THE RESULT OF PROTECTION IN VICTORIA.

Press, Volume XIX, Issue 2707, 3 January 1872, Page 3

THE RESULT OF PROTECTION IN VICTORIA.

The Australasian says:—Up to the present time, however, there is little sign of that industrial millennium which these false political prophets have so often promised. They have not established any new industry, or extended any already in existence. They have not increased the amount of employment for the labouring classes. They have only counteracted to some extent the general prosperity which from other causes has come to this country, anil they are likely to deprive it, and especially this city, of that great commercial position which it had by its own energy and its own free exertions acquired. In the fair field of opeu competition the Melbourne merchants won from their rivals in Sydney the golden prize of the intercolonial trade. Melbourne had become the emporium of the South ; or, if we may use another metaphor, was the great commercial heart wherein the industrial circulation was supplied in constant and copious streams to every part of the Australasian system. It is idle to say that this was a matter which affected the mercantile class only, and that their prosperity or failure is a matter of indifference to the great bulk of the community. We suppose that the merchants did not hoard their profits, or that they could not carry on their extensive business without that large staff of laborers of every class,- whether professional or manna], that such operations ordinarily require. It does not require any very unusual penetration to discover the effects npon the whole population of the annihilation of the honestly required increase of a considerable class. There are, however, indications both that a great commercial movement is in progress, and that this movement is due to the present tariff, aud is unfavourable to Melbourne. A recent circular from a Sydney firm to New Zealand traders points out that in consequence of the New Victorian tariff, several orders from New Zealand have lately reached Sydney; that arrangements are in progress to send a monthly steamer to call at all the New Zealand ports; and that business relations may now be resumed to the mutual advantage of 2fsw

Zealand and New .South Wales. • Our tariff is thus producing the same effect as the rise of a sand-i>,ir. or some similar obstacle in the channel at the Heads would product-. It iu-creas.-s the cost of pr .taction at 'Melbourne. and d:veils the course of trade from its old channels to thixe places which, fortunately for tluan. are still free from th-se fiscal obstructions. And so. if our mh-rs can accomplish it, we may bid farewell, a long f;i;ewell. to all our commercial greatness. "" If. inde.-d. we o.ovid set off a-ainst this very perceptible loss some even moderate gain, our policy would be at all events less unintelligible. If wo could sec any new industry replacing the old, if in place of our commerce we were to secure an equivalent in manufactures, we should have less cause for regret even although mere change is not a benefit, aud the artificial industry would Almost certainly be less advantageous than the natural one. Rut in the present instance we have literally gained a loss. There is absolutely nothing to compensate us for that with which

we have parted. Our youngest and most promising iudustry is that of the meat preserving companies, yet the operation of these n.ost meritoiious companies are seriously impeded by the tariff. They require for their business a good many other things besides beef aud mutton, and everything that they use except beef and mutton is subject to a heavy duty. These duties are, of course, cumulative ; and it is not improbable that we shall find that we have encouraged native industry iv the same way in which the Americans encouraged shipbuilding, and protected even unto death their umbrella trade. Or, to take another notable instance, there is a duty of per cent upon iron pipes, and yet, notwithstanding this great duty and the natural protection of freights and" charges incident upon so long a voyage, not a single foundry would undertake, when tenders were required, to manufacture those pipes in the colony. Thus not only has the Government to pay one-fourth more for its pipes than was necessary, but every person iv the whole country who wants to use such pipes is mulcted to a similar extent. The iron workers do uot gain, aud the public heavily loses.

We know how useless it is to argue with those who are determined not to be convinced, and we do not hope to make any impression either upon Mr Vale or upon that population of the Glasshouse district where beseems to be so deservedly a favourite. Yet we venture to suggest a fact that deserves some explanation. The general circumstances of the country are unusually prosperous. Mining has revived ; the prospects of the harvest are good ; the price of wool delights and astonishes the squatter ; yet everywhere we are told that trade is dull, and men are out of work. Everywhere we see barefooted children ; everywhere we hear of selectors clamouring for a relaxation of their conditions of tenure, and of Government making woik for the unemployed. In Collinguuod alone men expect to gather grapes from brambles aud figs from thistles.