23. Milk, fresh, 2 cents per gallon; cream, 5 cents per gallon.

24. Milk, preserved or condensed, or sterilized by heating or other processes, including weight of immediate coverings, 2 cents per pound; sugar of milk, 5 cents per pound.

25. Wrapper tobacco and filler tobacco when mixed or packed with more than 15 per centum of wrapper tobacco, and all leaf tobacco the product of two or more countries or dependencies when mixed or packed together, if unstemmed, $2.35 per pound; if stemmed, $3 per pound; filler tobacco not specially provided for in this section, if unstemmed, 35 cents per pound; if stemmed, 50 cents per pound.

The term "wrapper tobacco" as used in this section means that quality of leaf tobacco which has the requisite color, texture, and burn, and is of sufficient size for cigar wrappers, and the term "filler tobacco" means all other leaf tobacco.

26. Apples, 30 cents per bushel.

27. Cherries in a raw state, preserved in brine or otherwise, 3 cents per pound.

28. Olives, in solutions, 25 cents per gallon; olives, not in solutions. 3 cents per pound.

Sec. 2. The rates of duty imposed by section 1 (except under paragraphs 17 and 19) in the case of articles on which a rate of duty is imposed by existing law, shall be in lieu of such rate of duty during the six months period referred to in section 1.

Sec. 3. After the expiration of the six months' period referred to in section 1, the rates of duty upon the articles therein enumerated shall be those, if any, imposed theron by existing law.

Sec. 4. The duties imposed by this title shall be levied, collected, and paid on the same basis, in the same manner, and subject to the same provisions of law, including penalties, as the duties imposed by such Act of 1913.

TITLE 11.-ANTIDUMPING. Dumping Investigation.

Sec. 201. (a) That whenever the Secretary of the Treasury (hereinafter in this Act called the "Secretary"), after such investigation as he deems necessary, finds that an industry in the United States is being or is likely to be injured, or is prevented from being established, by reason of the importation into the United States of a class or kind of foreign merchandise, and that merchandise of such class or kind is being sold or is likely to be sold in the United States or elsewhere at less than its fair value, then he shall make such finding public to the extent he deems necessary, together with a description of the class or kind of merchandise to which it applies in such detail as may be necessary for the guidance of the appraising officers.

(b) Whenever, in the case of any imported merchandise of a class or kind as to which the Secretary has not so made public a finding, the appraiser or person acting as appraiser has reason to believe or suspect, from the invoice or other papers or from information presented to him, that the purchase price is less, or that the exporter's sales price is less or likely to be less, than the foreign market value (or, in the absence of such value, than the cost of production) he shall forthwith, under regulations prescribed by the Secretary, notify the Secretary of such fact and withhold his appraisement report to the collector as to such merchandise until the further order of the Secretary, or until the Secretary has made public a finding as provided in subdivision (a) in regard to such merchandise.

Special Dumping Duty.

Sec. 202. (a) That in the case of all imported merchandise, whether dutiable or free of duty, of a class or kind as to which the Secretary has made public a finding as provided in section 201, and as to which the appraiser or person acting as appraiser has made no appraisement report to the collector before such finding has been so made public, if the purchase price or the exporter's sales price is less than the foreign market value (or, in the absence of such value, than the cost of production) there shall be levied, collected, and paid in addition to the duties imposed thereon by law, a special dumping duty in an amount equal to such difference.

(b) If it is established to the satisfaction of the appraising officers that the amount of such difference between the purchase price and the foreign market value is wholly or partly due to the fact that the wholesale quantities, in which such or similar merchandise is sold or freely offered for sale to all purchasers for exportation to the United States in the ordinary course of trade, are greater than the wholesale quantities in which such or similar merchandise is sold or freely offered for

sale to all purchasers in the principal markets of the country of exportation in the ordinary course of trade for home consumption (or, if not so sold or offered for sale for home consumption, then for exportation to countries other than the United States), then due allowance shall be made therefor in determining the foreign market value for the purpose of this section.

