MGMT 1030 Lecture 8: Lecture 8--The Role of Government in Canadian Business History.doc
Document Summary
American revolution and napoleonic wars stimulated british demand for colonial timber. Traditional sources of british timber were the baltic sea nations. High cost of trans-atlantic transport made north american timber uncompetitive. Most baltic ports closed to british ships after 1805. 1809 tariff of 27 shillings per load of baltic timber; tariff of 2 shillings per load of british. 1821 tariff of 55 shillings per load of baltic timber; tariff of 10 shillings per load of colonial timber. Timber exports from new brunswick exploded as a result of these preferences. New brunswick timber exports to britain increased from 5,000 tons in 1805 to 420,000 tons in 1825. 82% of all exports from new brunswick were forestry-related in 1853. British timber markets gradually replaced by american timber markets after colonial preferences removed in the 1840s. British have a massive demand for timber to facilitate construction of massive navy. Used government policy to create secured supply of timber in north american policy.