The Pensacola journal. (Pensacola, Fla.) 1898-1985, 1921-07-26
SENATE COMMITTEE
WORKING ON TARIFF
Wide Difference of Opinion as TO Effect
of Fordney Bill on the Public.

WASHINGTON, July 25.-Disa gree
ment of experts at TO the nracticability
of American valuation provisions, pro-
posed in the Fordney tariff bill, marked /
the first consideration given the meas
ure today by the senate finance COM
mittee. The committee heard state
ments by Thomas Walker Page, chair
man. and William Burgess, member
of the tariff commission but their views I
differed widely as to what effect the |
suggested basis of levying import |
duties would have on the consumer .
on the one hand and on the manu- |
facturers and merchant on the other. |
Mr.. Page commended the new plan |
meant higher prices on American COM
modities which compete with imports |
subjected to the import tax while his |
colleague on the commission held that |
pyramiding of prices was no more |
likely to result under the home value !
basis than under the present system |
of assessing duties on the foreign /
value. Designedly, the American valu- |
alton plan is to defeat under valuation |
of imports and therefore gather more |
revenue, but the object, Mg. Page said
was phantomlike in character for the !
reason that. little fraudulent valuation !
had taken place Mr.. Burgess sub |
miHed figures which he declared
showed under-valuation of imports in |
1920 to have been discovered in 25 per
cent of all shipments, subject to adj |
valorem rates.
Mr.. Burgess told the committee there
was no other method by which the
government Justly could levy assess |
-rsox 80 J,a
tuating exchange rates. He said it |
presented the only possibility of GUS
toms officials obtaining accurate valu
alton figures on imports and that such |
were vitality important because of their
effect on the ultimate amount OF reve-
nue.
Objection to the proposed change
was voiced by Mr.. Page because he |
said, it meant disturbing further an
already chaotic commerce. He felt
that the element of doubt and I'M
certainty which would enter into bust
ness transactions for the next few
years warranted that the change be
deferred until conditions are more fav
orable. The International economic
situation. Mr.. Page explained, should
be given an opportunity to right itself
pShO4 Z Ills 1ihASiAI Si4Oe'AA ihhP|
what he called a radical departure
from proven methods at the customs
house
There is no other way of meeting
the exchange situation except by this
valuation provision" Mr.. Page added, |
"but / do not believe it will accom-
plish what is claimed for it. I think
it will fall far short of what IT is sup
posed to do and at the same time will !
keep business moving in the dark for
no one knows what its effect is going
TO be and no one can tell what effect
it will have on different commodities
Mr.. Page said, however. that the
plan could be developed and he be-
lieved that if given time it could be
made practicable but his principal OBJ
lection was to putting it in effect at
this time. He mentioned as another
danger the extension of so much re-
sponsibility and power to customs ap-
praisers.
The power opposed by Mr.. Page
would be turned to the account of the
government itself, according to Mr..
Burgess, who declared that, under the
American valuation, control of the i'm
ports for the first time rested fully
with the American government. He
added that, for the same reasons,
diplomatic entanglements would be
avoided and questions of the enforce
ment of the law would be disposed of
without delay or difficulty.