Evening star. [volume] (Washington, D.C.) 1854-1972, 1912-03-26
SPLIT NOT UNLIKELY FOR LOWER DUTIES
Taft Men Believe Roosevelt President Taft Advises Re-
Is Planning Bolt. vision of Cotton Schedule.
MOVES OF HIS MANAGERS REPORT OF TARIFF BOARD
Last Play Recommendations Figures
in Convention. Obtained by Experts
CLASSED PARTY MENACE PRODUCTION COST COMPARED
Nomina the oonelW forded Grades of
Oppose Cotton Yarns
President Taft Advises Re-
vision of Cotton Schedule.
REPORT OF TARIFF BOARD
Recommendations Based on Figures
Obtained by Experts.
PRODUCTION COST COMPARED
Large Excess In Protection Az
forded to Some Grades of
Cotton Yarns.

President Taft today transmitted to
Congress the tariff boards report on the
cotton schedule with the recommendation
that that section Of the tarffr law be
taken up with a view to revision ana re-
ductions In the rate OF duty
The President advises Congress thar the
boards Investigations have shown that
the duties on some cotton yarns is two
and three times In excess of the differ
ence Of the cost OF production In the
United States and abroad. The duties
imposed because of finishing processes
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 distri-
button 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 dates
are greater than the conversion costs in
President Taft asks deficiency ap-
proportion OF 100000 for the board to
further continue its work during April.
May and June. and urges Congress to
continue the life of the board that IL
may prosecute Investigations of the
metal. leather. chemical and sugar sched-
ules which the President has directed.
Summary of Boards Findings.
The Presidents message is a compre-
hensive summary of the boards findings.
AS in its report on the woolen schedu ule
and the pulp and paper schedule, the
| board makes no recommendations. and
suggests no duties I'm its review OF a very
complex subject. The President says he
bases his recommendations on the dec
laration of the platform on which he was
elected-'that a reasonable protective
| tariff should be adjusted to the difference
| in cost of production at home and
abroad"
The report Of the board shows the diff
| Guilty of stating in general terms differ
ences In costs of production for a great
variety of cotton manufactures. the
President wrote. 1.-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 competin z
country. In the case of ordinary warp
| and filling yarns. forming the bulk of the
production of the domestic industry, the
foreign cost of turning cotton into yarn is
| shown to be about 40 per cent of the
domestic cost.
1.-The duty on these yarns is two or
| three times i'm excess of the difference in
cost OF production. On some highly spe-
cialized yarns and on yarns of the high
| est count-that is, of greatest fineness-
the duty in some cases about equalizes
l the dfffaranca in conversion COSfs
Exceeds Cost of Production.
In many cases, however, on the higher
grades OF yarn 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.
yarns into cloth, as between this ooun-
| try and its chief competitor. varies ac-
cording to the character of the fabric.
In the case OF many cloths Of plain weave.
lower than the foreign cost. due to tho
greater number Of looms tended per
weaver in this country. This reduces
the labor cost per yard despite the higher
conclusion Is further substantiated by the
fact that cloths OF this description are
sold by tho domestic manufacturer in this
country at prices as low as those charged
by the foreign manufactures In his own
country. In proportion, however, as the
fabric becomes more complicated land
therefore permits of fewer looms per
weaver) the American cost OF production
increases. In 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 ex-
cess 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 q large variety Of fabrics which
permit Of the use Of many looms per
weaver the prices at which goods arc
sold by the American manufacturer are
as low as the prices charged by the
foreign manufacturer In his own markse
and in many cases lower.
Slight Reduction Suggested.
Under the existing system Of distr1bu-
tion a sli1ht reduction OF duties would
IN some cases materially reduce the price
to the consumer, while In other Gases q
large reduction Of the duties would not
change the price to the American con-
sumner at all"
In the cost Of raw material. the board
reports there Is practically no advan-
ta8e possessed by either country. Com
~
board as samples. the English cost was
found to be on an average OF practically
seven-eighths of the American in two
mills selected.
1t was not possible for the board With
the time and money at its disposal to
investigate each Of the items or the cot
ton schedule, and its work was connned
to warns. threads, textile fabrics and such
specialties as tapestries, plush. hosiery.
table damask and the hike.
Figures are presented to show that. al
though labor costs in the cotton industry
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 occupations much
greater The conclusion ts that on many
plain fabrics the cost Of production In
this country is not greater.
The report gives some figures showing
the difference in cost OF cotton fabrics
at the mill and the cost to the consumer.
Cloth sold at the mill at or cents a
yard reaches the consumer at 10 cents.
Some examples are given:
I'm 1908 a quilt sold at the mill for
621. cents sold to the consumer at 81.
In 1910 the mill increased the price to Is
cents and the price to the consumer went
up to $3.50"
Profits Between Mill and Retailer.
The board argues, however. that in
some cases q reduction in the mill price
might have no reduction for the con-
sumner study of comparative statis-
tics seems to show that the English con-
t,,vc rh>a mar haca,1se fher> is loas