PHILIPPINES TRADE

Greymouth Evening Star, 19 January 1939, Page 3

PHILIPPINES TRADE

G.S.A. TARIEE CONCESSION j WASHINGTON. December 27. A recommendation that the Philippine Islands should continue, to enjoy a preferential trade relationship I with the United States for 15 years ! after their attainment, of political in-) depence on July 4. 194(1. was made today by a joint preparatory commitlee on Philippine affairs. President Roosevelt has issued a statement accepting the recommendations of the committee and urging that Congress should make, the necessary changes in the IPiilippine Indepeudeme Act to avoid the disruption of several Philippine industries. Bi fore lhe Independence Act was I passed. Philippine products had a free i maiket in the United Stales, and Amei r'can products had a free market in j ihe Philippines. The preparatory com- ' mittce contemplates Hie gradual rejinox’al of this special position by both ’ sides. 1 In July. 19H1. the larilfs imposed by | each country on goods irom the other! will amount to 2-5 per cent, ot ih<-| normal rate. The.rcalter tarills will rise by 5 per vent, each year until in I'JGO the full tariff will Im applied by each country againsi the other. ■ REMISSION Ol’’ TAXES. Allhoiigh ibis is ihe recornnmnda-1 lion of Ui<’ committee, many people ' here feel that Congress may change its mind before Ultio. In view ot. increasing Japanese competition with .American products, il is possible that rhe Philippines may lie placed, like Cull,-i. on a permanent preferential basis. The problem was formerly considered bv nolii ii-ia’.is solely from the. point of view of competition by Philippine agricultural products with those of the United Sttaes. Chief of Um committee’s financial reconimend.itions is the proposal that excise taxes which the United States ! imposes on sugar and coconut oil ! from lhe Philippines should be. reiliitI ted to the Islands for (Im rehabilitation of distressed industries there. ; These excise taxes are virtually in- ! creased tariffs, imposed contrary to ’the Congressional pledge that tarills on products of interest to the Philippines would not be increased. Remission of these larilt surcharges. would Ihorofore be tantamount to remwl i rom im-r,:. --bice H.« ' -..i .mid i-i il! m- i- vU- ' <,’> -’<)<■)=’ | u 'r ill:.: coll mi I'