By Caroline Davis—part two

William H. Seward
The Union Blockade had begun to move inland up the Rio Grande by 1864, thwarting trade across the river. One would expect negative repercussions with the closing of this important trade route, but the Confederacy was never a primary benefactor in the relationship. In all actuality, the Matamoros Trade was more of a benefit to Mexico than to the southern United US. The small portion of West Texas that traded with Mexico before 1864 was the only Confederate area to directly reap the benefits. The sheer amount of travel required for goods to make it to the Rio Grande ate up most profits. Supplies coming in from the Matamoros Trade had to travel over 500 miles by wagon to reach the Texas-Louisiana border.
In the late 1850s and early 1860s, Mexico was developing its own cotton industry in addition to trading cotton with the Confederacy. This Central American country began growing cotton at a vital time. Prior to the war, the Union began developing its textile industry – specifically in New England. Northern textile manufactures had depended on southern cotton farmers to provide them with the raw materials needed to keep the textile industry afloat. The Civil War not only meant the death of the southern cotton industry but also threatened the New England textile industry. As a result, New England turned to Europe to buy the raw cotton needed. The New England textile industry suffered greatly in this newer, more competitive market due to its distance from the cotton-producing nations of India and Egypt. When Mexico began to grow cotton, New England saw an opportunity to combat some of the negative ramifications that had arisen from the laws banning trade between the Union and the Confederacy. Stepping up to the plate, Mexico began providing cotton to New England, helping to ease the effects of the “cotton famine.”
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