lured products exported from the

NOVEMBER 18.1935

DETAILS B? TREATY

FFICIAL TEXT OF RE CIPR OCI TY Til?

ifAoarrmee '7‘

DISCLOSED IN FULL

(C. P. By Guardian’s Special Wire)

OTTAWA, Nov. 17—Fol-' lowing is the, official text of the Canada-United States reciprocal trade agreement glgned at. Washington by Premier King for Canada and Secretary of State Hull for the United States:

m, Majesty ihs King of Great Britain, Ireland‘ and the British Domlnions beyond the seas, Em- peror of India, in respect of the Dominion of Canada, and the President of the United States of Amerlcfl, being desirous of facilit- ating and extending the comme vial relations existing between Canada and the United States of Amcrica by granting mutual and reciprocal concessions and advant- ages for the promotion of trade, have resolved to conclude a trade usllttfliflli. as a step toward the lowering of the barriers impeding trade between their two countries, and for this purpose have through their respective plenipotentiarie agreed upon the foliowin, articles:

Article I

FAVORED NATION TREATMENT

Canada and the United Statcs oi America will grant each other unconditional and unrestricted most-favorcd-natioh treatment in all matters concerning customs duties and subsidiary charges of every kind and in the method of levying duties, and, further, in all plotters corscrning the rules. form- nlitlcs and charges imposed in connection with the clearing of goods through the customs, and with respect to all laws or regu- lations affecting the sole or use of imported goods xvithln the country.

Accordingly, natural or monu- inctured products having their or- igin in either of the countries shall in no case be subject, in re- gard to the matters referred to above. to any duties, taxes or charges other or higher, or to any rules or- formalitles other or more burdensome, than those to which the like products having their or- igln in any third country are or may hereafter be subject.

Similarly, natural or manufac-

lrrrilory of Canada or the United Stairs of America and consigned to the territory oi the other coun- try shah in no case be subject with respect to exportation and in regard to the above-mentioned matters, to any duties, taxes of charges other or higher, or to any rules or formalities other or more burdensome, than those to which the like products when consigned to the territory oi any third coun- try are or may hereafter be sub- ject.

COVERS ALL PREFERENCES

Any advantage, favor, privilege or immunity which has been or may hereafter he granted by Can- ada or the United States of Am- erica in regard to the above-men- tioned matters, to a natural or manufactured product originating in any third country or consigned to the territory of any third coun- try shall be accorded immediately and without compensation to the like product originating in or consigned to the territory of the United States cf America or Can- ada. respectively, and irrespective of the nationality of the carrier.

Article II

Neither Canada nor the United States of America shall establish any prohibit-ion or maintain any; restriction on imports from the territory of the other country which is not applied to the impor- tation of any like article originat- 111s in any third country. Any abolition of an import prohibition or restriction which mny be grant- ed even temporarily by either country in favor of an article of a third country shall be applied im- mediately and unconditionally _ to the like article originating in the territory or the other country. These provisions equally apply to exports.

QUANTITATIVE RESTRICTIONS .

In the event of quantitative ro- strictions being established by either Canada or the United States of America for the importation oi ‘my article it is agreed that in the allocation of the quantity of re- stricted goods which may be auth- orized for importation.‘ the other country will be granted a share Equivalent to the proportion oi the trade which it enjoyed in a pre- vious representative period prior to the establishment oi such q “‘ stlve restrictions.

In all matters concerning the "M. formalities or charges im- lmed in connection with any form °Y quantitative restriction on the importation of my article. Canada llld the United Btslcs of America ‘first to extend to each other every favor Irantcd to n third country.

Article III

Articles the growth, produce or “lmllfibturs- of the United Item "f Amdrlol. enumerated and de-

wflbed in schedule 1 annexed to this agreement, shall. on their im- nortetlon» into Canada. be exempt "W" Ordlnarvcostomsduug in

schedule. The said articles shall B180 be exempt from all other (ll-Mel. taxes, fees, charges, or ex- actlons. ‘ ' on or in connec- tion with importation, in excess of "W56 imposed on the day of the signature of this agreement or re.- Qlllred to be imposed thereafter under laws of Canada in force on the day of the signature of this lllreement.

Schedule 1 and the notes in- cluded therein shsll have full force and effect as integral parts of this agreement.

Article IV

Articles the growth produce or manufacture oiCanada. enumer- ated and described in schedule II annexed to this agreement, shall. on their importation info the United States of-Amerlcs, be ex- empt from ordinary customs duties in excess oi those set forth and provided for in the said schedule. The said articles shall also be ex- empt from all other duties, taxes. fees, charges, or-exactions imposed on or 1n connection with importa- tion, in excess of those imposed on the day oi the signature of this agreement or required to be im- posed thereafter under laws of the United States oi America in force on the day of the signature of this Mmsement.

