Evening star., 1937-05-23
LATIN NATIONS HACKING
AT OLD TRADE BARRIERS
South American Countries Action
Linked to Hull's Preaching of
Commercial Liberalism.

has removed the excess duty from
Peruvian petroleum.
Argentina is also negotiating a COM
mercial treaty with Uruguay, although
difficulties here are greater because
Of the similarity Of agricultural prod
ucts produced by the two countries.
A joint commission appointed by
the governments Of Bolivia and Chile
will soon start the study Of the entire
economic relationship between the
two countries in order to make recon-
mendations for increasing trade The
Bolivian government has already an
nounced the appointment of mixed
commissions for the same purpose
with Argentina, Brazil and, more re-
Gently, Peru.
Measure Of Reciprocity Existed.
Although these are all fruits of the
new commercial liberalism which be-
gan at Montevideo, certain measure
OF reciprocity and trade preference
has existed for years in Latin America,
which should only make easier the
progress of the new policies.
An outstanding example is the Cen
tral American convention for the pro-
motion Of trade. 1t provides for the
free interchange of natural products
or manufactured articles originating
in the republics Of Guatemala, Hon
duras. El Salvador and Nicaragua.
exception being made, however. Of
coffee and sugar and those articles
whose sale in the contracting republics
is now or may become In the future,
state monopoly, or unlawful"
Among the special preferential
agreements, that between the United
States and Cuba is noteworthy. Ex-
cept for those articles admitted free
Of duty. it provides that all articles
Of merchandise being the product of
the soil or industry OF the republic
Of Cuba imported into the United
States shall be admitted at reduc-
tion Of 20 per cent Of the rates Of
duty established by the tariff laws
Of the United States. On the other
hand, 1t stipulates that certain COM
modities, products Of the soil or in
dustry Of the United States shall be
admitted into Cuba at reductions
varying from as to 40 per cent below
the rate charged by Cuban tariffs
upon similar commodities from other
countries.
Another special agreement, that be-
tween Chile and Bolivia, An outcome
Of the war Of the Pacific which left
Bolivia without seaports, specifies
that the Chilean government guar
antee the free transit through its
territory Of foreign merchandise which
Is unloaded when destined for Bolivia
or that, proceeding from that coun-
try. is shipped abroad through Chilean
ports. AS between Peru and Bolivia
there Is similar treaty in existence
A special agreement exists also be-
tween Argentina and Paraguay pro-
viding that Paraguayan products
destined for export, as we'll as foreign
goods entering Paraguay through
Argentina, may pass through Argen-
tine territory without the payment
Of customs charges.
These special pacts fit peculiar
conditions OF the trade involved, but
the new reciprocal agreements being
negotiated today on the basis of
mutual tarin concessions have the
added significance that they are parts
Of q larger whole, continental pro-
gram Of commercial liberalism which
was launched almost four years ago
By Secretary Hull.
UopyYighf, 1DS74