Norwich bulletin., 1912-03-27


 taTln boards report on the cotton schedule with the recommendation that that section of the tariff law be taken up with 8 view to revision. and reduc- tions in the rates of duty.
 The president advises congress that the boards investigations have shown that the duties on some cotton yards IS two and three times in excess of the difference of the cost of produc- tion in the United States and abroad. The duties imposed because of finish ing processes are in excess of the dif- ference in the extra cost due to finish ing 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 manu- lecturers 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 eK- cess Of the differences il cost and in many cases the duties are greater than the conversion costs in the mills of the United States.
 Asks $5o10O for Tariff Board. President Taft asks a deficiency ap- propriation of $G0,010 for the board to continue its work during April, May and June, and urges congress to fur ther continue the life of the board that | it may prosecute Investigations of the l metal, leather, chemical and sugar ! schedules which the president has di- reoted.
 The presidents message is 8 com 1 prehersive summary of the boards l findings. As In it's report on the Woolen schedule and the pulp and pa i per schedule, the board makes no 1 recommendations and sug Epsts no dV | ties in it's review of Q very complex subject. The president says he bases 1 his recommendations on tho declara- l ton of the platform on which he was 1 elected-"that a reasonable protective i tariff should be adjusted to the differ l ence in cost of production at home and l abroad
 Differences Hard to State,
 'Trh6 report Of tiso board shows the 1 difficulty of stating in general terms 1 differences fn costs of production for a great variety Of cotton manufac- | tures,7 the president wrote ''The dif % | ferences vary widely, according to the | character of the particular fabric. | The report shows that the cost of 1 spinning cotton yarn in this country is l greater than in the leading competing ] country. In the case of ordinary warp ! and filling yarns, forming the bulk of | the production of the domestic indus ] try, the foreign cost of turning cotton | into yarn is shown to be about 70 per ] cent of the domestic tariff.
 ! 'The duty cn these yarns is two or | three times in excess Of the difference i in cost of production. On some high ] ly specialized yarns and on yarns of ! Av. Ns 1t- afsae ! fineness-the duty in some cases ] about equalizes the difference in con- version costs,
 1 Tn many cages, however, on the | higher grades Of yarn which are proA | duced in this country, the duty is in excess of the difference in the cost of 1 production, though by 8 much less amount than in the case of ordinary warp and filling yarns
 Element Of Labor Cost,
 "The difference in the cost of weav- ! ing yarns into cloth 2s between this country and its chief competitor va ries according to the character of the 1 fabric, In the case of many cloths or 1 plain weave. the American cost of 1 weaving seems to be lower than the | foreign cost, due to the greater num- Der of looms tended per weaver in this country. This reduces the labor cost per yard despite the higher earning of l the American weaver
 This conclusion is further slIb- stanjf.sted by the fact that cloths of l this description are sold by the domes- 1 tic manufacturer in this country at prices as low as those charged by the 1 foreign manufacturer in his oWP coun- { try. III proportion, however. as the ! fabric becomes more complicated (and | therefore permits of fewer looms per WeaVer) the American cost of pIOduc- 1 tion increases.
 'Tn tfse ease of most fancy fabrics ! of complicated weave. the cost of weaving 2s ligIler in this country, but | on such fabrics the present duties are ] in excess of any different in cost, | and in many cages are in excess of i the total conversion costs in this couT- tFys
 Low American Prices, Tos.
 'erhe report further shows that in 1 the case of a large variety of fabrics which permit the use of many l looms per weaver the prices at which 1 goods are sold by the American man. l ufacturer are as low as the prices | charged by the foreign manufacturer
  1 lower.
 'Under the existing system Of dis ] tY1buticr! a slight reduction of duties l would in some cases materially reduce l the price to the consumer, while in 1 other cases, a large reduction of the 1 duties would not change the price to ! the American consumer at all. ! In the cost of raw material, the ] board reports, tdore is practically no ! advantage possessed by either coun- 1 try. Comparing all of the yarns se- ] leoted by the board as samples, the | English labor cost was found to be on l an average Of practically seven- l eighths of the American in tw1 mills 1 selected.
 It was not possible for the board | with the time and money at it's dis | posai to investigate each of the items ] of the cotton schedule, and it's work ! was confined to yarns, thread, textile l fabrics, and such specielties as tap l estries, plush, hosiery. table damask | and the like. l Figures are presented te show thaa | although labor costs iii the cotton in- 1 GuStFy are IF many cases lower in the l United States than in England, yet the 1 actual hourly earnings in this coun D i try are in most of the principal oo- l equations much greater. The con- 1 clusion is that on many piain fabrics
 the cost of production in this country 1 Is not greater.
 Cost to the Consumer.
 The report gives some figures show- ing the difference in cost of cotton