The Hawaiian gazette., 1894-10-26
FOREIGN woOLLENS,

Among manufactured articles the
most marked change is in the duties
on wOollen goods, where free wool
made necessary an entirely new sys-
tenn. Under the old system, which
went back TO the time of civil war,
and had been retained and emphasized
in the Mckinley act, woOlleu goods
were subject to compound rate. part
ly specific and partly al dLOrel. As
there was duty on wool, the manu-
facturers had rightly demanded that
foreign woOllens should be subjected
TO corresponding duty, which should
prevent the foreign competitor enjoy
ing free wool from having an advan-
tage over the domestic maker. The
specific duty on woollens had been
meant TO accom- plish this result; it was
supposed merely to offset the wool
duty, aud to give no protection. The
additional al UdlOFem duty gave the
net protection, which was originally
at the rate of > per cent, but had
been gradually raised, until in the Me
kinley act, on the most important
classes of goods, il was 80 per cent.
Under this system the total tax on
wOOllen goods, taking the specific and
dd rdiOreBa rates together, had risen
TO an intOlerable point, being equiv
alent TO 50, 90, 100 per cent, even
more, on the foreign value of the wool
lens. Moreover, the system gave ex-
amples of those difficulties with spec
ific duties which were mentioned a
moment ago. In many cases the COM
pensating specific duties on woollens
in fact did more than to compensate,
being so arranged as TO give protection
where they were supposed TO give
none. Hence when 1t was proposed in
the Wilson bill to cut off the specific
duties entirely, as no longer justified
under free wool, the manufacturers
protested that they were really losing
something's contention which could
not but raise 4 cynical smile, in
view of the earuestneSs with which
it had been so long maintained
that this part of the duties did no
more than offset the tax on raw wool.
But the specific rates had to 90 on,
and the only question was as to the
extent of the protective adj udlOfem
duty which was to be retained. The
rate in the Act is from 81 to Is per
cent. Here again the House had
made the rate 70 per cent, with q pro-
vision for gradual decrease, until after
five years it should be 35 per cent.
The Senate raised it on some impor-
tant classes of goods. As a further
sOfteniDg Of the change to the manu-
facturers, it is provided that while
wool is to come in duty free at once,
the new and lowered rates on woolens
are not to be collected until January
lst of next year. For a season the
manufacturers get their wool free, yet
continue TO enjoy the Mckinley rates
on wOOlens. In view of the consider
able plant required for wooden mill,
of the unquesti0Dable fact that the
new conditions will be very different
from the old, and the probability of a
trying period of transition for the
manufacturers, this policy is sound as
well as generous; and ii illustrates the
anxious with which vested interests
have been regarded.
On the other great textile articles
the changes are more simple than on
wOOlens. On cottons, silks, linens,
the duties, as rule, go down little.
Here, again, the rates are in many
cases higher than was provided in the
House bill, and sometimes specific
duties are retained which the House
had rejected. The net result is a
shaving taken from the protective sys-
TEN, some little change in spirit, and
an occasional reduction of real mo-
ment.