Some account of these famous laws is essential at this point. There were three statutes embraced under the general term Navigation Laws and Acts of Trade, in which are to be found the principles of the Mercantile System. They were passed in 1660, 1663, and 1672, during the reign of Charles II., and may be found in the _Statutes at Large_,[13] with the following titles respectively: "An Act for the Encouraging and Increasing of Shipping and Navigation", "An Act for the Encouragement of Trade", and "An Act for the Encouragement of the Greenland and Eastland Trades, and for the Better Securing the Plantation Trade."[14]
The navigation laws will be more readily understood if we attend solely to their effect on the American colonies, and disregard unimportant exceptions and limitations. By the act of 1660, none but English or colonial ships could carry goods to or bring them from the colonies. This excluded all foreigners, and especially the Dutch, who at that time were the principal carriers for Europe. The result was that the colonists lost the advantage of their competition. Far more serious was the provision which restricted them from carrying sugar, tobacco, cotton, wool, indigo, ginger, fustic and all other dyeing wood, the product of any English colony, to any part of the world, except Great Britain, or some other English colony. This affected the English sugar islands of the West Indies and the Southern colonies, which were obliged to send their products to the overstocked English or colonial markets, more than it affected New England, whose great staples, lumber, fish, oil, ashes, and furs, were free to find their best market, provided only they were sent in English or colonial vessels.
British merchants not satisfied with this monopoly procured a more stringent act in 1663, which provided that no commodity, the growth, product, or manufacture of Europe, should be imported into the colonies, except in English-built ships, sailing from English ports. By this act England became the sole market in which the colonists could purchase the products or manufactures of Europe, nor could they send their own ships for them, unless English-built or bought before October 1, 1662. They were obliged to buy in English markets and import in English vessels.[15] This discouraged ship-building for the European trade in a country full of timber, and compelled the payment of charges and profits to English factors dealing in Continental goods for the American market.