RECIPROCITY

LORD ELGIN WINS RECIPROCITY DURING SOCIAL TOUR OF

WASHINGTON

• RECIPROCITY, OR FREE TRADE WITH THE UNITED STATES, WAS CONSIDERED AS AN ALTERNATIVE TO ANNEXATION

• TOUGH ECONOMIC TIMES & FEWCOLONIAL ADVANTAGES LEAD TOARGUMENT FOR RECIPROCITY, (SAMEREASONS GIVEN IN FAVOUR OFANNEXATION)

• BRITAIN FAVOURS RECIPROCITY FORTHE COLONIES:– MAKE THEM RICH ENOUGH TO PAY FOR

DEFENCE AND IMMIGRATION SERVICE– SETTLE FISHING DISPUTE AND SEAL

GOOD RELATIONS BETWEEN BRITAIN AND U.S.• AFTER BRITISH PRESSURE AND AMERICAN

BRIBERY, LORD ELGIN WINS A TEN YEAR AGREEMENT FOR RECIPROCITY IN WASHINGTON, 1854

RECIPROCITY AGREEMENT

• FISHERIES NORTH OF 36TH PARALLEL OPEN TO CANADIANS & AMERICANS

• LIST OF NATURAL PRODUCTS DRAWN UP THAT COULD TRAVEL DUTY FREE BETWEEN COLONIES AND UNITED STATES

• AMERICANS FREE TO SAIL ST. LAWRENCE, CANADIANS FREE TO SAIL LAKE MICHIGAN

• CANADIAN EXPORTS TO U.S. DOUBLE IN FIRST YEAR, (THOUGH INCREASES MAY HAVE BEEN COMING ANYWAY)

COLONIAL TRADE GROWS• BRITAIN’S ECONOMY RECOVERS• CRIMEAN WAR (1854-56) REQUIRES MORE CANADIAN

WHEAT, NOVA SCOTIAN & NEW BRUNSWICK SHIPS• AMERICAN IMMIGRATION

EXPLODES– EUROPEAN REVOLUTIONS OF

1848 LEAD TO FLOOD OFPEOPLE IN UNITED STATES,A SURGE IN ALL EXPORTSTO U.S. FOLLOWS

• BEER BECOMES DRINKOF CHOICE IN U.S.,REQUIRES SUPERIOR CANADIAN BARLEY

• AMERICAN RAILROADS CONNECT CANADIAN FARMS TO U.S. MARKETS

• AMERICAN CIVIL WAR (1861-65) INTENSIFIES DEMAND – COLONIES SUPPLY BOTH SIDES, TAKE UP MERCHANT SHIPPING TRADE DISRUPTED BY WAR

‘THE TORONTO’ FIRST STEAM ENGINE BUILT IN CANADA WEST

COLONIES DIVERSIFY THEIR TRADE• FISH, FORESTS, WHEAT STILL KEY TRADE PRODUCTS

– SOIL EXHAUSTION CAUSESWHEAT CROP TO COLLAPSE INCANADA EAST

• NEW PRODUCTS INCLUDEBARLEY, MARKET PRODUCE,SHIPS, RAILWAY SUPPLIES– CANADA EAST REPLACES

WHEAT WITH EXPORTS OFHORSES, LIVESTOCK, BUTTER

• EACH REGION OF BRITISHNORTH AMERICA EMERGESWITH DIFFERENT PROSPECTS FROM THE BOOM:– CANADA WEST DIVERSIFIES, MECHANIZES AGRICULTURE,

INCREASES PROFITS OF FARMERS– CANADA EAST STAGNATES IN PROFITS FOR FARMERS AND

DOES NOT MECHANIZE AS QUICKLY– ATLANTIC CANADA DOES NOT MOVE FROM MAKING WOOD

BOATS TO STEEL BOATS AND IS LEFT BEHIND

MARCO POLO – BUILT IN ST. JOHN, 1851, SAILS LIVERPOOL TO MELBOURNE &

RETURN IN 6 MONTHS