Evening star. [volume] (Washington, D.C.) 1854-1972, 1930-07-09
TAX PLAN
STIRRING BRITAIN
SnoWden Calls Bankers
Manifesto "Impudent" and
Makes Light of Project.
BY JOHN F. SINCLAIR.

Nothing has stirred the British people
in recent months as the bankers mani
festo demanding that England put a
tax on all goods, including food stuffs,
imported from outside of the British
Empire.
Yesterday, Stanley Baldwin, Conser-
vative British leader, agreed substan-
tally to the program.
Lord Beaverbrook, 81, born Max Aitken.
son of poor Nova Scotia preacher, but
now a rich newspaper owner in Great
Britain, is behind the move, with the
backing of Lord Rothermere, 81, largest
newspaper owner of England and broth
er of the late Lord Northcl1d,
What will happen? Is the free trade
policy, which has made Britain rich and
great. coming to an end? Philip Snow
den, chancellor of the exchequor, makes
light of the bankers manifesto. After
saving he never heard of four OF the
bankers who signed the document, ne
added
Nothing so impudent as processing to
represent financial opinion has oeen
forthcoming since the notorious mani
festo of the tailors of Tooley street.
Nevertheless, the great "protectlon
within the empire free trade" ngnt mas
started. 1t may take years to settle, but
whatever happens it's of vast and vital
interest to American export business.
Italv irving desperately to produce
enough wheat with her territory 10 Ieeo
her 100000 of population, is not apt
to do it this year. am
Her people consume about 25O,OOO,ooU
bushels annually. This years report
no mt
coed 200 900 900 bushels. Heavy rams
in Northern Italy, where most OF her
wheat fields are located, have cut GOWN
wheat prospects materially.
While italy is spending many millions
of dollars in reclamation work, ana
eventually will produce all the wheat
she needs for domestic consumption,
it has been a costly job. The irrigation
canals in Southern Italy are expensive
and raising a bushel of wheat there Will
cost more than if it came in from the
outside, but the aim of Italy under Mus
solini and the Fascist group, like that OF
a score of other European nations, is
to become a self-cQntained, self-sup-
porting economic unit. Costs more,
but worth it." is the cry.
italy has increased her import wheat
duty several times since the Fascists
took charge in an effort to bring about
this condition.
Free trade is having a hard time in
Europe, too. Still this news from Italy
is ray of sunshine for American wheat
growers. 4
Brazil is in quandryl When she
negotiated recently a $100,000,000 loan
secured by coffee, 1t was estimated that
her coffee surplus on June 80 last would
be 16,500,000 bags. So 1,650,000 bags
af IN he HiCNnEnd
every year for 10 years. Simple!
But now, instead of 16,500,000 bags,
she reveals 21,000,000 bags on hand,
$500, 900 more than her loan" esti-
mate.
What will she do with it? The latest
information is that she Is seriously con-
sidering destroying this extra 100000
bags in order not to spill the beans"
Yet no nation has a more strategic po-
sition in any food product than Brazil
has in the coffee industry, producing
as she does nearly three-fourths of the
worlds supply.
One writer, commenting on the pos
sible destruction of this coffee, says
wealth does not lie in producing COM
modities and then destroying them"
The International Telephone g. Tele-
graph Co. has taken a leaf from the
IOOA VI Vic 0WCu4oll w. Ill SSCuA~
ing telephone concessions in Europe. It's
latest offer to the Rumanian govern
ment shows it.
The I. T. g. T. Co., in return for the
telephone monopoly in all Rumania, has
offered 100000 for the existing gov
eminent telephone equipment and, in
addition, has agreed to make two loans
of 100000 each to the government,
payable in five years. In addition, the
government is to receive per cent of
the gross receipts of the local telephone
company, and also so per cent of the
surplus, after the payment of per cent
dividend to the Rumanian subsidiary of
the I. T. e. T.
The majority of directors of the new
subsidiary are to be Rumanian subjects
and three directors are to be appointed
by the Rumanian government.
1t is stiff offer! The I. T. IL T.
made it against the strong opposition
of two European groups, the German
firm of SiemenS & Halske and the
Swedish firm of Ericsson e. Co.
Foreign nations, one by one, are trans
ferring control of their telephone sys-
TENS into private hands, but at prices
which give the governments substantial
profits from the gross receipts in the
future.
The present government and Parlia-
ment of Rumania are friendly to Amer
lea. So is their new King. So the
Rumanian Parliament ratified the agree
ment and the King signed it yesterday.