THE INDIAN COTTON-DUTIES.
LTO THE EDITOR OF THE " SPECTATOR."]
SIR,—With reference to Mr. Tattersall's letter on Free-trade in India, and your note thereon, in your issue of the 14th inst., I must admit that the imposition of an Excise-duty on Indian cotton manufactures is in accordance with the theory of Free- trade. It seems to me, however, that to impose a tax the proceeds of which are not necessary for revenue purposes, merely in order to prevent some of one's own people from making a slightly larger profit than they are theoretically entitled to, is Free-trade gone mad. As to the particular case, I cannot remember whether Lord George Hamilton was Secretary of State for India at the time the Excise-duty was imposed on Indian cotton manufactures. But whether he was or not, and whatever reason he or any one else may have given for the measure, it is unquestionable that there was but one opinion about it in India,—viz., that it was enacted under severe pressure from Lancashire. I never heard this disputed.
Mr. Tattersall's final sentence, that " India cannot be protected at the expense of the County Palatine," goes to show the justice of the view taken in India as to the origin of the Cotton Excise Act. Has Lancashire ever done anything in any way to help India ? I should say not. If not, why should not India be protected at the expense of Lancashire ? I can see no reason whatever. Whether protective legislation would in the end be for the benefit of India is another matter, but that is the business of India, not of Lancashire. My recollection is that the Tariff Act was passed first without any thought or hint of the Excise Act, which followed it after an interval of some months, and which was not undertaken until Lancashire raised an outcry at the passing of the Tariff Act. If so, what becomes of the argument that Lord George Hamilton acted as a Free-trader was bound to act? I say nothing about Lord Cromer's action in Egypt, because I am not aware of the facts of the case.—I am, Sir, &c., FREE-TRADER.
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