The Temuka Leader. THURSDAY, DECEMBER 6, 1888. THE TOBACCO INDUSTRY.

Temuka Leader, Issue 1825, 6 December 1888, Page 2

The Temuka Leader. THURSDAY, DECEMBER 6, 1888. THE TOBACCO INDUSTRY.

The question " What shall we do with our boys ? " is frequently asked, but no one seems to answer it in any sensible way. We are providing the best of educotionfor our boys, but no means of earning a livelihood. 'J he fact is, we are doing our best in many ways to deprive them of the means of living. A striking instance of this is to be found in the way we have treated the tobacco industry. That industry was growing into importance in 1879, when an Act of Parliament was passed to crush it. In that year it was enacted that the duty on New Zealand-grown tobacco should be the same as the duty on imported tobacco, and of course the result was to crush the industry. Only for this it was likely to become very important. In the previous year Mr August Vollbracht came from America for the purpose of establishing the tobacco industry in this colony, but he was actually driven out of it by this Act of Parliament. We hear a great deal about driving capital out of the country. This was one capitalist driven out of the country deliberately by the Atkinson party, who are just the people to loudest in reference to driving capital away. And why was this done?; Why did our Government crush an' industry which was likely to become of great importance? Just for the. same reason that they crushed the distilleries —to get revenue. They get over £200,000 a year out of the tax on tobacco, and if they were to allow the tobacco to be cultivated and manufactured in the colony the same as wheat or oats the resultwould be that they would have to increase the Property Tax. This point ought not to be passed over without reflection.: The tobacco tax is paid principally by, the poor man, and in order to grind it out of him the industry which would give him employment is crushed.: That the industry would be an impor-f tant one is proved by the report of the Industrial Commission, which war appointed in 1880, and of which Mr | Wakefield was Chairman. The report. [ says: — ■" I " The evidence establishes the fact that any quantity of tobacco equal in quality to the finest American can be grown iu New Zealand, and that there is no reason why the whole of the tobacco consumed ia the colony should not ultimately be produced and manufactured in it. This industry would afford profitable employment to cottage farmers, and also to woman and children, and would utilise large tracts of land which are at present either waste or yielding but little. Having satisfied ourselves on these points, however, the Commissioners are met by the representatives of the revenue officers, who show that if the tobacco industry were allowed to flourish one of the most important sources of revenue (the oniy source which can be absolutely depended on) would be dried up !"

This is as plain as we can make it. " If the tobacco industry were allowed to flourish" that source of revenue wculd be dried up. Large tracts of land would be utilised, and a great deal of labor would be employed. But that is nothing; the rich must not be taxed, the poor must bear the burden. Mr Yollbracht told the Commissioners that he had compared the New Zeal and tobacco leaf with the Victoria- and New South Walesgrown leaf, and that he found the leaf of this colony 25 per cent better. He a lso told them "that Havanna and Florida leaf would grow in fayored

ocalities any where betweea the North Cape and the Bay of Islands; Maryland and Virginia leaf might be successfully cultivated anywhere from the Bay of Islands along the East Coast down to Hawke's Bay, or perhaps to Wellington; Pennsylvania *eed leaf could be located in Marlborough, and Connecticut Beed in Nelson; Massachusetts seed in Canterbury and part of Otago." In five or six years the industry would be firmly established, and we should produce all the tobacco we required, besides probably supplying other colonies. These are the facts which can be gathered from the report of the Commission above referred to, and we ask our readers to reflect on them. What can we expect when our Government crush enterprise and industry in order to wring taxation out of the poor ? With such blighting influences at work it is impossible for us to prosper, and the capitalists who think they are doing a grand thing in this way are. killing the goose that lays the golden egg-;

The report of the Commission of course created a good deal of sens.V ion at the time; pressure was brought to bear in Parliament on the Government, and the duty on tobacco grown in the colony was reduced, 'but the industry never recovered, and it is not likely to so long as it is viewed from a revenue-yielding point of view. Now it is obvious that this is wrong in whatiiver way the question is looked at. This is taxing for revenue purposes, as the Freetraders say, and the result is to crush industry. Is it wise to continue this ? Cannot the matter be 10 arranged that the tabacco can* be produced in the colony, and at the same time revenue obtained. Let the Government place a duty of 4s 6d per lb on imported tobacco, and 2s per lb on home made, and in this way they will promote the industry and secure revenue. In the same way let them tax. imported whiskey at 20s, and home-made whiskey at 10s, and in a few years we shall be producing all our own spirits. If they must wrench the taxes from the working men, in the name of all that is reasonable let them give the work of producihg the goods to the working men. At present they are robbing them twice over —that is, they are robbing them of the amount they pay in taxes, and robbing them of industries which would employ them. To be robbed once is enough, and we think the Government ought to be satisfied with operating once in that direction. This is the way to provide for " our boys," and fathers who have boys to provide for ought to think over this.