(c) If it is established to the satisfaction of the appraising officers that the amount of such difference between the exporter's sales price and the foreign market value is wholly or partly due to the fact that the wholesale quantities, in which such or similar merchandise is sold or freely offered for sale to all purchasers in the principal markets of the United States in the ordinary course of trade, are greater than the wholesale quantities in which such or similar merchandise is sold or freely offered for sale to all purchasers in the principal markets of the country of exportation in the ordinary course of trade for home consumption (or if not so sold or offered for sale for home consumption, then for exportation to countries other than the United States), then due allowance shall be made therefor in determining the foreign market value for the purposes of this section.

Purchase Price.

Sec. 203. That for the purposes of this title, the purchase price of imported merchandise shall be the price at which such merchandise has been purchased or agreed to be purchased, prior to the time of exportation, by the person by whom or for whose account the merchandise is imported, plus, when not included in such price, the cost of all containers and coverings and all other costs, charges, and expenses incident to placing the merchandise in condition, packed ready for shipment to the United States, less the amount, if any, included in such price, attributable to any additional costs, charges, and expenses, and United States import duties, incident to bringing the merchandise from the place of shipment in the country of exportation to the place of delivery in the United States and plus the amount, if not included in such price, of any export tax imposed by the country of exportation on the exportation of the merchandise to the United States; and plus the amount of any import duties imposed by the country of exportation which have been rebated, or which have not been collected, by reason of the exportation of the merchandise to the United States and plus the amount of any taxes imposed in the country of exportation upon the manufacturer, producer, or seller, in respect to the manufacture, production or sale of the merchandise, which have been rebated, or which have not been collected, by reason of the exportation of the merchandise to the United States.

Exporter's Sales Price.

Sec. 204. That for the purpose of this title the exporter's sales price of imported merchandise shall be the price at which such merchandise is sold or agreed to be sold in the United States, before or after the time of importation, by or for the account of the exporter, plus, when not included in such price, the cost of all containers and coverings and all other costs, charges, and expenses incident to placing the merchandise in condition, packed ready for shipment to the United States, less (1) the amount, if any, included in such price, attributable to any additional costs, charges, and expenses, and United States import duties, incident to bringing the merchandise from the place of shipment in the country of exportation to the place of delivery in the United States, (2) the amount of the commissions, if any, for selling in the United States the particular merchandise under consideration, (3) an amount equal to the expenses, if any, generally incurred by or for the account of the exporter in the United States in selling identical or substantially identical merchandise, and (4) the amount of any export tax imposed by the country of exportation on the exportation of the merchandise to the United States; and plus the amount of any import duties imposed by the country of exportation which have been rebated, or which have not been collected, by reason of the exportation of the merchandise to the United States; and plus the amount of any taxes imposed in the country of exportation upon the manufacturer, producer, or seller in respect to the manufacture, production, or sale of the merchandise, which have been rebated, or which have not been collected, by reason of the exportation of the merchandise to the United States.

offered for sale to all purchasers in the principal markets of the country from which exported, in the usual wholesale quantites, and in the ordinary course of trade for home consumption (or, if not sold or offered for sale for home consumption, then for exportation to countries other than the United States), plus, when not included in such price, the cost of all containers and coverings and all other costs, charges, and expenses incident to placing the merchandise in condition packed ready for shipment to the United States, except that in the case of merchandise purchased or agreed to be purchased by the person by whom or for whose account the merchandise is imported prior to the time of exportation, the foreign market value shall be ascertained as of the date of such purchase or agreement to purchase. In the ascertainment of foreign market value for the purposes of this title no pretended sale or offer for sale, and no sale or offer for sale intended to establish a fictitious market, shall be taken into account.

Cost of Production.

Sec. 206. That for the purposes of this title the cost of production of imported merchandise shall be the sum of—

(1) The cost of materials of, and of fabrication, manipulation, or other process employed in manufacturing or producing, identical or substantially identical merchandise, at a time preceding the date of shipment of the particular merchandise under consideration which would ordinarily permit the manufacture or production of the particular merchandise under consideration in the usual course of business;

(2) The usual general expenses (not less than 10 per centum of such cost) in the case of identical or substantially identical merchandise;

(3) The cost of all containers and coverings, and all other costs, charges and expenses incident to placing the particular merchandise under consideration in condition, packed ready for shipment to the United States; and

(4) An addition for profit (not less than 8 per centum of the sum of the amounts found under paragraphs (1) and (2) equal to the profit which is ordinarily added, in the case of merchandise of the same general character as the particular merchandise under consideration.

