APPENDIX II. 167

s.—To what extent is Canada prepared to open the
Canadian mavket to British manufacturers who compete with
hey own manufacturers, e.g., steel, Wom, wool, cotton ?
(A)—1f Great Britain grants a substantial preference
to colonial grain, &amp;c., I think Canada ought to be willing
to reciprocate by increasing the present preference to
at least 50 per cent, with proportionate increase of the
preference in the event of increase in the general tariff.
1 am convinced this would not be agreed to by
the Protectionists. I do not think they would, under
any circumstances, go beyond the present rate of
preference. ~~ Any alterations in the tariff as above
indicated, would be governed by consideration of the
interests of Home industries, and with the strong Protectionist
 sentiment existing in Canada, I think the
reply to the question must be—To no additional extent
at all.
(B)—I1 personally believe that Canada will follow
the course which will eventually lead to our making
for ourselves the ordinary products of iron and steel,
and our hope is that in the long run we shall be able
to compete on equal terms with Great Britain, or
sufficiently so to warrant the removal of the duty.
For the present, however, a duty sufficient to protect
sur new industries must be sustained. In a less
degree this will also be the case in the products of
wool and cotton. But when articles are made which
require highly skilled labour or for which the market
in the world is narrow, we shall doubtless be willing
to give large preferences to Great Britain in arranging
“he dutv.

(C.)—As far as 1 can see from utterances of the
Canadian Manufacturers’ Association, the Canadian
manufacturer is nof prepared to open our markets to
the British manufacturer. Let such a proposition be
submitted to them and see what the reply is.
(D.)—If Great Britain formally offered a good stiff
preference to the four great Canadian industries—