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SIR: Your circular dated the Gath instant, upon
the subject of the ware-housing system, came to
hand this morning, and hasten TO reply to it.
To the first question propounded, answer: AT
this port there would be no present difficulty IN
procuring any number of good and proper ware
houses, and probably there would not be any for q
long time to come.


Second. The rents would be paid with the stor-
age received, if due caution observed in hiring
stores. With, perhaps, occasional exceptions IN
the longrun the concern would sustain itself, but
nothing could be counted upon to make dehclen-
cies at other ports the merchants would object
to being taxed beyond the amount of the rents
paid so that each port would have to bear its own
burdens in this matter.


Third. The additional number of officers re-
quired would depend very much upon the pro-
visions of the bill to be enacted; if the system Is
to be restricted TO moderate number OF heavy
articles, no great increase of force would be ne
cessay; but, ft is to embrace all sorts of things,
and if fabrics to any extent are deposited, then
the number of clerks and officers must be greatly
increased at least should presume SO, especially
if the merchant is to be allowed to enter single
packages for, in that event, whether they are in
.pected and valued at the store in which they arc
deposited, or are transferred to the appraisers
store for that purpose there must be clerks to
ter them in books, inward and outward, from the
stores and officers to attend them at both places.
The number Of packages examined under such
system, would be far greater than under the pres
enr, of course involving expense in some shape.


Fourth. The effect Of this system upon trade at
the larger ports, would be, upon the whole,
favorable, especially in regard to manufactured
conseq quence of its adoption would be, to cause
tbo cku of o,ba ntrias
whenever they had accumulated to any extent, and
the merchant not having to pay the duty, could
extend his advances upon the goods, and could
compass much larger quantities than under the
present system.


The accumulation at this port, for instance,
would, under such circumstances, be large and
rapid, in proportion to the depression in other
countries, and as a neverfailing consequence, the
goods woa'd be forced at times when every thing
was at the lowest point of depression here. am
Of the opinion that paro1ysms in the market would
be more frequent and more uiolent than under the
present system-decidedly So There would also
be constant deposite Of staple goods, such as low
cottons, Sc, for the supply of the Mexican and
South American States, in the hands OF commission
merchants under advances, and oil experience la
duces the presumption that they would supply that
demand at whatever sacrifice might be necessary.
The double object of realizing their advances and
securing commission, would tend very strongly
TO that result.


If any benefit is to be derived from the adoption
of this SYSTEM will entirely and exclusive
y to the larger ports, as it is consigned merchan-
dse with few exceptions, that would be deposited,
and four-hfths of it consigned on foreign account,
which comes only to the principal ports.


Fifth. To prevent some of the evils which are
manifestly incident to the system, the deposite
should be limited to one year; under no circum-
stances should it be indefinite.


Sirth. To this question there can be but one
answer. It. would lessen the receipts into the
Treasury the first year, beyond doubt, perhaps
materially.


Sepenth. The operation of the system, if made
general, would be, on the whole, injurious, in ma
tonal point of view and its benefits would accrue
almost exclusively to persons Of large capat0I.
The men of moderate means, importing on their
own account, afford to lie out of the cost OF
the goods; they must in most cases enter and pay
the dutyon ARRIVAL and they will constantly have TO
contend against the evils which an overstock OF
goods always causes, and which will operate with
the greatest severity when they can least atferd To
be oppressed by it. One of the prominent evils oil
trade for years past has been constant plethora
Of goods and anything which mitigates that, as
cash duties certainly to some extent will, will ben
eft all traders on their own account well as the
country at large. There need not be the slightest
apprehension or fear that cash duties will limit the
imports below the net proceeds OF the exports, or
or at all, as long the goods will pay profit.
The wholesale restraint of the present system for
year or two seems absolutely necessary, if any
hope of recuperation is to be INDUCED, and it
would, have doubt, be favorable to I'm
| crease Of the aggregate revenue for a period ot
three or four gears to come.


That any general advantages are to be derived
from the adoption Of this system at the present
time, say the least, admits Of very great doubt
and if made general, it will, think, result in
pretty universal disappointment. IF confined, as
tits, in fact, in England, 10 a few heavy articles,
mainly raw produce, it will perhaps be beneficial.
think it would be, and it will not involve much
additional; expense; or, if confined TO articles
which pay high specific duty, such wines, Ii
quors, sugars, iron, &c. &C., its adoption would
perhaps lead to no bad consequences.


All inferences drawn from the working Of the
IN Hp1Iapd would bo 10