Baxter Springs news. [volume] (Baxter Springs, Kan.) 1882-1919, 1890-06-21
m.k,MLEvs REBATES.

- F0tslgnors Cheaper Than In the Home
market = An Unjust DISCRIMINATION
Against the American People In tho Hum
nag ~Amsrican nlli."
The Mckinley bill IL bill Of false
pretenses. Besides its attempt to gull
the farmer there are various other de-
I seeptions aimed at In 1t. One Of the
m0st notable IL In the matter Of rebates.
When any material is brought into
vhis country and is then sold outside Of
che country again, either in its first
form or after being worked up into
some manufactured product, the Gov
eminent refunds 90 per cent. Of the duty
which had been paid on this mate
rial when it was brought into the coun-
cry. This part Of the duty refunded by
che Government Is called rebate, or
drawback.
The Government now gives back, as
stated, 90 per cont. OF the duty. Mr..
Mckinley proposes that the Govern
ment shall hereafter pay back 90 per
cent, keeping only one per cent. to pay
expenses for collection.
This measure was claimed by McKin-
ley, in his opening speech on the Tar.f
dill, to place our manufacturers in pre-
oisely the same position, with regard to
raw material. Mckinley has heard the
foreign trade, as IL they had free
voice Of the manufacturers OF the East
demanding free raw material. He has
seen the petition of the New England
manufacturers, with the names OF hum
dreds OF the most prominent firms at
fached to 1t, asking for free coal and
coke and free pig iron.
Something had to be done to make 1t APP
gear that this demand had been granted.
Accordingly the rebate on raw material
was raised from 90 per cent. to 90 per
cent. This, Mr.. Mckinley said, would
give the manufacturers, so far as i'm
ported materials were concerned, all the
advantages of free trade in the foreign
marlet. In this way the Lord High
Tariff Maker thinks he has silenced the
demand for free raw material.
But it is Just here that the false pre-
tense comes in. This rebate, as is well
known in manufacturing and trade
circles, is practically dead letter. 1t
Is worth so little to manufacturers they
seldom apply for 1t. The difficulties
and delays in the way of settling the
rebate are so great that it is almost en-
firely ignored.
Speaking Of Mr.. McKinley's claim
chat the 30 per cent. rebate gives the
manufacturers all the advantages OF
free trade, the New York Commercial
Bulletin has this to say: ',;Manufact-
L. 90 fha
visionary character of rebates will not
be deceived by this. They know that
rebates, although ostensibly put forward
as announcements to the export trade,
have no effect in that direction,
and simply serve to mislead
public opinion. if they are not
90 intended. The conditions under
which the rebate of duty can be claimed
are SO onerous as to be practically pro-
Aibitive. In the first place, exports OF
such manufactures as textiles, to qualify
Tor it. must be wholly composed Of i'm
ported materials. and in the second,
Such articles as plows, moving machines
and shovels must have imported mate
Tial incorporated in their manufacture
20 an extent exceeding one half Of the
total of the materials used. 1t is still
further necessary, in order to make
claim leg innate, that the imported
materials shall be identifable, that is,
I'm every step Of the manufacturing pro-
cess they shall practically be under the
surveillance Of Government officials.
The present tariff allows a rebate of 90
per cent, under the above conditions,
but the trouble and expense attending
any attempt at its collection have been
90 great that exporters have found it to
their advantage to ignore it altogether.
It Is not at all likely, therefore, that the
proposed change from rebate Of 90 per
cent to one Of 90 per cent. will prove
satisfactory solution of the difficulty,
and the clause will therefore continue
useless"
AIr. A. B. Farquhar, OF York, Pa, one
of our largest manufacturers and ex-
.porters of agricultural machinery, has
written a letter to the New York
Tribune in which he calls attention to
the embarrassments which combine to
make the drawback or rebate provision
practically dead letter. THE least of
these" he says, ''is the fact that the
duty is not refunded but only
portion of it-OO per cent. Then the
regulations which are required by the
Treasury Department to guard against
frauds. the necessity ofproving that the
imported goods in each article exceed
Ehalf its value, the limit Of time in which
drawbacks can be claimed, the danger
of having orders countermanded by con-
einual delays, practically involve so
much annoyance and precious time as
20 eat up all the profits there were in
the drawbacks, even when the material
,.Zna az much "a 30 nar cent. cheaper in