e of Indian trade, and the termination
in 1859 of the lease of Vancouver's Island from the British government,
the sway and influence of the Company are greatly restricted, and the
feasibility of some permanent adjustment is proportionately increased.

There is no necessity for repeating here the voluminous argument for and
against the charter of the Hudson's Bay Company. The interest of British
colonization in Northwest America far transcends any technical inquiry
of the kind, and the Canadian statesmen are wise in declining to relieve
the English cabinet from the obligation to act definitely and speedily
upon the subject. The organization of the East India Company was no
obstacle to a measure demanded by the honor of England and the welfare
of India; and certainly the parchment of the Second Charles will
not deter any deliberate expression by Parliament in regard to the
colonization of Central British America. Indeed, the managers of the
Hudson's Bay Company are always careful to recognize the probability of
a compromise with the government. The late letter of Mr. Barens to Lord
Caernarvon expressed a willingness, at any time, to entertain proposals
for the surrender of franchises or territory; and in 1848, Sir J.H.
Pelly, Governor of the Company, thus expressed himself in a letter to
Lord Grey:--"As far as I am concerned, (and I think the Company will
concur, if any great national benefit would be expected from it,) I
would be willing to relinquish the whole of the territory held under the
charter on similar terms to those which it is proposed the East India
Company shall receive on the expiration of their charter,--namely,
securing the proprietors an interest on their capital of ten per cent."

At the adjournment of the Canadian Parliament and the retirement of the
Derby Ministry, in the early part of 1859, the position and prospects of
English colonization in Northwest America were as follows:--

1. Vancouver's Island and British Columbia had passed from the
occupation of the Hudson's Bay Company into an efficient colonial
organization. The gold-fields of the interior had been ascertained to
equal in productiveness, and greatly to exceed in extent, those of
California. The prospect for agriculture was no less favorable,--while
the commercial importance of Vancouver and the harbors of Puget's Sound
is unquestionable.

2. The eastern slope of the Rocky Mountains and the valleys of the
Saskatchewan and Red River we