SOME THOUGHTS RELATING TO TRADE, &e. SOME THOUGHTS RELATING TO TRADE in GENERAL, AND TO THE EAST INDIA TRADE IN PARTICULAR. LONDON: Printed forR. Baldwin, at the Ro/e, in Pater-noftcr Row. M.DCC.LIV. (Price Six-pence.) (J) SOME THOUGHTS RELATING TO TRADE, &c. T H E remoteft Traffick is always moft beneficial to the Kingdom’s Stock; for Example, —Suppofe Pepper to be always worth two Shillings the Pound, and a Merchant flhould fetch it from Holland, and pay there twenty Pence the Pound, he will gain well by the Ad¬ venture ; but if he fetch this Pepper from the Eajl-Indies, he cannot give above Five- Pence the Pound to obtain the like Gain, clear of all Charges, which does fufficiently prove the great Advantage we have by pur- chafing Commodities in remote Countries,' B not not only for our own Confumption, buf for Exportation; fo that it is plain we make a much greater Stock by Gain upon many Commodities, than thofe Nations do where they grow; andfurely there is not lefaHo¬ nour and Judgment by getting Riches in this Manner, than by an induftrious Increafe of our own Means, efpecially, when this latter is advanced by the Benefit of'the former; as hath been found in the Eafl- hidies by Sale of our native Commodities. But for the better under ftanding' thereof, we muft .diftinguifh between the Gain of the Kingdom, and the Profit of the Mer¬ chant ; for altho’ the Kingdom pay no more for this Pepper than is before fuppofed, nor for any other Commodity purchafed in fo¬ reign Countries, more, than the Stranger receiveth from us for the fame; yet the Merchant payeth riot only that Price,, buf alfo the Freight, Infurance,: Intereft, Cuf- toms, and many other Charges, which are exceeding great in long Voyages: but all thefe ( 7 ) thefe in the. Kingdom's Account are but Com¬ mutations among ourfelves, and no Pri¬ vation of the public Stock, they remain ftill in the Kingdom. It is of great Importance to the Nation, 'That the Price of Lands fould he improved , which never hath nor can be done, but by a fuccefsful foreign Trade; the Ballance whereof is the only Means and Rule of our Treafure; that is to fay, when either by ifluing out of the Realm yearly, a greater Value in Wares, than we confume of fo¬ reign Commodities, we grow rich ; or by fpending more of Strangers Goods, than we fell them of our own, we are impove- rifhed : for the fir ft of thefe Courfes doth bring in the Money which we have, the laft will carry it away again when we have got it. It is a true Saying, That Plenty or Scarcity of Money makes all Things dear or cheap in a Commonwealth; but it is ne- eeffary to diftinguifh the feeming Plenty of B 2 Money Money from that which only is fubjlaniial , and able to perform the Work j for there are many Ways and Means to procure Money into a Kingdom (for a fhort Time), •which do not therefore inrich, but rather impoverifh the fame, by the feveral Incon¬ veniences which ever accompany fuch Al¬ terations ; for Inftance, if we fliould melt down our Plate into Coin, it would caufe Plenty for a Time, yet Ihould we be no¬ thing the richer, but rather this Treafure being thus altered, is made the more apt to be carried out of the Kingdom, if we exceed our Means by Excels in foreign Wares, or maintain a War by Sea or Land, where we do not feed and cloath the Soldier, and fupply the Armies with our own native Provifions; by which Diforders our 'Trea¬ fure will be exhaufted; for it is not the Merchant’s Exchange by Bills that can pre¬ vent the laft of the abovementioned Evils, But whether it be the Stranger or the En - glijh Merchant brings Money into this Countrjj ( 9 ) Country, it muft ever be done upon a va¬ luable Confideration, either for Wares carried out already, or after to be exported, which helps us nothing, except the evil Occafions of Excefs or War aforementioned be removed, which will exhauft our Trea- fure; for otherwife, the Money that one Man bringeth in for Gain, another Man' fhall be forced to carry out for Necejfty, be- caufe there fhall ever be a -Neceffity to bal- lance our Account with Strangers, although it fhould be done with great Lofs upon the Rate of the Money, which is exported at great Rifque, and d Dangerof Confifcations ■ for NeceJ/ity or Gain will ever find fome Means to violate the Laws. So that the Treafure which is brought into the Realm by the Ballance of our foreign Trade, is that Money which only doth abide