Reserve this letter.
P. S.--In the other letter I express the reason of my new
regulation, &c.
DANIEL CLARK, Esq.
* * * * *
_Extract from a paper on the commerce of Louisiana, supposed
to be referred to in a letter from Mr. Daniel Clark to the
Secretary of State, of the 18th April, 1798, and written by
him._
About the period of which we are now speaking, in the middle
of the year 1787, the foundation of an intercourse with
Kentucky and the settlements on the Ohio was laid, which daily
increases. Previous to that time, all those who ventured on the
Mississippi had their property seized by the first commanding
officer whom they met, and little or no communication was kept
up between the countries. Now and then, an emigrant who wished
to settle in Natchez, by dint of entreaty, and solicitation of
friends who had interest in New Orleans, procured permission to
remove there with his family, slaves, cattle, furniture, and
farming utensils; but was allowed to bring no other property,
except cash. An unexpected incident, however, changed the
face of things, and was productive of a new line of conduct.
The arrival of a boat, belonging to General Wilkinson, loaded
with tobacco and other productions of Kentucky, is announced
in town, and a guard was immediately sent on board of it.
The General’s name had hindered this being done at Natchez,
and the commandant was fearful that such a step might be
displeasing to his superiors, who might wish to show some
respect to the property of a general officer; at any rate, the
boat was proceeding to Orleans, and they would then resolve on
what measures they ought to pursue, and put in execution. The
Government, not much disposed to show any mark of respect or
forbearance towards the General’s property, he not having at
that time arrived, was about proceeding in the usual way of
confiscation, when a merchant in Orleans, who had considerable
influence there, and who was formerly acquainted with the
General, represented to the Governor that the measures taken
by the Intendant would very probably give rise to disagreeable
events; that the people of Kentucky were already exasperated at
the conduct of the Spaniards in seizing on the property of all
those who navigated the Mississippi; and, if this system was
pursued, they would very probably, in spite of Congress and the
Executive of the United States, take upon themselves to obtain
the navigation of the river by force, which they were well able
to do; a measure for some time before much dreaded by this
Government, which had no force to resist them, if such a plan
was put in execution. Hints were likewise given that Wilkinson
was a very popular man, who could influence the whole of that
country; and probably that his sending a boat before him,
with a wish that she might be seized, was but a snare at his
return to influence the minds of the people, and having brought
them to the point he wished, induce them to appoint him their
leader, and then, like a torrent, spread over the country, and
carry fire and desolation from one end of the province to the
other.
Governor Miro, a weak man, unacquainted with the American
Government, ignorant even of the position of Kentucky with
respect to his own province, but alarmed at the very idea of
an irruption of Kentucky men, whom he feared without knowing
their strength, communicated his wishes to the Intendant that
the guard might be removed from the boat, which was accordingly
done; and a Mr. Patterson, who was the agent of the General,
was permitted to take charge of the property on board, and to
sell it free of duty. The General, on his arrival in Orleans
some time after, was informed of the obligation he lay under to
the merchant who had impressed the Government with such an idea
of his importance and influence at home, waited on him, and, in
concert with him, formed a plan for their future operations.
