The Barre daily times. (Barre, Vt.) 1897-1959, 1912-03-26
WITH HIS OPINIONS ON IT
He Declared to Congress That Investi-
cations Showed That Duties on Some
Cotton Yarns Is Several Times in Ex-
cess of Difference In Production Cost.


that that section of the tariff law be
taken up with a view to revision and
reductions in the rates of duty.
The president advises Congress that
the boards Investigations have shown
that the duties on some cotton yarns
is two and three times in excess of the
difference of the cost of production in
the United States and abroad. The du-
ties imposed because Of finishing proc
essses are in excess of the difference
in the extra cost due to finishing and
are often in excess of the total domestic
cost of finishing
Prices paid by consumers in the United
States are higher than abroad. even
when prices received by manufacturers
in both places are the same This is
said to be due to the higher cost Of
distribution here. Plain cloths are as
cheap here as anywhere, but on fancy
fabrics the duties are in excess Of the
differences in cost and in many cases
the duties are greater than the CONVEX
sion costs in the mills of the United
States.
President Taft asks deficiency appro-
pripaton OF 100000 for the board to
continue its work during April, May and
June, and urges Congress to further
continue the life of the board, that It
may prosecute Investigations of the met
al leather, chemical and sugar schedules
which the president has directed.
The presidents message is a compre
hensive summary of the boards findings.
As in it's report on the woolen schedule
and the pulp and paper schedule, the
board makes no recommendations, amt
suggests no duties in its review of
very complex subject The president
says he bases his recommendations on
the declaration OF the platform on which
he was elected-"that a reasonable pro-
tective tariff should be adjusted to the
difference in cost OF production at home
and abroad"
"The report of the board shows the
difficulty of stating in general terms diff
ferences in costs of production for a
great variety of cotton manufactures"
the president wrote. "The differences
vary widely, according to the character
of the particular fabric.
"The report shows that the cost OF
Spinning cotton yarn in this country is
greater than in the leading competing
country. In the case of ordinary warp
and filing yarns, forming the bulk Of
the production of the domestic industry.
the foreign cost of turning cotton into
yarn is shown to be about 20 per cent.
of the domestic cost
"The duty on these yarns is two or
three times in excess of the difference in |
cost of production. On some highly spe-
eialized yarns and on yarns of the high
est eount-that is, of greatest fneness-
the duty in some cases about equalzes |
the difference in conversion costs.
'In many cases, however, on the high |
er grades of yarns which are produced |
in this country, the duty is in excess of |
the difference in the cost of production. |
though by a much less amount than in /
the case of ordinary warp and filling
yarns.
"The difference in the cost Of weaving
yarns into cloth as between this country
and its chief competitor, varies accord
ing TO the character of the fabric. In the
case of many cloths of plain weave, the
American cost of weaving seems to be
lower than the foreign cost due to the
greater number of looms tended per
weaver in this country This reduces
the labor cost per yard, despite the high
er earning of the American weaver This |
conclusion is further substantiated by |
The feet that cloths of this description
are sold by the domestic manufacturer |
in this country at prices as low as those |
charged by the foreign manufacturer in |
hs own country. In proportion how |
ever as the fabric becomes more COM |
plicated and therefore permits of fewer |
looms per weaver the American cost of |
production increases. Tn the case of |
most fancy fabrics of complicated weave,
the cost of weaving is higher in this |
country, but on such fabrics the present |
duties are in excess of any difference /
in cost, and in many cases are in excess |
of the total conversion costs in this |
country.
"The report further shows that in the
case of large variety of fabrics which |
permit of the use of many looms per
weaver the prices at which goods are |
sold by the American manufacturer are
as low as the prices charged by fhe for
eign manufacturer in his own market |
and in many cases lower.
"Under the existing system Of distri-
button, a slight reduction of duties
would in some cases materially reduce
the price to the consumer, while in other
cases a large reduction of the duties
would not change the price to the Amer.
ican consumer at all"
Report of Tariff Board.
In the cost of raw material the board
reports, there is practically no advan-
tage possessed by either country. Com
pairing all of the yarns selected by the
board as samples, the English labor cost
was found to be on the average OF prac-
tically seven-eighths of the American
in two mills selected.
IL was not possible for the board with
the time and money at its disposal TO
investigate each of the items of the
cotton schedule, and it's work was con-
fined TO yarns. threads. textile fabrics
and such specialties as tapestries, plush,
hosiery, table damask and the like.
Figures are presented to show that
although labor costs in the cotton in.
dustry are in many cases lower in the
United States than in England yet the
actual hourly earnings in this country
are in most of the principal occupa-