with us, and by which we are en¬ riched j and by this Plenty of Money thus gotten (and no otherwife) do our Lands i improve j ( ; io ) improve; for when the Merchant difpofes of his Cloth well abroad, he prefently buys a greater Quantity, which raifeth the Price of Wool and other Commodities, which doth improve the Landlord’s Rents, as the Leafes expire daily; and alfo by this Means, Mo¬ ney being gained and brought more abun¬ dantly into this Kingdom , it doth enable many Men to buy Lands, which muft make them the dearer: but if our foreign Trade come to a Stop or Declination, by a NegleEl at Home , or Injuries abroad , whereby the Merchants are impoverifhed, and fo the Commodities of the Growth and Produdt of the Nation lefs ifiii’d, then do alb the Benefits abovementioned ceafe, and our Lands fall in Price daily : wherefore the flourifhing Eftate of our general Trade is the only Means to make our Lands improve, j fo the particular Trade to the Eajl-Indies y is a principal Injlrument therein , becaufe it hath much encreafed theTraffick of this Kingdom, Ig (I*) ■ In the Courfe of a Foreign Trade , 1 there are three Degrees of Gain ; the firlt is, that of the Commonwealth-, which may be done when, the Merchant (who is the principal Agent therein) {hall lofe. The fecond is the Gain of the Merchant , which he fometimes doth juftly and worthily effed, although the Commonwealth be a Lofer. The third is the Gain of the; King, whereof he is ever certain, even' when the Commonwealth and the Mer¬ chant {hall be both Lofers. / It hath been- already obferved, that the Commonwealth may be enriched-in. the; Courfe of Trade, by the Balance of . the feme, when- Exccffes are avoided; but it may be affirmed,- that fuch Happinefs may be in the Commonwealth, when the 1 Merchant,, for his particular, {hall have no occafion to rejoice. As for example ; fuppofe the Eajl India Company, ffiould fend out one hundred thoufand Founds in Goods Goods or Money into the Eaft 'Indies , and receive home for the fame the full Value of three hundred thoufand Pounds; here¬ by it is evident that this Part of the pub- lick Stock is trebled: and yet it may Be proved, that the Company fliall be Lofers by the Adventure, if the Returns be made in bulky Commodities; for the Freight, the Charges abroad and at honie,- his Majefty’s Duties and Cuftoms, an d all other Charges, will be above two hun¬ dred thoufand Pounds; which being added to the Principal, produceth Lofs. And thus we fee, that not only the Kingdom, but alfo the King, may get very much, : when the Merchant fliall lofe; which' gives good Occafion to confider how* much more the Nation is enriched by this 1 Trade, when all things pafs fo happily,- that the Merchant is a Gainer alfo, to¬ gether with the King- ahd Kingdom.- But for the better explaining of that which hath been affirmed as above, we muft ( 13 ) jnuft Qnderftand, that if the faid one hundred thoufand Pounds fttould be trebled by the Return of fo much Silks and other fine Commodities out of the Indies ; then the Merchant likewife fhould gain by fuch an Adventure, becaufe thofe Commodities would require but five hundred Tons of Shipping to bring home the fame; which is but a very fmall Charge in refpedt of four thoufand five hundred Tons of Ship¬ pings, which would be required to lade home the like Value in bulky Commo¬ dities. The fecond Sort of Gain in the Courfe of Trade is, when the Merchant by his laudable Endeavours may both bring in and carry out Wares and Commodities to his Advantage, by buying them and fel¬ ling them to good Profit, which is the End of his Labours: yet neverthelefs, the Commonwealth fhall decline and grow poor by a Diforder in the People, when C through ( H) through Pride and other Exceffes they do confume more foreign Wares in Value, than the Wealth of the Kingdom can fa- tisfy and pay by the Exportation of our own Commodities ; which is the very Quality of an Untbrift , who fpends be¬ yond his Means. The third Sort of Gain is the Kings, who is ever fure to get by Trade, when the Commonwealth and the Merchant {hall lofe feverally, as aforefaid, or jointly, as it may and fometimes doth happen,'when the Merchant is unfuccefsful, and when our Commodities are over-ballanced by foreign Wares confumed: but if fuch Diforders be not prevented, his Majefty in the End {hall be the greateft Lofer, when his Sub¬ jects be impoverilhed. The