Exporter

Sec. 207. That for the purposes of this title the exporter of imported merchandise shall be the person by whom or for whose account the merchandise is imported into the United States:

(1) If such person is the agent or principal of the exporter, manufacturer, or producer, or

(2) If such person owns or controls, directly or indirectly, through stock ownership or control or otherwise, any interest in the business of the exporter, manufacturer, or producer; or

(3) If the exporter, manufacturer, or producer owns or controls, directly or indirectly, through stock ownership or control or otherwise, any interest in any business conducted by such person; or

(4) If any person or persons, jointly or severally, directly or indirectly through stock ownership or control or otherwise, own or control in the aggregate 20 Der centum or more of the voting power or control in the business carried on by the person by whom or for whose account the merchandise is imported into the United States, and also 20 per centum or more of such power or control in the business of the exporter, manufacturer, or producer.

Oaths and Bonds on Entry

Sec. 208. That in the case of all imported merchandise, whether dutiable or free of duty, of a class or kind as to which the Secretary has made public a finding as provided in section 201, and delivery of which has not been made by the collector before such finding has been so made public, unless the person by whom or for whose account such merchandise is imported makes oath before the collector, under regulations prescribed by the Secretary, that he is not an exporter, or unless such person declares under oath at the time of entry, under regulations prescribed by the Secretary, the exporter's sales price of such merchandise, it shall be unlawful for the collector to deliver the merchandise until such person has made oath before the collector, under regulations prescribed by the Secretary, that the merchandise has not been sold or agreed to be sold by such person, and has given bond to the collector, under regulations prescribed by the Secretary, with sureties approved by the collector. in an amount equal to the estimated value of the merchandise, conditioned: (1) that he will report to the collector the ex

porter's sales price of the merchandise within 30 days after such merchandise has been sold or agreed to be sold in the United States, (2) that he will pay on demand from the collector the amount of special dumping duty, if any, imposed by this title upon such merchandise, and (3) that he will furnish to the collector such information as may be in his possession and as may be necessary for the ascertainment of such duty, and will keep such records as to the sale of such merchandise as the Secretary may by regulation prescribe. Duties of Appraisers

Sec. 209. That in the case of all imported merchandise, whether dutiable or free of duty, of a class or kind as to which the Secretary has made public a finding as provided in section 201, and as to which the appraiser or person acting as appraiser has made no appraisement report to the collector before such finding has been so made public, it shall be the duty of each appraiser or person acting as appraiser, by all reasonable ways and means to ascertain, estimate, and appraise (any invoice or affidavit thereto or statement of cost of production to the contrary notwithstanding) and report to the collector the foreign market value or the cost of production, as the case may be, the purchase price, and the exporter's sales price, and any other facts which the Secretary may deem necessary for the purposes of this title.

Appeals and Protests.

Sec. 210. That for the purposes of this title the determination of the appraiser or person acting as appraiser as to the foreign market value or the cost of production, as the case may be, the purchase price, and the exporter's sales price, and the action of the collector in assessing special dumping duty, shall have the same force and effect and be subject to the same right of appeal and protest, under the same conditions and subject to the same limitations; and the general appraisers, the Board of General Appraisers, and the Court of Customs Appeals shall have the same jurisdiction, powers, and duties in connection with such appeals and protests as in the case of appeals and protests relating to customs duties under existing law.

Drawbacks.

Sec. 211. That the special dumping duty imposed by this title shall be treated in all respects as regular customs duties within the meaning of all laws relating to the drawback of customs duties. TITLE III.

ASSESSMENT OF AD VALOREM DUTIES. Sec. 301. That whenever merchandise which is imported into the United States is subject to an ad valorem rate of duty or to a duty based upon or regulated in any manner by the value thereof, duty shall in no case be assessed on a value less than the export value of such merchandise.

Export Value.

