The Salt Lake tribune. [volume] (Salt Lake City, Utah) 1890-current, 1911-05-19
REPORT OF TARIFF BOARD.

|
President Taft IS tariff board, which
has not been heard of very much re-
Gently except in the way of injunctious
| from the President and others 10 wait
until il could report ON various tariff
schedules, springs all ut once into pub
| lie notice with a report on the question
Of wood pulp and news print paper
| This report is by way Of u comparison
of this industry in the United States
and in Canada, The conclusion is,
that a ton Of news print paper is made
III Canada on the average, for $3.50
less than il is made in the United
cost Of production. The duty of the
present tariff is $3.75 per ton, so that
.hcrc would be u clear profit of $l.60
TO the importer under present condi-
lions. If tha reciprocity agreement is
ratified. the Canadians would have the
advantag, of the full difference, S5.35,
which represents the lower cost of pro-
ducing news print paper IN Canada AS
compared with the cost in the United
States.
The chief item of difference in the
cost. it appears, is that in the United
States the wood from which the pulp
is made costs nearly twice AS much as
such wood costs in Canada, Another
item Of Importance is that many Of the
American mills have older and less
efficient equipment than the Canadian
mills. which arc newer and have I'M
proved machinery.
Naturally, the labor cost in produc'
ing a ton of paper would be one of the
first things to be considered, as affect
ing the ratification of the Canadian
reciprocity agreement, On this point
it appears that there is d very small
difference. rhe total labor average for
the United States is 1927 per ton as
against $31o in Canada. This lesser
cost in Canada would probably be
easily accounted for by reason of the
better equipped mills. for 1t is manifest
that labor under the disadvantage of
old fashioned and less effective ma
chinery would not show as good re-
suits rs when applied in improved and
up-to date equipment. So that it is fair
TO say that there is no difference at all,
so far as this industry is concerned, in
the cost of labor as between Canada
aud the United States.
There would appear, therefore, to be
no reason why the reciprocity agree
mcnt should be opposed, so far as
news paper.msking is concerned, save
only on the part of the American Paper
Trust, which insists on working under
the handicap of ancient and worn.out
machinery. But, after all. there is the
practical question to consider whether,
il case of reciprocity, there would, in
fact, be any lowering in the price OF
paper; whether the Canadian paper
makers would not readily come into an
Trust. through which they would re-
ceive a stated price for their product,
and the American Paper Trust would
take it over in bulk and supply it to
!N"SilNdu HI'io oh 'h' t'ip'S
which the trust might dictate. To say
that such a trust as that would be
easily dissolved, on the same principle
as the Standard Oil Company is ordered
dissolved. is to lose sight of the fact that
the headquarters of this trust need not
be in the United States. 1t might as
well be in Canada, and perhaps more
conveniently to the monopoly. The
prospect, therefore, of getting rid of
the American Paper Trust, and of get
ting cheaper paper for newspapers, is
by no means certain, even if the reel
procity agreement is ratified. We
should consider the likelihood TO be
greater that the trust would be ex
tended to take in the Canadian prod
uct, than that the trust would suffer
the price of paper to be lowered. IT
is a question. indeed. whether the
embryo of such an agreement is not
now in operation, since the S1.60 per
ton profit in importing paper from
Canada, under the tariff, is not in
sight to the buyer.