The Commercial Products of the Vegetable Kingdom Part 87

The consumption of tobacco in the island of Great Britain, excluding Ireland, and the duty thereon, were in

Consumption. Duty.

1801 10,514,998 lbs. 1s. 7d.

1811 14,923,243 " 2s. 2d.

1821 12,983,198 " 4s. 0d.

1831 15,350,018 " 3s. 0d.

1841 16,083,593 " 3s. 0d.

1851 28,062,841 " 3s. 0d.

In the last two periods five per cent is added to all the duties.

Thus, while the consumption of tea and coffee has increased even beyond the ratio of the population, the consumption of tobacco has decreased.

This table also exemplifies the greater productiveness of a low duty compared with a high one; for instance, coffee in 1801, at 1s. 7d.

per lb., yielded 77,654; in 1821, at 1s. per lb., 379,650; and, in 1841, at 6d. per lb., 710,524; tobacco in 1821, at 4s. per lb., yielded 3,164,673, and 1841, at 3s. per lb., 3,314,215. But the difference in duty in the latter case was not sufficient to curtail the profits of the smuggler to any material extent.

Cigars afford a remarkable example of the amount of duty being increased by diminishing the rate. In 1828, when the duty was 18s.

per lb., duty was paid on 8,600 lbs. only, yielding 7,740. In 1830, when the duty was reduced to 9s. per lb., duty was paid on 66,000 lbs., yielding 29,700; and such has been the increase of consumption, that, in 1841, duty was paid on 213,613 lbs., yielding 100,899.

We would further ill.u.s.trate the position by the following facts:

In 1798, Ireland, with a population of 4,000,000, consumed 8,000,000 lbs. of tobacco, and now, with more than double the population, she consumes about 3,000,000 lbs. of tobacco less than at the former period. The reason is obvious: in 1789 the duty was 8d. per lb; now it is 3s. In 1798, England and Scotland, with a population of 10,000,000, consumed 10,000,000 lbs. of tobacco, being one half of the relative consumption of Ireland at the same period; the duty in England and Scotland being then 1s. 7d. per lb., and in Ireland only 8d.

But the quant.i.ty of tobacco on which duty is paid does not even approximately show the quant.i.ty consumed. If the duty now paid on tobacco in the United Kingdom retained the same relative proportion to the population that it held in Ireland in 1798, the duty in 1841 would have been actually levied upon 53,711,856 lbs., instead of 22,094,772 lbs.; and such we believe to be about the actual amount of consumption, the great bulk of the supply being furnished by the illicit trader.

In Prussia, it appears that the consumption of tobacco is at the rate of three pounds per head; while, in England, if we were to judge from the amount on which duty is paid, it is considerably less than one pound per head.

a.s.suming the actual consumption at only 45,000,000 lbs., or two pounds per head, we believe that a reduction of duty to 1s. per pound would so effectually destroy the illicit trader, that the revenue would gain by the change, not only by bringing upwards of 30,000,000 lbs. under duty, which at present escape, but by the great increase of the consumption consequent upon the encouragement given to the fair trader.

We would not, however, treat the question merely as a matter of revenue. We would strongly represent the injustice which this exorbitant duty inflicts upon those who pursue a legitimate trade, by enabling the smuggler to lessen the extent of their transactions by more than half what they would otherwise be; and we would further earnestly urge upon your consideration the demoralising tendency of such a systematic and extended violation of the law, not only upon those engaged in the illicit trade, also upon those parties who are found to connive at the practice from a sense of the gross injustice and impolicy of a duty so disproportioned to the value of an article of such extensive consumption.

We would refer to the opinion of a committee of the House of Commons on the growth of tobacco in Ireland, in 1840, as follows:--'That it further appears, from the evidence, that smuggling of foreign tobacco is at present carried on to a great extent, and that all the measures now adopted, at great expense to the country, are and will be ineffectual to repress it so long as the temptation of evading a duty equal to twelve times the value of the article on which it is imposed, remains."

We beg, therefore, respectfully to express our opinion, that if the duty on tobacco were reduced to one shilling per pound, it would be alike beneficial to the interests of legitimate commerce; to the consumers, who consist almost entirely of the poorer cla.s.ses; to the revenue, by increasing the productiveness of the duty, and by greatly diminishing the expenditure so ineffectually incurred to suppress the illicit trade; and to the general morals of society by removing a powerful inducement to infringe the laws.

The imports of all kinds of tobacco for the last five years have been as follows:--

| 1848. | 1849. | 1850. | 1851. | 1852.

| lbs. | lbs. | lbs. | lbs. | lbs.

Unmanufactured|34,090,360|41,546,848|35,166,358|31,061,953|33,205,635 Manufactured | | | | | and snuff | 1,512,714| 1,905,306| 1,557,618| 2,331,886| 2,930,299 |----------|----------|----------|----------|---------- |35,603,074|43,452,154|36,723,876|33,393,839|36,135,934

Gross duty received:--

| 1848. | 1849. | 1850. | 1851. | 1852.

| | | | | On raw tobacco| 4,267,579| 4,328,217| 4,337,258| 4,386,910| 4,466,533 Cigars, snuff,| | | | | &c. | 97,655| 96,814| 92,873| 98,858| 94,298 |----------|----------|----------|----------|---------- | 4,365,234| 4,425,031| 4,430,131| 4,485,768| 4,569,831

