Tobacco Documents Online

DURHAMMORNING flERALD Durham, North Carolina April 19, 1962 Tobacco's Stake I n Common Market C How essentiala favorable tobacco tariff agreement with the European Common Market is was well ex- plained by George V. Allen to the House Ways and Means Committee. Mr. Allen, who i's president of the Tobacco Institute, warned that with- out such an agreement, American to- bacco growers stand to lose a sub- stantial portion of, their export mar- ket. On the other hand, if tobacco can get similar treatment tariffwise by the Common Market tham Euro- pean automobiles are given by the United States, "American tobacco lexport's to Europe would increase dramatically." . British entry into the Common Market will undoubtedly be on terms which willi give preferential treat- ment to Commonwealth products. Under those terms, Rhodesiani Ca- nadian{ and Indian tobacco will be given an advantage in what is and has been one of the best export mar- kets for American tobacco. Unless American tobacco can get a favor- able tariff agreement in Common Market countries, it will be at a de- cided disadvantage there in com- petition with tobacco from British Commonwealth countries. T1iE J0URNAL 0F' CC1vII4ERCE April 5, 1962 (page 2) Reuss Asks Larger Euromart yyYr 1 9 . . ~Trade B1ll Gets Bacl~ung Of Toba;co Institute American tobacco enjoys the ad- vantage of popularity;, American to- bacco of the oldtime flavor, quality, and aroma is still the preferred to- bacco abroad. Mr. Allen told the House Ways and Means Committee it is "universailiy recognized" as the most desirable leaf and claimed that it can compete successfully with oth- . er tobaccos wherever it has "any- thing approaching equal access to the market."' The advantage Ameri- can tobacco enjoys ought not to be thrown away through unfavorable trade agreements. Consequently it is in the interest of tobacco people to support the trade expansion pro- gram. Tobacco people concerned for the future of their commodity have long hoped for some development which wfluld make possible a "dramatic in-" crease" in foreign demand. They realized that without an increase, to- bacco production will be a diminish- ing opportunity. If the trade ex- pansion bill can open the way for that "dramatic increase," tobacco people should work for it and should work also to see that trade agree- ments favorable to tobacco are ne- gotiated. lnew Common Market could cur- 1y to provisions of the pend:ng kail sharply American tobacco trade bill under which the Presi- xports. He said President Ken- dent could drastically reduce o: f elimina.e tariffs in~ 26 categories nedy should be given the broad of trade where the United States tariff-cutting powers he wants and Common Market members to dealiwith the Common Market account for as much as 80 per and gain greater access for cent of world exports. American products. Rep. Reuss said this 80 per "If European countries granted cent provision could be appli- to Ameriean tobacco and tabacco,cable only if Britain, Denmark, produets the samP comnetive o..Greece„ Ireland' and Norway cuc- WASHINGTt7N ('UPI). - The them from increased import tobacco industry, which has con-';~competition.. sideraule influence among Con-I'I An& Rep. Henry S. Re~aslporti:nity ttrat the L'nited 5tai si~-eeded ir, joinir.g the Common k et. gressmen~ from the seaboardI ;(Dem., Wis.), told the hearing!grants to Volkswagens„ Renaults ~ar ~,I, "The rest of the free world 11 states of' the Southeast, thfewI~nueh of the tariff-cutting author- and oher automobiles from Eur- ~ faces an equally ble2k prospect i its support behind President Kennedy's trade bill. Spokee,men for growers, man- ufacturers, warehousemen, deal- ers and' distributors told the House Ways and Means Com- mittee hearing that future Eur- opean purchases of American to- ope„ Mr. Allen satd, Ameraan ity provided in the Administra- tobacco exports to Europe would tor export expansion in the Corc- tion trade bill would be meaning- As matters now stand, he said, i'rnon Market if we cannot act,"' less if Britain and four other "U. S. tobacco exports may be :he said. countries are not accepted intoI drast'ically reduced or signifi- the European Common Market.;oantly increasedi depending on. Speaking for fur farm organi-I ,x,hether barriers to trade are ¢ations, Kenneth M, Plaisted, of;raised or lowered. We believe 14Illwaukee;, Wis., protested thatlthie 1POiNdtin,. nnints in the riohf. oacco willi drop, or climb, de-;tne nul, as now wriuen, wou+aldirection for our industry and pending on President Kennedy's!permit shipments of mink and!for the nation." success in lowering transatlantic trade rest'rictions., fox skins from Soviet' Russia and Communist China. Rep. Reuss said that if the present six-nation membership nu oy utner t;roups Iree oomestic :narKet, ne saia,iof the Common Market is not FTowever, President Kennedy's,"is alteady saturated'~ with minklexpanded, U. S. tariff cuts in "' trade bill was asailed by repre- imports from friendly nations. sentatives of the millinery indus-j Fears Drop in Exports try, manufacturers of rolledj George V. Allen+ president of tinc, mink farmers and makers the Tobacco Institute, Inc., said of knivea, forks and spoona. They common external tariff duties called for revisions to tateyuardinow contemplated by Europe'a major categories oT trade would result in serious injury to Lt. S. export bustness.. Rep. Reuss refered particalar- ... L