Chapter LXXXVI: The Danish Sound Dues

This subject was brought to the attention of the President at this extra session of Congress by a report from the Secretary of State, and by the President communicated to Congress along with his message. He did not seem to call for legislative action, as the subject was diplomatic, and relations were established between the countries, and the remedy proposed for the evil stated was simply one of negotiation. The origin and history of these dues, and the claims and acquiescences on which they rest, are so clearly and concisely set forth by Mr. Webster, and the amelioration he proposed so natural and easy for the United States, and the subject now acquiring an increasing interest with us, that I draw upon his report for nearly all that is necessary to be said of it in this chapter; and which is enough for the general reader. The report says:

"The right of Denmark to levy these dues is asserted on the
ground of ancient usage, coming down from the period when that
power had possession of both shores of the Belt and Sound.
However questionable the right or uncertain its origin,
it has been recognised by European governments, in several
treaties with Denmark, some of whom entered into it at as
early a period as the fourteenth century; and inasmuch as our
treaty with that power contains a clause putting us on the same
footing in this respect as other the most favored nations, it
has been acquiesced in, or rather has not been denied by us.
The treaty of 1645, between Denmark and Holland, to which a
tariff of the principal articles then known in commerce, with
a rule of measurement and a fixed rate of duty, was appended,
together with a subsequent one between the same parties in 1701,
amendatory and explanatory of the former, has been generally
considered as the basis of all subsequent treaties, and among
them of our own, concluded in 1826, and limited to continue ten
years from its date, and further until the end of one year,
after notice by either party of an intention to terminate it,
and which is still in force.

"Treaties have also been concluded with Denmark, by Great
Britain, France, Spain, Portugal, Russia, Prussia and Brazil,
by which, with one or two exceptions in their favor, they are
placed on the same footing as the United States. There has
recently been a general movement on the part of the northern
powers of Europe, with regard to the subject of these Sound
dues, and which seems to afford to this government a favorable
opportunity, in conjunction with them, for exerting itself
to obtain some such alteration or modification of existing
regulations as shall conduce to the freedom and extension of our
commerce, or at least to relieve it from some of the burdens now
imposed, which, owing to the nature of our trade, operate, in
many instances, very unequally and unjustly on it in comparison
with that of other nations.

"The ancient tariff of 1645, by which the payment of these dues
was regulated, has never been revised, and by means of the
various changes which have taken place in commerce since that
period, and of the alteration in price in many articles therein
included, chiefly in consequence of the settlement of America,
and the introduction of her products, into general commerce, it
has become quite inapplicable. It is presumed to have been the
intention of the framers of that tariff to fix a duty of about
one per centum ad valorem upon the articles therein enumerated,
but the change in value of many of those commodities, and the
absence of any corresponding change in the duty, has, in many
instances, increased the ad valorem from one per centum to
three, four, and even seven; and this, generally, upon those
articles which form the chief exports of the United States, of
South America, and the West India Islands: such as the articles
of cotton, rice, raw sugar, tobacco, rum, Campeachy wood, &c.
On all articles not enumerated in this ancient tariff it is
stipulated by the treaty of 1701 that the 'privileged nations,'
or those who have treaties with Denmark, shall pay an ad valorem
of one per cent.; but the value of these articles being fixed
by some rules known only to the Danish government, or at least
unknown to us, this duty appears uncertain and fluctuating, and
its estimate is very much left to the arbitrary discretion of
the custom house officers at Elsinore.

"It has been, by some of the public writers in Denmark,
contended that goods of privileged nations, carried in the
vessels of unprivileged nations, should not be entitled to the
limitation of one per centum ad valorem, but should be taxed
one and a quarter per centum, the amount levied on the goods of
unprivileged nations; and, also, that this limitation should be
confined to the direct trade, so that vessels coming from or
bound to the ports of a nation not in treaty with Denmark should
pay on their cargoes the additional quarter per cent.

