Evening star., 1947-06-26
Wool Bill Veto
Hits Mistake
Of Higher Tariff
Attempt to Override
Will Have No Chunce
Burkley Declares
By Joseph A. Fox

President Truman today vetoed
a bill to permit higher wool tar
ifs and providing for continua-
tion of Government supported
prices on wool.
In a message to the Senate, Mr..
Truman said the legislation would
have an adverse effect on our inter-
national relations" and embodies
features mot necessary for the sup
port of our domestic wool growers
It was the Presidents third veto
within two weeks. He previously had
vetoed tax reduction bill and the
Taft-Hartley labor bill
When the wool bill veto reached
the Senate, Senator Aiken, Repub-
lican, of Vermont asked that it be
referred to the Agriculture Com
mittee, which arranged a meeting
for 2:3o pm. to consider what
action will be taken.
Senate Minority Leader Barley
told reporters there is no chance
that the legislation can be enacted
over the veto.
The Senate passed the bill by a
vote of 48 to 38. The House passed
1t by voice vote after refusing, on
a roll call tally of 1871 to 1866, to send
it back to joint committee for re-
vision.
Opposed by Marshall.
The bill had been urged by West
ern growers but vigorously opposed
by Secretary of State Marshall and
other administration leaders in Con-
gress who contended it would under
mine United States efforts to lower
world tariff barriers at the Inter-
national Trade Conference at
Geneva.
The President said he did not
object to the proposal to contir.ae
the price support program until the
end of 1948 - which would keep
wool around Al to AZ cents per pound.
He did object, however, to the
plan to increase the tariff by i'm
posing import fees.
OF this he said: This was done
to provide a means of increasing
the domestic market price of wool
to approximately the support price,
thus shifting the cost of the sup
port from the Treasury to the wool
consumers. The prices of the wool
products are already high"
Report Price Drop.
A group of legislators from wool
States-Senator OMahoney, Demo-
crat, wyoming; Senator Hatch
Democrat. of New Mexico, and Rep
resentative Granger, Democrat, OF
Utah, who saw the President last
Saturday, said that since the sup
port price ended on April Is the
price had dropped to around 80
cents pound.
In his message today, the Presi-
dent said he would support legisla-
tion to maintain prices at the 1916
levels and urged that Congress
enact measure along that line.
The text of the message follows:
"To the Senate of the United
States-I return herewith, without
my approval, S. 814, entitled the
Wool Act of 1947.'
This bill contains features which
would have an adverse affect on our
international relations and which
are not necessary for the support of
our domestic wool growers.
"As originally passed by the Sen
ate, the bill directed the Commodity
Credit Corporation to continue until
the end of 1948 to support prices to
domestic producers of wool at not
less than 1916 levels. 1t further au-
thorized the Commodity Credit Cor
poration to sell wool held by 1t at
market prices. I have no objection
to these provisions.
Cost Shifted in House Bill.
"As passed by the House, the bill
carried an amendment intended to
increase the tariff on wool through
the imposition of import fees, This
was done to provide a means of in
creasing the domestic market price
for wool to approximately the sup
port price, thus shifting the cost of
the support from the Treasury to
the consumers of wool products.
The prices of these products are
already high.
THE conferees of the two houses
agreed upon a measure closely fol-
lowing the House bill but empower
ing me to impose import quotas as
we'll as import fees.
r. THE enactment of a law pro-
viding for additional barriers for
the importation of wool at the very
minute that this Government is
taking the leading part in United
Nations Conference at Geneva called
for the purpose of reducing trade
barriers and of drafting charter
for an international trade organ
ization in an effort to restore the
world to economic peace, would be a
tragic mistake 1t would be blow
to our leadership in world affairs.
It would be interpreted around the
world as a first step on that same
road to economic isolationism down
which we and other countries
travelled after the First World War
with such disastrous consequences,
'I cannot approve such an action.
Ample Time for Action.
"The wool growers of this country
are entitled to receive support
There is still ample time for this
Congress to pass wool legislation
consistent with our international
responsibilities and the interests of
our economy as whole. / urge
that the Congress do so promptly
A bill based on the general prin-
ciples and policy of the original
Senate bill would be acceptable to
me, although I would prefer a more
permanent wool program, as sug-
gested In my memorandum. which
was made on March II, 1916.
For these reasons am returning
S814 without my approval.
Harry S. Truman"
Word came out of Geneva early
this week that If the bill was signed,
Australia, great WOOL growing
country. would ask the whole British
Commonwealth group to support her
demand for adjournment of the
conference.