Schedule II and the notes in- cluded therein shall have full force and effect as integral parts of this agreement.

. . Article V \

The provisions of Articles III and IV of this agreement shall not prevent the government of either country from imposing on the im- portation oi any product a charge equivalent to the internal tax im- posed on a like domestic product or on a commodity from which the imported product has been manu- factured or produced in whole or in part.

Article VI

Articles the growth, produce or manufacture of Canada or the United States of, America, shall. after importation into the other country, be exempt from all in- temal taxes, fees, charges or ex- actions other or higher than those payable on like articles of national origin or any other foreign origin.

The provisions of this agreement in regard to granting of national treatment shall not affect the laws now in force in Canada where leaf tobacco, spirits, beer, malt and malt syrup imported from abroad are subject to special taxes, nor shall they affect the applicability to goods produced or manufactured in the United States of America of special excise taxes imposed un- der existing provisions of the spe- cial war revenue act. In these rc- spects. however, most-favored-na- Lion treatment shall apply.

Article VII

No prohibitions. import or ous- _toms quotas, import licenses, or any other form of quantitative regiilo- tion, whether or not operated in connection with any agency of cen- tralized control, shall be imposed by Canada on the importation or sale of any article the growth, pro- duce or manufacture of the United states of America enumerated and described 1n Schedule I, nor by the Unitcd States of America on the importation or sale of any article the growth, produce or manufac- ture of Canada enumerated and described in Schedule II, except as specifically provided for in the said schedules.

The foregoing provision shall not apply to quantitative restric- tions in whatever form imposed by either country on the importation or sale of any article the growth, produce or manufacture oi the other country in conjunction with governmental measures operating to regulate or control the produc- tion, market supply, or prices of like domestic articles, or tending to increase the labor costs of produc- tion of such articles. Whenever the government of either country pro- poses to establish or change any restriction authorised by this para- graph. it shall give notice thereof in writing to the other government and shall afford such other gov- ernment an opportunity within thirty days after receipt of such notice to consult with it in respect of the proposed action: and if sn agreement with , ‘ thereto is not reached within thirty days fol- lowing receipt of the aforesaid no- tice, the government which pro- poses to take such action shall be free to do so at any time thereaftcr. and the other government shall be flee within fifteen days after such action is taken to terminate this agreement in its entirety on thirty days’ written notice.

Article VIII

In the event that Canada or the United sta tsbilshes or maintains a mono- poly for the importation. produc- tion or sale of a particular oom- modlty or grants exclusive privil- eges. formally or in effect, to me or more canola to import. 1m- duce or sell a particular - ity, tho Government of the omin- try establishing or maintaining such monopoly, or granting such awnowlv Privileges, agrees that in respect of the foreign plifiillll- es of such monopoly or agency the

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- ation of this agreement;

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THE CHARLUTTETOWN GUARDIAN ' treatment. ___ treatment shall Will! $0 articles —(6 cts lb) — _‘_' under the authority of section 48 805—.'il'la _ :_

- - gstone. sandstone and all N.O.P. viz: and ' ar- glni-hhiélllgog: llfwd that l‘?! tha Brawl-h. prod or ml-nuf - Ex 75—Lettuce seed, non-germ- uf the Customs Act exceed the in- building stone, not hammered, peratufs to; ‘m press , rs; my Boduct s“ hi1 Pl-lNhI-lt-i "l" 0i’ Elli! “FY1110?! W149i the lllfltllls. when in packages welgh- voice value by more than 80 per sawn or chiselled, and marble and machines and apparatus for mlkilll

l“ ° m r 0t‘ Sovefelsnty 0r wthvflt! 0i’ Oah- ing more than one pound each, cent of the lowest advance impos- granite, rough, not hammered or electrotypesandstereotypes, enirav-

agency will be influenced solely by those considerations,» such as price. quality. marketability, and terms o! sale. which would ordin- lllll! be taken into account by s. private comma ulul enterprise‘ in- terested solely in purchasing such - on the most favorable tnms. ,

Article 1x -

The tariff d ta benefits providedaflorgiens tahlifilagg: merit are granted by Canada and the United States of America to each other subject to the oondfiflgn that if the Government oi either country shall establish or main-

“in. directly 01' indirectly, any form of control oi foreign ex-. aha-use. it shall administer such

control so as to insure that the nationals and. commerce oi the ether wuntrv win be granted a fair and equitable share in the s1- lotment of exchange.

With respect to the exchange made available for commercial transactions, it is agreed that me Government of each country 51ml] be raided in the admlnlstiation of any form of control of foreign ex- change by the principle that, as llebfly as may be determined, the share of the total ‘available ex- change which is allotted to the other country shall not be less than the shareemployedin aprev- lcus representative period prior to the establishment of any exchange control for the ttlement of com- mercial obligations to the nation- als of such other country.

