TRADE AGREEMENTS [To the Editor of THE SPECTATOR.]
SuL—Why all this exuberance by protectionist papers and the boastful announcement of Mr. Runciman's that it was only by the tariffs that he was able to effect these trade agreements with several countries ? However much he may be able to impress the credulity of simple politicians, all business men know that what Mr. Runciman has done is nothing more than the Government climbing down from the untenable position created by the general tariffs.
What are the facts ? Beyond protecting specific industries supporting the protectionist policy in order that they• may charge exorbitant prices to the home consumer, the Govern- ment has now discovered the irreparable mischief being done to our export trade by shutting out essential raw material which cannot be produced in this country or only at fabulous prices. To try to undo the mischief they now approach certain countries from whom we received essential raw material, offering to remove the foolish and offensive tariff so that business may go on as before. This they call bargaining.
Let me give a concrete instance of this suicidal tariff folly. I am intimately connected with a firm who has paid £200 duty three times on important raw material which is the by-product of certain foreign mines, and not an ounce of which can be produced in this country, but it is the basis of a very important trade employing an immense amount of labour. The neces- sarily increased price owing to the duty is very much crippling the trade using it, and in some cases destroying it altogether. It is, therefore, evident that the purpose of the general tariff was not to foster the trade of the country.—! am, Sir, &c., JAMES H. WEA ER
1 Leadenhall Street, London, E.C. 3.
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