PROTECTIONISTS ACTIVE.

Evening Star, Issue 11252, 28 May 1900, Page 1

PROTECTIONISTS ACTIVE.

Thk report of the recently-held Intercolonial Protectionist Conference of Australia was very much on the lines that might nave been expected. The completion of a draft Federal Tariff assumed to be suitable to the needs of the several States of the future Commonwealth was the first business. The delegates, having fully set forth iheir views,- and the principal requirements their several colonies, have agreed to a draft tariff which forms the schedule to t.ie report. In the opinion of the Conference, the principle of scientific Protection has heen embodied in this‘tariff, the follow--ing principles having been kept constantly i.i view:—That raw materials for the production of which Australia is unsuitable should be admitted free, or at a low rate of duty. That the amount of import duty imposed for protective purposes on any article should be bfised on the difference between the cost of production of such article in the country of its cheapest production and the estimated cost of production in the Australian Commonwealth, having particular regard to the difference of wages paid, hours worked, and social conditions in each case. But in every case the Conference declare that the duty should be such as to favor the domestic production against the foreign. They urge that the Commonwealth Treasurer, in framing his tariff, should add to the amount of any proposed duly imposed for protective purposes an amount equivalent to any amount that may be imposed for revenue purposes on any articles entering into Ihe composition of the imported article. That, in the levying of duties for revenue purposes, luxuries should be taxed rather than the necessaries of life. , That, in determining llie rate of duty on any article, consideration should be bad to the facility or otherwise of local competition in its production. The Conference contend that where abundant local competition is assured thoroughly effective duties are essential; while in cases where great organisations and large capital are required, and the nature of the output is likely to restrict the competition to a few competitors, the duty should be moderate, so that, while affording adequate protection to the producer, it shall not subject the consumer to the dangers of monopoly. It is further urged that all goods which compete with protected productions, or which may be used in substitution for such productions, should be subjected to duties sufficient to place them on a level with the protected articles, notwithstanding that they may be impossible of Australian production. The recommendation is made that a clause should be, inserted in the Commonwealth Tariff' Bill to the effect that' all goods, wares, articles, and merchandise manufactured or produced wholly or in part in any foreign country by convict or prison labor shall not be admitted to entry in any Custom-house of the Australian Commonwealth, and that importation thereof shall be strictly prohibited. The Conference' also recommend that bonuses should granted by the Commonwealth for the inifiation‘ of • new industries, agricultural and manufacturing, which may appear, to be suitable to any portion of its territory, and that the manufacture of iron and steel from native ores and fluxes should be thus assisted, as also the manufacture of essential oils, vegetable oils, perfumes, and similar products from native plants, flowers, and fruits; hemp, flax, cotton, and other fibres ; also the growth of raw silk. Unless necessary for revenue purposes, the Conference think that no excise duty of any kind should be levied on internal productions and manufactures, excepting narcotics, spirits, and.beer. The Conference state that, for reasons which are manifest, the details of the draft tariff cannot be promulgated without defeating the end and aims ot all tariffs which are to prevent undue importation and to conserve revenue. This, they assert, was quite understood in the Federal Convention debates, when the danger was pointed out that the New South Wales importers might half destroy Customs revenues of the first year of the Commonwealth by indenting under a free tariff, and thus evading the duties. There are, however, the report proceeds to say, a few loading lines that may be mentioned, because they affect enormous interests, and also for the reason that they illustrate the principle on which the Conference have acted all through. It is held, for instance, that Australia, when well instructed, can grow and manufacture tobacco equal to the best in the world ; and therefore the proposal is that the import duties on manufactured and unmanufactured tobacco and on cigars and snuff should be made more effective— i.e.. we presume prohibitive. On wines, both still and sparkling, and on spirits a material increase is proposed. All tools ot trade and reapers and hinders for farmers are recommended to be admitted free. Iron is to he adequately protected, as a means of developing the immense riches of the Commonwealth. In regard to sugar and tea, the former is considered by the Conference an item upon which a prohibitive duty might fitly-be imposed, in consideration of the productive powers of Australia. As to the latter, they recommend the settlement ot the tea- duty as one that will serve two useful ends—first, to' conserve the revenue by an impost on an article of universal consumption ; and, secondly, to make the poor and rich pay more equitably on the respective values they consume. In conclusion, the report sets forth that “ The Conference have drafted a' constitution under which it is hoped the whole of the Protectionists of Australia will 1 e con solidated in a homogeneous and flexible union, governed from a supreme council consisting of delegates from each of the Projectionist headquarters of the respective States forming the Commonwealth; In concluding ' this brief resume of their proceedings the Conference desire to urge upon I’r-uc-tionists everywhere the necessity for immediate action. A. campaign of education must be undertaken, in which every part of the Commonwealth must be made ito understand that its interests are bound un with the progress of the nation, and that interests apparently diverse arc in reality identical; that no section of the community can be injured without a corresponding injury to other portions ; that' Australians must stand together as a whole, and work unitedly and strenuously, not only to found a great and mighty nation, but‘to establish themselves as a prosperous, happy, and contented people.” It is well that the Protectionists have made it distinctly clear what their aims and' objects are. The advocates ,of Freetrade will evidently have their work cut out in. the Commonwealth Parliament against such a- powerful organisation and the influence of the Protectionist Start's.