The Government of each coun- try shall give sympathetic con- sideration tc any representations which the other Government may make in respect of the application of the provisions of this article.

Article X

\

In the event that a wide var- iation occurs in the rate oi ex- change between the currencies of Canada and the United States oi America, the Government of either country, if it considers the var- iation so substantial as.to prejud- ice the industries or commerce of the country, shall be free to pro- pose negotiations for the modific- and if an agreement with respect there- to is not reached within thirty days. following receipt of such pro- posal, the Government making such proposal shall be free to ter- minate this agreement in its en- tirety on thirty day‘s written not- 0e.

Article XI

In the event that the Govern- ment oi either country adopts any measure which. even though it does not conflict with the terms of this agreement, is considered by the Government of the other coun- try to have the effect of nullify- ing or impairing any object of the agreement, the Government which has adopted any such mess u shall consider such representations and proposals as the other Gov- ernment may make with a view to effecting a mutually satisfactory adjustment of the matter.

The Covemmeut of each coun- try will accord sympathetic con- sideration to, and when request- ed will afford adequate opportun- ity for consultation regarding,

such representations as the- other-

Government may maize with re- spect to the operation of customs regulations, quantitative restric- tions or the administration there- of, the observance of customs for- mallties, and the application of sanitary laws and regulations for the protection oi human. animal. or plant life, and if there is dis- ag ment with respect thereto, s. committee of technical experts on which esch Government shall be rep sen‘ shall. on the request oi either government. be estab- lishcd‘to consider the matter and to submit recommendation to the two Governments-

Article XII

Nothing in this agreement shall be construed to prevent the adop- tion of measures prohibiting or restricting the exportation or im- portation of gold or silver, or to prevent tho adoption of such measures as either government may see fit with respect to the control of the export or sale for export of arms, ammunition, or im- plements of war. and, in excep- ticnal circumstances, all other military supplies

Subject to tho requirement that there shall be no arbitrary discrimination by either country against the other country in favor oi any third country where slin- ilar conditions prevail, the prov- isions of this agreement shah not extend to prohibitions or restric- tions (1) imposed on moral or humanitarian grounds; (2) design- ed ioprotect human. animal or plant life: (8) relating to prison- made goods; (4) whiting to the eu- forcement of police or revenue laws; (ll) directed against mis- branding, odulterstlon, and ‘other fraudulent pmctlces. such as srepro- vided for in the pine food and drug laws of either country: and (d) directed ‘ ‘ unfair prac- tices in import trade.

Article XIH

Except as otherwise provided in the second paragraph of this art- icle, the provisions of this agree- ment relating to the tlcatlnent to

be accorded by Canada and the United States of ' -"‘ , respect- ively, to the commerce oi the

other country. shall pottmapgly to’

the Phlllvlvlne Islands.

Islands. American samoa. the - land of Guam or to the Panama Canal Zone.

The provisions of this agreement rqsrdifi mast-hvozod-aatlm

ada or the United States of Am- ericl. imported from or exportcd

"to any territory under the sover-

clarity or authority of the other country. It is understood, however, that the provisions of this para- graph do not apply to the Pan- ama Canal Zone

The advantages now accorded or which may hereafter be accord- ed by the United States oi Am- erica, its territories and possessions and the Panama Canal acne ex- clusively to one another or the Republic of Cuba shall be except- ed from the operation of this ag- reement. The provisions of this paragraph shall continue to apply in. , of all)’ ‘vantages now or hereafter accorded by the United States of America, its ter- ritories or possessions or the Pan- ama. Canal Zone to the Philip- pine Islands irrespective of any change in the political status of the Philippine Islands.

The advantages now accorded or which may hereafter be accord- ed by Canada exclusively to other territories under the sover- eignty of His Majesty the King of Great Britain, Ireland and the British Dominions beyond the seas, Emperor of India, or under His Majesty's suzerainty or pro- tcctlon, shall be excepted from the operation of this agreement.

Article XIV

The Government of each coun- try Nserves the right to withdraw or to modify the LU! oesslon grant- ed on any article under this agree- ment, or to impose quantitative zestrictions on any such article if, as a result of the extension of such concession to third countries, such countries obtain the major benefit jof such concession and in con- sequence thereof an unduly large increase in importctions of such article takes place: Provided, that before the Government of either country shall avail itself of the foregoing reservation, it shall give notice in writing to the other gov- ernment of its intention to do so, and shall afford such other gov- ernment an opportunity within thirty clays after receipt of such notice to consult with it in res- pect oi the proposed action, and in respect of such compensatory modifications of the terms of the present agreement as may be ap- propriatc; and if an agreement with respect thereto is not reached within 80 days following the re- ceipt of the aforesaid notice, the Government which proposes to take such action shall be free to do so at any time theieafter, and the other government shall be free within 15 days after such act- ion ':. taken to terminate this ag- reement in its entirety on 30 ‘days written notice.

