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Mr. MEYERCORD. No, sir. Of colored work about 50 per cent. There is a great amount of work that is not produced abroad, the letterheading work.

Mr. CRUMPACKER. The total amount of the production in 1905 was $25,000,000.

Mr. MEYERCORD. Yes, sir.

Mr. CRUMPACKER. And the total importations were about $4,000,000. So it seems from your statement that you have almost a monopoly of the market and that you are not at such a disadvantage?

Mr. MEYERCORD. That is one way of looking at it. That is the European value. You must take the American market price. Last year it was $7,000,000.

Mr. CRUMPACKER. You stated that the importations under the Dingley tariff law had increased 1,000 per cent.

Mr. MEYERCORD. Yes, sir.

Mr. CRUMPACKER. Has the domestic production increased 1,000 per cent?

Mr. MEYERCORD. It has stood still practically.

Mr. CRUMPACKER. Has there not been an enormous increase in the issue of these prints during the last several years?

Mr. MEYERCORD. In the twelve years American lithography has advanced possibly 20 per cent, and the imported products 1,000 per cent in the same time under the Dingley law.

Mr. CRUMPACKER. At the time that the Dingley law was enacted the importations were of necessity very small?

Mr. MEYERCORD. Because we had reasonable protection. We had larger protection under the Wilson-Gorman Act.

Mr. CRUMPACKER. The rates were higher under the Wilson-Gorman Act than under the Dingley law?

Mr. MEYERCORD. Yes, sir.

Mr. CRUMPACKER. Paragraph 400 is manifestly a very complicated one?

Mr. MEYERCORD. Yes, sir.

Mr. CRUMPACKER. It has been in operation for nearly twelve years? Mr. MEYERCORD. Yes, sir.

Mr. CRUMPACKER. I presume all of its provisions have been applied and interpreted so that there is practically no uncertainty about it now?

Mr. MEYERCORD. No, sir.

Mr. CRUMPACKER. And decisions have been made covering practically every provision?

Mr. MEYERCORD. Yes, sir.

Mr. CRUMPACKER. So although the decisions may not be satisfactory to you the questions have been settled?

Mr. MEYERCORD. Yes, sir.

Mr. CRUMPACKER. And if the changes you suggest should be made it would open up a new field of controversy which would probably take ten years to settle?

Mr. MEYERCORD. No, sir. We have gotten it to a point where all questions will rest on just about three general propositions.

Mr. CRUMPACKER. Would it not be better if Congress decided to increase the rates of tariff, to simply increase the rates provided in the Dingley law than to enact a lot of new provisions?

Mr. MEYERCORD. They are not new provisions. There are very few changes, and if you submit this suggested amendment to the law division of the customs bureau I venture to say that they will report that every suggestion that we have made tends to clarify the atmosphere on paragraph 400.

Mr. CRUMPACKER. I have no further questions.

The CHAIRMAN. There are 49 names of gentlemen on the list to be heard to-day. Mr. Meyercord has presented his case very fully and given facts very fully covering the whole case, and I want to know if you gentlemen can not select one or two others of the delegation to make the oral argument in addition to what Mr. Meyercord has said and then content yourselves with filing briefs as to the balance?

Mr. BLANEY. I was going to say, with the idea of saving your time and the committee's time, that I have made some suggested changes in a brief which I will file with the committee so as to save your time, and my remarks will not exceed five minutes.

The CHAIRMAN. The difficulty is that you will talk for ten minutes and then the committee will ask you questions for an hour on something that is in your brief.

Mr. BLANEY. I will not read my brief, but I will submit it and it can be taken up at the leisure of the committee.

The CHAIRMAN. We will give you five minutes now.

STATEMENT OF MR. FRANK J. BLANEY, REPRESENTING THE FORBES LITHOGRAPH MANUFACTURING COMPANY, BOSTON, MASS.

Mr. BLANEY. Mr. Chairman and gentlemen of the committee, I appear on behalf of the Forbes Lithograph Manufacturing Company, of Boston, Mass., a large concern. It is not a member of the National Association, as is Mr. Meyercord, but we indorse in every particular the brief he has submitted, with a few minor changes which we believe would be clearer.

This work is not used very largely in the imported products. Our work is used as advertising. It is not work where if there were a little increase in the price it would make any material difference to the manufacturer in the cost of his product, and if the statement shall be made that the imported product is brought into this country because the American lithographer can not produce it as good as it is done abroad, I will submit these samples [exhibiting samples] of our commercial work in contradiction.

