Causes of Confederation

Topic: Trouble With Trade

By: Ciarra, Desiree, Malin and Kaeli

Information About Troubling
Trades
Part #1:
Main point: There was a problem with trade for British North
American colonies.
Info: There was a special trade relationship between Britain
and the colonies. The tax for letting wheat and flour were
rather low. This was known as a preference. Britain had
suddenly cancelled the preference in 1846 and made it a free
trade. It allowed goods from any country into their markets
without any sort of tax.
Part #2:
Main point: There were serious problems in the BNA colonys
economy without tax.
Info: There was no guaranteed market in Britain for the
colonies. This made the colonies need to find different and new
trading partners. The best choice they had was their neighbour
in the south, which was growing rapidly. Their neighbour was
the United States.
Information About Troubling
Trades Pt.2
Part #3:
Main point: A treaty was signed between the BNA and the United States
that was a Reciprocity Treaty.
Info: This treaty was signed in 1854. The Reciprocity Treaty was an
agreement between the countries that allowed certain trade goods without
any sort of taxes or tariffs. The treaty had also stated that the United States
could fish along the shore of Atlantic Canada, while it also allowed British
North Americans to fish in some of the United States water. Products of
farms, mines and sea were allowed to cross the border without tax. The
United States had gotten fish, timber, grain, and cattle. American coal and
pork were sent north. The treaty couldnt be broken for 10 years, and after
the ten years are over, either side could break it.
Part #4:
Main point: The Americans were losing money and stated they would end
the treaty.
Info: The colonies started to worry that the Americans would end the
treaty. They thought this because Americans were saying that they were
losing money by letting the British North American goods into the country
without any taxes. The United States was also upset because Britain
supported the South in the Civil War. The United States had announced that
they would end the Reciprocity Treaty in 1865.
Information About Troubling
Trades Pt.3
Part #5:
Main point: The British North American colonies
would have to have free trade among themselves.
Info: Since the Americans were ending the treaty,
the colonies went into a panic. They had only one
solution for themselves, to create free trade among the
colonies. There was little trading done with the
colonies. Even when they did trade, they highly taxed
them. When the United States sent wheat to Canada, it
was free from tax. However, if wheat was sent to New
Brunswick or Nova Scotia, it would be taxed. It would
be easier for them to trade if they were united as one.
In the picture above, it shows the many trades that are
connected to Canada and United States. This is the
routes of what the trades looked before rumors started
to happen about the United States ending the
Reciprocity treaty. Trades was an important part of
receiving supplies from other colonies and giving
supplies needed to many colonies that may not be
found in their own place. Before 1846 America and
Information About Troubling
Trades Pt.4
The Americans were saying they were losing money, by
trading with the British North American colonies and
they were upset because the British supported the
South side of United States during the Civil War and not
them.
Arguments
The troubling of trades is important for the reasons of how we need
them in our systems in the world today. Trades come from all over
so we can get things that we can not get from our home lands.
With the issues that was caused in the past has fixed our trades
and helped us get around more. But back in the days there was a
lot issues with the trading systems, so some of the trades had
break up their trading. But over time we had new trades with other
areas. The British's now, new free trade policy had done some
damage to the economy of the British North American colonies.
This Treaty sent everything down hill. With this other trades formed
within themselves. This caused most of the trades to this day.
Without this, our world would have ended in something else. This is
why, the topic we are sharing with you today, is the most important
out of all the topics that have or to be spoken about.