The American-Philippine Tariff

Wanganui Herald, Volume XXXXIV, Issue 12751, 23 April 1909, Page 10

The American-Philippine Tariff

(Per United Press Association^. WELLINGTON, April 21. The cabled announcement that America

is taking determined steps to close the Philippine market to other nations by establishing free trade between its possessions and American ports seemed to give a ray of hope to the New Zealand flax producer that in the consequent lessened trade with Europe in Manila hemp which , might be expected to following the restrictions, New Zealand flax* would enter more prominently into the calculations of Home manufactures.

Several authorities on the subject, in-

terviewed by a New Zealand Times' representative, explained the position, but they were not very optimistic. America, it seems, has during the. last 12 months, been steadily ousting London' from its old place of pride as the centre of the hemp market pfpthe world, and the Americans with the control over the only place where it is produced, have an unequalled opportunity of turning the stream of trade from the Philippines towards the land of the Stars and Stripes. How this has been done is strikingly illustrated by the weekly market reports' from London showing the destinations of Manila shipments. So recently as July, 1908, shipments to the United Kingdom were greater than those to the Stat«i, but the imposition of export duty on hemp, and the declaration of free trade with America has rapidly altered the balance of business, as the following table shows: — Bales shipped in 1908 to .end of July to United Kingdom 241,000, to United States of America- 187,000; to the end of August 270,000, 253,000; to end of

September 281,000, 289,000; to end of October 318,000, 336,000; to end of November 363,000, 381,000; to end of December 437,000, 469,000.

It can thus be seen how rapidly the Americans scored. The important question to New Zealand is: "Will preferential treatment to American consumers of Manila hemp cause improved demand for New Zealand fibre." Indications are unfortun-

ately against us. Even in the face of the restrictions there was an increased English consumption of Manila. Apparently Manila must be secured, and must form the main material. New Zealand's product coming-in as an adulterant. New Zealand

flax formerly enjoyed a fair market in the States for use as binder twine, but immense quantities of sisal (another vegetable fibre from Mexico) are taking Ate place. English manufacturers like New Zealand hemp for use with Manila, as it improves the flexibility of the rope, and is easier to machine than any other adulterant, including inferior Manila, but free

tr<*d« h<*tvee»i America and the Philippine, .and an export duty on fibre sent to Europe is not going to .turn European manufacturers from Manila hemp to New Zealander's, because our product, though highly useful, has its limitations.