Sec. 302. That for the purposes of this title the export value of imported merchandise shall be the price, at the time of such merchandise to the United States, at which such or similar merchandise is sold or freely offered for sale to all purchasers in the principal markets of the country from which exported, in the usual wholesale quantities and in the ordinary course of trade, for exportation to the United States, plus, when not included in such price, the cost of all containers and coverings and all other costs, charges, and expenses incident to placing the merchandise in condition. packed ready for shipment to the United States, less the amount, if any, included in such price, attributable to any additional costs, charges, and expenses, and United States import duties, incident to bringing the merchandise from the place of shipment in the country of exportation to the place of delivery in the United States, and plus, if not included in such price, the amount of any export tax imposed by the country of exportation on merchandise exported to the United States.

References to "Value" in Existing Law.

Sec. 303 (a). That wherever in Title I of this Act, or in the Tariff Act of 1913, as amended, or in any law of the United States in existence at the time of the enactment of this Act relative to the appraisement of imported merchandise (except sections 2874, 2976, and 3016 of the Revised Statutes, and section 801 of the Revenue Act of 1916), reference is made to the value of imported merchandise (irrespective of the particular phraseology used and irrespective of whether or not such phraseology is limited or qualified by words referring to country or port of exportation or principal markets) such reference shall, in respect to all merchandise im

ported on or after the day this Act takes effect, be construed to refer, except as provided in sub-division (b), to actual market value as defined by the law in existence at the time of the enactment of this Act, or to export value as defined by section 302 of this Act., whichever is higher.

(b) If the rate of duty upon imported merchandise is in any manner dependent upon the value of any component material thereof, such value shall be an amount determined under the provisions of the Tariff Act of 1913, as in force prior to the enactment of this Act.

TITLE IV.-GENERAL PROVISIONS.
Statements in Invoice.

Sec. 401. That all invoices of imported merchandise, and all statements in the form of an invoice, in addition to the statements required contain such other statements as the Secretary may by regulation prescribe, and a statement as to the currency in which made out, specifying whether gold, silver, or paper .

Conversion of Currency.

Sec. 403. (a) That section 25 of the Act of August 27, 1894, entitled "An Act to reduce taxation, to provide revenue for the Government, and for other purposes," is amended to read as follows:

"Sec. 25. That the value of foreign coin as expressed in the money of account of the United States shall be that of the pure metal of such coin of standard value; and the values of the standard coins in circulation of the various nations of the world shall be estimated quarterly by the Director of the Mint and be proclaimed by the Secretary of the Treasury quarterly on the first day of January, April, July, and October in each year."

(b) For the purpose of the assessment and collection of duties upon merchandise imported into the United States on or after the day of the enactment of this Act, wherever it is necessary to convert foreign currency into currency of the United States, such conversion, except as provided in subdivision (c), shall be made at the values proclaimed by the Secretary under the provisions of section 25 of such Act of August 27, 1894, for the quarter in which the merchandise was exported.

(c) If no such value has been proclaimed, or if the value so proclaimed varies by 5 per centum or more from a value measured by the buying rate in the New York market at noon on the day of exportation, conversion shall be made at a value measured by such buying rate. For the purposes of this subdivision such buying rate shall be the buying rate for cable transfers payable in the foreign currency so to be converted; and shall be determined by the Federal Reserve Bank of New York and certified daily to the Secretary, who shall make it public at such times and to such extent as he deems necessary. In ascertaining such buying rate such Federal Reserve Bank may in its discretion (1) take into consideration the last ascertainable transactions and quotations, whether direct or through the exchange of other currencies, and (2) if there is no market buying rate for such cable transfers, calculate such rate from actual transactions and quotations in demand or time bills of exchange.

(d) Sections 2903 and 3565 of the Revised Statutes are repealed.

(e) Section 25 of such Act of August 27, 1894, as in force prior to the enactment of this Act, and section 2903 of the Revised Statutes, shall remain in force for the assessment and collection of duties on merchandise imported into the United States prior to the day of the enactment of this Act.

