Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1911-12-21
LOWER RATES ON
WOOL ARE URGED
President Taft Sends Message to
Congress with Long-Await-
ed Report
DUTIES NOW PROHlBIT0RY
Greatly in Excess of Actual Diff
ference in Cost of Production
Here and Abroad-Need
Of Revision.
DUTIES NOW PROHlBI7ORY

sent to Congress to-day the long-awaited
report of the tariff board on schedule *
of the Payne tariff act and with it a
message recommending that the rates on
wool and woolens he materially reduced.
The report shows that the existing
duties on many classes of wool and wool
manufactures are prohlbitory and greatly
in excess of the difference in the cost Of
production here and abroad The duties
are so arranged as to keep out of the
United States entirely woods OF finer
qualities which if imported might be used
to displace the cheap substitutes now
employed President Taft calls attention
to these points and urges that revision
of the schedule be proceeded with at once
He characterzes the report of the tariff
board as the most complete and eX-
haustive statement of the difficult and
complicated subject ever presented to a
legislative body. He declares it mont
ment to the thoroughness, industry, i'm
partially and accuracy of the men en-
gagged in it's making He also dwells with
emphasis upon the fact that the report
is a business one and asserts the belief
that it will convince all of the wisdom
of making the tart, board permanent
Neither the President nor the board
propose definite rates of duty. Mr.. Taft
holding that the function of the board
merely is to present findings of fact on
which rates of duty may be fairly deter
mined in the light adequate knowledge
and in accord with the economic policy
to be followed. President Taft recon-
mends tht the proposed revision adhere
to policy of protection based upon the
difference in cost of production at home
and abroad.
In his message after referring briefly to
the creation of the tariff board, the Presi-
dent says
TAFT'S JUDGMENT UPHELD
In my message of August II. 1911. ac-
companying the veto Of the wool bill. L
said that. in my Judgment. schedule K
should be revised and the rates reduced
My veto was based on the ground that
since the tariff board would make. In De-
cember, a detailed report on wool a fair
regard to the interests of producers and
consumers demanded that legislation
should not be hastily enacted in the alb
sence of such information
II now submit report OF the tariff
board on schedule X. The board is unani-
nous in its findings on the basis of these
findings I now recommend that Congress
ule with a view to its revision and gen
eral reduction of its rates.
THE report shows that the present
method of assessing the duty on raw
wool, this is, by a specific rate on the
grease pound O. unscoured), operates
to exclude woods of high shrinkaEe in
securing but fine quality from the Amer
lean market and thereby lessons tho
range of woods available to the domes-
tic manufaC turer: that the duty on
occurred wool of 80 cents per pound is
prohibitory and operates to exclude the
importation of clean, low priced foreign
woods of inferior grades, which are
nevertheless valuable material for manu-
featuring, and which cannot be imported
in the grease because of their heavy
shrnkage, Such woods. if imported,
might be used to displace the cheap
substitutes now in use
These determinations could be over
come by assessing duty in adj valorem
terms, but this method is open to the
objection. first that it Increases adj
m!nistrauve difficulties and tends to de-
crease revenue through undarvaluations;
and second that as prices advance the
ad valorer RAJ" increases the duty per
pound at the tine when the consumer
most needs relief ana the producer can
best stand competitions while If prices
decline thc duty is decreased at the time
when the consumer is least burdened by
the price and the producer most needs
protection.
METHOD rs Feasible
Another method Of meeting the
difficulty ot taxing tn" grease pound il
10 assess a specific duty on grease wool
IN terms Of It's secured content This
obviates the chief evil OF the present sys-
tenn. namely the discrimination due 10
different shrinkages. and thereby tends
greatly TO equalize the duty. The board
reports that this method Is feasible. This
would make available TO the American
market woods Of both low and fine quality
now excluded.
The report shows in detail the
difficulties involved in attempting to state
in categorical terms tho cost of wool pro-
duction and the great differences in cost
as between different regions and different
types of wool II Is found. however. that
taking all varieties in account, the aver
age cost OF production for the whole
American clip is higher than the cost
in the chief competing country by Al
amount somewhat less than the present
duty
The report shows that the duties, or
oils wool wastes and shoddy, which are
adjusted to the rate of 80 cents on secured
wool are prohbitory In the same measure
that the duty on secured wool is prohibit
tory. In general. they are assessed al
rates as high as, or higher than, the
duties paid on the clean content of woods
actually imported. They should he re
duced and so adjusted to the rate on woo
as to bear their proper proportion to the
real rate levied on the actual wool i'm
ports
THE duties on many classes OF WOO
manufacture are prohibitory and greatly
n excess of the difference in cost OF
production here and abroad.
This is true of tops, of yarns with
he exception of worsted yarns of very
high grade) and of low and medium
grade cloth of heavy weight.
"On tops up to Sc cents a pound il
value, and on yarns of 60 cents in value
the rate is 100 per cent. with correspond
ingly higher rates for lower values or
cheap and medium grade cloths the ex-
listing rates frequently ran to 100 pei
cent. and on some cheap goods to over
go per cent. This Is largely due to that
part OF the duty which Is levied ostensi-