Safety of this Kingdom cohfifts not only in its own Strength and Wealth, but alfo in the laudable and lawful Performance of thofe ( '5 ) thofe Things which will weaken and impo- verifh fuch powerful Princes ; as either may, or are become our Enemies, in remote Coun¬ tries. All Nations (who have no Mines of their Own) are inriched with Gold and Silver by one and the fame Means, which is already hewed to be the Ballance of their foreign Trades-, and this is not ftrictly to be done in thofe Countries where the Fountain of Treafure is, but rather with fuch Order and Obfervations in the Trade, and againft Excefs, as are before mentioned: for fup- pofe England by Commerce with Spain , may get and bring home five hundred thoufand Ryals of Eight yearly, yet if we lofe as much by our Trade in Turkey , and therefore carry our Money thither, it is not then the Englifi but the Turks who have got this Treafure, although they have no Trade with Spain , from whence it was firft brought. But if England having thus loft C 2 with ( ; i6 ) with "Turkey, does notwithftanding gain twice as much by. France, Italy, and other Members of her general Trade, then there will remain five hundred thoufand Ryals of Eight clear Gain by the Ballance of the fame 3 and this Comparifon holds between all other Nations, both for the Manner of getting, and the Proportion that is yearly gotten. But if yet a Queftion was made whether all Nations get Treafure, and Spain only lofe it, I anfwer no; for fome Coun¬ tries by War, or by Excefs, do lofe that which they had gotten; as well as Spain by War, and Want of Wares, doth lofe that which was its own. The induftrious Hollanders wanting Means in their own Land, do find rich Mines in his Majefty’s Seas, Golden Mines they may be termed, for the States fo call them in their public Proclamations, which they have fet forth on all Occafions for the better Prefervation of their filhing: a Trea¬ sure ( J 7 ) fare it is (indeed,} ineftimable, and an Em¬ ployment moft profitable: from hence ori¬ ginally proceeds the Increafe and Mainte¬ nance of their People, their Arts, their pri¬ vate Wealth, their public Treafure, the Multitude of their Ships which fetch Ma¬ terials to build Ships, the Swarms of their fmallVeffels which catch Fifh, to lade their great Ships which trade with Fifh; the Produce whereof doth furnifh them with all their Wants of foreign Commodities, and make them alfo rich in Treafure, with which Treafure they do alfo enlarge their Trade into all the Quarters of the World, whereby they become the Magazines for 'England , France; Spain, and other Places. In which Courfe of Trade, they are not lefs injurious to fup- plant others (efpecially the Englijh) than they are careful to ftrengthen themfelves, with more than ordinary Diligence; for they know well, that Trade hath raifed their. Fortunes , and doth feed their Hopes. We ( «8 ) We "have no other means to get Treafure but by foreign Trade, for Mines we have none, and how this Money is gotten in the Management of our Trade is already {hewn, that it is done by making our Commodities ‘which are exported, to over-ballance in Value the foreign Wares which we confume: fo that it remains only to {hew how our Monie s may be added to our Commodities, and being jointly exported may fo much the, more increafe our Treafure. And here let it be fuppofed, that our yearly Confumption of foreign Commo¬ dities is to the Value of twenty hundred thoufand Pounds, and our Exportations to exceed that two hundred thoufand Pounds, which Sum it may be affirmed is brought to us in Treafure to ballance the Account; but if we add three hundred thoufand Pounds more in ready Money, unto our former Exportation in Wares, what Profit can we have (will fome Men fay) although by this means 3 ( *9 ) means we fliould bring in fo much ready- Money, feeing that we have carried out the like Value? To this the Anfwer is, that when we have prepared our Exportation of Wares and fent out as much of every Thing as we can fpare or vent abroad j it is not therefore faid, that then we fhould add our Money thereunto to fetch in more Money imme¬ diately,, but rather firft to inlarge our Trade' therewith, by enabling us to bring in more foreign Commodities; which being fent out again into the Places of their Confumption, they will in due Time much increafe our Treafure: For, tho’ in this manner we do yearly multiply our