"These questions, although the former is not of so much
consequence to us, who are our own carriers, are still in
connection with each other, of sufficient importance to render
a decision upon them, and a final understanding, extremely
desirable. These Sound dues are, moreover, in addition to the
port charges of light money, pass-money, &c., which are quite
equal to the rates charged at other places, and the payment of
which, together with the Sound dues, often causes to vessels
considerable delay at Elsinore.

"The port charges, which are usual among all nations to whose
ports vessels resort, are unobjectionable, except that, as in
this case, they are mere consequences of the imposition of the
Sound dues, following, necessarily, upon the compulsory delay at
Elsinore of vessels bound up and down the Sound with cargoes,
with no intention of making any importation into any port of
Denmark, and having no other occasion for delay at Elsinore
than that which arises from the necessity of paying the Sound
dues, and, in so doing, involuntarily subjecting themselves to
these other demands. These port duties would appear to have some
reason in them, because of the equivalent; while, in fact, they
are made requisite, with the exception, perhaps, of the expense
of lights, by the delay necessary for the payment of the Sound
dues.

"The amount of our commerce with Denmark, direct, is
inconsiderable, compared with that of our transactions with
Russia, Sweden, and the ports of Prussia, and the Germanic
association on the Baltic; but the sum annually paid to that
government in Sound dues, and the consequent port charges by
our vessels alone, is estimated at something over one hundred
thousand dollars. The greater proportion of this amount is paid
by the articles of cotton, sugar, tobacco, and rice; the first
and last of these paying a duty of about three per cent. ad
valorem, reckoning their value at the places whence they come.

"By a list published at Elsinore, in 1840, it appears that
between April and November of that year, seventy-two American
vessels, comparatively a small number, lowered their topsails
before the castle of Cronberg. These were all bound up the Sound
to ports on the Baltic, with cargoes composed in part of the
above-named products, upon which alone, according to the tariff,
was paid a sum exceeding forty thousand dollars for these dues.
Having disposed of these cargoes, they returned laden with the
usual productions of the countries on the Baltic, on which,
in like manner, were paid duties on going out through the
Sound, again acknowledging the tribute by an inconvenient and
sometimes hazardous ceremony. The whole amount thus paid within
a period of eight months on inward and outward bound cargoes, by
vessels of the United States, none of which were bound for, or
intended to stop at, any port in Denmark, except compulsorily
at Elsinore, for the purpose of complying with these exactions,
must have exceeded the large sum above named."

This is the burden, and the history of it which Mr. Webster so succinctly presents. The peaceful means of negotiation are recommended to obtain the benefit of all the reductions in these dues which should be granted to other nations; and this natural and simple course is brought before the President in terms of brief and persuasive propriety.

"I have, therefore, thought proper to bring this subject before
you at this time, and to go into these general statements in
relation to it, which might be carried more into detail, and
substantiated by documents now at the department, to the end
that, if you should deem it expedient, instructions may be
given to the representative of the United States at Denmark to
enter into friendly negotiations with that government, with a
view of securing to the commerce of the United States a full
participation in any reduction of these duties, or the benefits
resulting from any new arrangements respecting them which may be
granted to the commerce of other states."

This is the view of an American statesman. No quarrelling, or wrangling with Denmark, always our friend: no resistance to duties which all Europe pays, and were paying not only before we had existence as a nation, but before the continent on which we live had been discovered: no setting ourselves up for the liberators of the Baltic Sea: no putting ourselves in the front of a contest in which other nations have more interest than ourselves. It is not even recommended that we should join a congress of European ministers to solicit, or to force, a reduction or abolition of these duties; and the policy of engaging in no entangling alliances, is well maintained in that abstinence from associated negotiation. The Baltic is a European sea. Great powers live upon its shores: other great powers near its entrance: and all Europe nearer to it than ourselves. The dues collected at Elsinore present a European question which should be settled by European powers, all that we can ask being (what Denmark has always accorded) the advantage of being placed on the footing of the most favored nation. We might solicit a further reduction of the dues on the articles of which we are the chief carriers to that sea--cotton, rice, tobacco, raw sugar; but solicit separately without becoming parties to a general arrangement, and thereby making ourselves one of its guarantees. Negotiate separately, asking at the same time to be continued on the footing of the most favored nation. This report and recommendation of Mr. Webster is a gem in our State papers--the statement of the case condensed to its essence, the recommendation such as becomes our geographical position and our policy; the style perspicuous, and even elegant in its simplicity.

