Tariff
A tariff is a tax on imports or exports between sovereign states. It is a form of regulation of foreign trade. It is a policy that taxes foreign products to encourage or protect domestic industry. It helps limit trade deficits. The tariff is historically used to protect infant industries and to allow import substitution industrialization.
German tariff of 1879
The tariff imposed moderate import duties on grain and raised the duties on livestock products. Wheat, rye and oats were subject to a duty of 1 mark per 100kg; on barley and maize 50 pfennigs; on flour 2 marks; on meat 12 marks; on oxen 20 marks; sheep 1 mark; pigs 25 marks. Raw materials for industry such as cotton, flax, hemp, wool and coal were admitted duty free. The duty on pig iron was 1 mark; on semi-manufactured goods made from iron and steel it ranged from 2 to 2.5 marks; for other iron and steel goods the duty ranged from 7.5 to 15 marks. On machinery it was 3 to 8 marks; for yarns and textiles the rates were 15 to 30 per cent. "ad valorem".