Wool Hopes Centred On U.S. Reducing Duties

Chronicle (Levin), 16 September 1949, Page 5

Wool Hopes Centred On U.S. Reducing Duties

LONDON, sept. 15. The wool textile iudnstrv hope? that the declared willingness of the United States to review her customs ahd^ tarifF policy, will include reconsideration oi' her wo'ol'grid woot* textile duties. ,A, modification of these would do much to increase exports to Amcrica. One replv to American compl'aints that British wool cloths are too doar is that if the United States were to remove her present snbstantial duties on imported wool and -wool manufactures — a very remote prospect — British wool cloths would enter the United States at approximatelv two-thirds of their present landed cost. A 16oz wool cioth from Yorkshire sold to the United States at 10s per vard, ent'ers the United States at 15s 2d owing to a total dutv of 44 per cent. to which mnst be added abont 17 cents (roughlv I0d) for carriage and insurance. On n 7s 6d British cloth of 16ozs, the total dutv is exaetly 50 per cent. Of the total dutv on imported wool cloth, only 25 per cent. is protection for the American manufacturer. The balance is represented by a specific dutv of 37i- cehts f about Is lOd) per clean 1b on imported apparel wool whether in the raw or manufactured form. This is imposed so that the American wool grower may -sell his domestic/clip at morp than world prices. As wool from Britain and the Dominions represents 11 per cent. of all sterling commodities imported by the fnited States, a lower wool import dutv would not only encourage increased United States purchases of imported wool but would also reduce the price to United States eonsumers. The Yorkshire. viewpoint is that if the United States wool grower needs assistance, it might be given bv a direct subsidv rathcr than by levyina a heaw dutv on wool imports and wool manufactures.