Evening star., 1937-07-17

he insists, Is only dependent upon the
well-being, the liberty and happiness
and prosperity OF the people OF all ma
tions. He conceives modern civiliza-
ton to be incompatible with war.
was reminded of Herbert Spencer's as
sertion that "the possibility Of
high social state fundamentally de.
pends on the cessation Of war"
FURTHER. Secretary Hull contends
that civiliza ton is dependent upon
freer outlets for the surpluses of every
nation. without regard to greedy and
shortslghted calculations of momen-
tary advantage in an impra ctical isola-
tlon.' He vlsualizes international re-
latlonships, rather, as fostered by a
liberal policy Of commerce, which
would lower excessive barriers To trade
and lessen injurious discrimina tions-
policy of economic benefit, good
will and fair dealing that would ineH-
tably wipe out the bitter resentment
to which unfair tariff regulations and
selfish dealing have given rise in the
past"
The Secretary Of State believes that
the results obtained even in the short
space OF time that trade agreements
have been in operation justify hia
faith in the ability OF such measures
to create the prosperity and good
feeling Of interdependent nations, and
thus ultimately assure peace
AS an illustration, consider, at his
suggestion, Cuba, Canada and BEL
glum-three countries with which We
now have reciprocal trade agreements,
There was a tWo-way revival in Gu
ban-American trade the first year after
the reciprocal trade agreement went
into effect on September 3, 1884, and
that revival continued into the second
year Of its operation. The rate Of
recovery in the trade between the
United States and Cuba during these
two years has been much more pro-
nounced than the increase in the COM
merce Of either country with the world
generally.
During the second full year Of the
operation Of the Cuban-Amercan trade
1885. through August, 1896, the value
OF United States products sold to
Cuba aggregated about s64 900 900, as
compared with $55 100000 during the
nrst year, and with an average Of less
than $50 100000 during the depressed
tWo-year period preceding the agree
ment. Compared with that two-year
period the rate of increase in the value
OF United States exports to Cuba was
IS per cent for the first agreement
year and lib per cent for the second
American imports from Cuba
reached sl5l 100000 during the first
year under the agreement, after an
exceptionally low average value for the
two preceding years of s5l 900 900.
This large figure was due primarily to
the fact that sugar shipments to the
United States and Withdrawals Of
sugar from bonded warehouses. which
would normally have been made dur
ing the early part of 1884 had been
postponed in anticipation Of the re-
ductions in the rates OF duty on sugar.
Four-fifths Of the Cuban sugar quota
for the year 1884 was filled during the
four months following the conclusion
OF the agreement. The entire 1898
quota was filled during the first eight
months of 1898.
DURING the second year Under the
agreement, when marketings of
Cuban sugar were not disturbed by
earlier witholdings of shipments in
anticipation of tariff changes, the total
value Of United States imports from
Cuba declined to the more moderate
figure Of 5000 900 This, however.
was still more than double the average
OF the two pre-agreement years.
American products on which Cuba
granted reduced duties or increased
preferences accounted for an increase
OF 1412 million dollars in the exports
during the second agreement year over
the last pre-agreement year An
additional seven million dollars WAS
recorded for those commodities from
the United States on which the previ-
Gus duties were bound against In
crease or which were guaranteed CON.
tinued duty-free admission into Cuba.
During the first year under the agree
ment. the additional sales to Cuba of
all agreement items were valued at l6
million dollars more than in l933-
"a. Cuban products granted tariff
reductions by the United States ac-
counted for 81 million dollars out of
Continued on Page B-3)