will propose them to that of the United States, as it did in the cases which you have been pleased to mention.

With respect to the manner in which trade is carried on between the two countries, and to the necessity of issuing regulations to cause the observance of the treaty in respect to trade, I think it will be sufficient to state the following facts, and to make the following observations:

American vessels convey goods to the isthmus of Panama, or go there to receive them, and no tonnage duty is there required of those vessels. In Colombia, no duty is required, nor are goods brought to the isthmus by American vessels, or goods which, passing over it, are re-exported, likewise in American vessels, subjected to any detention. These same goods, which are, in reality, imported into Colombia, which pass over fifty miles of its territory, and which are re-exported from it, are considered, [Page 245] as regards the payment of duties in the United States, as if they were only directly transported from one place to another of its territory, and without leaving the same.

Regulations exist in order that goods which, before crossing the isthmus, have paid the proper duty in the United States, may not be obliged, on returning to said United States, again to pay the same duty. Perfect equality and reciprocity as to commerce and navigation having been established between the two countries by the treaty of 1846, it is evident that Colombian vessels have the right to carry on this trade with the same advantages with which it is carried on by American vessels, and across the isthmus of Panama. This trade cannot be included in the only exception which exists to that perfect equality and reciprocity, since it embraces territory of the one country and territory of the other country, and since the benefits which are derived from it proceed as much from the extent and productions of the one, as from the exceptional situation and liberality of the other.

But as the present regulations relative to said trade refer only to goods conveyed in American vessels, in order that this reciprocity may be effective, it is necessary to extend said regulations to goods conveyed in Colombian vessels.

Otherwise, the latter will be unable to carry on said trade, because they will have to take the goods when they have already paid the proper duty in the United States, and will again be obliged to pay the same duty on importing them definitively into the same United States.

Not to extend such regulations to Colombian vessels would be, therefore, to deprive them of the right of engaging in a traffic identical with that which is now carried on between the two countries in American vessels, since without the extension of the regulations there is in reality a double duty imposed on goods conveyed from one point to another of the United States, crossing the isthmus of Panama in vessels which are not American.

This is a discriminating duty, and therefore a duty which, according to the treaty, cannot be imposed upon the cargoes of Colombian vessels. If there had previously been Colombian vessels engaged in this trade, there is not the least doubt that, in accordance with the treaty, the regulations would have been extended to them. But as the effort is now being made to establish them in this trade, on account of the present urgent necessity of reviving commerce between the two countries, a request in accordance therewith is presented. The honorable Secretary perfectly understands the importance of multiplying the means of communication between the two Americas for the best service of their interest and their common aspirations, and he is also aware of the advantages of a new line of steamers, sustained by Americans of skill and experience, like the one which it is proposed to establish between Colombia and the United States, and which may very well be extended to the Antilles, to Central America, and to other nations of South America.

With this reply to your note of the 8th instant, I have the honor, &c.,

S. PEREZ.