The Waterbury Democrat., 1936-11-27
PEACE AGENDA BRACKETS
TARIFFS and NEUTRALITY
AS VITAL FARLEY ISSUES
Latin Republics
Seek Lower u. S.
Trade Wall
BY GALE ID. WALLACE
United Press Staff CORRESPONDENT

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Buenos Aires, Nov. N-(UP) -
One Of the most important Of the
economic problems to be discussed
at the Interamerican Peace Con-
ference which opens here Dec.
will be the question Of tariffs and
their effect upon the relations
among the nations Of the Amer
icas.
This topic arises at time when
most Latin-Arnerican nations have
embarked upon programs Of pro-
tective and revenue producing
tariffs. The growing nationalist
spirit in many Of these countries
has caused them to adopt tariffs to
protect industries which might
not survive in competitive world
markets, but which are encour-
aged because they accomplish the
desired effect Of making the ma
ton less dependent upon foreign
producers.
Although business interests would
like to see readjustments OF tar
riffs between the nations. there
is some doubt expressed that this
will be accomplished by the con-
ference. In all likelihood the con-
ference will favor tariff truces that
would have the effect Of postpon-
ing for the time being any
increase in import imposts. Objec-
lions may arise from the fact that
the general tariff level Of the
United States is higher than those
of most Latin American countries.
Tariff StandOff Likely
Thus, to all intents and pur-
poses, a tariff truce would result
In the United States maintaining
its present relatively high tariff
level while the other American ma
lions would remain at a lower
level. To offset this disadvantage
1t is expected that the conference
will favor the creation of trade
agreements among the various ma
tons.
The United States is embarked
upon program OF reciprocal
trade agreements between nations.
Argentina, for one, Is most eager
to conclude such an agreement
with the United States. The United
States would like Argentina to re-
duce tbs tariffs on North American
goods while Argentina would like
easier ingress into the United
States of its cereal and livestock
products. :,
ANY discussion of international
trade naturally eads to problems
involving various currenc1es. In all
likelihood reciprocal trade agree
ments would demand favored
nation treatment in handling OF
currencies. To some nations this
might have the effect of annulling
the benefits they have derived
from exchange control programs.
Foremost among the Latin-Amer-
lean nations which have adopted
the exchange control system OF
controlling their curreI ties are
Argentina, Brazil and Chile.
Adopted as an emergency meas
ure during the financial crisis, ex-
change control has proved IN most
cases to be a success. Argentina,
for instance, has benefited and
has been able to embark upon a
vast public works program in ad-
dition to subsidizing its grain pro-
ducers.
Sanitary Code Sought
Because Of the lack OF time 1t IS
expected that the conference will
adopt, without much discussion,
resolution favoring agreement on
sanitary regulations regarding the
interchange of animal and vege-
table products. This Is favored by
Argentina, which Is desirious OF
exporting its livestock products
such as chilled and frozen beef
and mutton to the United States.
other topics on the agenda
treating with economics are ex-
pected to receive little attention.
However, Argentina may revive
the proposal 1t made at the Mon
tevidioi conference two years ago
that a Pan American flag be
adopted for maritime communica-
ton. Under this proposal, ships
flying such flag would be granted
the same privileges when entering
the ports OF other American ma
tons as those accorded vessels OF
that country. This proposal has
been opposed by the United States.
Resolutions urging improvement
in maritime and and communica-
tons and encouragement OF tour
LIST travel also sre expected TO
receive favorable consideration.
Included among these probably
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