Article xv '

The , agreement shall be ratified by His Majesty the King of Great Britain, Ireland and the British Dcmluions beyond the w”, Emperor of India, in respect to the Dominion of Canada, and shall be proclaimed by the President of the United States of America.

The provisions of Article I and of Articles III and IV, respectively, shall, subject tc the reservations and exceptions elzewhcne provided for in this agreement, be applied by Canada and the United states of America, on and after Jan. 1, 1935. pending ratification of the agree- ment in respect of Canada as pro- vided ln the first paragraph of this article.

The eutireugreement shall come into force on the day of the ex- change oi the proclamation and ratification at Ottawa. The agree- ment shall remain in force until Dec. 31, 1938. subject to the pro- visions of Article VII, Article x and. Article XIV.

Unless at least six months be- fore Dec. 31, 1988, the government of either country shall have given to the other government notice of intention to terminate the agree- ment on that date, the agreement shall remain in force thereafter, subject to the provisions of Article VII, Article X, and Article XIV. until six months from such time_ as the government of either coun- try shall have given notice to the other government.

Schedule

(GP. By Guardian's Special Wire)

OTTAWA, Nov. iL-Herewlth is text of schedule one, tariff conces- sions Canada is conferring on the United States. Tariff items am giv- en in the following order: number of item in Canadian tariff. descrip- tion of commodities covered, new rate of duty with old rate in brack- ets. (Ex. indicates extm clause).

lo-Meais, prepared or preserved, other than canned:-

Qb) N. O. R-pcr pound 8 dis. (U c l. - Ex 47 soya. beans, N. 0. P. free —(!l cls. lb

Bis-Indian corn. not including Indian corn for purposes of distil- lation, when imported or taken out of we “ by manufacturers of starch or of cereal products for human consumption, for use exclu- sively in the manufacture of starch or such cereal products. in their own factories, under Jvsulstiolis prescribed by the lflilliltCb-ING

(free).

sb-Jndian corn, N. 0. P.-per bushel 20 ctr. (25 cts).

. M-Oatmeal and rolled oats-per on, hundred pounds-M cts. (O0 ct!)

Ila-Timothy seed-per pound l ct. (2 cts).

, Ex 78-—El00m oorn seed. when in ‘packages weighing more than one pound esch-fieo-(is p. c.).

lilx ‘ll-Parsley seed, non-geraniu- stlng, when in packages weighing mm than one pound each. import- ed for an exclusively in manufact- uring or blaming Qsfotions. ll) p».

imported for use exclusively in man- ufacturing or blending operations- 10 p.c. (10 cts. lb).

lib: 82 (er-Nut trees, being seed- ling stock for grafting, and buds and scions for grafting such trees -free-(20 p. c.

B3 (c)-—Sweet potatoes in their natural statc-free-(15 cts. 10o lbs).

84—Onicns in their natural state. including onions grown with mpg, shallots, and onion sets-{itl p. c.- (30 p. c.).

Provided that in no case shall any value for duty established un- der the authority of section 43 of the Customs Act exceed the m- voice on such goods under the 311th. ority of said section during the gxndar years 1933 to 1935. inclu-

Ex Bil-Mushrooms. fresh-lo p.c. —(30 p. c.).

iii-Vegetables, fresh, in natural state:-

(8) Asparagus-H p. c.-(30 p_c.).

(tn-mum. 81cen-l5 p. c.—(30 p. c.).

(c)—Brussels sprouts-i!) p. c.— (30 p. c.).

(dl-Cabbasc-lfi p- c.—(30 p. c.).

(el-Carrots-is’ p. c.-(3o p. c.). wBeeti. N. o. 11-15 p. c.—-(30 p.

)(f)—Cauliflower--15 p. c.--(30 p. c. . .

their

Easnlwb-free-(ao p. c.).

8'l—Vegetables, fresh, in their natural state:-

(8)—Celery-—15 p. c.—-(30 p. c.).

)(l'l)—Cucumbers-l5 p. c.—(30 p. c. .

i)-—Lettuce—15 p. c.—(30 p. c.).

(D-Parsley-lfi p. c.—(30 p. c.).

yin-Peas, green-w p. c.—(30 p. c

(DRhubarb-lfi p. c.--(30 p. c.). (m)—Spinach—l5 p. c.—(30 p. c.)..‘ )(n)—Tomatoes—15 p. c.—(30 p. c. .