No. 19.
Mr. Fish to
Mr. Frelinghuysen.
Brussels, June 25, 1884. (Received July 10.)
Sir: The competition of American and other foreign grain with that of Belgium has caused for a number of years a great depression among the agricultural classes in this country. It has reduced the price of grain and has caused the owners of the land to diminish the rentals of their farms, and has for a long time been the black spectre which the ever-complaining agriculturist has alleged as the author of all his misfortunes.
The clerical majority comprises a very large proportion of the landed proprietors. Among the measures which were advocated in the recent election campaign by several of the clerical speakers was one to place a customs duty on imported grain.
* * * * * * *
The matter, in my opinion, will be referred to the chambers of agriculture for examination and report, and then be submitted to the action of the legislative chambers.
It is a matter of much discussion in the press, and one on which the clerical press cannot unite, as the commercial and manufacturing centers like Antwerp and Ghent are naturally opposed to a tax upon their trade or upon so important an article of their consumption.
The Liberal press have raised a vehement protest against such a measure. They accuse their adversaries of advocating the imposition of the grain duty in the country while opposing it in the commercial and manufacturing districts. They also accuse the clericals of professing their intention not to vote the measure, in order to curry favor in the cities, and that after the elections of the 8th July they intend to vote it.
The amount of the tax imposed varies in the estimate of its advocates from 50 centimes to 5 francs, according to the zeal with which they press the adoption. It is important, therefore, to consider the large interest we have in this subject.
I therefore submit the following statistics of the movement of grain during 1882, gathered from the Belgian official publications:
| Grain. | Total importation from all countries. | Total exportation from all countries. |
| Kilograms. | Kilograms. | |
| Wheat | 715,686,548 | 304,168,468 |
| Rye | 129,070,842 | 92,768,897 |
| Barley | 255,871,290 | 49,886,116 |
| Beans, peas, &c | 23,137,030 | 8,067,125 |
| Oats, Indian corn, &c | 183,224,579 | 72,540,449 |
| Total | 1,307,990,289 | 527,431,055 |
The estimated value of these cereals was:
| Grain. | Total importation from all countries. | Total exportation from all countries. |
| Francs. | Francs. | |
| Wheat | 200,392,233 | 85,167,171 |
| Rye | 25,814,168 | 18,553,779 |
| Barley | 49,532,971 | 10,476,085 |
| Peas, beans, &c | 5,784,258 | 2,016,781 |
| Oats, Indian corn, &c | 34,812,670 | 13,782,686 |
| Total | 316,336,300 | 129,996,502 |
A comparison of these figures gives us the following amounts and values of the excess of importation over exportation:
| Grain. | Excess in weight. | Excess in value. |
| Kilograms. | Francs. | |
| Wheat | 411,518,080 | 115,225,062 |
| Rye | 26,301,945 | 7,260,389 |
| Peas, beans, &c | 15,069,905 | 3,767,477 |
| Barley | 205,985,174 | 39,056,886 |
| Oats, Indian corn, &c | 110,684,130 | 21,029,984 |
| Total | 779,559,234 | 186,339,798 |
With the exception of barley, the United States is among the largest contributors to the supply of these products, while we furnish nearly one-half of the supply of wheat. Our rivals in the market are Russia, British India, France, and the Netherlands.
The following table shows the proportions which each of these countries furnished to Belgium in 1882:
| Country. | Wheat. | Rye. | Peas, beans, &c. | Oats, Indian corn, &c. |
| Kilograms. | Kilograms. | Kilograms. | Kilograms. | |
| United States | 344,276,206 | 15,540,296 | 2,133,761 | 12,776,888 |
| Russia | 133,673,112 | 41,645,652 | 873,210 | 98,830,707 |
| British India | 118,146,157 | None | None | None |
| France | (*) | 52,344,067 | (*) | (*) |
| Netherlands | (*) | (*) | 7,805,524 | (*) |
| Total | 596,095,475 | 109,530,015 | 10,812,495 | 111,607,595 |
| All other countries | 119,591,073 | 19,540,827 | 12,324,535 | 71,616,984 |
There is no exportation of any of these products to-the United States, Russia, or British India.
The excess of importation into Belgium over exportation of rye to France is 51,897,606 kilograms; that of peas, beans, &c., from Holland is 7,102,616 kilograms. Should legislation of the nature proposed be [Page 26] enacted, it will doubtless affect the importation of grain from the United States, the value of which is thus given:
| Grain. | Value. |
| Francs. | |
| Wheat | 96,397,337 |
| Rye | 3,108,059 |
| Barley | 87,570 |
| Peas, beans, &c | 533,440 |
| Oats, Indian corn, &c | 2,427,609 |
| Total | 102,554,015 |
There is no exportation to the United States.
The exports of these products are thus distributed:
| Exportation in 1882. | Wheat. | Rye. | Peas, beans, &c. | Oats, Indian corn, &c. |
| Denmark | 243 | |||
| Hamburg | 1,883,070 | |||
| Prussia | 121,446,155 | 67,611,359 | 3,661,346 | 31,629,493 |
| Grand Duchy of Luxemburg | 7,443,682 | 2,269,754 | 69,889 | 638,273 |
| Netherlands | 71,289,076 | 22,401,323 | 692,908 | 9,022,652 |
| England | 697,600 | 95,017 | 182,845 | |
| France | 84,506,206 | 446,461 | 3,486,732 | 27,329,478 |
| Portugal | 251,850 | |||
| Spain | 466,425 | |||
| Switzerland | 16,056,486 | 40,000 | 3,737,465 | |
| Other countries | 137,918 | 61,233 | ||
| Total | 304,168,468 | 92,768,897 | 8,067,125 | 72,540,449 |
| Of this in transit | 4,642,408 | 28,388,012 | 1,111,651 | 5,722,262 |
The small amount passing through Belgium “in transit” indicated that the present mode of shipping grain is almost entirely done through Belgian intermediaries. They get the benefits of the handling, the commissions and profits, and a considerable share of the freights’ insurance. The trade gives employment to a large number of persons.
As affecting the Antwerp trade, we find that 682,189 tons of wheat, 75,680 of rye, 177,599 of barley, 10,845 of peas, beans, &c., and 162,091 of oats, Indian corn, &c., were imported by sea into Belgium, and 3,859 tons of wheat, 22 tons of barley, 170 tons of peas, beans, &c., and 183 tons of oats, Indian corn, &c., were exported by sea from Belgium.
Nearly all of this traffic was effected through Antwerp. It amounts to a gross total of 1,112,538 tons. There is a source of revenue derived from this trade which is of importance to the state, viz, the railway, river, and canal freights.
The exportation of these products by rail and inland navigation amounted to an aggregate of: Wheat, 300,309; rye, 92,768; barley, 49,863; peas, beans, &c., 7,897; oats, Indian corn, &c., 72,357—523,194 tons; to which, in this connection, might be added the local transportation of the amount consumed in Belgium. Should Belgium tax the entry of these products, they will naturally seek other channels of transportation than through her territory, and thus deprive her of a very large and lucrative trade in distributing them to other countries.
The political and economical considerations of the question of such a duty are so vast, they involve so many issues and interests, that it would be impossible to deal with them in a single dispatch, nor could they be treated in a proper manner until the proposal shall have assumed a more definite form.
I have, &c.,