BAKER, Consul to Dr. Don Bernardo be Irigoyen, September 20, 1877

No. 3. Mr. Baiter to Mr. Hunter.

Sir: In my dispatch No. 196, of September 13, 1877, I acknowledged the receipt of the circular (separate) of the Hon. William M. Evarts, Secretary of State, on the subject of the trade of the United States with South American countries, and soliciting suggestions from consular officers in regard to methods by which it may be developed and increased.

I have incidentally given some attention to the subject so far as it extends to the Argentine Republic, and I shall shortly make a report to the Department in reference thereto; but I write at present to say that the substance of the circular has already been approvingly noticed here by a number of the newspapers. As showing the view which is taken of it, I inclose you a slip which I take from the Herald of this city, which refers somewhat at length to the commerce of the United States with the River Plate, and quotes from my last commercial report in regard to some of the obstacles in the way of its extension.

I would add that the Argentine chargé d’affaires in the United States also writes from New York, under date of July 25, 1877, in hearty approval of Mr. Secretary Evarts’s circular, and asking the co-operation of the Argentine Government in the suggestions; at the same time asking Dr. Irogoyen, the Argentine minister of foreign affairs, to furnish the representatives of the United States with all necessary information on the subject.

I have, &c.,

[Inclosure 1 in No. 199.]

COMMERCE WITH THE UNITED STATES.

The Government of the United States and its mercantile community are directing attention toward the South American countries, especially Brazil and the River Plate. A few days since the Herald published the substance of a circular note addressed to the diplomatic and consular officers in these countries by the Secretary of State, Mr. Evarts, which has already been received at the various American legations and consulates. This is indicative of an important movement, which should receive prompt recognition and co-coperation at our hands, both as a business community and a government. We are aware that the action of the latter is of necessity circumscribed and held within narrow limits in the matter of fostering trade; and we do not believe it sound in principle or good in results to relax these restrictions; but it is proper that commerce should be left as much as possible to itself, having free course and few hinderances; and so, in our relations with the United States, we should cordially meet the awakening interest shown by that people in a careful review of the taxes placed on commerce in the way of duties.

That there is reason for such a suggestion may be seen when it is known that the United States consul in our own city, of whom it is simple justice to say that nowhere can be found a more painstaking, capable, and efficient consular representative of the United States, declares in his report, as published in the “Commercial Relations of the United States for 1876,” that this country has a tariff of duties which discriminates against importations of the United States or against articles which it would import. Consul Baker, in this report to his government, says:

“There is no doubt that the discrimination which the Argentine customs-tariff in its tables of valuation has made against the manufactures of the United States and in favor of other countries has had much to do in preventing the introduction of our staples. Because of the superiority of our cotton fabrics, they have a higher valuation placed upon them in, the custom-house, and by that much they have a heavier duty to pay.”

It is not our desire to discuss the relative merits of manufactures from competing countries, as shown in plowing matches in Southern Russia or in any other way, but we would call the attention of the minister of finance and of the mercantile community to this assertion, which is not only made officially by the United States consul, but is corroborated by importers of goods from the United States.

We cannot afford as a government to rest under such an imputation of unfairness, nor can importers consent to have a market closed against them by a discriminating tariff. The heaviest business done in importations to the River Plate, outside of Buenos Ayres, is by a house which imports almost everything from the United States, including cotton and woolen fabrics, agricultural implements, naval stores, provisions, &c., but this is in Uruguay, where there is no discriminating duty to prevent dealing in the most advantageous market, which would tend to show that there is truth in the charge of the consul; for a charge, and a serious one, it is, if true.

Some time since the Herald published the particulars of a steamship-line soon to be put on between New York and Rio de Janeiro, and to the Plate if affairs are in such condition as to make it feasible, and we trust we shall not be behind our opportunity in removing everything that can be said to stand as a stumbling-block in the way of more intimate commercial relations.