Evening star., 1933-01-27
COTTON AID PLAN
CALLED SALES TAX
Farm Bill Puts Hardships on
Thousands of Mill Workers,
Senators Told.
BY the Associated Press.

oy LIE hSSoCldteO FreSS.
Opposition to the domestic allotment
farm relief bill as 1t applies to cotton
was expressed to the Senate Agriculture
Committee today by Ernest N. Hood Of
Salem, Mass, president of the National
Association of Cotton Manufacturers.
His views went into a record of tes-
timony which already included the re-
action Of live stock producers, dairy
farmers and creamery operators.
William Anderson, president of the
Bibb Manufacturing Co., Macon, Ga,
appeared on behalf Of the American
Cotton Manufacturers Association,
comprising Southern mills. Anderson
likewise opposed the bill.
Indications were that the hearings
would extend until the end of next
week, after which the committee hoped
to whip the bill into shape and get 1t to
the floor Of the Senate. Foes of the
measure predicted that even If it should
pass 1t would be vetoed by President
Hoover and that enactment would
probably have to await the new Con-
gress.
acreage Gut Secuted.
Hood asserted it Is unlikely cotton
production would be decreased by the
new plan and contended 1t might be in
creased instead. He told the Senators
the bill would raise the cost Of cotton
goods leaving the mill by 18 to 10 per
cent and greatly reduce consumption
OF cotton products in this country"
He described the bill as an enormous
manufactures sales tax" on q necessity
OF life, which would increase greatly the
cost OF overalls and other low-priced
clothing needed by working people and
the poor
Hood said the bill would work hard
ships on hundreds of thousands of en-
ployes OF the cotton mills. In many
cases, he said. this would remove the
principal source Of employment of
whole communities.
Chairman McNary. Republican. of
Oregon, placed in the record a tele-
gram from Thomas R. Cain. president
OF tne Farmers National Grain Dealers
Association, opposing the bill as huge
costly experiment" 1t was sent from
Bloomington, ILL.,. and said in part:
The allotment plan bill now before
your committee is a huge costly ex-
pertinent, price-fXing, tax-increasine
measure doubtful in accomplishment
requiring huge administrative machin-
cry.
Revolt Declared Brewing.
Farmers are opposed to it both be-
cause 1t Is ineffective and because il
places Washington oficialdom In direct
control Of every farm in the country
The farmers lose control Of their own
affairs under such q plan.
"A country revolution Is brewing, not
against government, but against false
farm leadership trying to hang upon us
an allotment plan or other unsound
legislative experiments"
Further, Gains telegram said the way
to aid agriculture is first by establish
ing reciprocal tariff adjustments to re-
store foreign markets; second, to main
tain full tariff protection for agricul-
ture and shut out foreign substitutes
third, abolish the Farm Board and its
subsidiaries; fourth, provide financial
assistance to prevent general farm fore
closures, and fifth, reduce governmental
expenses.
Under the bill passed by the House
the '"processers" of cotton, wheat, TO-
bacco, hogs, rice, peanuts and dairy
products would be taxed to pay tn
farmer q bounty to bring the price t
the prewar level.
Senator Smith, Democrat, of Soutf
Carolina, has proposed that cotton b'
removed entirely from the allotmen
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