Evening star., 1935-04-15

Much Of the comment on the COM
plant Of cotton manufacturers that
the processing tax injuries their busi-
ness Is sympathetic toward the posi-
tion taken by the mills. Competition
from Japan and other foreign coun-
tries leads to the demand that action
should be taken for relief Of the do
meStic producers.
The processing tax" according to
the Macon (Ga) Telegraph, seemed
sound at the time it was adopted, but
all theories have to stand the test Of
experience; and If the tax IS placing
such . burden ON cotton goods as to
slow down consumption to a marked
degree it may be that the situation
calls for further study. 1t may be
that Senator George is right in his
view that while benefits should still
be paid to the cotton grower as part
Of the plan to control production, the
payments might be made from the
enormous -billion-dol works-re-
lief bill"
The causes of the ills of tine indus
try" declares the San Jose (Calif)
Mercury Herald. "are doubling the
price of cotton. the imposition of proc
essing taxes, the decrease of exports.
an alarming increase of impoFts-es-
peciallv from Japan-an abnormally
restricted domestic demand for cotton
goods and the danger of price COL
lapse. These conditions are the result
Of the cotton reduction program. The
nf that raiSjr0 Y1ri0oS
would expand employment, which in
turn would increase consumption. It
had the opposite effect. The high
price Of cotton goods decreased con-
sumption to the point where the mills
could not dispose of their products. A
partial shutdown became necessary to
prevent breakdown"
Light on the Oriental competition
b shed by the Portland Oregonian,
which says of the present trouble from
that source: THE japanese. in the
rapid industrial development of their
island empire, have taken to the man
ufacture of textiles as if it were de-
vised for their special benefit. Gil
mate, q multiplicity Of nimble fingers
and interested adaptability have ia
vored the spinning Of yarns and the
weaving Of fabrics In Japan; ingenious
japanese mechanics, unhampered by
patent rights, have much improved
textile machinery. simplifying the
processes and speeding up production;
workers are willing to spend long
hours at the frame and loom for
wages that would be pittance to
American mill hands"
The American consumer, thinks
the Pittsburgh Post Gazette, "dOes not
relish paying a tax which benefits for
eign manufacturers, exploiting cheap
labor to compete with American mill
owners, paying wages figured on the
basis of American living standards"
The new Bedford (Mass) Mercury COM
ments: 1.-THE situation presents pic
ture of adversely and suffering that
cannot be dismissed with the Wallace
suggestion that ruined mills and job
less operatives are only "a little sort
of furry as to the future price situa-
ton and that the mills think it is
popular to come out with the 'alibi'
that the processing tax Is to blame for
the trouble"
TT Is evident" contends the
Charlotte IN. c. Observer. that if
relief is to be secured, It must be
granted by the Chief Executive in
view Of the positive and adamant
stand that has been taken by Secre-
tary Wallace against removal of the
processing tax which the cotton man
ufacturers claim is standing between
them and continued operation Of