We ask most earnestly that in making this law the old paragraph 400 shall be ignored entirely, so far as its present provisions are concerned, since they are so radically wrong. For instance, under the present provision a show card. 16 by 24, on paper eight one-thousandths of 1 inch in thickness, should bear a certain rate. If you go up to just 10 pounds more on the same size sheet you get a still different rate, a rate of 8 cents a pound. If you go still further to 16 by 26, thereby having a square-inch area of over four hundred, you will get another different rate. It applies from a specific rate of 20 cents on paper not exceeding eight one-thousandths of an inch in thickness to an ad valorem rate, and it has been practically impossible to get a fair valuation on the importations while the ad valorem rate remains, and the briefs that have been submitted by

Mr. Meyercord and the one I shall file with you seek to make it so clear that there will be no question as to the interpretation of the custom officials.

The CHAIRMAN. Do you import all your material?

Mr. BLANEY. We import a large amount of inks. The paper we buy in this country.

The CHAIRMAN. What percentage do you import?

Mr. BLANEY. We import all the inks and metal leaf that are used in printing.

This is a very widespread industry. There are 350 establishments, and the competition would keep down any arbitrary advance in price to the manufacturers. There is no trust in the business, and all we ask, Mr. Chairman, is a sufficient protection that will cover the difference between the wages paid abroad and the wages paid in this country, plus a reasonable profit.

The brief submitted by Mr. Blaney follows:

BRIEF

[In re paragraph 400, tariff of 1897, lithographic prints, etc.]

SUBMITTED BY THE FORBES LITHOGRAPH MANUFACTURING COMPANY, BY
FRANK J. BLANEY, DIRECTOR, PERMANENT ADERE SS. BOSTON, MASS.

To Hon. SERENO E. PAYNE,

Chairman Ways and Means Committee,

House of Representatives, Washington. D. C.

DEAR SIR: The Forbes Lithograph Manufacturing Company, of Boston, lithographers, established at that point, respectfully present the following recommendations as an amendment to the schedule proposed on lithographic material (paragraph 400) by the tariff committee of the National Association of Employing Lithographers.

We ask that section 400 of the 1897 tariff be amended to read as follows:

Proposed amendment to paragraph 100.

Lithographic prints from stone, zine, aluminum, or other material, bound or unbound (except cigar labels, flaps, bands, or other small labels), not elsewhere specified, or any article made up in chief value of lithographic prints:

If embossed or die cut__

On paper or other material not exceeding ten one-thousandths inch in thickness___

Per pound.

$0.30

If embossed or die cut..

If both embossed and die cut... Exceeding ten one-thousandths inch and not exceeding twenty one-thousandths inch in thickness_

.33

.36

If both embossed and die cut

.27

If embossed or die cut_

On cardboard or other material exceeding twenty one-thousandths inch in thickness

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.15

If both embossed and die cut..

.16 .17

Lithographic labels, flaps, and bands, lettered or blank, printed from stone, zinc, aluminum, or other material:

Small labels and bands, less than 10 square inches. printed in less than 8 colors (bronze printing to be counted as 3 colors), but not including metal-leaf printing

Labels and flaps, exceeding 10 square inches, if printed in less than 8 colors (bronze printing to be counted as 3 colors), but not including metal-leaf printing

Per pound.

$0.30

.60

Labels or flaps, exceeding 10 square inches, printed in 8 or more colors (bronze printing to be counted as 3 colors), but not including metalleaf printing

.40

Small labels and bands, less than 10 square inches, printed in 8 or more
colors (bronze printing to be counted as 3 colors), but not including
metal-leaf printing_

Labels and flaps, exceeding 10 square inches, printed in whole or in part
in metal leaf and not over 5 additional printings_-_-.
Labels and flaps, exceeding 10 square inches, printed in whole or in part
in metal leaf and over 5 additional printings..

Small labels and bands, less than 10 square inches, printed in whole or in
part in metal leaf and not over 5 additional printings_____
Small labels and bands, less than 10 square inches, printed in whole or in
part in metal leaf and over 5 additional printings__
For any embossed label, flap, or band add----.

Per

Pound.

