The sun. [volume] (New York [N.Y.]) 1916-1920, 1918-07-30
CANADA'S FOREIGN
TRADE FALLSOFF
shortage Of Tonnage Causes
Decrease Of 100000 in
Six Months.
AN INCREASE IN JUNE
Decline in Import Duties More
Than Offset by Gains in
other Departments.

s,scio, pespafcA to THs suS.
TosoNru, Canada. July 2s.-Ths great
rsvsment OF American troops TO Eu,
roue, which necessitated the withdrawal
a, A certain amount of shipping from the
rroduce carrying trade, has had It's sef-
f.ct, upon canadas foreign trade a.
vail rs the trade Of the United States.
mi, apparently was the principal fac
Ar responsible for the decrease Of $780,
mo- 900 In the June roreign trade Of the
United States as compared with May.
Csnada's trade for June shows an in,
crease Of So, 900, 900 as compared with
NAV. but taking the six months ended
June 80 the Canadian exports are about
iio 900 900 less than tho exports for
me same period OF 1917 and the i'm
Norris are $4,000, 900 less than in 1917.
IN case Of the 1918 exports the June
sr,res. s1os,500. 900. stand as the high
rsoord. Last year the June exports
we're sll6,o00,oo0 May, $14s.oo0,o00.
and March, s1a2.0oo,ooof Then. how
ever the munition factories were send
.ps out moro. and agricultural products
also were being shipped abroad In larger
volume In so far M this years de-
crease il ascribabie to shortage Of ship
ding, this being brought about by trans--
Ter OF vessels to the transport service.
II will perhaps b rectihed later In the
season. II 50. the exchange market at
Canadian centres will be benefited. a.
the Montreal and Toronto bankers have
been considerably inconveniencedl this
year by the relative scarcity Of export
bills Exchange rates during the latter
mar. OF July receded somewhat. the
premium on New York funds falling
slightly below per cent. This may be
an indication that the export movement
Of supplies piled up IN the earlier
months Is now proceeding more salts
faetorily. 80 ".-.,. ''
Customs Revenue Affected.
As regards 1918 imports the monthly
decreases have been consistent Thus
June shows decrease of $15,500,00t as
compared with 1911; May. a decrease
Of $4,000. 900: April, IS. 900, 900: March.
$4,000, 900: February. $16.000.oe0. and
January. $4,000. 900. This. Of course.
Is partly due to the restrictions and i'm
pediments- arbitrarily placed by the
Government. So long as they remain in
evidence the import trade will not be in
good position for a rapid or sensational
recovery 1t would not be surprising II
imports during the second half also ran
behind the 1917 records.
Naturally the decline of the imports
has affected the Dominion Governments
customs revenue to certain extent.
Customs collections for June were not
n, behind last years, the total being
Sis240,00 for June, 1918. as against
sl356o.ooo for June, 1917. In May.
however. there was a decrease OF ST.
900, 900. preceded by a small decrease OF
about 100000 in. April. Taking the
three months Of the new fiscal year to
June 80. customs revenue amounted to
$4,000, 900 in 1918. as against $4,000
900 In 1917. The slight falling off In
this department OF the public revenue
was more than Offset by gains in other
departments, most OF the gains appear
Ing in the miscellaneous" revenue,
which heading covers the various spe-
cial taxes imposed since the commence
ment of war. All told, the revenue Of
the Dominion for the first quarter OF the
fiscal year was $67.o00,000, as compared
with s63.5ooooo collected in the same
quarter OF 1917.
The ordinary current expenditures Of
the Government during the period show
an increase, the total for the June QUAR-
ter Of 1918 being $4,000. 900, as against
SO S00. 900 a year ago. Capital expen-
di,uree this year, according to the books
OF the Finance Department, are about
the same as in 1917. Outlay on war for
the three months Is S19,300.000. as COM
pared with s20,600,000 for the same
three months Of 1917.
Taking the figures as presented there
Is an apparent surplus Of revenue over
expenditure OF all kinds--ordinary war
and capital-of s2s.o0o.oo II those
figures represented the real state OF al
fairs they would indicate that the Do
minlon Government had no occasion to
borrow for Its own needs. But espe-
c,sl,y In case of, the war outlay there
are always large debit entries outstand-
ing, and with these outstanding entries
passed Il rough the books the apparent
Surplus probably disappears a ~ -..
Income Tax Payments.
When Canada's income tax law was
passed last year the intention was to
have the taxes on 1917 income payable
June / but the time for filing the state
nents by parties liable for taxation was
extended and apparently the tax notices
have not yet gone out. This delay has
affected the revenue statements of the
Treasury. as the amounts received from
the tax would reach respectable figures-
IN fll probability these payments will be
LARGELY completed before the end OF Sep
TENDER; and II so tie revenue for the
second quarter will probably show asub-
btant!al gain. Regarding new taxation,
Canada is closely watching the course Of
events in the United States When Con-
gress and the Washington Administra-
eon finally agree upon the methods by
which the greatly increased revenues for
The next fiscal year are to be raised, It Is
tkely that Canada will select such fea-
lures as appear to be suitable for adop-
ton ferA and 5ncarnarata tbara IN tina