Importations to the Maintenance of more Shipping and Mari¬ ners, Improvements of his Majefty’s Cuf- toms, and other Benefits; yet our Confump- tion of thofe foreign Commodities is no more than, it was before-, fo that all the faid In¬ creafe of Commodities brought in by the Means Means qf our ready Money fent out as afprefaid, doth in the End become an Exportation unto us of a much greater Value than our faid Monies were, which is proved by the three feveral Examples following, -. Firft, fuppofe-that one hundred thoufand Pounds Sterling, being fent, in oiir Shipping into the Eaft .Countries, and that it will buy there one hundred thoufand Quarters of Wheat, clear of ’all Charges con board the Ships, which being after brought into, England and houfed, to export the fame at the beft Time for vent thereof in Spain or Italy, and that it there fells for two hundred thoufand Pounds to make the Merchant but a Saverj yet by this reckon- ingwe fee the Kingdom hath doubled that Xreafore. But the Profit will be far greater when %-e trade thus with our Money in remote l ' Countries , « St) I Countries, as for Example, if we fend one hundred thoufand Pounds into the Eajl Indies to buy Pepper there and bring it hither, and from hence fend it to Italy or i’urkey, and that it yields there five hundred thoufand Pounds, at thofe Places, in regard of the exceflive Charges which muft be difburfed in thofe long Voyages in Shipping, Wages, Victuals, Intereft, Cuftoms, and the like: all which Charges the King and the Kingdom gets; and it may be here ob* ferved, that as the Publick Profit by foreign Trade is the only means whereby we gain our Treafurej fo the'Trade to the Eajl' Indies (in its Proportion) doth far excell -all others 1 . The third Example is, where the Voyages ■are fhort, and the Commodities rich, which therefore will not Jmploy rrtfich Shipping- the Profit to the Kingdom wid be far lefs: as when-another hundred-thoufand Pound? ; fhall be employ’d .in i’urkey in raw- 'Silks, c . D ’ and ( 22 ) ind brought hither to be exported from hence, the Merchant {hall have good Gain tho’ he fells for one hundred and fifty thoufand Pounds; and thus take all the Voyages together in their Medium , the teady Monies exported will be returned to us near treble. But if any Man will yet objeft that thefe Returns come to us in Wares, and not really in Moneys as they Were iffued out j The Anfwer is, that if our Confumption of foreign Wares, be no more yearly than is before fuppofed, and that our Exporta¬ tions be fo mightily encreafed by this man¬ ner of trading with ready Money; It is not then poffible (in the Courfe of Trade) but that all the Over-ballance or Difference, fhou’d return either in Money, or in fuch Com¬ modities as we muft export again, which, as is before plainly {hewed, will be ftill a greater Means to increafe our I'reafure ; for it is in the Stock of a Kingdom, as in the pftates ( 23 ) Eftates of private Men, who having ftorc of Wares and Merchandize, do not there¬ fore fay, that they will not venture out or trade with their Money, (for this wou’d he ridiculous) but do alfo turn that into Wares; whereby they multiply their Money, and fo by a continual and orderly Change of one into the other grow rich, and when they pleafe turn all their Eftates into Trea- fure; for they that have Wares cannot want Money; for what begot the Monies fent out, but our Wares ? Neither is it faid that Money is the Life of Trade, as if it cou’d not fubiift of pafs current without the fame; for we know that there .has been great trading by way of Commutation or Barter , when there was but little Money ftirring in the World. There are fome Natio?is, which have fuch Remedies againft this Want, that ; it can neither decay nor hinder their Trade , for jhey transfer Bills of Debt, and have other X>3. Way? Ways whereby they affign 'their : Credits from one to another daily for very great Sums, .with Eafe and Satisfaction by writing only, whilft in the mean time, the Mafs ofXreqfure which gave: Foundation to: thefe Credits is imployed in foreign-Ifrade as a. Merchandize, which doth much increafe their. Traffick. It is not therefore the keeping the Money in the Kingdom, which makes a quick and ample Trade, but the Ufe of our Wares in foreign Countries, and our Want of their Commodities, which caufes the Vent and Confumption on all fides. And here it may be obferved, that