Inspection of Exporter's Books

Sec. 404. That if any person manufacturing, producing, selling, shipping, or consigning merchandise exported to the United States fails, at the request of the Secretary, or an appraiser, or the Board of General Appraisers, as the case may be, to permit a duly accredited officer of the United States to inspect his books, papers, records, accounts, documents, or correspondence, pertaining to the market value or classification of such merchandise, then while such failure continues the Secretary, under regulations prescribed by him, (1) shall prohibit the importation into the United States of merchandise manufactured, produced, sold, shipped or consigned by such

person, and (2) may instruct the collectors to withhold delivery of merchandise manufactured, produced, sold, shipped or consigned by such person. If such failure continues for a period of one year from the date of such instructions the collector shall cause the merchandise, unless previously exported,( to be sold at public auction as in the case of forfeited merchandise.

Inspection of Importer's Books.

Sec. 405. That if any person importing merchandise into the United States or dealing in imported merchandise fails, at the request of the Secretary, or an appraiser, or person acting as appraiser, or a collector, or a general appraiser, or the Board of General Appraisers, as the case may be, to permit a duly accredited officer of the United States to inspect his books, papers, records, accounts, documents, or correspondence, pertaining to the value or classification of such merchandise, then while such failure continues the Secretary, under regulations prescribed by him, (1) shall prohibit the importation of merchandise into the United States by or for the account of such person, and (2) shall instruct the collectors to withhold delivery of merchandise imported by or for the account of such person. If such failure continues for a period of one year from the date of such instructions the coltor shall cause the merchandise, unless previously exported, to be sold at public auction as in the case of forfeited merchandise. Definitions.

Sec. 406. That when used in Title II or Title III or in this title

The term "person" includes individuals, partnerships, corporations, and associations; and

The term "United States" includes all Territories and possessions subject to the jurisdiction of the United States, except the Philippine Islands, the Virgin Islands, the islands of Guam and Tutuila, and the Canal Zone.

Rules and Regulations.

Sec. 407. That the Secretary shall make rules and regulations necessary for the enforcement of this Act.

TITLE V-DYES AND CHEMICALS.

Sec. 501. (a) That on and after the day following the enactment of this Act, for the period of three months, no 30dium nitrite, no dyes or dyestuffs, including crudes and intermediates, no product or products derived directly or indirectly from coal tar (including crudes, intermediates, finished or partly finished products, and mixtures and compounds of such coal-tar products), and no synthetic organic drugs or synthetic organic chemicals, shall be admitted to entry or delivered from customs custody in the United States or in any of its possessions unless the Secretary determines that such article or a satisfactory substitute therefor is not obtainable in the United States or in any of its possessions in sufficient quantities and on reasonable terms as to quality, price and delivery, and that such article in the quantity to be admitted is required for consumption by an actual consumer in the United States or in any of its possessions within six months after receipt of the merchandise.

b (provides for the immediate abolition of the War Board Section of the Department of State and the transfer of its business to the Treasury Department). Approved, May 27, 1921.

SINO-GERMAN TRADE AGREEMENT.

By the signature of an agreement concluded between China and Germany the relations of amity and commerce between the two countries have been reestablished. Germany also gives China a declaration in which she consents to the abrogation of the consular jurisdiction in China, expresses her inability through force majeure to restore to China all her rights and privileges in Shantung, and undertakes the fulfillment of the obligations arising from the Articles in the China section of the Versailles Treaty, the restoration to China of the German "glacis," and the reimbursement of the expenses for the internment of the German militaries in China.

The agreement which applies the principles of equality and reciprocity and of the respect of territorial sovereignty consists of seven articles. The first deals with the mutual right of appointing diplomatic representatives, and the second the right of appointing consuls and consular agents. The third article provides that the nationals of either of the two countries have the right to travel to reside, and to engage in trade in all places in the other, where nationals of a third nation are allowed to do so that their life and property are under the jurisdiction of the local courts; and that they shall pay no imposts, taxes, or

ENTERPRISES.

The plenipotentiaries of the two high contracting parties also exchanged notes. In the note from the German representative to the Chinese Minister of Foreign Affairs, it is stated that with reference to the Sino-German agreement and the German declaration, there are certain interpretations as follows:

(1) Though provision is made in article 4, of the agreement with regard to the customs duty on Chinese goods, China is still entitled to the privilege of applying article 264 of the Versailles Treaty.

