Hon. Mr. PRIOR.

We have got Maxwell but we have not got the mint yet. This matter is of vital importance to British Columbia, and let me tell the Minister of Finance that every day this is put off, and the mint and the assay offices are not established, means a huge sum of money lost to the merchants and people of Canada. Now, as a matter of fact, what do we find ? We find that nearly all the gold that is coming out of the Klondike, and a large portion of British Columbia is not going into the hands of Canadians in our own Canadian towns and cities, but is going to Seattle in Washington territory. Thereby, the merchants are losing the splendid trade that these miners bring with them when they bring their gold to the assay office. I have here a cutting from the Seattle Post Intelligencer, the heading of which certainly ought to make any man's eyes bulge out. It is dated January 1, 1901, and the heading is as follows :-

Forty-six Tons of Gold

Received at Seattle Assay Office in the Year 1900.

Over 7,000 Deposits Made.

Prodigious Quantity of Precious Metals, Valued at $22,038,775.12-Nearly $17,000,000 from the Klondike-$4,000,000 from Nome-Report for Calendar Year to Director of Mint Encouraging One.

At the close of business for the nineteenth century, Assayer Fred. A. Wing, of the Seattle office, announces that during the closing year of the century his receipts have issued for forty-six and one-eighth tons of gold and silver. Throughout the year the treasure poured into the office in a steady stream, reaching its highest mark and breaking all records for a single month in July, when in twenty-six working days over fourteen tons of precious metals were received.

The prodigious quantity of gold received during the year, as weighed at the assay office, amounted to 1,345,122-41 troy ounces.

It was owned and deposited by 7,106 persons and concerns.

Its total assay value was $22,038,775.12.

The average of the deposits is 190 ounces, valued at over $3,100 to each.

The bullion, as accounted for at the assay office, came from sources as follows :-

The Klondike

$16,946,437 08Alaska

4,291,730 40British Columbia

667,225 47Washington and other states 133,382 17

out this session.

Hon. Mr. PRIOR.

I am very glad to hear the hon. gentleman say so. I was begin-

Total $22,038,775 12

Now, we find that $16,900,000 worth of Klondike gold, every dollar of it Canadian

Mr. PRIOR.

gold, and that $667,000 of British Columbia gold, went to the Seattle assay office, every dollar's worth of which, should, if there had been an assay office at Victoria or Vancouver, have gone into our own hands. The miners would have sold it to the mint or assay office and would have spent enormous sums of money buying their supplies in these cities. The paper also goes on to speak of what they are expecting this year :

It is also interesting to note the confirmation of the Post-Intelligencer's figure on the output of the Klondike for 1900. This was given at $20,000,000. The popular estimate ranged to $25,000,000 and higher. But the officers of the Yukon police, having charge of the collection of royalties on the output

I want the hon. Minister of Customs (Mr. Paterson) to listen to this, or is it the hon. Minister of the Interior (Mr. Sifton).

-reported only $11,752,560, while the records of the Dawson custom-house brought the total only to about $14,000,000. The fact now appears that the Seattle assay office received from Klondike $16,946,437.08, and sufficient bullion is known to be now laying in safe deposit in this city to advance the total to more than $20,000,000.

We, therefore, find that the officers of the government in the Yukon, in collecting the royalty, have been fooled by the miners to the extent of nearly $9,000,000, which has gone into American territory, and has paid no tax to the Dominion treasury. Here is another :

Stream of Gold from the North.

This is dated April 7th of this year. It says :

More than $22,000,000 worth of gold-dust and bullion, out of the total output of thirty-three and a half millions mined in Alaska, the Klondike, British Columbia and the north-western states, passed through the Seattle assay office during the year 1900.

It goes on to say :

These are sums the colossal proportions of which, cannot readily be grasped or understood by the average man, but which, if handled on Wall street or some other eastern financial centre, would be treated and heralded the world over as phenomenal. Here, however, in the land of gold and plenty, millions are handled and talked, of with the nonchalance of speculators in breadstuffs or provisions, and form part of the everyday business transactions.

The present season is already far enough advanced to enable a fair estimate to be made of the probable output for 1901, and although many reports are coming out of Alaska and the Klondike, which place the increase in the output at fully 50 per cent greater than last year among the more conservative mine operators of the various districts, the belief is gaining ground that the increase over last year's output, from all sources, will be about one-third ; that is to say, where the 1900 output footed up a total of $33,590,000, this year it is expected to reach a total of $44,700,000.

