Omaha daily bee., 1897-01-03
why's and Means Committee Hears
Witnesses from Many sections
of the Country on Flax,
Hemp and Jutc.

per pound. Bags for grain made OF burlap
. cents per pound; that gunny bags and
gunny cloths old or refuse fit only for re-
manufacture be changed from the present
list to ~ cents per pound
Mr. Rutherford declared that the Will
son law had wrought commercial disaster
and social discomfort to the Pacific coast,
but the farmers and manufacturers had in
the last election voted for protection know
ing it would reytore prosperity. He de-
scribed the general use OF bags on the Pa
cifc coast for shipping all kinds OF farm
products, even grain The Wilson bill as
1T passed the house gave 10 per cent pro-
lection on the jute schedule, but the senate
had struck out the duty and left bags on
the free list. Under that law the trade
that usually went to the home mills was
given over to the manufacturers Of Calcutta
and Dundee, particularly the former, who
were running their mills night and day.
The industry on the Pacific coast had been
stricken down and now there were 300 idle
looms in Oakland while in New York
Massachusetts, and New Jersey mills had
also been closed. Under the present law,
horse blankets, plaids, carriage robes, tar
paulin and print cloths were entered free
of duty and came into competition with
American products, particularly cOttonS.
They were entered by virtue of the designa-
tion other materials" in the jute and hemp
schedule of the Wilson bill, although the
American manufacturers had protested
against such a construction o' the law
ROBS THE DYERS ALSO.
Many of the goods entered were dyed so
that the American dyers were also robbed
by the system. The cost of making burlap
in the United States YVES 6 46-100 cents a
pound while the Calcutta make could be
placed in the American market at San Fran
cisco or New York at a cost of 63-100 cents
pound. Mr.. Rutherford also pointed out that
Japanese competition was entering the
market One big jute mill had transferred
its machinery to Japan to get the benefit
of japanese cheap labor. One Japanese
capitalist had endeavCred to effect a deal
by which Mr. Rutherford's mill would be
transferred to the Japanese, guaranteeing
hat the labor could be secured at IL cents
per day of thirteen hours and coal at 90
cents a ton. 1t had been found that
foreigner; could not own mills in Japan,
however, and the deal had been abandoned.
Rates for water insurance and taxes were
much higher in the United States as well
as labor than in other countries, so that
the American manufacturers were at a
disadvantage. Two hundred educated young
men had left California in the past two
years for ,he Central American states to grow
coffee and many others had gene to Alaska
because no employment was TO be found at
home.
In reply to a question from Chairman
Dingley, Mr.. Rutherford said that the Nc
Kiney bill rate of 1B cents a pound on
burlap was little as the industry could
prosper under. In answer to a question by
Mr.. Evans of Kentucky whether jute was
colOred in manufacturing to counterfeit
hemp. the witness said it was not done in
California, but he predicted that jute and
hemp in the course Of twenty-five years
would be grown prohtably on the coast
With a sufficient duty on the manufactured
article, he would be glad to see SS or $40
a ton on the raw jute.
;,,at \
the government has received $2,0O0,0 900 duty
on burlap and $5OO.OOO on bags per year
under the Mckinley bill. all of which had
been thrown away by the Wilson law
The next witness, Mr.. Crawford Lyon CT
Baltimore characterized Mr. Rutherford as
an "alarmist" and declared that this state
ment regarding free entries of goods were
absolutely untrue. Mr.. Lyon is an i'm
porter and he came armed with a load of
samples, declaring that only three
varieties of those he exhibited were entered
free. His plea was for lower duties on oil
cloths and linoeums, as the law, he de-
clared, restricts importations and lavishly
protects manufacturers. The witness de
clared that American manufacturers could
make these goods cheaper than they could
be made abroad by reason of more efficient
machinery and that any requests for an ad-
vance of tariffs should be looked on with
suspicion. 1t would give the four close
corporations controlling the American mar
llet, he asserted an opportunity they never
had neglected to squeeze the public.
Chairman Dingley stated that under the
Wilson law importations of linoleum has in
creased so per cent and revenues decreased
SO per cent.
INTERESTS OF THE NORTHWEST.
A duty of $25 ton on hemp he did not
think sufficient. In 1885 10000 tons were
produced in two states; in 1889, under a duty |
of $25 1000 tons were produced, and last
year but 5000 tons.
Mr.. Johnson of North Dakota Interrupted |
to say that the northwest had supported jute |
and MANILA on the theory that there was no
substitute for them so cheap for binding |
twine.
Mr.. Combs said he did not claim that a |
protective duty on jute, MANILA and hemp |
would not slightly raise the ccst, but on a |
protective basis this was to be expected |
The farmers would get this back II the pro- |
tectve theory was to be placed in operation |
in an increased price for their wool.
The price OF binding twine Mr. Johnson |
said, In 1885 wG3 % cents in 1887 10 cents |
and last year cents.
Congressman Van Horn of Missouri said |
If fair duty was placed on hemp, Missouri |
the finest hemp producing state in the coun-
try, would 20 back TO It's production. The |
hemp industry in Missouri was destroyed. |
With duty 1t would become the second agrl-
cultural production in the state.
j. N. Bems of Boston, burlap manufac-
try in this country worthy of protection. as
but per cent OF the jute was grown here |
after twenty-five years Of protection. Repre-
ientinB the GurlaQ bagglng industry he asked |
a duty OF 35 per cent on imported bags and |
free raw mateii ial.
Il. r. Biddie o. New York, an importer of |
jute fabrics. submitted a brief. He COM
mented on samplC5 OF cloths admitted free
70 burlGps in San Francisco, exhibited by
Mr.. Rutherford, which he declared would not
be admitted In New York, and which were
rot, In his opinion, burlaps at all. lie ad-
y'sed that the Treasury department be notl
fold OF this clear evasion at San Francisco.
Charles a. Pearce Of st. Louis, represent
ing the manufacturers of cotton bagging and |
cordage asked for a restoration OF the duty
on those products In the act of 1890, with
reduction OF about 25 per cent He said he
had been one OF those who had been forced |
TO suspend the manufacture OF hemp when
jute was placed on the free list by the ac,
0f 1890. He also made interesting statements
In regard to the threatening disaster from
Japanese and Oriental competition. Mr.. !
PCarce said the importation OF jute and other
vegetable nbers free had displaced 1000, 900
bales Of cotton. If he were cotton planter
he would be there, asking FOR a duty on all
vegetable hbers. On cotton bagglng he asked
h cent and on cordage l cent, a reduction
Of % per cent from the rses OF the act OF
1890
The committee then adjourned until Mon
day. when the hearings will be devoted TO
the tobacco schedule.