(2) By the reimbursement of internment expenses, as is stated in the declaration is meant that Germany in addition to indemnifying China according to the principles of the Versailles Treaty is also willing to refund to China the internment expenses. As to the war indemnity, Germany agrees to pay in advance a portion thereof in a lump sum, which represents the equivalent of one-half of the values of the sequestrated but not yet liquidated German property, which amount will eventually be agreed upon and which will consist of $4,000,000 in cash and the balance in Tsinpu and Hukwang bonds.

(3) Chinese property in Germany shall be returned at the ratification of the agreement.

(4) The German Government will assist the Chinese students in Germany in securing their education or practical experience.

In the same note there are also queries concerning the following matters to which answers are requested:

(1) The security to be given in future to German property in China.

(2) The judicial guaranty of German residents in China. (3) Cases in the Mixed Court.

(4)

China's Trading With the Enemy Act.

(5) The liquidation of Sino-German indebtedness. The reply from the Minister of Foreign Affairs to the German representative while acknowledging the receipt of Mr. von Borch's letter containing the explanation on (1) the customs tariff on Chinese goods imported into Germany (2) the payment of indemnity, (3) Chinese property in Germany, and (4) Chinese students in Germany, answers the queries of the German representative as follows:

(1) The Chinese Government promises full protection to German residents in China, undertaking no further sequestrations of their property, except in accordance with the principles of international law and the laws of China; provided that Chinese would receive similar treatment in Germany.

(2) Law suits in which Germans are involved shall be tried in the modern courts, according to the modern codes and following the regular procedure, and the assistance of German lawyers and interpreters is permitted.

(3) As to the German cases in the Mixed Court the Chinese Government will try to find a solution so as to insure justice and fairness to both sides.

(4) At the ratification of the agreement, China's Trading with the Enemy Act will lose its effect and all German trademarks which had been registered at the customs house will also recover their validity if registered again by the owner. As to the German imports into China, the customs duty may be paid according to the general tariff prior to the adoption of the national tariff.

(5) China has no intention to join the clearing-house system generally established by the Allied and Associated Powers. It is further stated that the Chinese Government in consideration of the fact that Germany undertakes to pay, in a lump sum, a portion of the war indemnity to the Chinese Government, China also agrees to cease, at the signature of the agreement, all further liquidation of German property, and on receipt of the aforesaid indemnity and after the ratification of the agreement, agrees to return to German owners all the proceeds from the liquidation of German property and all the German property still under sequestration. As to the Deutch-Asiatic Bank and the Ching-Hsing Mining Corporation the Chinese authorities concerned will discuss methods of settlement with the bank and the corporation themselves.

The Royal Decree of June 14, 1921, has modified the application of the Law of June 13, 1879, with respect to concessions for the exploitation of hydroelectric power and industrial uses of water. It is provided that concessions shall be authorized in the future only in conformity with the following decreed regulations:

1. Concessions shall only be granted to Spaniards or companies constituted and domiciled in Spain, it being required that the president of the board of directors and the administrators, managers, and directors of these societies be Spanish. Positions in the company held by foreigners shall be limited to one-third of the total number of officers of the company. These companies may not be transferred or leased except to persons or companies that fulfill the above requirements.

2. Concessions for the exploitation of hydroelectric power shall be granted for a maximum term of 65 years, counting from the beginning of the exploitation. At the end of the term of concession all of the works, machinery, transportation lines, and other elements of exploitation belonging to the concessionary shall revert to the State.

3. The Government may authorize or exact, upon granting the concession, that a part or all of the energy in the exploitation be destined to certain public services. In the same way the concessionaire, after utilizing the amount of power granted him by the concession, shall devote the surplus electric energy of the exploitation of this concession to the general electric system established and under the conditions specified for this general system.

4. In exploitations which exceed 1,000 horsepower the Government may require the concessionaire to furnish up to 5 percent of the energy to the municipality in which the plant is installed or to the State for public service, at the price fixed by the Government, charging a reduced rate of interest. There shall be no appeal from the decision of the Government in these matters.

5. All of the materials and machinery employed in the concession shall be of Spanish manufacture unless it is shown by the Commission for the Protection of National Products that it is impossible to obtain these materials and machinery in Spain. There shall be no appeal from the decision of the State in this

matter.

