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Story November 28, 1908

The San Juan Islander

Friday Harbor, San Juan County, Washington

What is this article about?

Washington tariff revision hearings target starch trust for selling cheaper abroad while seeking protection at home; citrus growers push for higher duties on fruits; Senator Hale expects minimal changes to tariff law, no radical revisions soon.

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SENATOR HALE DOES NOT EXPECT MUCH TARIFF TINKERING.

Once in a While There Is Talk of It, But There Will Be no Slaughtering of Interests—Starch Trust Under Fire—Citrus Interests Also Heard.

Washington, Nov. 21.—The so-termed "starch trust" was under fire at the hearing on tariff revision before the house committee on ways and means. The cross examination of B. J. Walton, representing the Corn Products Refining Company, which, it was claimed, monopolized the starch business, formed the most interesting feature of the hearing. Citrus fruits also occupied considerable attention.

Mr. Walton admitted that his company sells corn starch in the United Kingdom at a price 40 per cent less than it is sold for in this country. He also admitted that there was a loss in selling corn starch in Great Britain.

Mr. Boutell, of Illinois, wanted to know why Mr. Hill, a member of the committee from Connecticut, who is interested in the manufacture of an article requiring corn starch, could buy the starch in Great Britain at $2.25 a hundred pounds, pay the ocean freight of 10 cents and secure delivery of the article at a saving of 30 cents over the price demanded in the home market.

"Where does the 30 cents go?" he asked. "The committee can understand why you desire a protective tariff," said Mr. Gaines, of West Virginia, to the witness, "but we want to know why you should have it. You are selling your products in Great Britain, a free trade country, cheaper than here, but you want protection here."

"Why don't the American consumers go to London to buy their corn starch?" inquired Mr. Bonynge, of Colorado.

To these and similar questions Mr. Walton was evidently at a loss to reply.

Payne Comes to Rescue

Representative Sereno E. Payne, chairman of the committee and a "standpatter," supplied the answer.

"The sales of your products have been falling off in this country for some time past," said Mr. Payne, "and you are selling at a loss in order to get rid of your product."

Senator Hale, who, as a member of the finance committee of the senate will have to consider the proposed tariff bill next March, asked that tapioca flour be included in the tariff, putting a duty on starch. Several importers urged that tapioca flour be kept on the free list, where it was placed under a decision of the supreme court.

Representatives of California and Florida citrus fruit growers urged a higher tariff on oranges and lemons. A protective tariff on pineapples and fresh vegetables was requested by Florida growers of these articles. A protective tariff on oranges and lemons was strongly opposed by F. A. Hamilton, representing the Italian chamber of commerce and the citrus fruit trade of New York. He wanted the duty on lemons entirely removed, declaring that the American growers were securing an unreasonable profit and driving out the cheaper foreign fruits at the expense of the American people.

Does Not Expect Many Changes

Senator Hale does not anticipate any effort to change the tariff law during the present session of congress.

"Once in a while," he said, "you will hear such a suggestion, but it is clearly out of the question, and it will not be undertaken. And," he added, "it is safe to say that there will not be any radical changes when the much talked of revision is made.

"Recent events have made it certain that there will be no slaughtering of interests. Necessarily there will be some alterations, some readjustments, but no general tearing down and building up. It is clear that the country and congress does not expect nor court such a course."

The senator expects the extra session to be called very soon after the 4th of March. He does not count upon any important legislation beyond the passage of the appropriation bills during the last session of the present congress.

The senator returned to Washington in anticipation of the meeting of the monetary commission, which has been set for Monday, and he said that the commission had not yet been able to prosecute its inquiries so far as to be able to make any important recommendation at the forthcoming session of congress.

What sub-type of article is it?

Historical Event

What themes does it cover?

Justice

What keywords are associated?

Tariff Revision Starch Trust Citrus Fruits Protectionism Senator Hale House Committee

What entities or persons were involved?

Senator Hale B. J. Walton Sereno E. Payne F. A. Hamilton Mr. Boutell Mr. Gaines Mr. Bonynge Mr. Hill

Where did it happen?

Washington

Story Details

Key Persons

Senator Hale B. J. Walton Sereno E. Payne F. A. Hamilton Mr. Boutell Mr. Gaines Mr. Bonynge Mr. Hill

Location

Washington

Event Date

Nov. 21

Story Details

Hearings on tariff revision scrutinize the starch trust for lower foreign prices while seeking US protection; citrus interests debate duties on fruits; Senator Hale predicts few changes to tariff law.

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