PARAGRAPHS 111-112-MARBLE. 59 cents; to New Orleans from Italy by steamer 40 cents, from Vermont 74 cents, and from Tennessee 35 cents; to San Francisco from Italy by steamer 90 cents, from Vermont $1.33 by steamer or $1.80 all rail, and from Tennessee $1.80. The comparison from the Georgia and Alabama quarries would be quite as favorable to the Italian quarries, and from the Colorado and Alaska quarries still more so. Our quarries, therefore, even in our own market have no natural protection against those of Italy. Blocks are not raw material, but represent almost entirely labor.-The raw material in the mountains in Italy is of relatively small value, but the cost of the blocks is chiefly the labor required to quarry them and move them to the seaboard. In this country also an undeveloped quarry is of little value. The prevailing royalty paid a landowner for the right to quarry marble on his land is only 5 cents per cubic foot of merchantable marble produced. Two-thirds of the expense of producing marble in this country is for labor direct, and about one-fourth for supplies and material, including machinery, iron, tools, coal, etc. It is estimated that 90 per cent of the expense of the production of marble is directly or indirectly for labor. The competition between Italian and American marble, therefore, is peculiarly a competition between Italian and American labor. THE PRESENT RATES OF DUTY ON MARBLE OUGHT NOT TO BE REDUCED. The duty on marble yields a revenue on an article which is a luxury. It tends to decrease the cost of the cheaper grades of marble which are used by the people at large. It is the protection afforded the high-priced marble that has made possible the production and use in the United States of great quantities of medium and cheaper grades of marble for cemetery purposes, buildings, etc. Such use of marble is entirely peculiar to our own country. It affords protection direct to American labor, not by lessening the importation but by upholding the prices of high-priced, colored marbles and expensive grades of light marbles. It tends also to further develop the remarkable marble deposits of this country. Marble is abundant in all the States along the Appalachian range, from the Gulf of Mexico to the Canada line, viz: Alabama, Georgia, Tennessee, North Carolina, Virginia, Maryland, Pennsylvania, New York, Connecticut, Massachusetts, and Vermont. It is also found in Missouri, Colorado, Idaho, Texas, New Mexico, Arizona, Utah, California, Washington, and Alaska. The ornamental or colored marbles found in Tennessee, Georgia, Vermont, Missouri, Arizona, and many other sections of the country are of the highest artistic order. The development of new marble quarries in Alabama, Colorado, and Alaska is at present very active. But the obstacles to be overcome in developing these natural resources can not be appreciated except by experience. The difference in the cost of labor employed in the production, sawing, and manufacture of American and foreign marbles is much greater than the present rates of duty on marble, and those rates are not sufficient to equalize, in our own markets, the position of the marble quarries, mills, and shops of the United States with like industries abroad. We recognize, however, that the present rates have prevailed since 1883, except for the short period between 1894 and 1897, and that business and trade relations have long been adjusted to those rates. Therefore the undersigned, representing more than 90 per cent of the American marble producing and foreign marble importing interests of the United States, and of its marble mills and manufactories, ask that the present rates of duty on marble be left as they are. We call your attention to two instances of wrong classification which work great injustice to marble and ought to be corrected. Limestones susceptible of polish and usable for decorative purposes.-Under the present tariff (par. 117) limestone unmanufactured is dutiable at 12 cents per cubic foot-less than one-fifth the marble rate. Under this paragraph the right is claimed to import Istrian, Hauteville, Botticino, and other fancy stones, which are sold and used in direct competition with regular high-grade marbles. The commercial and ordinary or popular meaning of marble is either any limestone which is capable of taking a polish or else any limestone which is suitable for being used for decorative or ornamental purposes. (See Century Dictionary, New American Encyclopedia, New International Encyclopedia.) Accordingly the Board of General Appraisers have held that Istrian (Decision 3803) and Hauteville (Decision 6398) should under the present tariff be classed as marbles and pay the marble rate. The decision in the latter case was affirmed by the United States Circuit Court, but on appeal was reversed by the United States Court of Appeals, which followed the more technical and limited definition that only that limestone is marble which is of a crystalline structure. The PARAGRAPHS 111-112-MARBLE. whole subject of the proper classification of these stones under the present tariff now remains much confused and is still in litigation. Without reference to what may be their proper classification under the wording of the present tariff, they should in the new act be classed according to the purposes for which they are capable of being used, and in fact are used (in conformity with the similitude clause of the present tariff act, sec. 7), and on an equality with the stone with which they directly compete. They are capable both of being polished and of being used for interior decorative purposes of a high order, and in fact are so used in many important buildings in direct competition with regular marbles, both American and foreign. We therefore respectfully request that limestones, when susceptible of taking a polish and suitable for interior decorative purposes, be specifically classed with marble and take the marble rate. Limestone of low grade used as a building stone and not for higher decorative purposes should continue to be classed with freestone, sandstone, and other building stone. Breccia.