Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-04-03
+ ARM TARIFFS MAY
HINGE ON CANADA
Some Increases Depend on
Attitude Toward St. Law
renee Waterway.
CONTINUED From First page.)

to complete the st. Lawrence project
is one Of the reasons why there is a
demand and need Of increasing the
tariff duties on farm products today.
Attitude of Canada Causes Choice,
The attitude of the Canadian gov
eminent would lead to the opinion that
the United States would have to choose
between the st. Lawrence waterway
and material increase in the tariff
duties on imports from Canada-and
the rest of the world, so far as those
kinds of imports were concerned.
If the United States has to make O
choice, 1t Is evident that 1t will not
relinquish the plan to increase ma
terially the tariff duties on imports of
farm products from Canada unless
there Is very substantial assurance
that the treaty for the construction
of the st. Lawrence waterway is to
be finally negotiated and the construc-
ton Of the waterway is to proceed.
The Canadian minister of trade and
commerce, James Malcolm. was WISH
tor in Washington Monday, and that
dication of the linking of the tariff and
waterway project. Mr.. Malcolm called
upon President Hoover at the White
House and it is believed that he may
have talked with other Government
officials while here. At the Canadian
legation 1t was said that Mr.. Malcolm's
visit was social, however.
U. S. Farmer at Rate Disadvantage.
The American farmer would benefit
to the extent of about 10 cents bushel
in freight charges on his wheat shipped
to the Atlantic Seabcard, II the st.
Lawrence waterway were constructed
1t is said. There would be material adj
vantage In the matter of freight rates
on other commodities If the waterway
were completed. The farmers have seen
their markets for wheat and other
grains dwindle away because of the in
ability to meet Canadian competition
in transportation costs.
It was this advantage. possessed by
! the Canadian farmer, that was advanc-
ed as a reason for increasing the tariff
| rates on grain, live stock and dairy
products when the Fordney-McCu mber
act was put through in 1922. Now a
new railway hook-up with Hudson Bay
Is about to be opened up by the
Canadians. which will put the American
farmers at still greater disadvantage
in freight charges.
The American farmers take the posi-
ton that If there is nothing to be done
to equalize this freight differential
which is shutting them out Of foreign
markets with their wheat and other
products, they can at least protect
themselves in the home market by
rearing a tariff wall high enough TO
keep the Canadian products from COM
ing into this country. It Is this posi-
ton which the American Government
is likely to assume. 1t does not intend
to see the American farmer lose his mar
ket abroad and at home. too. That is
quite clear.
It now appears that American off,
cialS have said in effect to Canadian
officials that If definite assurance can
be given that the st. Lawrence water
way treaty will be negotiated and rati-
fed, such assurance may aid materially
in keeping down the tariff duties.
l- Farm Leaders Favor Waterway i
In addition to this, it is known that
farm leaders from States along the
Canadian border. including New York,
Minnesota and the Dakotas, have been
conferred with and they have indicated
that they would not be unwilling to
forego increases In tariff rates affecting
Canada If the construction Of the st.
Lawrence waterway were assured.
The Canadians have been particularly
opposed to proposals to increase duties
on live stock, wool, hides and dairy
products. There Is some feeling also
over the proposed rates on wheat and
less damaging to Canada than the
others. Canadian wheat must continue
to be imported by the United States
because it is of a character required
for blending with the softer Winter
wheat and American-grown wheat can
not be substituted for this use.
The diplomatic correspondence be-
tween the United States and Canadian
governments last year reached tenta-
tive agreement for the division Of the
work on the St. Lawrence waterway
from the Great Lakes to the Atlantic
as follows: IA.
st. Lawrence ship channel ...... $4,000 00(
Lock at sauit Ste Marie. Ontario S,sso,0ot
Proposed work:
Welland Ship Canal ............ 115,600 ,00C
Wholly Canadian section, st. Law
renee subway. 27-foot nayigao
horsepower .................... 19s,670. 00l
Total for Canada ......... s4oo, $780, ol
UNITED STATES.
Present work:
Rivers ~. ..an anu De.o sl7,5se,oot
Locks at sault Ste. Marie, Mich. 26,soo,0Ot
Proposed work:
International section. st. Law
renee shipway, 27-foot naviga-
Of $4,000 HORSEPOWER $500. ls2,1s7,oo'
tionai horsepower ............. $1,000 oot
Upper lake channels up to ~ feet $780, 0t
Total for United States. $685.. 1888 ,oot
Recent Action Hailed as Step.
The recent action of the Canadian
government at Ottawa in approving
with reservations the so-called Beau
harnois project for the development o.