Leg- home, is one of the moft famous Places for Trade in Europe, and yet the Merchant hath hut little means to make their Returns front thence, but only in ready Money, which they may, and do carry away freely at all Times, and without Cuftom to the great Advantage of the Duke of Lufcany, and his Subje&s, who have been much inriched by the con¬ tinual flnual great Concourfe of Merchants, from all the States of Princes their Neighbours* bringing them Money daily to fupply their Wants of the faid Wares: and thus we fee that the Current of Merchandize, -which carries away their Treafure,, becomes a flowing Stream to fill them again in a gi-eater Meafure ‘with Money. ' ') Therefore let no man doubt but that Money mull ever attend on Merchandize, for they go together : And it is worthy.the Noting, that there are Princes who are con¬ tent to part with their Treafure only to enjoy the Trade of the Wares which are brought them, for which (to encourage the Merchant) they take no Cuflomj whereas we by fending out our Money do gain the Employment of our Shipping,' the ■Trade of our Wares, and the Profit of the 'Cuftoms, which is a treble Benefit. . . ( 26 ) • Some Men have thought that thofe Coun¬ tries which permit Money to be carried out, do it becaufe they have few or no Wares to Trade withal ■ but we have great ftore of Commodities, and therefore their A&ion ought not to be our Example.—To this it may be anfwered, that if we have fuch a Quantity of Wares, as doth fully provide us of all Things needful from beyond the Seas, why fliould we then doubt that our Monies fent out in Trade muft not necef. farify.com back again in Treafure , together with the great Gains which it may procure in fuch manner as is beforementioned ? and on the other Side, if thofe Nations which fend out their Money, do it becaufe they have few Wares of their own; How come they to have fo much ‘Treafure as we ever lee in thofe Places, which fuffer it freely to be exported at all Times, and by whop}? foever ? The Anfwer is, even by trading •with ibeir Monies , for by what other means 'can they get it, having no Mines of Gold or Silver ? ft ( 27 ) It may be now expe&ed that I ftiould give my Thoughts with refped to the great Complaints which have been this Year publifhed againft the India Company's Ex* portation of Gold and Silver Bullion; but l choofe rather to obferve, £ That the foreign Bullion ex¬ ported by the Eaft India Com¬ pany, their Officers and Servants, for five Years, commencing at Michaelmas, 1711, and ending at Michaelmas, 1716, amounted Befides, more than one tenth Part of the whole Export, was yearly fent to the Eaji Indies in Goods of Englifh Pro- dud. Bullion Bullion exported, brought over 1,636,257- " In five Years from ChriJltnaS 1712, to ChriJltnas IJ17, the Eaft India Goods exported from England to foreign Parts amount On their Nett Value to Exelufive of the draw backs and promt Payments allowed the Merchants. By which it is apparent, that over and above the Value of the Bullion exported to India, there was a Ballance accruing from foreign Parts to the amount of Which have been anfwered to Great Britain by Goods, Ex¬ change or Bullion. ' Befides this Sum 3 > 335>928 1,699,671 The ( 29 ) £ The Company have paid for Cuftoms in fiveYears to Chrijimas 2717, 1,848,070 The draw-backs on Exportation of Goods in the fame Time 898,197 £• So that the remaining Surplus, towards clearing the Debt of the Nation, amounted to 949,873 To which is to be added, as a further Gain to the Nation, all the Salt Petre, Drugs, Tea, Coffee, Pepper, Cotton, Yarn, Raw Silk, Mullins and Calicoes expended in Great Britain in the faid five Years, which otherwife mull have tffeen purchafed at much dearer Rates of our Neighbours. Note± E (' & ) Note, The Eaft India Company did licenfe foreign Bullion for Purchafe of Diamonds from Michaelmas 17 n, to Mi¬ chaelmas 1716, £123,537. But becaufe much the greateft Part of the faid Diamonds are again exported, this Sum is not added to the above Bullion. I {hall now only obferve, that I think the Trade to the Eaft Indies will be entirely loft to this Nation, if it fhould be laid open; but as I may probably publifh too much on this Subject for our natural Enemies , or our profejfed Friends and Allies to hear at this Time, fo I will defer giving my Thoughts thereupon, till a more proper Opportunity offers. • November the iff, * 754 - A. Z. FINIS,