So that we find that according to past operations the output is going to be $44,-129J

000,000 of gold taken out of that far western country and out of the Klondike, and it is estimated that from the Klondike $27,000,000 will be taken this year. I would ask the hon. Minister of Finance (Mr. Fielding) not to delay any longer in bringing this matter to an issue. The inference to be drawn from the hon. gentleman's speech in Montreal, I presume, is that the mint will be built in Montreal. If that is the case I must protest against such a proposal. The proper place to build the mint is in the province of British Columbia.

Mr. GALLIHER.

Hear, hear.

Hon. Mr. PRIOR.

An hon. gentleman says ' hear, hear ' in a sarcastic manner.

Mr. GALLIHER.

No, no.

Hon. Mr. PRIOR.

Oh, I see where it comes from. I am glad to think that somebody is endorsing my statements. I will now show the reason why the gold goes to Seattle. The following is taken from the report published of the interviews and correspondence between the provincial and Dominion governments :

The reason why the gold is taken to Seattle is because the United States assay office there buys it at a higher price than is or can be paid for it in British Columbia. The gold is bought in Seattle at exactly the same rate as if handed in to the mint at Washington, the United States government paying the express and insurance charges on the bars from the branch office to the mint, so that the only deduction made from the gross value of the dust is the assay charge.

Gold brought to Victoria or Vancouver is taken to a bank and by the bank sent to the British Columbia government assay office. The charges are practically the same as the Seattle assay office, but the bank in British Columbia has to send the bars to the mint, and in addition to again paying assay charges has to defray the cost of expressage, insurance and other charges, and at the same time provide for a fair business profit. The price obtained for gold dust taken to Seattle is higher, therefore, than that paid in British Columbia cities by the above charges, which amount to about 2 per cent on the gross value of the gold.

To meet this competition British Columbia must be in a position to offer at least as good terms as Seattle, and the provincial mineralogist makes the following suggestion, as an alternative proposal, in case the mint should not be established in British Columbia.

Of course, we know it is going to be, but still, I read it.

The government of British Columbia to be authorized to purchase, as agents for the Dominion government, all gold offered, at the same rate as that paid by the United States government; the local government establishing the necessary offices and being responsible for all losses. The gold to be handed to an agent appointed by the Dominion government, and the weight and fineness of the gold to be guaranteed by the British Columbia government.

The provincial mineralogist points out that, of course, the assay fees will not begin to pay

the expenses of an assay office, and the difference would have to be borne by the local government, who would alst>

be responsible for the gold and the correctness of the weight and assays.

The Dominion government would have to pay the expressage, interest and other charges on value during transit.

It will cost the government very little, I think, to turn that magnificent flow of yellow metal from Seattle to our own cities of Victoria and Vancouver. There is no doubt about it that if we have a mint or an assay office inj British Columbia, the miners will come down to get coin for their gold. Let 'me say that in my opinion the proper place for that mint is the city of Victoria. That city is the capital of the province, it is the headquarters of the Pacific naval station, and it is the port from which the largest part of the shipping starts for the northern country whence the gold comes. We all know the immense strides which Seattle has made during the last few years, and I can safely say that progress is due to nothing more nor less than the stream of gold which has been pouring into it from the north. The government have promised to act. Let them act at once so that not another moment will be lost in the effort towards securing for us that our own gold shall be brought to our own country.

Just one word in regard to; the necessity that exists for the government inquiring into the possibilities of Canada doing a large trade with Siberia. My colleague and I have already spoken to the Min-Inster of Trade and Commerce (Hon. Sir Richard Cartwright) in regard to this matter, and he has promised to look into it. I trust that he will send some trustworthy and intelligent man to inquire into our trade possibilities with Siberia, as he has done in the case of the Latin American Republics. I think the minister will find that Canada has a good chance of inaugurating a profitable trade with the newly developed country of Siberia. The Americans of San Francisco and of Portland, Ore., have already entered upon that commercial field. They have sent several ship loads of goods there and they believe that they will be able to do a large trade with Siberia. If the people of San Francisco can succeed in that why cannot Canadians ou the Pacific coast succeed as well. I throw this out as a hint to the Minister of Trade and Commerce that he should not allow the grass to grow under his feet but that he should get a good and reliable man to look into this question.

I have spoken already this session upon the lumber duties, the) Indian reserves, the Lepers and other matters which interest the people of British Columbia, so that I need not refer to them on this occasion. The people of that province have not agitated for their rights in any undue way ; they have always addressed themselves in a pro-

Mr. PRIOR.

per manner to the government for these things which they think they should have, but patience is a virtue which may get worn out in time. They are a long-suffering people in British Columbia ; they are not professional agitators ; they have been patient under their grievances, but I must say that I think we have about got to the end of our tether in the exercise of patience. If this government will do justice to British Columbia in the manner I have indicated the government will find that they will be creating in that Pacific province a vast market for the products of eastern Canada, and they will not have a more loyal and hard-working population in all Canada, than they will have in British Columbia.