In his interview with the Governor, that he might not seem to
derogate from the character given of him by appearing concerned
in so trifling a business as a boat-load of tobacco, hams, and
butter, he gave him to understand that the property belonged
to many citizens of Kentucky, who, availing themselves of
his return to the Atlantic States by way of Orleans, wished
to make a trial of the temper of this Government, as he, on
his arrival, might inform his own what steps had been pursued
under his eye, that adequate measures might be afterwards
taken to procure satisfaction. He acknowledged with gratitude
the attention and respect manifested by the Governor towards
himself in the favor shown to his agent; but at the same
time mentioned that he would not wish the Governor to expose
himself to the anger of his Court by refraining from seizing
on the boat and cargo, as it was but a trifle, if such were
the positive orders from Court, and that he had not a power
to relax them according to circumstances. Convinced by this
discourse that the General rather wished for an opportunity of
embroiling affairs than sought to avoid it, the Governor became
more alarmed. For two or three years before, particularly
since the arrival of the Commissioners from Georgia, who had
come to Natchez to claim that country, he had been fearful
of an invasion at every annual rise of the waters, and the
news of a few boats being seen was enough to alarm the whole
province. He revolved in his mind what measures he ought to
pursue (consistent with the orders he had from home to permit
the free navigation of the river) in order to keep the Kentucky
people quiet; and, in his succeeding interviews with Wilkinson,
having procured more knowledge than he had hitherto acquired
of their character, population, strength, and dispositions,
he thought he could do nothing better than hold out a bait to
Wilkinson to use his influence in restraining the people from
an invasion of this province till he could give advice to this
Court, and require further instructions. This was the point
to which the parties wished to bring him, and, being informed
that in Kentucky two or three crops were on hand, for which,
if an immediate vent was not found, the people could not be
kept within bounds, he made Wilkinson the offer of a permission
to import, on his own account, to New Orleans, free of duty,
all the productions of Kentucky, thinking by this means to
conciliate the good will of the people, without yielding the
point of navigation, as the commerce carried on would appear
the effect of an indulgence to an individual, which could be
withdrawn at pleasure. On consultation with his friends, who
well knew what further concessions Wilkinson could extort
from the fears of the Spaniards, by the promises of his good
offices in preaching peace, harmony, and good understanding
with this Government, until arrangements were made between
Spain and America, he was advised to insist that the Governor
should insure him a market for all the flour and tobacco
he might send, as in the event of an unfortunate shipment,
he would be ruined whilst endeavoring to do a service to
Louisiana. This was accepted. Flour was always wanted in New
Orleans, and the King of Spain had given orders to purchase
more tobacco for the supply of his manufactories at home than
Louisiana at that time produced, and which was paid for at
about $9.50 per cwt. In Kentucky it cost but $2, and the profit
was immense. In consequence, the General appointed his friend
Daniel Clark his agent here, returned by way of Charleston in
a vessel, with a particular permission to go to the United
States, even at the very moment of Gardoqui’s information; and,
on his arrival in Kentucky, bought up all the produce he could
collect, which he shipped and disposed of as before mentioned;
and for some time all the trade for the Ohio was carried on in
his name, a line from him sufficing to insure to the owner of
the boat every privilege and protection he could desire.
On granting this privilege to Wilkinson, the Government
came to a resolution of encouraging emigration from the
Western country, and offered passports to all settlers, with
an exemption of duty on all the property they might bring
with them invested in the produce of the country they came
from under the denomination of settlers. All those who had
acquaintances with a few persons of influence in Orleans
obtained passports, made shipments to their address, which were
admitted free of duty, and, under pretence of following shortly
after with their families, continued their speculations. Others
came with their property, had lands granted them, which,
after locating, they disposed of, and, having finished their
business, returned to the United States. A few only remained
in the province, and they were the people who, in general,
availed themselves least of the immunities granted by the
Government. They possessed a few slaves and cattle, but had
little other property, and they generally settled among their
countrymen in the Natchez, and increased the cultivation of
tobacco, at that time the principal article raised for export
in the district. This encouragement given to emigrants and
speculators opened a market for the produce of the Ohio. Flour
was imported from Pittsburg; and the farmers finding a vent for
all they could raise, their lands augmented in value, their
industry increased, and they exported annually to Louisiana,
for some time past, from ten to fifteen thousand barrels of
flour, for which they generally find a ready market. When the
first adventurers began to purchase, flour was to be had for
from eighteen to twenty shillings, Pennsylvania currency, per
barrel, on the Monongahela, but was of a very bad quality, and
was only made use of for biscuit, or in times of scarcity. It
gradually improved, and in 1792 the best kind was supposed
equal to that manufactured in Philadelphia; but, being put up
negligently, does not keep so long, and for that reason alone
is not so much esteemed as Philadelphia flour.
