Mr. Markell to Mr. Foster.

No. 390.]

Sir: Concerning the violations of the reciprocity arrangement, in the imposition of an export tax upon skins, by the State of Bahia, which has been the subject of correspondence between the Department of State and this legation, and last touched upon in Department dispatch No. 155, I have the honor to report that the governor of Bahia has decided that no such tax can be imposed and that the demands of the export merchants for reclamation thereon hold good. The note from this legation to the foreign office of April 4, 1892, referred to in inclosed note of February 9, 1893, the Department already has in Mr. Lawrence’s No. 228.

In appending the recent correspondence up to date, relative to this subject,

I have, etc.,

C. F. Markell,
Chargé d’Affaires ad interim.
[Page 29]
[Inclosure 1 in No. 390.]

Mr. Conger to Senhor Souza.

Sir: I beg leave to call the attention of your excellency to the subject matter of the notes from this legation of April 4 and September 19, 1892, and the replies of your distinguished predecessors thereto, dated respectively April 18 and September 27, 1892, to wit: the violations by the States of Bahia and Pernambuco of the reciprocity arrangement between the Republics of Brazil and the United States of America.

I trust that by this time the Federal Government has been able to so bring this matter to the attention of the respective States that further violations of the arrangement will cease, and a satisfactory adjustment be made for the unwarranted taxes already collected. In view of the fact that both our Governments must desire the faithful execution of the arrangement, in every particular, in order that by fair trial its benefits to either may be definitely determined and acknowledged, I will thank your excellency for the earliest convenient reply in order that I may furnish my Government with accurate information as to the present situation.

I improve, etc.,

E. H. Conger.
[Inclosure 2 in No. 390—Translation.]

Senhor Souza to Mr. Conger.

Sir: Acknowledging the receipt of the note which Mr. E. H. Conger, envoy extraordinary and minister plenipotentiary of the United States of America, addressed to me on the 7th instant, I have the honor to communicate to him that the Federal Government awaits information from the governors of the States of Bahia and Pernambuco, which it has just sought with urgency, that definite measures may be taken in order that the violations of customs agreement referred to in said note may cease in those States.

I renew, etc.,

A. F. Paula Souza.
[Inclosure 3 in No. 390—Translation.]

Senhor Souza to Mr. Conger.

Sir: Referring to the note which on the 17th of the month just passed I directed to Mr. E. H. Conger, envoy extraordinary and minister plenipotentiary of the United States of America, I have the honor to inform him that the governor of Bahia has decided that no impost or taxes whatever can be collected upon skins exported to those States, considering as tenable the claims of the export merchants of which the note of the legation of April 4, 1892, treated.

I reiterate, etc.,

A. F. Paula Souza.