-Under the present tariff (paragraph 508) breccia is admitted free. It is a conglomerate marble susceptible of taking a polish and used in direct competition with regular marble for interior decorative purposes in many public and other large buildings. In the statistics of the Department of Commerce and Labor, "Importations entered for consumption," breccia is now included in the statistics of marble, being classed as free marble as distinguished from other marbles which are dutiable. We respectfully request that it be specifically included with marble and take the marble rate. Another great advantage of the Italian quarries lies in the following facts: The unsound and worthless material can be separated from the good and rejected immediately after the marble is blown down from the quarry faces. At this stage the rejected material can not have cost more than 5 cents per cubic foot. In the American quarries the marble has to be taken out a block at a time. The blocks which prove worthless and have to be rejected on the bank of the quarry, represent an actual cost of not less than 40 cents per cubic foot. The rejection of worthless material does not end here, however. There are still many blocks which contain good and bad in the same block and they can only be separated after sawing. Everything rejected at this stage represents a cost on the average of not less than $1 per cubic foot. All of the material rejected in both Italy and America is a burden of added cost that has to be borne by the good material. It is evident that on this point the Italian quarries have a much less burdensome load to carry than the American quarries. Respectfully submitted. Vermont Marble Co., Vermont; Rutland-Florence Marble Co., Vermont; John Eisele, of Batterson & Eisele; W. K. Fertig, of R. C. Fisher & W. H. Evans, of Baltimore. President and Committee of the National WASHINGTON, D. C., November 23, 1908. PARAGRAPHS 111-112-MARBLE. STATEMENT OF MR. JACKSON, REPRESENTING C. D. JACKSON & CO., OF NEW YORK. PARAGRAPHS 111 AND 114. The CHAIRMAN. Mr. Jackson, will you please state the paragraph to which you wish to refer? Mr. JACKSON. Paragraphs 111 and 114, marble. The COMMITTEE ON WAYS AND MEANS, WASHINGTON, D. C., January 9, 1913. House of Representatives, Washington, D. C.: Since 1908 a number of changes have taken place in the cost of production of marble and stone in rough blocks (and consequently in rough sawed slabs) in all the quarrying districts abroad through higher wages, pension funds, road taxes, transportation, etc., which necessitated the increase in selling prices abroad and consequently in the United States. The adherence to a disproportionately high duty of 65 cents per cubic foot (unchanged since the tariff act of 1897) on rough blocks of marble hindered the importation of foreign marbles necessary in the construction and ornamentation of buildings. The cost prices of the different foreign marbles vary in accordance with the facilities with which the material can be quarried, the location of the quarries, the distance to be covered by railroad transportation between the quarries, and the port at which marble is embarked for the United States. In the following tabulation we wish to show the present approximate average costs of marble in rough blocks, average sized, large and small blocks mixed, as produced by quarries, loaded on cars at railroad station nearest to the quarry. Category 1. Present average cost of polishable hard limestone, 85 cents per cubic foot.. Category 2. Present average cost of ordinary marble, $1.30 per cubic foot.. Category 4. Present average cost of veined statuary type, $2.40 per cubic foot.. Category 6. Medium-priced colored marble, $3.50 per cubic foot.. Duty. $0.65 .65 .65 .65 .65 .65 .65 Based upon the foregoing average cost prices (being the wholesale selling prices to dealers abroad)— The importation into the United States of the different categories can be classified by percentage as From this it will be seen that the present duty of 65 cents per cubic foot means an average duty of about 53.97 per cent on a crude article such as marble in blocks, rough or squared only, at point of loading from quarries abroad. A further detrimental feature enforced since January, 1913, will tend to reduce still more the importation of foreign marble. PARAGRAPHS 111-112-MARBLE. The steamship pool, regulating the steamer freight rates from abroad, has imposed a new hardship on all imported marble. The freight rates have been increased from 20 to 35 per cent, which necessitated an increase in the selling prices here of from 10 to 15 cents per cubic foot. Another very serious and