The Court of Spain, informed by its officers here of the
steps they had taken, and the motives which had induced them,
otherwise ignorant of the situation of affairs with respect to
Kentucky, and consequently easily impressed with the ideas they
wished to inculcate, not only approved of what they had done,
but granted a further permission to all the inhabitants of the
Western country to export their produce to Orleans, where it
was admitted on paying fifteen per cent. duty. This increased
the intercourse, as many who would not before adventure, while
it was a matter of favor granted by the Governor, now entered
into commercial speculations; and, from the Ohio, the province
of Louisiana was not only supplied with a sufficient stock of
flour, whiskey, and salted provisions, hemp, and, latterly,
cordage, but a considerable quantity of some of them often was
shipped from hence, as the produce of this province, to Havana
and other Spanish ports; besides these articles, the produce
of their lands, dry goods were secretly imported, and sold in
the different ports along the river; and, although orders were
given to the commandant of New Madrid, the first Spanish port
below the mouth of the Ohio, to prevent such importations,
and seize on all who transgressed these orders, it was easily
avoided. Here the boats gave a manifest of their cargo, under
which a passport was given; this was endorsed by the different
commandants on the river as the boats passed; the owners might
sell their cargoes where they pleased, and by the manifest
which they were bound to deliver to the Government immediately
on their arrival at New Orleans, their duties were calculated.
These duties continued to be exacted at the rate of fifteen
per cent. until after the arrival of the Baron de Carondelet,
when, under the idea of facilitating certain political ideas
of his own, he reduced them, on his own authority, to six per
cent. This measure was highly disapproved of by Gardoqui, the
Minister of Finance, who threatened to make him personally
responsible for the difference, and ordered the duties to be
placed on the former footing. The Baron, who was not easily
diverted from a favorite measure, paid no attention to the
Minister’s first orders; he represented a second time, and
again received a more positive order than the first. Despairing
of being able to gain his point with him, and determined not
to abandon it, he addressed himself to the King, through the
Minister of State. His plans were approved of, and the duty
fixed at six per cent., at which rate it still subsists: and
this is the duty exacted on every thing imported from any of
the American settlements on the Ohio or Mississippi for sale
in New Orleans. This duty is far from being burdensome to the
importer, on account of the low rate of estimation, and the
facility with which, by various means, a considerable part of
it is always avoided. Flour is valued but at four dollars a
barrel; first quality tobacco, three dollars per hundredweight;
other quality, two dollars; whiskey, thirty-seven and a half
cents per gallon; and salt provisions and all other articles
at a reasonable rate, as may be seen in the tariff which
accompanies this, according to which the duties are calculated,
and which naturally fall on the consumer. By degrees the
importation of flour from the Ohio has almost put a final stop
to any from the Atlantic States, and we shortly expect that
such quantities will be manufactured in the Western country,
as to permit the merchant of Orleans to enter into competition
with those of the Middle States at foreign markets. The
quantity of different productions imported from the Ohio since
the opening of that trade has varied considerably from year
to year. In the beginning, tobacco was the principal export
from Kentucky, and, at one period, from one thousand five
hundred to two thousand hogsheads came down the Mississippi
annually for three or four years; they, at the same time,
exported a great quantity of butter, lard, and salt provisions.
Within the last three years, the exportation of tobacco has
considerably diminished, and flour seems to take its place.
