Evening star., 1937-04-12
HULL LASKSL|bERAL
TRADE POLICIES
Secretary Urges Lifting of
Barriers Before World
Textile Conference.
BY BLAIR BOLLES.

Worldwide improvement OF working
standards as step toward universal
elimination of trade barriers was urged
today by Secretary of Stat, Hull on the
representatives of 26 countries here for
the world textile conference.
Hull was the first of three New Deal
leaders who appeared in quick success
sion this morning before the confer
ence in the departmental auditorium.
The others were Secretary of Agricul-
ture Wallace, who stressed the inter-
dependence of cotton farmer and tex
tile worker, and Edward MCGrady,
Assistant Secretary of Labor, who fore
saw a SO per cent increase in textile
consumption if all textile wages are
increased to European levels.
"A liberalization of policies and prac-
tices in international trade is vital to
the permanent improvement of your
industry" Hull said. There are many
ways in which you can contribute to
the realization of such program.
THE very subject which is so promi-
nent a part of your present discussion
the improvement of labor standards
has a bearing of great Importance
upon the trade situation. In many
instances, disparitieS in labor stand
ards have provided the occasion for
increasing trade barriers The i'm
provement of such standards would
do much to alleviate the pressures di-
rected against the reduction of trade
barriers"
Expresses Reasons.
On the heels of HullS illustration
of how trade barriers might be low
cred, Secretary Wallace pointed out
to the delegates why they should be
lowered, saying:
"Over half of the United States
cotton crop is exported. More than
any other major agricultural product
of this country, cotton is dependent
upon the freedom of international
trade. Restrictive nationaliStic pro-
grams which stifle export trade can
not help but injure cotton producers,
and through them, in turn, the wage
levels in industries into which surplus
labor from the cotton fields can shift"
This industrial labor must be ade-
quately paid if broadened conSunp-
ton, the chief concern of the worlds
textile producers, is to be realized,
McGrady said. Every section of the
globe demonstrates a need for a more
sufficient livelihood, he went on, and
there is huge potential contribution
to consumption in the millions of
jobleSs.
Even in the United States, recog-
nized as possessing the highest stand
ard of living in the world, he told
the men from abroad, insufficient
purchasing power is such that two
thirds of the workers have no run
ming water, % per cent of Americans
lack bathtubS, third of them do
without gas or electricity and a third
subsiSt on diet deficient in greens
and milk.
Difference in Demand
Furthermore, said McGrady, touch
ing on the point of chief concern to
his listeners, the average American
spends only IA cents of every dollar on
clothing, while telephones and auto
mobiles are rare and many housewives
use window sills for refrigerators.
These facts clearly demonstrate,
NcGrady said, that there is a tre-
mendous market in this country that
has remained almost untouched 1t
awaits adequate purchasing power on
the part of middle and lower wage
groups. The potentialities for the
products of the worlds industries are
certainly clearly revealed by the exist
ing situation in the United States.
Equally great potentialities exist in
other countries"
HullS talk emphasized that wider
trade must go hand in hand with i'm
proved living standards for the laborer
If consumption is to be broadened to
any appreciable extent He criticized
governments which place obstacles in
the way of the free flow of world trade
and called attention to the Roosevelt
policy of Observation-Disclosures trade
agreements, remarking:
Anything that can be done to re-
store international commerce on
sound basis must enhance the pur-
chasing power and bring out the latent
demand for textile products which
will permit the industry and those
connected with it to prosper on hith-
erto unknown scale"