File No. 2338/11.
The department will be pleased to receive from you a report relative to
the status of the question of admission of American salted meats into
France when accompanied by the certificates of inspection contemplated
by our meat-inspection law of June 30, 1906.
[Inclosure.]
Messrs. Armour &
Co. to the Secretary of
State.
Armour & Co.,
Chicago,
Ill., February 18,
1907.
Sir: We have exchanged various letters with
you relative to the conditions of entry into France for American
meat food products, and your last letter, dated the 29th ultimo,
kindly gave us a copy of the note received by Ambassador McCormick
from the French department of agriculture.
We sincerely hope that we shall soon hear from you that the French
ministry has decided to accept the certificate of the Department of
Agriculture of the United States without further restriction, and to
waive the requirement of microscopic inspection.
Our agent at Marseilles, Mr. Marius Toy-Riont, has recently visited
us and called to our attention the following facts, which appear to
us to be worthy of prompt consideration and necessary action:
The last clause of paragraph 2 of the reciprocal commercial agreement
between France and the United States, concluded May 28, 1898,
states:
“But it is expressly understood that this latter concession may be
withdrawn in the discretion of the President of the United States
whenever additional duties beyond those now existing, and which may
be deemed by him unjust to the commerce of the United States, shall
be imposed by France on products of the United States.”
Our Marseilles agent advises us that on or about July 1, 1903, the
French ministry decided to apply to salted meats, such as backs,
bellies, and hams, the maximum rate of duty of 50 francs per 100
kilos.
Up to that time these articles had been admitted on the minimum rate
of 30 francs per 100 kilos, and although they were not specifically
mentioned in the agreement of 1898, it would appear that it was the
intention of Mr. Kasson and Mons. Cambon in negotiating this treaty
to include salted meats, although they
[Page 406]
omitted them from the list, and it would
appear that the French Government considered this as simply a
technical omission until on or about July 1, 1903, when it was
called to their attention by the agrarian interests and changed.
We beg to submit that the products of the United States are by this
application of the maximum tariff to salted meats seriously
handicapped, compared with the products of other European countries,
and we understand from Mr. Toy-Riont that this subject has already
been one of diplomatic discussion between your department and the
French Government, but that the latter appeared to interpose
somewhat serious objections to making the change for political
reasons, and, as there was no particular pressure from ourselves or
other manufacturers on this side, the matter was dropped.
We understand that Consul-General Skinner, at Marseilles, sent to the
department on or about November 1, 1906, a very complete report on
this subject, which will undoubtedly be of assistance to you in
investigating same.
The peculiar position of the French market this year makes this
question a very important one to the meat packing interests of the
United States. The French supply of hogs is very short, prices are
exceedingly high, and were it not for this application of the
maximum tariff we would to-day be able to do a business of
considerable importance.
Bulletin No. 40 of the Bureau of Statistics, Department of
Agriculture, shows that during the year 1899 the United States
shipped to France 15,428,937 pounds of salted pork, hams, bacon,
etc., valued at $2,161,121. During the year 1900 this fell off to
8,945,869 pounds valued at $1,213,885, and in 1903 the imports were
851,374 pounds valued at $119,251. The effect of the application of
the maximum rate of duty can be readily seen in the imports for
1904, which amounted to only 210,045 pounds valued at $27,582.
During the year 1904 France imported from the United Kingdom
pork-salted meats to the amount of 4,305,896 pounds valued at
$565,429; from Germany 1,937,151 pounds valued at $254,377; and from
all countries, including the United States, 8,371,078 pounds valued
at $1,099,248.
Short fatbacks, which is the article of salted meat in most demand in
France, is to-day worth 116 francs per 100 kilos, c. i. f. Havre or
Marseilles. The duties, inspection fees, and landing charges amount
to 62 francs, making the cost “duty paid” to the French dealer 178
francs. The French make is offered at a parity of 155 francs, a
difference of 23 francs, and this in the slaughtering season of the
year.
If we were able to work with the minimum duty of 30 francs, the
position of the two markets would to-day enable us to do a very
considerable business.
We are advised that Servia has during the past twelve months built up
a very considerable business in France on account of the
differential tariff in their favor. Servia, as you know, is
proportionately the greatest hog raising center of Europe.
Can we not invoke the clause of paragraph 2 of the agreement above
cited to insist upon the French Government applying to our salted
meats the minimum rate of duty?
Our agent, Mr. Toy-Riont, expects to be in New York for the next week
or ten days, and if there is any chance of this matter being brought
up for discussion or investigation he would be very pleased to visit
Washington and render any assistance possible.
We shall also be pleased to arrange for him to visit the embassy at
Paris on his return to France, in order to give them any further
detail which may be necessary.
We are, sir, yours respectfully,
Armour & Co.,
W. C. Evans.