$0.80

.50

.75

1.00

1.50 .10

The reasons for our dissenting from the recommendations of the tariff committee referred to are as follows:

On the item of "Paper or other material" they recommend eight one-thousandths inch in thickness as the dividing point. This is not a logical point at which to make the difference in thickness, for the reason that the same class of material—that is, hangers, calendars, etc.—are printed on paper 60, 70, 80, 90, and 100 pounds to the ream of 500 sheets, size 22 by 28. The tariff committee of the employers' association took this arbitrary division from the tariff now in force, and this is entirely wrong, as will be seen from the following facts:

For an importation of 100,000 show cards or hangers, size 16 by 24, lithographed on stock eight one-thousandths inch in thickness, which is 88 pounds to the ream of 500 sheets, basis 22 by 28, the weight on the shipment would be 11,000 pounds, and at the rate recommended by the committee-30 cents per pound-the duty on the importation would be $3,300, whereas if stock nine one-thousandths of an inch in thickness were used, weighing 100 pounds to the ream of 500 sheets, size 22 by 28, it would then pass to the rate suggested by the committee-of 20 cents per pound-thus making the weight of the shipment of 100,000 hangers, 16 by 24, 12,400 pounds; and at the 20-cent per pound rate specified by the committee for this thickness it would make the revenue $2,480, as against $3,300 on the lighter stock, thus saving the importer $820 duty for a show card made on a thicker stock, which would be more desirable for his purpose, and the increase he would have to pay for the increase in cost of stock, owing to heavier weight, would be at the rate of 6 cents per pound-$84-and the increased freight would not be over $6, so that the increase in the cost on account of the heavier stock would not exceed $90, which would thus give a net saving of $730 by reason of having the hangers on a heavier stock; and this, of course, would be a corresponding loss to the Government on revenues.

The division we have suggested is ten one-thousandths of an inch, and instead of dropping from 30 to 20 cents per pound (as suggested by the tariff committee referred to) we recommend the rate we have named above, 25 cents per pound, which is a drop of 5 cents, owing to the increased thickness.

In connection with the item under the heading of "Lithographed labels, flaps, and bands," we take occasion to include small labels not exceeding 10 square inches, and the reason for this is that the same policy which properly prevails in providing a suitable rate per pound on cigar bands, owing to the small size and the large number to a pound, should dictate that any label, no matter for what purpose it may be used, should receive the same protection as the cigar band. In explanation of this and to illustrate our contention we attach hereto a sheet marked "A," on which we pasted impressions of dies used on labels for perfumery bottles and other small articles, to show size to which labels are cut. On the same sheet we have attached cigar bands, showing that the cigar band is in many cases larger than the small labels used for perfumery and other articles. Owing to the inadequate protection afforded the American lithographers on these small labels, a large quantity are imported, and foreign houses dealing almost exclusively in this branch of bsuiness maintain agencies here. On 100,000 labels, size 24 by 4, the weight would be 185 pounds if printed on stock basis 50 pounds to the ream of 500 sheets, size 22 by 28 and this is the heaviest-weight paper that is used for this purpose-and in many cases a lighter paper is used. One hundred thousand such labels made in America, if in 10 printings of a grade usually used for this work,

61318-TARIFF-No. 11-08-2

would be sold at approximately $3.50 per thousand, or $350 for the 100,000, whereas at the rate of wages shown to prevail abroad, as given in detail by the tariff committee of the National Association of Lithographers, even the rate of tariff suggested by them would not represent the full difference between the cost of production here and abroad.

With the changes suggested above, we heartily indorse the recommendations of the tariff committee referred to, but believe in incorporating the following clause as a section under this heading of "Lithographic imports: "

"Lithographs cased with other products: No box, case, or other package containing any importation to this country, not included in this paragraph, shall contain any lithographic prints from stone, zinc, aluminum, or other material, or other items or goods listed in this section."

The purpose of this is to prevent foreign importers or manufactures from including 1, 2, 3, or other small number of show cards or other lithographed or advertising matter in the cases or packages containing the product they are sending to this country to sell. As foreign importations of certain goods amount in the aggregate to a large number of cases, the inclusion of show cards, lithographs, etc., in the case or package containing the commodity not only is a source of loss to the lithographic industry of the United States, but also is a very large loss of revenue to the Government, and the above paragraph, if adopted, would cause the importer to bring his lithographed or other advertising matter into the country in separate cases, thus causing a duty to be levied on same, with a corresponding amount of revenue to the Government.

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(Submitted by The Forbes Lithograph Manufacturing Company, Boston, Mass., to show that small labels for any purpose should have same pound rate as cigar bands, on acount of size.)

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