The German tariff of 1925 was a moderately

protectionist Protectionism, sometimes referred to as trade protectionism, is the economic policy of restricting imports from other countries through methods such as tariffs on imported goods, import quotas, and a variety of other government regulations. ...

law passed by the '' Reichstag'' that reintroduced tariffs on agricultural imports into

Weimar Germany The Weimar Republic (german: link=no, Weimarer Republik ), officially named the German Reich, was the government of Germany from 1918 to 1933, during which it was a Constitutional republic, constitutional federal republic for the first time in ...

. It came into force on 1 September 1925. Under the

Treaty of Versailles The Treaty of Versailles (french: Traité de Versailles; german: Versailler Vertrag, ) was the most important of the peace treaties of World War I. It ended the state of war between Germany and the Allied Powers. It was signed on 28 June ...

Germany was forbidden from setting its own tariff until 1925. Tariffs on agricultural products had been abolished at the start of World War I to ensure a continuous food supply. There was great controversy over whether protectionism should be resumed for agriculture. Left-wing parties and those representing small peasants opposed protection, with the conservatives and those representing large landowners in favour. The election of December 1924 led to a coalition government under

Hans Luther Hans Luther () (10 March 1879 – 11 May 1962) was a German politician and Chancellor of Germany for 482 days in 1925 to 1926. As Minister of Finance he helped stabilize the Mark during the hyperinflation of 1923. From 1930 to 1933, Luther was h ...

, with the protectionist

DNVP The German National People's Party (german: Deutschnationale Volkspartei, DNVP) was a National conservatism, national-conservative party in Germany during the Weimar Republic. Before the rise of the Nazi Party, it was the major Conservatism, cons ...

supporting an agricultural tariff. There also emerged a new solidarity bloc between industry and agriculture that favoured the restoration of protection. Although the new tariff nominally restored tariff rates similar to the prewar duties on grain, the provisional rates during the transition period were lower:

wheat Wheat is a grass widely cultivated for its seed, a cereal grain that is a worldwide staple food. The many species of wheat together make up the genus ''Triticum'' ; the most widely grown is common wheat (''T. aestivum''). The archaeologi ...

was subject to a duty of 3.50 marks per quintal and

rye Rye (''Secale cereale'') is a grass grown extensively as a grain, a cover crop and a forage crop. It is a member of the wheat tribe (Triticeae) and is closely related to both wheat (''Triticum'') and barley (genus ''Hordeum''). Rye grain is u ...

to a duty of 3 marks. However, from August 1926 wheat and rye were subject to a duty of 5 marks. The tariff helped to moderate the fall in prices.Tracy, p. 182.

Notes

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References

Alexander Gerschenkron Alexander Gerschenkron (russian: Александр Гершенкрон; 1 October 1904 – 26 October 1978) was a Russian-born American economic historian and professor at Harvard University, trained in the Austrian School of economics. Born i ...

, ''Bread and Democracy in Germany'' (New York: Howard Fertig, 1966). *Dieter Gessner, 'Agrarian Protectionism in the Weimar Republic', ''Journal of Contemporary History'', Vol. 12, No. 4 (Oct., 1977), pp. 759-778. *Michael Tracy, ''Government and Agriculture in Western Europe, 1880–1988'' (London: Harvester Wheatsheaf, 1989). Economy of the Weimar Republic 1925 in Germany