Hear, hear.

I have but a few words to say in answer to the speech of my hon. friend (Hon. Mr. Prior). Although the hon. gentleman stated in his exordium that British Columbia was suffering under great grievances, and although in his peroration he repeated the same statement, I think the House will be of opinion after listening to the general tenor of the hon. gentleman's remarks, that the grievances referred to are not so very serious after all. With regard to the mint, for instance, and the assay office, the hon. gentleman discovered he had no grievance whatever. As has just been intimated by the hon. Finance Minister the government propose to implement the promises which have been made upon this subject and resolutions will be introduced to that effect at a very early date. As to the ship subsidies, that is a new policy that requires some consideration before the government entertains it The chief argument of my hon. friend was that a Bill is before Congress offering such a subsidy to American shipping, but Congress has hesitated a long time before! coming to any conclusion, aud, therefore, I think, we can very well allow the matter to remain where it is for the present. The fishery question has! two sides to it. The remedy proposed by the hon. gentleman for the grievances of the canners-and I must say these grievances are of long standing-is to transfer the control of the fisheries in the Columbia river to the province of British Columbia. My hon. friend will find on reflection that such a remedy could not be thought of for a moment, because under the British North America Act the government and parliament is powerless in the matter. We cannot divest the province of any control which it has under that Act, nor can we divest the Dominion of its control over any matter assigned to it by our constitution. If my hon. friend the Minister of Marine and Fisheries were here, he would have some observations to show that there are two sides to this question.

The main complaint which my hon. friend (Hon. Mr. Prior) makes is one which is very much to the credit of his own province. It is that the people of British Columbia contribute largely to the revenue of the country. That we are all aware of and that we are all proud of, and if there is one portion of our population which ought to be proud of it more than another it is the people of British Columbia themselves. It must be admitted that man for man the people of British Columbia contribute more to our revenue than the people of any other portion of Canada, and it is very much to their credit. *It shows that they are an enterprising people and a wealthy people, and that they are not the long suffering people which the hon. gentleman from Victoria would make them out to be.

Hon. Mr. PRIOR.

But it is bleeding us white.

I am happy to think that if my hon. friend (Hon. Mr Prior) is a fair sample of the people of British Columbia, he is not doing justice to the people of his province.

Hear, hear.

The main grievance which the people of British Columbia have to suffer-it is a grievance which we have heard a good deal of in this House for the last fifteen years-is the Mongolian immigration.

Hear, hear.

It is not a new subject, but the hon. gentleman has presented) it to us in a new form to-day. I have followed the hon. gentleman's words very carefully and I have concluded from them that the Mongolian immigration is not altogether an unmixed evil. There appear to be some redeeming features in it. Did not my hon. friend tell us that there were 500 Celestials on board one of the Pacific steamers which recently arrived in British Columbia, and of these 500 Chinamen, 250 would remain in British Columbia and 250 would be distributed over the United States and Mexico. The hon. gentleman would lead us to believe, in other words, that the people of British Columbia import Chinamen and export them again. They, in fact, trade in Chinamen. Instead of importing horses and cattle and things of that kind they import Chinamen, keeping what they want for their own consumption and distributing the rest to the United States and Mexico.

Hear, hear.

There appears to be some profit in the trade. At all events if the people of British Columbia do not themselves derive any profit from that trade, it is clear that the steamers plying between British Columbia and China are deriving a good deal of profit. I am sure