6. Before granting these concessions, the civil governors shall consult with the Ministry of Public Works with respect to the relation of this Royal Decree to the particular concession in question.

7. The concessions for the exploitation of hydroelectric energy now in force shall be respected in all of their rights and priveleges, but if these installations are modified or amplified after the issuance of this Decree, the concessionaires shall be obliged to use exclusively materials and machinery of Spanish production in accordance with the foregoing regulations, and if a prorogation of their concession is solicited it must be extended only in accordance with the present Royal Decree under conditions determined by the Minister of Public Works.

All of the regulations of the decree apply to the petitions for concessions now pending, and it is decreed that all petitioners for these pending concessions inform the Ministry of Public Works within 15 days whether or not they will conform to these conditions.

NEW ITALIAN TARIFF.

"La Gazzetta Ufficiale" of June 40, 1921, contains Royal Decree No. 806, dated June 9, which enacts the new schedule of duties to go into effect the day immediately following publication of the decree, July 1, when the table of new duties was made public and forthwith went into operation. That the new rates are considerably higher than the old goes without saying, especially as applied to manufactured goods. The general advance of duties, however, does not indicate by any means the triumph of protectionist sentiment in Italian tariff policy. The whole new schedule, consisting of basic rates and coefficients by which each basic rate is to be increased for the time being, is designed to give the Government a powerful aid in negotiation of commercial treaties and trade agreements with other countries. The purpose is to have the basic rates serve as permanent minimum duties. Some Government officials speak of these rates as the "conventional" duties. The enacting decree empowers the Government to change the coefficients from time to time as economic conditions may vary in the future.

The coefficient I means that the basic duty, 200 lire per quintal must be doubled in order to arrive at the actual gold duty now imposed. In the case of raw cotton in bales the basic duty is given as 3 lire per quintal, but no coefficient of increase is assigned to this commodity. Therefore the gold duty is the same as the basic duty-3 lire.

Under agricultural machinery, a heading which has become considerably elaborated under the new tariff, a basic duty of 17 lire per quintal and a coefficient of increase of 0.2 are assigned to harvesters and reapers weighing more than 10 but not more than 30 quintals. The amount which must be added to the basic duty is therefore obtained by multiplying 16 lire by 0.2, which gives 3.20 lire. This addition makes the actual gold duty 19.20 lire per quaintal on harvesters and reapers within the indicated limits of weight for individual machines.

Raw and Semi-finished Materials.

Raw and semi finished materials which are important for Italian industry and for the most part necessarily come from abroad, receive rather lenient treatment. The classification of iron and steel products as raw materials or finished goods presents some peculiarities. Common pig iron under the old tariff was liable to a general rate of 1 lira per quaintal, while the new duty-obtained by applying the coefficient 2.5 to the basic duty of 1.25 lire-amounts to 4.371⁄2 lire per quintal. The increase in this particular duty responds to the insistent demands of Italian blast-furnace operators that their industry be given protection sufficient to insure its survival. On the other hand, steel ingots, which generally would be considered a product in a state of manufacture more advanced than pig iron, have undergone a decrease of duty from 10 lire per quintal under the old tariff to 5.40 lire-the basic duty being 3 lire and the coefficient of increase 0.8-under the new. With the present state of development reached by the country's iron and steel industry steel ingots are considered a raw material of rolling mills, whereas pig iron is taken to be the finished product of blast furnaces.

Exchange Factor.

All gold duties in the new tariff, like those in the old one, are subject to multiplication by the general exchange factor, based on the approximate premium the dollar commands over the lira, which is revised on the 1st and 16th day of every month by the Ministery of the Treasury in order to arrive at the actual amount of duty payable in paper currency. Since the 1st of May this exchange factor, by which all duties are multiplied, has varied at follows: May 1-15, 4.00. May 16-31, 3.81; June 1-15. 3.48; June 16-30, 3.80: July 1-15, 3.83.

General Level of Rates.

