FREE TRADE v.. PROTECTION
[To the Editor of the SPECTATOR.] .
SIR,—Mr. Alan Dore in your issue of 5th inst., in no way dis- proves my statements. In the first place he contradicts the fact that there is a very large trade using steel sheets and plates as raw materials, by comparing the imports with the materials used -for half a dozen other trades and then says it is only five per cent. - He might just as well compare-it with the population, then it could be very considerably less. Then he tries to ridicule my denial that steel is being shipped over here at twenty-five per cent. under cost price by quoting figures . which he says after "careful investigation," and then, "are estimated" ; and finally to the "best of his belief," tinplate bass are being sold at 11 per ton under cost of production. All such vague talk leads nowhere and proves nothing.
The one positive declaration he makes, namely that the 500,000 tons of tinplate bars imported into South Wales in 1930 were, sold at 13 Ss. per-ton delivered works, I challenge as pure romance. This is a market I follow closely, and from January to June, 1980, the current quotations for tinplate bars were 14 13s. to 14 158. per ton, f.o.b. Antwerp, and the cost of freight and delivery to works is 15s. to 16s. per ton more. His long paragraph as to what his company does is no reibta- tion of my statement that the sole purpose of protecting any industry is to enable that industry to get higher prices from the Home Consumer; and I gave an instance'from personal experience which he judiciously -ignored.
In my letter I quoted what Sir Peter. Rylands said at a dinner, namely, that owing to our great disabilities in the way of excessive prohibitive transport rates and high cost of social service, it was impossible for us to compete with countries not so handicapped. And I added that the statement carried its own remedy, namely for the Government to give our industries certain. modification of taxation and transport rates, the same as Continental Governments do.
Your correspondent, however, in order to drag in his tit-bit about doles, just says what is not true, that is, that I did not suggest any remedy for the relief of those industries. I sug- gested the most natural remedy ; but protection says no, now we have got competitive supplies out of the way, we can make our own prices.—! am, Sir, &c., •JAMES H. WEAGER. Leadenhall Street, „London, E.C. 3.
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