Omaha daily bee., 1909-05-01
REVERSES HOUSE, BILL PLAN
Senate Committee Has Substitute for
Maximum and Minimum Clause.
UGH RATES TO BE GENERAL
President IL Given Power To Apply
Minimum Duty by PrOclama-
ton 60 Countries Remoy-
tina Discrimination.

WASHINGTON. April @-The senate
finance committees substitute for the
Payne tariff bilIs maximum and minimum
provision was reported to the senate today
by Senator Aldrich, chairman OF the com
mittee. II puts in effect after March 81
1910. a maximum provision for an additional
% pcr cent ad valorem on all OF the rates
~ the senate bill and then gives to the
president the power to apply the minimum
rates to any country or section NJ a coun-
Try by proclamation. II provides for a duty
cf . cents on coffee and 10 cents on tea
imported from countries to which the maxi
mum rates are applied. Tho section also
gives the president the power to employ a
tariff commission for the purpose Of gath
ering Information only.
The senate's retaliatory provision is prac-
tically a reversal OF that originally placed
IN tho Payne bill. Instead OF the maximum
rates applying automatically against a
country which Discriminate in its tariff
laws against the products OF the United
states, the finance committees substitute
makes the maximum rates applicable to all
countries after March 81, 1910, and then
gives the president the power to apply the
minimum rates to those countries which
give the United States equal concessions
with other countries. But the president
must. in his proclamation declare that the
country which is favored with the mini
mum rates does not impose any terms or
restrictions either in the way Of tariff rates
or trade or other regulations, directly or
|, Indirectly. upon the sale or importation into
that country OF any product OF the United
States.
han AsaInst Export Duty.
This. in effect, il the requirement which
was Ia the house bill. In addition the
senate provision requires that a country, in
order TO receive the minimum rates OF the
American tariff, cannot impose any export
bounty or prohibition upon the expectation
Of any article to the United States which
unduly Discriminate against the PRODUCTS
or this country The latter provision was
not made In the house bill. II Is not
thought II would affect Brazil because Of
the export tax placed by that country on
coffee, but It Is expected that II will affect
those countries which impose an export
tax on a raw material which is used for
manufacturing In this country.
The new provision would make the maxi
mum rates applicable TO any colony or
political subdivisions OF a country which
has the right to adopt and enforce tariff
3 legislation. The conditions imposed by the
new section are applicable to the products
OF a country whether imported directly or
Indirectly from that country. No ~restric-
lions are placed upon the president as TO
the number OF persons he may employ to
make thorough Investigations and cxamin-
atoms to obtain information for his use in
carrying out the provisions OF the sections.
Coffee and tea are the only articles on
the free list upon which a maximum duty
is applied.
At the meeting OF the finance committee
the democrats eontented themselves with
ar rc uncing tneir opposition to the provi-
sion. but made no effort TO prevent its
being reported to tho senate.
A large number OF other administrative
features was agreed upon and will be re-
ported to the senate later.
Eject of COnee Provision.
Speaking OF the coffee provision OF the
amendment. Senator Aldrich said today that
1t would apply to Brazil II that country
should discriminate against the United
States, but that il was believed that 1t could
he used so as to influence Brazil and other
coffee producing countries to place the
United states on a favorable footing.
II is not expected that the provision will
have the effect of placing a duty on either
tea or coffee, but that conditions regarding
their admission will continue as at present
coupled with some concessions to us on
other articles. The fact that any country
places an export duty on coffee will not
necessarily cause the United States to al
here to the maximum rate.
The number OF advisers to the president
In the matter of imposing maximum and