Evening star., 1935-11-18
OUTSTANDING FACTS OF FAMERICANCANADIANT TRADE

maintained between the concessions
granted by this country on apricul-
tural products and those obtained
from Canada on agricultural products.
Even If the United States had OBJ
tained from Canada little in the way
OF duty reductions on farm products.
our farmers would have gained much
/ from the numerous and important
concessions obtained for American
manufactured goods. The increase in
the exports of our factories, which
seems bound to result, will so add to
the purchasing power of the wage
earners that they can buy more OF
| the products of American farms
| Moreover, our farmers, as large con-
sumers Of Canadian products on which
our own duties have been reduced, will
| be protected against unduly high
| prices for those commodities.
AS matter of fact, however, the
| agreement does much more than this
| for our agriculture. 1t VIII assure
large increases in exports of American
farm products to Canada. There is
| good reason TO anticipate that these
increases will at least equal the in
creases in imports of agricultural COM
modities from Canada resulting from
the concessions which We have made
to her. Moreover, in making duty
reductions the Government has taken
the greatest care to prevent injury to
any group of American farmers.
The most important one concession
made by Canada in the field of agri-
culture is that relating to the Cana
dian tariff paragraph which covers
| fresh vegetables Canada has long
distinguished between the season when
her farmers are marketing their output
of such vegetables, and the of sea-
SON" when there has been a basic ad
| valorem rate, 80 per cent since 1880.
applicable throughout the year, but
during the competitive season this has
been supplemented, as regards most
kinds Of vegetables, both by minimum
specific rates in cents per pound and
by so-called valuation advances. Under
this valuation method not only cid
the ad valorem rate apply to value
higher than the invoice value, but the
difference between the two values was
charged as dumping" duty.
The agreement makes great changes
in the charges payable on this i'm
| portant group of fresh vegetables. -"
Effect of Concessions
The effect Of the concessions on the
! charges applicable to those American
/ vegetables which still remain subject
| TO valuation advances may best be
| shown by an illustration. Formerly
/ if the invoice value Of a given vege-
! table were 5 cents per pound, and #
/ the valuation advance applicable were
( cents per pound, the charge would
! have been 30 per cent on 8 cents, plus
dumping duty Of 3 cents, making
a total of 54 cents per pound. Here
after the valuation advance. if applied
/ at all may net exceed "a cents per
pound -four -flfths of the former
cents, and the duty in that case will
be IS per cent of "A cents (namely
IL cents) plus "a cents, or total
of 3.5 cents per pound, as against
the former total of 54 cents, a charge
IS per cent less than before.
A similar adjustment respecting
ad valorem duties. specific minimum
rates, and valuation advances has
been made in those Canadian tariff
paragraphs which cover all excep.
citrus fruits Here the basic ad va
/ lorem rate has been reduced from %
/ TO Is per cent, the valuation advances
have been Cancelled on several classes.
! and such advances as may hereafter
] f1,a,- liz IG r@F fY.,vf rr-51f
be at least one-flfth lower than here
/ tofore.
Important for Farmers.
The statistics of Canadas imports
from the United States in 1880
before the increase in her duties and
in her system of valuation advances.
indicate the great importance of the
concessions obtained for our farmers
by the trade agreement. The total
. value of imports of agricultural prod
ucts from the United States in that
year was about s134O00 000 This in
cludeS, however. large value of free
imports cotton alone amounting TO
over $4,000, ,000), and also some duti-
able articles where the United States
was not the principal source of i'm
ports. The imports of articles dutiable
under present laws. of which the
United States was the principal sup
plier, are only about half of this Sl34-
900 900. Reductions in duty in one
form or another have been secured on
articles accounting for about $53000,-
900 of this total. The charges on most
of these commodities which We ship TO
Canada will be at least third lower
than heretofore. and in some cases the
reduction will range from so to 100
per cent.
Agricultural Concessions.
In return for the benefits thus Sc
cured for our farmers, the United
States has made concessions of i'm
portance to Canada's agricultural
community. Our total imports of
farm products from Canada in 1929
amounted to about S45, 100000, nearly
all dutiable. Of this total about So
400 900 consisted of certain animal
feedStuffs, and the agreement binds
against increasing our present 10 per
cent outy ON these. On commodities
|
1929 amounted to about S25 600 600,
the duties have been reduced This
total includes cattle. calves dairy cows
cream and certified seed potatoes. On
these the new lower rates apply only
to specified quantities, any larger i'm
ports continuing to pay the old duties.
These five items accounted for only
$1,000 900 in our imports from Can
ada in 1929
Maple Sugar Duty Cut.
American duties have also been re-
duced on maple sugar. turnips and
frozen blueberries. Imports of these
commodities supplement our made
quate domestic production.
A concession is made by the United
States on cattle, calves and dairy cows.
But the duty reduction on cattle re-