The general level of rates in the new schedules are so high as to put tariff on a definitely protective basis which is modified only in so far as certain raw materials which the country does not possess incur a smaller duty or enter duty free. On certain manufactured specialties of a mechanical charactertypewriters, adding machines, cash registers, and agricultural machinery, largely produced for the export market in the Untited States-the present duties appear well-nigh prohibitive. Even if future trade arrangements could bring about a reduction of the coefficients, as is possible under the powers conferred on the administrative authorities, the basic rates, which are declared in official quarters to be irreducible minimum duties, would in many cases present almost insurmountable obstacles to imports. Italian officials feel that their country has been at a great disadvantage in dealing with other nations which impose high duties on exported Italian specialties. Now, however, they believe that the new rates, with their appropriate coefficients subject to administrative modification, will compel foreign interests who are interested in the Italian markets to make concessions which will render it easier for them to introduce their goods into Italy and at the same time permit Italian exports to have more extended outlets.

PERUVIAN BANKING DECREE.

The following is a translation of the decree of May 2 1921, restricting the use of the capital and deposits of Peruvian banks and of branches of foreign banks in Peru:

Whereas the removal of the national capital from the coun

try restricts productive investments within the country and the development of industries and causes an increase in the cost of living:

Whereas it is the duty of the State to protect the investment of the national capital:

By virtue of the authority contained in Act No. 1967, and until the Legislative Power shall enact laws which will give elasticity to the paper currency.

It is decreed that (1) the banks, both Peruvian and foreign, are obliged to keep in their vaults or invested in the country the value of the declared capital of the former or the sums assigned to the latter at the time of their establishment in Peru. (2) The Caja de Ahorros and others of its class are included in this provision. (3) The Peruvian and foreign banks established within the Republic are obliged to maintain invested within the country the total amount of funds deposited with them by the public in any form of account and may not employ in operations outside of the country any money excepting that which exceeds such total. (4) The fiscal inspector of banks shall take care to verify the monthly, semiannual, and annual balances made by the banks in the Republic, fixing his signature to his approval for publication and other purposes; he shall institute an official file of authenticated copies of these balances and will record daily fluctuations in foreign exchanges, keeping a book containing exact statements of the changes and their causes; he will also establish a special file of the statutes, regulations, and reports of the banks, as well as of all laws and dispositions pertaining to them since their establishment in Peru; he will compile the statutes and regulations of the banks established in the principal commercial cities of the world as a source of information; and he shall visit the banks whenever his presence there is necessary. (5) All the banks, the stock exchange, the Caja de Ahorros, and in general all those that have to do with the fixing of foreign exchange shall at all time proceed according to the advice of the fiscal inspector of banks. (6) The Secretary of the Treasury will meet the expense incurred in carrying out this decree, charging the amount to the general budget.

VENEZUELAN PHARMACY

REGULATIONS.

An executive decree issued on January 18, 1921, by the Government provides regulations for the practice of phar. macy, in accordance with the provisions of article 17, of the pharmacy law. The following are the most important provisions concerning pharmaceutical specialties and vaccines and

serums:

Pharmaceuticals.

Article 80: The pharmaceutical preparations, whether domestic or foreign, for human or veterinary, internal or external use, including medicinal bitters and wines, hair dyes, depilatory preparations, infants' foods and preparations used for the preservation or purification of water or food stuffs, may be sold only on a permit issued by the Director of Public Health, without which they will be considered as secret remedies prohibited for sale.

Article 81: In order to obtain the permit mentioned in the previous article, an application shall be made to the Director of Public Health in accordance with the following requirements:

I. A separate application shall be made for each product on stamped paper of the seventh class.

2. A copy of the qualitative and quantitative formulas, and each one of the labels, prospectus, and any other indications or directions which the preparation will bear as offered for sale to the public, shall be attached to each application. A brief description of the active principle of the product and its nature, or its hygienic or pharmacological properties, shall also be attached.

3. Three samples of each preparation shall be sent to the Central Bureau of Health with each application.

4. The copies of labels, prospectus, formulas, and other literature mentioned in subparagraph 2 shall be dated and signed by the person interested.

Article 82: If the Director of Public health finds the application in order, he will send a bill to the person interested for payment of 100 bolivars for each product to the National Treasury. After this amount is paid the Director of Health will order an analysis of the preparation by the Chemical Laboratory if necessary.

Article 83: If the analysis shows that the preparation