appreciable increase is now imposed by the lighterage and hoisting companies operating in the port of New York, who increased their minimum charges for transportation to consignors of marble by nearly 30 per cent, which will increase the cost, namely, the delivery of materials to mills, by additional 5 cents per cubic foot. This increase went into effect on January 1, 1913. It will tend to decrease more the demand for foreign marble, since a long time unable to compete with domestic products which are not subjected to these exorbitant charges. We therefore respectfully recommend to the Ways and Means Committee to reduce the present tariff act of 1909, reading as follows: "Marble and onyx blocks, rough or squared only, 65 cents per cubic foot," to 45 cents per cubic foot, and if so considered, the tariff should read: "Marble and onyx in blocks, rough or squared only, 45 cents per cubic foot." While the amount of this reduction may not seem large enough to your honorable committee, it is our belief that it would be sufficient to overcome the existing hardship, at least, imported_marble could be sold in future at the same prices as it was sold up to January 1, 1913, and it will prevent a further decrease in importation, which would further reduce the revenues to the Government. We wish to state the tariff act of 1894, paragraph 103, provided a tariff on marble of all kinds in block, rough or squared only, of 50 cents per cubic foot. The following facts should also be taken into consideration, i. e., that none of the different species of marble imported into this country exist in the United States and consequently can not be produced here, so no harm to domestic quarry owners can result by the importation of marbles from abroad at a lower tariff than the existing one. The Government report shows that the importation of foreign marble into the United States is as follows: It shows the falling off of importations of foreign marble in rough blocks considerably. Comparing the year 1907 with the years 1908 and 1909, it shows a decrease of importation of 314,210-0 cubic feet, and a decrease of duties collected by the Government of $210,774.33. During the year 1910 a large demand for building material existed generally and domestic quarries not being able to supply the demand, in consequence the importation of foreign marble increased during that year. However, the comparison between the years 1910, 1911, and 1912 shows that the importation of marble in rough blocks during the years 1911 and 1912 decreased by 195,940-0 cubic feet, and the Government collected during 1911, $58,016.54 less duty than during 1910 and during 1912, $69,545.01 less than in 1910, or a total decrease of $127,561.55. Marble slabs.-Only Carrara marble slabs are imported to this country, as they are the only material that can stand the strain of transportation without great damage, namely, breakage. 78959°-VOL 1-13-59 PARAGRAPHS 111-112-MARBLE. The average prices for average-sized slabs of average grade, free on cars Carrara, are: The proportion of each of these categories imported, based upon the entire importation of sawed slabs in this country, is as follows: which means an average duty of 63.3 per cent on the value of the slabs, being the wholesale selling price to dealers abroad. As we respectfully recommended a reduction on rough blocks from 65 cents to 45 cents, being about 30 per cent reduction, the duty on slabs should be reduced in the same proportion, i. e.: The tariff act of 1894 provided approximately the same duty on slabs as proposed herewith and if our recommendation should find due consideration, the new tariff act should read: "Marble and onyx sawed or dressed if not more than 1 inch thickness, 6 cents per superficial foot. If more than 1 inch and not more than 1 inches in thickness, 7 cents per superficial foot. If more than 14 inches and not more than 2 inches in thickness, 9 cents per superficial foot." Imported slabs are largely used by marble manufacturers who do not buy blocks and have same sawed in the custom sawmills. These custom sawmills are disappearing rapidly in this country, as all the larger marble manufacturers are equipped with their own sawing plants as part of their manufacturing equipment solely for their own use. This proposed duty will stimulate the demand and importation of foreign slabs, which has fallen off lately to a very insignificant amount, while under the tariff act of 1894, paragraph 104, reading as follows: "Marble sawed, dressed, or otherwise, including marble slabs, mosaic cubes, and marble paving tiles, 85 cents per cubic foot (no slab to be computed at less than 1 inch in thickness)." The importation of slabs amounted to thousands of tons per year. Tiles. The present duty, according to tariff act of 1909, on imported marble tiles, classified in the tariff as specified under paragraph 111, provides that the duty on"Slabs or paving tiles of marble or onyx containing not less than 4 superficial inches, if not more than 1 inch in thickness, 8 cents per superficial foot. If more than 1 inch and not more than 1 inches in thickness, 10 cents per superficial foot. If more than 1 inches and not more than 2 inches in thickness, 12 cents per superficial foot. If rubbed in whole or in part, 2 cents per superficial foot in addition." This duty is entirely out of proportion to the value of the goods in themselves. |