, 1921-12-29
DOLLAR DUTY ON
CRUDE OILS IS
URGED TODAY BY
BIG OPERATORS
National and Midconi-
nent Association Men
Go Before Committee
With New Request

WASHINGTON, Dec. 20
The fight for an import duty
on crude oil, lost in the house,
was renewed today before the
senate finance committee but
with proponents not agreed as
to h date desired,
Senator Harreld. Republican, Okla
homa. opposed h rates proposed by
Senator Curtis. Republican. Kansas
Is cents q barrel on crude and Is
cents on fuel oil. Harry II. Smith Of
Tulsa, Okla. speaking for the Mid
continent Oil & Gas association. urged
n rate of 81 a barrel on crude md
w. II. Gray OF Tulsa, speaking for
the National Association OF ~Independ-
emit OIL Producers. urged that Amer
lean producers be put IN equal foot
ing with those in Mexico. Colombia
and Venezuela
Mr.. Gray said there should be a
provision In the tarir law that the
duty on oil should equal tho combined
import and export taxes placed on
petroleum by the countries exporting
same Il the United States
Senator Smoot. Republican, Utah.
indicated his opposition to a tariff
that would shut Mexican oils out of
tho American market. MI. Smith re.
piled It was not the purpose to pro-
Init imports but to prevent dumping
of oil into the United States. He de.
MED that tho purpose of the tariff was
to increase the prices to domestic on
sumers and said also that n duty
-..~lA - a. r.~~r.- tLo ~.tx- -
gasoline as American oils produced
twice as much gasoline as Mexican
oil.
Mr.. Gray in the course of his test.
mony said "the industry in the mid.
continent field has been from 20 per
cent and 75 per cent shut down this
year.
Opposing a tariff on oil. counse for
railroads in the west said in a brief
read by Alfred p. Thorn, OF Washing
ington that a duty on Mexican oils
would force those roads to return to
the use of coal, thus largely increas-
ing operating costs at a time when 1t
was highly desirable to reduce those
costs. The brief set forth that there
was not enough midcontinent oil avail
able to the roads to supply their needs
and that they were largely dependent
on Mexican oil.
WASHINGTON. Dec. zs.-An i'm,
port duty of 81 a barrel on crude oil
was urged before the senate finance
committee today by Harry II. Smith
of Tulsa, Okla. for the Midcontinent
Oil & Gas association and the Ma
tional Association OF Independent OIL
Producers.
Mr.. Smith appeared before the com
mittee at the renewal of the fight for
an import duty on crude petroleum
and fuel oil. lost in the house of rep
resentatives. He said a duty on oil
was necessary, first as a conservation
Measure to preserve for future use
and insuring against waste of this
domestic deposit, end. second to pro
tect the petroleum industry with its
investment of three billions of dol
lars and its more than one million
employees.
Principal importations Of oil are
from Mexico. where, the witness said,
production costs were 81 a barrel be
low those in the United States. Mr..
Smith said it was probable that many
largo deposits of oil will be exploited
and developed in Mexico and south
America in the next few years and
this oil Will be dumped on the mar
ket in this country.
The witness said zoe. 900 OF h 265.'
600 oil wells in the United States pro
duced an average Of "a barrels OF
oil daily and hat these could not be
operated at a profit at present prices
The effect of a tariff, he added. would
be to preserve these wells and at the
same time stabilize the industry. as
well as the price to the consumer.