Northern Wisconsin advertiser. [volume] (Wabeno, Wis.) 1898-1925, 1904-10-27
TIE DUMPING" POLICY.
II Prevents Depression ana heepe
Our WorkinRnsen EN- p1oyed.


auently try to make political capital by
claiming that the protective tariff is re-
sponsible for the fact that our exporters
in some cases sell their merchandise at
less than prices charged in the home
market.
liz is the very root of success IN all
commercial ventures 10 hold what You
have and gain what you can, and this
is the same in all highly advanced COM
mercial nations, including England, where
free trade prevails. Whenever a H~nu-
facturer has produced more goods han
he can dispose of in the home market,
without disastrously affecting prices, 1t
is always good business policy for him TO
try to get rid of his surplus abroad rath-
er than to reduce his output and incl
dentally the number of men he employs
and the wages he pays then. This
dumping" policy, as the Democrats call
il, has again and l lin served to pre-
vent depression in our home markets and
has saved millions of dollars in wages
to American wOrkingmen. 1t is infinite
ly better that the foreigner should occa-
sionally get goods cheaper than they
can be bought at home, rather than not
| have such surplus sold at all, and Ameri-
can mills be forced into idleness and
American workingmen into serious loss
| in wages.
How British manufacturers pursue
this dumping policy just the same as
American manufacturers will do when
| the necessity arises, is shown in recent
consular reports (See circular No. POST,
| Department of Commerce and Labor.)
Go I'll II nd In
gov, Scotland. says:
Manufactured steel for export is sold for
to 10 per cent less than for domestic use,
| and even at a greater reduction. In other
words the cost Of transportation to foreign
countries where competition Is brisk 70
| largely assumed by the British exporter or
manufacturer by means of this reduction.
Even England Is treated as foreign by the
Scotch manufacturer and gets reductions
| accordingly. The Scotch manufacturer
neither expects nor receives the same profit
| on his exports to foreign countries that he
| obtains at home. In Scotland a combina-
| tton OF prices exists which fixes the prices
| Of steel plate for the whole of Scotland, and
gives the members of the combination
power to sell In other districts than Scot
land, at whatever prices they choose. I
may mention in this connection that an
American sewing machine company which,
| In addition to having large works in the
| United States has works in Scotland SUM-
| cient to supply the European trade, makes
brltlSn consumers pay more Tor macnlneS
manufactured in Great Britain than Amer
lean consumers pay for those manufactured
| In the United States.
Rufus Fleming, U. S. Consul at Edin.
| burgh, Scotland, says:
1t is the policy of British manufacturers
! to maintain prices in the home market at
| the highest possible level and to make what
ever concessions may be necessary In for
eign markets. At all times even when
general trade conditions at home and abroad
| are excellent, it is the rule, in British in
dustry, to quote lower prices to foreign buy
ers than to the average domestic trader.
| The difference in favor OF the foreigner or
exporter ranges from to per cent. /
have seen invoices of a British firm Of steel
| wire manufactures to German buyers in
which the prices were fully 2OH per cent
lower than the prices quoted to home Gus
| toners. This reduction not due to an
| extraordinary surplus, but principally to a
determination to put certain line of goods
| into competitive markets. In most trades
| the one fixed purpose is not to reduce
| prices to British customers until forced to
| do so.
A prominent brewer, an ex-member Of
Parliament, said:
have been dumping ale and beer on for.
| eign markets all my life, whenever l have
had surplus. Practically every manufac-
| turer In this country sells his goods abroad
| for the best price they will bring, when
| his stock is too heavy to be unloaded at
nome III reasonaDie time, without Dreak-
| ing the market.
James Boyle, u S. Consul at Liver
pool. England, says:
The most interesting Instance Of dumping
| In this Consular district of which | have
knowledge, was that of Drummer, Mond e
Co, chemical manufacturers of Northwich
Cheshire. The products involved were soda
ash and bicarbonate of soda. 1t was dis
tinct policy Of this firm to sell their prod
ucts on the American market at a rate
which not only undercut the American
product, but was less than the price in Eng
| llsh markets. This went on for some time
until the firm effected an arrangement with
parties, both American and foreign, inter
ested In the sale of chemicals in the United
States, and then as am informed became
part owners In chemical factories In SYRIA
cuse. n. Y, and In Michigan. | believe 1t
Is true, even now, that occasionally certain
chemicals. and particular bicarbOnate OF
soda, produced in this n,.ghborbcod are
sold cheaper In the United States than in
this market. l am Informed that certain
other manufacturers, like the wellknown
firm Of Nettlefolds Uimited) Of Birming-
ham, which makes iron and brass and
wooden screws, often sell abroad cheaper
than at home.
HI. Clay Evans, Consul General at
London, England says: Il find that man
| ufacturers here endeavor to maintain
home markets, but when they can find
| a foreign market, they will bid for it,
get it il they can without too great a
loss, and thus increase the demand for
| their output and reduce the cost of pro-
| duction without demoralizing homo
! prices"