Hemp has likewise been imported from thence in considerable
quantities; was formerly reshipped from hence to the Atlantic
States, but what now comes is manufactured here. Cordage is
likewise imported from Kentucky, where some rope-walks are set
up; and, in future, it is to be presumed that little or no
hemp will be exported from New Orleans: for the encouragement
of the manufactory here, that article is exempt from duty on
importation. In the year 1792, the King ceased purchasing the
usual quantities of tobacco in Louisiana, which was formerly
two millions of pounds, on account of some frauds in packing,
and the general bad quality of the tobacco, as the planters,
sure of having theirs received by the inspectors, on giving
a small gratuity, made generally three cuttings, and put up
every thing that ever looked like tobacco. This punishment
was sensibly felt, as a great price was given for it, say
nine dollars and a half per hundredweight. This culture
ceased immediately on the eastern side of the Mississippi on
this event taking place. The people of Natchez turned their
attention to indigo, which they raised with success; but
changed this branch for that of cotton, which now forms the
staple article of their growth, and bids fair to be an object
of the greatest importance; the crop of last year from that
district is supposed to exceed three thousand bales, of two
hundred and fifty pounds each, and the average price has been
twenty cents per pound.
* * * * *
NATCHEZ, June 4, 1797.
SIR: As it is probable that this will reach you before my
despatches of the 27th of last month, by way of New Orleans, I
have enclosed duplicates.
About seven days ago, twenty-five Spanish soldiers arrived at
this place, where they continued one night, and then proceeded
up to the Walnut Hills. On the 28th of May, I received a letter
from Governor Gayoso, No. 1, to which I replied on the 31st,
No. 2. From Governor Gayoso’s letter, it appears that the Baron
de Carondelet is not well satisfied with his conduct; they are
at this time not on good terms, and the breach has been widened
by the artful management of a certain Mr. Power, now at this
place, who was last season intriguing in the State of Kentucky
for the Spanish Government; he is particularly patronized by
the Baron. The transactions which the Baron alludes to, I
suspect, are the arrangements I made with Governor Gayoso,
by which the troops of the United States were brought into
this district with his consent and apparent approbation. The
difficulty of getting them away is now obvious both to himself
and the Baron, and as it was done without consulting the
latter, he feels an inclination to condemn the conduct of the
former.
It is now reported by the Spaniards that a Minister
Plenipotentiary has been sent by the Court of Madrid to the
United States to inform our Executive that the country and
posts now held by His Catholic Majesty on the east side of the
Mississippi, above the thirty-first degree of North latitude,
are not to be given up until a general peace takes place in
Europe, and that, from the uniform pacific disposition of the
United States there can be no doubt of his success. This report
is credited but by few.
The citizens of the United States, who are trading on the
Mississippi, are frequently treated with great insolence at
the Spanish posts, and their property taken for the use of His
Catholic Majesty, when wanted, and always at a reduced price.
About three weeks ago, a cargo of flour, consisting of between
three and four hundred barrels, was taken at the Walnut Hills
from a Mr. McCluny, of Washington County, in the State of
Pennsylvania, against his will, to be paid for in New Orleans
at such price as the officers of Government see proper to give,
which is generally three dollars per barrel less than the
current price in market. A few days ago Mr. Francis Baily, a
citizen of the United States, who had lately come on here with
some goods, had a tender of a commissary’s certificate payable
at the treasury in New Orleans, which species of paper was
passing at a discount of twelve per cent.; Mr. Baily declined
taking the certificate as payment for the debt, and appealed
to Governor Gayoso for redress, who immediately decreed that
the tender was legal. These cases are not singular; they are
particularized because both the gentlemen mentioned will be in
Philadelphia in the course of a few weeks, and I expect will
make a point of substantiating the facts--both cases being a
violation of the late treaty between His Catholic Majesty and
the United States.
From the jealous and suspicious disposition of the Spaniards,
I do not think it possible that any treaty or compact can be
lasting between that nation and our Western people, while the
former have any possessions on the east side of the Mississippi.
Dr. Watrous is now here. He was on his way from Fort Hamilton,
on furlough, to the State of Connecticut, but Captain Pope and
myself prevailed upon him to stay with us, until we have some
intelligence respecting our continuance in this country.
I am, sir, with great esteem and respect, your friend and
humble servant,