Virginian-pilot. (Norfolk, Va.) 1898-1911, 1899-01-31
OPINIONS OFTilEPRESS.
THE PAPER TRUST IN LEGISLA-
TON.

New York Journal of Commerce
The Pulp and Paper Trust has sue
ceeded in blocking the negotiation of n
reciprocity treaty with Canada. because
the Dominion insists on the removal of
our duties upon pulp. And it boasts of
It's ability to prevent the ratification of
any reciprocity treaty that interferes
with the duties on paper or pulp. The
trust was organized Il year ago: 1t has
practically stiiled domestic competition:
its first act was 10 raise prices, and it is
now undertaking to control Congress
FOR its benefit without the usual ex-
cuses that are made for legislation in
the interest of n domestic industry.
me trust pays no duty on it's mater
lai' pulp woods are free. The duty on
mechanically ground wood pulp is S167
ton. and on paper worth not over ?
cents pound the duty is Sc ton. The
duty is prohibitory and supernuous for
in the fiscal year 1898 no news printing
paper whatever was imported while our
papermakers exported 53.7lS tons of
news and book Dappr. Ptis-cxt,art- Is
sufficient evidence that they reed no
protection from foreign competition.
American manufacturers of printing
paper are now supplying the Australian
and japanese markets, and are under
selling the British. Swedish and Ger
man manufacturers in the British mar
ket.
If the papermakcrs can send n thous-
and tons week to England. Australia
ana Japan they can meet any foreign
competition in the home market Not
only do they get pulp wood free. but
they are guaranteed against any inn
pairment of this advantage by the i'm
position of Canadian export duties. TIL.
law provides that if any export duty
shall be levied by foreign country
upon pulp woods the amount shall be
AIDED 10 the duty We impose upon wood
pulp, or for every dollar per cord of
export duty levied upon pulp woods the
duty on printing paper shall be in
creased one-tenth of cent a pound.
The Paper Trust was capitalizcd nj
fifty-five million dollars. 1t was NOT
uehled that the. twenty millions of COM
mon stock represented water, or, as the
trust euphemistically called it, good
Will: the good will of Congress in
guaranteeing the trust against compcti-
.loh' or an increased price of its raw
niaterlai. That the remaining thirty
I'VE million dollars was several times
the value of all the papermaking mills
taken INTO the trust is quite certain.
me trust took in all the largest and
pest situated and most economically
operated mills. one Of which had made
.siesO0O of net profits on n capital of
soooooo In forty-four months and went
-. ""t WI d DaSlS OF Sf.5O for
every dollar of the original investment.
ana 1t also took in n number of small
or badly located mills or mills without
supplies OF wood at fanciful valua lions
one concern with no ADVANTAGES. and
winch made no profit in 1897. went in M
over half million dollars, and one
concern whose capital stock five wears
ago was 100000 went in at nearly eight
lnliiions. ana another started with n
capital of 700 was taken in.o ,ha
trust ut n valuation of three ma a baif
fniilions. i, has been computed that
every increase of quarter of a cent n
pound III the price of news printing
naher adds tAirt s.-fai,.- ..4iIliap- dollars
10 the value of the trust securities