I borrow from the _Boston Daily Advertiser_ (Mr. Hale the writer) a condensed and clear account of the success of Mr. Webster's just and wise recommendations on this subject:

"He recommended that 'friendly negotiations' be instituted with
the Danish government, 'with a view to securing to the United
States a full participation in any reduction of these duties,
or the benefits resulting from any new arrangements respecting
them, which may be granted to the commerce of other states.'

"This recommendation was doubtless adopted; for the concluding
papers of the negotiation appear among the documents
communicated to Congress. The Danish government made a complete
revision of the ancient tariff, establishing new specific duties
on all articles of commerce, with one or two exceptions, in
which the one per cent. ad valorem duty was retained.

"The duties were not increased in any instance, and on many of
the articles they were largely reduced; on some of them as large
a discount as 83 per cent. was made, and a great number were
reduced 50 per cent. Of the articles particularly mentioned by
Mr. Webster as forming the bulk of the American commerce paying
these duties, the duty on raw sugar was reduced from 9 stivers
on 100 pounds to 5 stivers; on rice (in paddy) the duty was
reduced from 15 stivers to 6 stivers. On some other articles
of importance to American commerce the duties were reduced in
a larger proportion; on some dyewoods the reduction was from
30 stivers to 8, and on others from 36 to 12, per thousand
pounds; and on coffee the reduction was from 24 to 6 stivers per
100 pounds, thereby making it profitable to ship this article
directly up the Baltic, instead of to Hamburgh, and thence by
land across to Lubec, which had previously been done to avoid
the Sound dues.

"It was also provided that no unnecessary formalities should
be required from the vessels passing through the Sound. The
lowering of top-sails, complained of by Mr. Webster, was
dispensed with. We mention this circumstance because a recent
article in the _New York Tribune_ speaks of this formality as
still required. It was abolished thirteen years ago. A number of
other accommodations were also granted on the part of Denmark in
modification of the harshness of former regulations. The time
for the functionaries to attend at their offices was prolonged,
and an evident disposition was manifested to make great
abatements in the rigor of enforcing as well as in the amount of
the tax.

"These concessions were regarded as eminently favorable, and
as satisfactory to the United States. Mr. Webster cordially
expressed this sentiment in a letter to Mr. Isaac Rand Jackson,
then our Chargé d'Affaires for Denmark, bearing date June 25,
1842, and also in another letter, two days later, to Mr. Steen
Billé, the Danish Chargé d'Affaires in the United States. In the
former letter Mr. Webster praised Mr. Jackson's 'diligence and
fidelity in discharging his duties in regard to this subject.'"

Greatly subordinate as the United States are geographically in this question, they are equally, and in fact, duly and proportionably so in interest. Their interest is in the ratio of their distance from the scene of the imposition; that is to say, as units are to hundreds, and hundreds to thousands. Taking a modern, and an average year for the number of vessels of different powers which passed this Sound and paid these duties--the year 1850--and the respective proportions stand thus: English, 5,448 vessels; Norwegian, 2,553; Swedish, 1,982; Dutch, 1,900; Prussian, 2,391; Russian, 1,138; American, 106--being about the one-fiftieth part of the English number, and about the one-twentieth part of the other powers. But that is not the way to measure the American interest. The European powers aggregately present one interest: the United States sole another: and in this point of view the proportion of vessels is as two hundred to one. The whole number of European vessels in a series of five years--1849 to 1853--varied from 17,563 to 21,586; the American vessels during the same years varying from 76 to 135. These figures show the small comparative interest of the United States in the reduction, or abolition of these dues--large enough to make the United States desirous of reduction or abolition--entirely too small to induce her to become the champion of Europe against Denmark: and, taken in connection with our geographical position, and our policy to avoid European entanglement, should be sufficient to stamp as Quixotic, and to qualify as mad, any such attempt.