And slowly as commerce by sea developed in Europe it developed yet more slowly among the English. All goods that came to them from abroad were carried to their shores by powerful confederations of foreign merchants who controlled the great continental trade routes of the north-west. The “men of the Empire” or the Hanse of Cologne, masters of the highway of the Rhine and of Cologne, the great seaport of the Empire, commanded the whole Eastern trade which then for the most part passed through Germany.[109] The Flemish Hanse of London,[110] which included all the great towns of Picardy and Flanders, and perhaps at one time even Paris itself, carried over sea the wares that were gathered from half of Europe to the great fairs of Champagne. Through these two great companies England first exchanged her wool for certain necessaries such as salt and fish and iron and wood, and for a few luxuries such as spices and silks from the Levant.
And even when commerce swept beyond the narrow seas and passed out of the hands of the men of Cologne and the Flemish Hanse, it was not Englishmen who took their place. If the waterway of the Rhine was forsaken of half its trade as merchants of Northern Italy abandoned the old route across Europe, and instead of sending their goods to the warehouses of Cologne despatched fleets through the Straits of Gibraltar to the ports of the Channel and to Bruges; if the fairs of Champagne languished when armies encamped on its plains and turned them into battle-fields, and the Flemish Hanse of London slowly sank into insignificance—it was only to make way for other competitors of foreign blood. Commerce with the East through the Mediterranean and the Bay of Biscay was seized by the ships of Florence and Genoa and Venice.[111] The towns of the German Ocean and the Baltic gathered under the banner of Lübeck into a new Hanseatic League[112] which broke the supremacy of Cologne, claimed the whole carrying trade of the Northern seas, and opened a new line of communication with the Levant. Novgorod became the centre of the Baltic trade, as Alexandria was the centre of the Mediterranean traffic, and the merchants of the Teutonic Hanse offered to the English trader the silks and drugs of the East, with skins and hemp and timber of Novgorod, and the metals of Bohemia and Hungary.