The differential necessary therefore to protect the American manufacturer and laborer against the cheap Indian labor would be the value of the raw material. The cheap ocean freights and the option of landing bagging at any south Atlantic or Gulf port without additional charge fully offsets the transportation cost of foreign bagging. as compared with the cost of inland transportation on domestic bagging. A representative of one of the largest American companies that has moved its machinery from the United States to India and now operates plants with Asiatic labor. stated to your committee at the hearing on this subject that his company was passing on to the buyer of jute bagging a reduction of about twothirds of a cent a pound on account of the low cost of Indian manufacture. If this splendid business organization passes on to its customers a reduction of twothirds of a cent a pound. we could hardly presume that they keep for themselves less than onethird of a cent per pound. and this makes the minimum differential requested of 1 cent per pomind appear extremely conservative. A representative of one of these AmericanIndian manufacturers was quoted in 1921 as saying: " In Calcutta we can get operatives at 10 to 15 cents a day." We submit as an exhibit with this brief a statement from the Cordage Trade Journal of October 20. 1921. which gives a graphic picture of the situation which we have to meet. and which should be of genuine interest to the committee.
Identified stereotypes
Indian labor is cheap.