Evening star., 1935-02-18

Newspaper observers attach con-
siderable significance to the signing
of the reciprocal trade pact between
the United States and Brazil. 1t is
held to indicate the importance Of
South American trade in the eyes Of
the administration, as we'll as the
possible breaking of the jam Of in
ternational trade" referred to by Sec
cretary Hull.
mot since the days of the Taft ad-
ministration, says the Nashville Ban
ner, has the White House been the
setting of such a formality. The
treaties signed in the White House
then were arbitration pacts with
Great Britain and France. The un-
usual distinction was accorded the
Brazilian trade pact because the
President desired to emphasize the
Importance he attaches to this agree
ment with an important South Amer
ican neighbor."
A similar point of view is taken by
the Long Beach (CalifD PreSs-Tele-
gram. which states: THE significance
Of the Brazilian agreement, while
important in itself, is rather in the
beginning which it marks. The great
potential market in South America,
even in more prosperous years, has
never been fully developed. With
proper tariff schedules, an equitable
banking system and a diplomatic ap-
proach on the part of the North
American statesmen, tremendous
outlet for this country's goods could
/ be realized
I'm Washington" points out the
Rochester Times-Union, Secretary of
State Cordell Hull expressed the be-
lief that the signing Of this treaty
would break the log JAM thus CIV
ing better prospects for other treaties
to follow the stream that is expected
to increase to some extent the flow
of foreign trade" but the San Jose
(Calif.) Mercury-Herald is Of the
opinion that "the barrier the Secre-
tary does not see is the worldwide
process of industrialization." The
same paper continues: Every ma
ton Is adopting the policy Of develop
ing its own resources. and as fast
as they are developed it raises tariff
walls to keep out competing foreign
goods. The old free-trade order of
century ago cannot be restored
because the old basis of trade no
longer exists"
THE bargaining or reciprocal treaty
is not a creation of the New Deal"
asserts the Philadelphia Evening Bull
letin. "It is legitimate adaptation
of the protective principle. 1t con-
Germs itself with commodity conces-
SionS which on either side lead to
more advantageous trade relations. Z"
In the view of the Atlanta ConStitu-
ton, "the reciprocal trade treaty
of business to international COM
merce."
Under the treaty" declares the
Indianapolis Times, I'VE agree to cut
in half our tariffs on manganese,
Brazil nuts, castor beans, balsam,
ipecac and mate and also contract to
keep on the free list coffee and IL
minor Brazilian products. Brazil
agrees to reduce tariffs from 20 to so
per cent on % items of American ex-
port, including automobiles and parts,
radio apparatus, paints, varnishes.
batteries, steel furniture and cement" :"
The New Orleans Times-Picayune,
analyzing the treaty, holds that 'in
general the tariff concessions granted
by both countries apply to imported
goods that are not seriously COM
petitive with home products" 1t adds
that 1.-The freer exchange of such
products between the two republics is
expected, therefore, to benefit both
without incidental injury to any Of