No. 535.

Mr. Porter to Mr. Foster.

No. 346.]

Sir: Referring to instructions No. 317, of March 10, and No. 327, of April 9, 1885, to Mr. Reed, in the matter of customs dues at Barcelona, on cargoes of old scrap-iron shipped to that port by Mr. F. B. Hamel, of Havana, I inclose a further statement on the subject from Mr. J. B. Hamel, of 4065 Aspen street, Philadelphia.

The metals sent from Cuba to Spain had all paid duty on entering Cuba in their original state, and the decision complained of requires a further onerous duty on the same material, and is certainly not equitable. You will urge the claim.

I am, &c.,

JAS. D. PORTER,
Acting Secretary.
[Page 715]
[Inclosure 1 in No. 346.]

Mr. John B. Hamel to Mr. Bayard.

Sir: In addition to the papers my firm of Havana have already sent to the Department, relative to a claim made by the custom-house of Barcelona, in Spain, against us, I inclose translation of the decision and the royal order cited in said decision. I respectully request that Messrs. Foster and Reed he instructed by the Department to assist us to obtain justice.

A few words will state the case clearly. Fernando B. Hamel, a citizen of the United States, shipped from Havana to Barcelona several cargoes of old metals under the decree of Spanish Government of June 30, 1882, declaring the Antilles admitted to (gabotage) coasting trade with Spain, making all goods free excepting those known as colonials, which are sugar, tobacco, rum, &c., and does not include old metals, which were admitted at a small duty previous to the decree of 30th June, 1882. For more than a year the goods were passed as free of duty, when suddenly last September, without any previous notice, the custom-house at Barcelona, required our agent to pay the enormous duty of $3,494 on an invoice of only $8,200. Our friends protested and gave bonds, which they have since been forced to pay. The duty charged is one hundred per cent, more than if the goods were new and imported from the United States or England. We ask that if Mr. Foster cannot get the goods passed free that he endeavor to have them assessed at the duties that were paid previous to the decree of June 30, 1882, on the same old metals; this at least we cannot be refused in equity. We have over 500 tons in bond in Barcelona, and as they charge $10.50 per ton, the total loss exceeds $10,000. The goods all paid duty when imported new in Cuba.

Very respectfully, &c.,

JOHN B. HAMEL.
[Inclosure 2 in No. 346.]
[Translation.]

The general custom-house direction under date of 1st instant, says as follows:

“The general department of hacienda (treasury) under date of 17th March last, communicates to this department the following royal order:

“‘Illustrious Sir: In view of the appeal interposed by D. M. Canovas & Co., against the decision of the arbitral committee in the process of the Barcelona customhouse No. 5, 1885, we confirm the payment of duties on a lot of old copper proceeding from Havana that was presented to custom-house in declaration No. 28,987, 1884, considering that the freedom from duties pretended is only allowable on productions of the Spanish provinces of ultramar, determined by the law of 23d July, 1882.

“‘Considering that the old metals in question are not the production of Spanish provinces, but are generally unutilized parts of machinery and apparatus imported from England, United States, and other foreign countries, therefore subject to duties in the Peninsula according to the royal order of the 7th of January, last past, published in the Gaceta de Madrid 25th same month, His Majesty the King (that God save) has ordered that the decision against the protest be confirmed, and proceed to exact the duties imposed on the said copper as foreign product, by royal order.’

“By royal order I advise you of the same for the corresponding effect and its fulfillment.

“God save your excellency many years.


“MARIANO RUSTRA.”
[Inclosure 3 in No. 346.]
[Translation of the royal decree of January 7, 1885.]

Illustrious Sir: In view of the petition of various custom-house commission merchants, ship-owners, and foundries, soliciting that the useless and unutilized pieces of machinery imported from the Spanish provinces of ultramar be considered as production of said provinces, and consequently be admitted free of duties on being imported in the Peninsula;

Considering that the law of commercial relations with the Spanish provinces of America of June 30, 1882, only established free duties on certain articles, production of said provinces;

[Page 716]

Considering that the greater portion of the machinery referred to by the petition is imported in Cuba and Porto Rico from the United States and England for industrial or agricultural purposes;

Considering that the metals resulting from unutilized pieces of said machinery are not and cannot be considered as productions of the soil or industry of the Spanish Antilles; and

Considering that the difference of tariffs and economical and commercial estimates of revenue and administrative systems between the Peninsula and the aforesaid provinces makes it very difficult to except the coasting trade (gabotage) from the determined localities that are treated of, and might prejudice the interests of the treasury if said machinery was imported into Cuba and Porto Rico paying insignificant duties:

His Majesty the King (that God save) has determined to refuse the concession solicited. By royal order I communicate the same to you. God preserve you many years.


GRYU.

The Director-General of Customs.