Evening star. [volume] (Washington, D.C.) 1854-1972, 1911-12-20
RATES IN MANY CASES
ARE FOUND PR0HIBIT0RY
Pronounces Statement Of Facts a
Monument Of Thoroughness.
ARGUMENT FOR PERMANENCY
Definite Rates Not Proposed-Re-
vision Downward Recommend
ed. With Adherence to
Protection.

President Taft sent to Congress today
the long-awaited report of the tariff board
on schedule of the Payne tariff act, and
with 1t a message recommending that the
rates on wool and woolens be materially
reduced
The report shows that the existing du-
ties on many classes of wool and wool
manufactures are prohibitory 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 quar-
;ties which If imported might be used TO
aisnlace the cheap substitutes now en-
ployed-
President Taft directs attention to these
noints and urges that revision OF the
schedule be proceeded with at once
He characterizes the report of the TAR
iff board as the most complete ana eA-
haustive statement Of a difficult and COM
pncated subject ever presented to iesis-
Iative body. He declares 1t monument
to the thoroughness, industry, imparuaii.s
and accuracy of the men engaged IN Its
making. He also dwells with emphasis
upon the fact that the report Is a unani-
NOUS one. and asserts the belief that 1t
will convince all Of the wisdom OF maNns
the tariff board permanent.
Neither the President nor the DoaId
proposes definite rates OF duty, MI. IaIt
holding that the function OF the coard
mercy is to present findings OF fact on
which rates Of duty may be fairly deter
mined in the light of adequate 'kno"ieuse
and in accord with the economic poncy
20 he followed. President Taft recon-,
mends that the proposed revision adhere
20 a nolcy Of protection based upon the
difference in cost OF production AT no'nc
and abroad.
Urges Revision and Reduction.
In his message, after referring briefly to
the creation of the tariff board. the Presi-
dent says:
'.In my message Of August IL, 1911. ac-
cornpany.ng the veto Of the wool BILL I
said that. in my Judgment, schedule n
should be revised and the rates reduced.
My veto was based on te srouno tnA'
cember, detailed report on wool and
wool manufactures, with special reference
to the relations of the existing rates OF
duties to relative costs here and abroad,
terests Of the producers and the manu-
facturers on the one hand and OF the
consumers on the other demanded that
legis. alton should not be hastily enacted
in the absence of such information: that
I was not myself possessed at that time
OF adequate knowledge Of the facts to de-
termine whether or not the proposed sci
was in accord with my pledge to support
q fair and reasonable protective policy
that such legislat on might prove only
temporary and infiict upon great IN
dustry the evils Of continued uncer-
ta.nty-
tariff board on schedule X. The board Is
unanimous in its findings. On the basis
of these findings l now recommend tha'
the Congress proceed to consideration
of this schedule with a view to revision
and a general reduction of Its rates.
Exclusion Under Present Rates.
The report shows that the present
method Of assessing the duty on raw
wool-that is. by specific rate on the
grease pound ii. G., unscouredD, operates
to exclude woois of high shrinkage In
securing but fine quality, from the Amer
ican market. and thereby lessons the
range Of woods available to the domestic
manufacturer that the duty on secured
wool of 3:i cents per pound Is prohibitory
and operates to exclude the importation
: OF clean. low-priced foreign woods Of In
fertor grades which are nevertheless val
uable materia! for manufacturing ant
which cannot be imported in the grease
because Of their heavy s.irinkage. Sucl
svools II imported. might be used to dis
place the cheap substitutes now in use.
ITO make the preceding paragraph {
little palmer. take the instance Of q hun
dred pounds Of first-class wool imported
under the present duty, which is II cent
Q pound. That would make the duty OIL
the hundred pounds $11.
THE merchant Sc part OF the wool thu
Imported 10 the weight Of the wool Of thi
hundred pounds after securing. II th'
wool shrinks - per cent, as some wool
do. then the duty In such case woult
wool. This. Of course, would be prob bi
tory. II the wool shrinks only 20 pc
cent II would be &11 on 80 pounds o
wool. and this is near. near 70 ;bst the average
from Australia, which is the principe
source Of our imported wool.
These Determinations could be over
terms. but this method is open to the oh
section. first that IL increases admins
trafive d.niculties and tends to decreas
revenue through undervaluat'on: and
second. that as prices advance the q
yaIorem rate increases the duty pc
pound at the time when the consume
most needs relief and the producer ca
best stand competition; while II prices d.
cline the duty is decreased at the tim
when The consumer Is least burdened b
: the pr'ce and the producer most need
protection.
A Feasible Method.
Another method Of meeting the din
Guilty Of taxing the grease pound Is TO a.
sess Q specific duty on grease wool
terms of its secured content. This obv
sates the chief evil Of the present system
casySelv the discrimination due to diffe
ent shrinkaees, and thereby tends great
to equalize the duty. The board repor
that this method Is feasible in practit
and could be administered without gres
expense. The secured content of tt
wool Is the basis on which users of wo
make their calculations. and q duty I
this kind would nt the usages OF II
, trade. One effect Of this method OF q
sessnnent would be that. regardless Of II
rate ow duty. there would be an increai
An the surplY and variety Of wool {