the hon. gentleman wishes well to that line of steamers and that he would be the first to lament any conditions which would compel these steamers to give up their present trade altogether. The people of British Columbia would be sad if some day they were to find the harbour of Vancouver, which is now made glad and merry by this class of steamers, deserted by them. I do not know how far this celestial immigration may affect the trade of the line of steamers now plying between British Columbia and China, but, as my hon. friend knows, this is a problem which is now undergoing investigation, and the government are not prepared at this moment to offer any suggestion as to what policy we should apply to that long vexed problem. My hon. friend suggests that the capitation tax of $100 which we imposed last year on Chinamen coming into Canada is not sufficient, and he advocates Increasing it to $500 and imposing it not only upon Chinamen, but upon Japanese as well. I must repeat to my hon. friend that, whatever may be the report of the commission which is now investigating the question of Oriental immigration into British Columbia and therefore into Canada, we must insist at this moment, so that there may be no misunderstanding at a future date, on drawing a line between Chinese and Japanese, and that whatever policy of restriction we may adopt against Chinamen, whether it be right or wrong, we cannot afford, for the sake of Imperial policy, to treat the Japanese as we have been' treating the Chinese. The last time I had the honour to speak on this question, last session, I pointed out to my hon. friend and to the other hon. members from British Columbia, who were in the House at that time, that the possible complications which might arise at any moment in the Orient made it a matter of Imperial policy, in which Canadians should take part as well as British subjects in England, that it was of supreme importance that Great Britain should maintain friendly relations with the Emperor of Japan, and that for this reason we could not afford to treat the Japanese as we have been treating the Chinese, by restricting their immigration into Canada. I do not say that we should encourage Japanese immigration; but I certainly insist on this, which I am sure will be shared by my hon. friend, for the sake of the Imperial considerations which I have alluded to in previous sessions, and which apply to-day with greater force than I did at that time; because the complications which have arisen in China make the friendship of Japan a matter of supreme importance to Great Britain. Therefore, whatever may be the feelings of the people of British Columbia with regard to Japanese immigration, though it is not much more popular among them than Chinese immigration, still I would ask them, for the sake of the Imperial considerations which I have men-

tioned, to bear with the fact, and not attempt to force on the government of Canada the same Ideas with respect to the Japanese which prevail there with respect to the Chinese.

My hon. friend was more happy, if he will permit me to use this language, when he came to speak of the disposition of the poll tax which we levy on Chinamen. For several years past it has ranged in the neighbourhood of $200,000 a year, of which sum we have been in the habit of paying one-fourth to the government of British Columbia. The government realize that that proportion is not perhaps absolutely fair, and they propose before the 1st of July to revise and increase it. I am not prepared to say to what extent we should go. I am not prepared for one to say that we shall adopt the suggestion of my hon. friend and reverse the figures, keeping one-fourth of the amount and paying three-fourths to British Columbia, although his desire is that we should give the whole of it to that province. My hon. friend has made some comparisons between this money and the money we pay to the fishermen of the maritime provinces; but there is no comparison whatever between the two things. The idea at the basis of the payments made to the fishermen of the maritime provinces is that at a certain time during the existence of the Washington treaty the individual fishermen were deprived of their share in the fisheries, and we received $5,000,000 as a compensation for their loss The government of that day came to the conclusion that this money should be paid to the fishermen Individually who had suffered the loss, and it is being paid, not to the government of Quebec, or of Nova Scotia, or of New Brunswick, or of Prince Edward Island, but in individual payments to the fishermen themselves.

. My llon- friend has alluded to another subject as to which I must say, speaking for myself individually, and not' presuming to speak as the head of the government, that I feel a good deal of sympathy with him, that is to say, the Question of railway subsidies. My hon. friend has made a point,

I think, in favour of having another railway constructed from the coast to the mining centres of British Columbia in the Kootenay district. For my part, speaking individually, from the general observation, and not expressing any policy on behalf of the government, it seems to me only fair that the great and growing cities of the coast should have direct communication with the mining centres of British Columbia. At present they have a very inadequate communication by way of the Canadian Pacific Railway to Revelstoke and the lakes. My hon. friend has advocated the claims of the Victoria, Vancouver and Eastern Railway. I am not prepared at the present time to say that the government should subsidize this line or the other

Sir WILFRID LAURIER.

line of railway. I simply take the ground that we should be guided in our policy in that respect by the consideration that we should give communication to the growing cities of the coast, Vancouver and Victoria, with the Kootenay district, the boundary district, and the other mining centres of British Columbia; and the government at the proper time, notwithstanding the advice given by my hon. friend from Toronto that we should put an end to railway subsidies, will consider that question.

1 am not prepared to express any opinion with regard to the Wellington and Cape Scott road, which is an island railway. That is a project which has some merit in it as it has been developed to me; but it does not seem to me to be of the same immediate necessity as the other roads to which I have alluded. I would say the same with regard to the Ashcroft and Cariboo district.

My hon. friend has advocated the construction of a road from Kitmat to the Yukon. With this I have absolute sympathy with my hon. friend, and he must regret the vote which he was induced to give three years ago when we introduced the policy of building a railway through Canadian territory to the waters of the Yukon. If the project which was then introduced, had been carried out, of building a railway from the Stikine river to the waters of the Yukon, which was the first link of the very railway the hon. gentleman now advocates, extending it afterwards to Kitmat Harbour and the Yukon river, the very thing my hon. friend now advocates would be to-day an accomplished fact.

Hon. Mr. PRIOR.

Does the right hon.

gentleman say that I must regret the vote I gave ? I did not vote against it.