The national Republican., 1867-11-25
Interesting Reading ON Every Page.
THE COTTON TAX.

1t will be recollected that Mr.. BLAINE. oi
Maine, in the last session Of Congress, procured
vote in the Committee Of the Whole repealiDg
tho tax on cotton but In the House his amend
ment was rejected, and the tax retained. On
Thursday last the same gentleman introduced q
resolution instructing the Committee Of Ways
and Means to inquire into the eIpedency Of re-
p!aling this tax. The House Immediately adopt
ed his resolution. The promptness with which
the House passed Mr.. BLANE's proposition in.
dicates very dscisively that the tax will be re-
moved
We have not been among those who believe
that this tax should be taken OF. It has seemed
TO US, that n staple like cotton In times when
the ration Is struggling with a mighty burden
in tho shape Of debt, should be taxed. We
know 1t is said that this material before 1t
reaches the consumer pays large tar or reve.
nue. to the Government. This is doubtless So
but who is to bo benefited by the removal Of this
tax Is the cotton grower, the Manufacturer,
or especially is the consumer to be benefited by
its repeal The Government will lose the direct
revenue which 1t now obtains from this source.
And it becomes question who are to be the
gamers by this proposed changer It will re.
will for time, but in the long run We think II
the wisest policy to SO distribute the burdens Of
taxation that all interests, all property, and all
the resources Of productive industry shall bear
their propOrtiOnate part Of the load. Equality
Of taxation is the end to be sought for II this
can be done by eIempting certain things, so be
it, The reasons for the repeal Of the cotton tax
are based chiefly upon the fact that the United
States cannot while this tax remains compete
with the cotton producer Of India in the Euro
pean markets.
DAVID A. WELLS, esq, special Commissioner
Of Revenue, in his letter to Secretary McCuL.
Locn, gives some statistics con6rmatory Of this
view. We give below an extract from this let.
ter We shall not attempt in this connection
any reply to this argument Of Mr.. WELLS. We
have, however, some views which at another
time we intend to present. The commissioner
says:
Evidence exists tending to show that tho
present tax of two and half cents per pound
on American cotton is equal to premium Of at
least so per cent. upon the cost of raising cot
ton in India, and by some authorities 1t 10 al
legged to be even greater. Tho tax, therefore,
could with propriety be imposed only while the
aggregate supply Of cotton was less than the
the normal rate. Tho largest consumption Of
cotton in Europe In any one year was In 1860,
when it amounted to 4, 1921, 900 bales, equal to
l,si4, 700, 900 pounds Of this amount the Uni
ted States furnished So per cent, and there can
be but little doubt that 4 surplus Of cotton
goods was produced in that year, even with the
stimulus which the low cost Of the staple then
prevailing undoubtedly Afforded to consumption.
In the year 1866 Europe obtained q supply Of
1913, ,023 bales, averaging 1862 pounds each,
equal to l. 633, ia 1926 pounds, Of which less
than 40 per cent. was from the United States.
But this quantity, although somewhat less In
pounds than the supply Of 1850, was too great
for the demand for consumption at the prices
ruling, and about 800, 900 bales were added to
the stock on hand in European markets. which
stock, on the lst Of January 1867, tho close OF
the European cotton year, was as follows: In
Great Britain, 5sl, $40 bales on the continent
100 900 bales total, 74l $40 bales.
If we estimate cotton at 400 pounds to the
bale, las has been the custom in the United
States in the returns Of the census, the compari
tive supply will appear as follows, subject to a
slight variation, from the fact that the cotton
year OF Europe is made up to the lst Of January,
and that Of the United States to the LIST Of Sep
tember, 10 bales Of 400 pounds each:
CONSUMPTION or EUROPE IN 1850
American, 8, 9ll 7SG
Other NGneuee. TOo ooO
Total ACKNOWLEDGEMENTS. 4, GIL. 7SC
E===
srPPLr or EUROPE IN 1866
American, 6OO O0C
Other varieties 4s3, IS.
r,J A ns, "a.