CRISIS IMMINENT

Taranaki Daily News, 15 April 1935, Page 5

CRISIS IMMINENT

UNITED STATES COTTON

PROGRAMME OF CONTROL

FOREIGN IMPORTS FEARED

REFUSAL OF AN EMBARGO

By Telegraph—Press Assn.—Copyright. Rec. 6.35 p.m. Washington, April 13. A number of factors appears to be forcing a crisis in the Administration’s cotton control programme. Since last September’s strike operators have complained bitterly that they are unable profitably to operate under National Recovery Administration wage schedules and at the same time pay the processing tax levied by the Agricultural Adjustment Administration. Employees are equally dissatisfied and from time to time have threatened to recall the strike. In the meantime, according to the Millowners’ Association, scores of plants have been forced to close, claiming that oppressive” domestic policies have been made worse by the continually rising foreign imports of finished products, notably from Japan. President Roosevelt has been requested to place a virtual embargo on Japanese goods and to revoke the processing taxes, or, if that is impossible, to pay the farmers an outright subsidy from the relief funds. Both requests President'Roosevelt indicated would be refused, while Mr. H A. Wallace, Secretary of Agriculture, in a speech at Atlanta to-day urged the south to defend the curtailment programme against criticism. There was no official comment to-day on a report from Tokio threatening reduced consumption of raw cotton if America curbed the sales of finished products, but considerable unofficial comment followed the publication to-day of the trade figures, which showed that raw cotton exports in the eight months ending March 31 were only 3,573,000 bales, compared with 6,098,000 in the corresponding period of 1933-34. Critics of the Administration are making charges that the nation is well. on the way to losing one of the most important world export markets.