The amount of tobacco consumed is so limited that the trade will not admit of an excessive growth. In the two most thickly populated countries in Europe--France and England--not more than a certain quant.i.ty finds its way there. In France the trade is monopolised by Government, which gives out contracts to deliver a stipulated quant.i.ty at certain prices; in England the duty imposed is so enormous that only a limited quant.i.ty of certain descriptions can be imported without risk of loss. In Germany and Holland, where the trade is more extensively carried on than elsewhere, the duty imposed is almost nominal, and all cla.s.ses of their citizens are enabled to use the weed at prices very little higher than its first prime cost. The tobacco trade const.i.tutes so large a staple of American produce that it is singular greater efforts are not made upon the part of that Government to cause a reciprocal duty to be imposed, that more favor may be shown by European Governments to this particular article. England, from the duty imposed upon it alone, derives a revenue of 4,500,000, being about 160 to the hogshead, or from ten to sixteen times its original cost. France makes the trade a monopoly, from which she derives an income of 3,000,000 sterling.

STATEMENT OF IMPORTS, SALES, AND STOCKS OF TOBACCO AND STEMS, IN BREMEN, FROM 1840 TO 1850.

----+---------------------------+-----------------------+ | MARYLAND | VIRGINIAN | ----+------+------+------+------+-----+-----+-----+-----+ | | | | S | | | | S | | S | | | t | S | | | t | | t | | | o D | t | | | o D | | o J | I | | c e | o J | I | | c e | | c a | m | | k c | c a | m | | k c | | k n | p | S | e | k n | p | S | e | Y | u | o | a | l m | u | o | a | l m | e | 1 a | r | l | a b | 1 a | r | l | a b | a | s r | t | e | s e | s r | t | e | s e | r | t y | s | s | t r | t y | s | s | t r | ----+------+------+------+------+-----+-----+-----+-----+ 1840| 4,890|14,570|18,399| 1,061| 245| 3492| 3422| 285| 1841| 1,061|19,629|18,321| 2,369| 285| 3466| 3025| 726| 1842| 2,369|20,821|19,067| 4,123| 726| 6729| 5898| 1557| 1843| 4,123|18,483|15,004| 7,602| 1557| 5541| 4242| 2856| 1844| 7,602|16,978|18,338| 6,242| 2856| 5092| 4282| 3666| 1845| 6,242|24,251|24,571| 5,922| 3666| 1588| 3099| 2155| 1846| 5,922|26,785|23,788| 8,919| 2155| 2386| 2456| 2085| 1847| 8,919|21,743|20,681| 9,981| 2085| 911| 2079| 917| 1848| 9,981|12,084| 9,935|12,130| 917| 847| 1054| 710| 1849|12,130|19,285|22,112| 9,303| 710| 1173| 1734| 149| ----+------+------+------+------+-----+-----+-----+-----+

----+---------------------------+-----------------------+ | KENTUCKY | STEMS | ----+------+------+------+------+-----+-----+-----+-----+ | | | | S | | | | S | | S | | | t | S | | | t | | t | | | o D | t | | | o D | | o J | I | | c e | o J | I | | c e | | c a | m | | k c | c a | m | | k c | | k n | p | S | e | k n | p | S | e | Y | u | o | a | l m | u | o | a | l m | e | 1 a | r | l | a b | 1 a | r | l | a b | a | s r | t | e | s e | s r | t | e | s e | r | t y | s | s | t r | t y | s | s | t r | ----+------+------+------+------+-----+-----+-----+-----+ 1840| 181| 3,803| 3,699| 285| 2853| 3362| 4564| 1651| 1841| 285| 5,206| 4,941| 550| 1651| 7085| 7054| 1682| 1842| 550| 9,407| 8,939| 1018| 1682| 4151| 5386| 447| 1843| 1018| 7,485| 6,441| 2062| 447| 3969| 3447| 969| 1844| 2062| 9,736| 9,569| 2229| 969| 4753| 5513| 209| 1845| 2269|11,439|10,328| 3340| 209| 5273| 4152| 1330| 1846| 3340| 5,028| 6,099| 2269| 1330| 6092| 4716| 2706| 1847| 2269| 3,816| 5,013| 1072| 2706| 6788| 8038| 1456| 1848| 1072| 4,448| 4,980| 540| 1456| 4912| 4473| 1895| 1849| 540| 4,620| 4,746| 414| 1895| 5188| 5083| 1000| ----+------+------+------+------+-----+-----+-----+-----+

_Culture and Statistics in the United States_.--Tobacco has been the great staple of the States of Virginia and Maryland from their first settlement. About the year 1642 it became a royal monopoly, and afterwards, in order to encourage its growth in the colonies, and thereby increase the revenue of the Crown, Parliament prohibited the planting of it in England. The average quant.i.ty shipped from the North American colonies to the parent country, for ten years preceding the year 1709, was about twenty-nine millions of pounds. For some years prior to the American revolution, about 85,000 hhds. were exported, then valued at little more than four millions of dollars, and const.i.tuting nearly one-third the value of all the exports of the British North American colonies. From 1820 to 1830 tobacco const.i.tuted about one-ninth in value of all the domestic exports of the United States. It finds a market princ.i.p.ally in Great Britain, France, Holland, and the north of Europe.[55] The crop of tobacco produced in the four princ.i.p.al States, was in--

1838. 1839.

hhds. hhds.

Virginia 26,000 45,000 Kentucky 27,000 35,000 Maryland 16,000 16,000 Ohio 3,000 4,000 ------ ------- 72,000 100,000

The whole crop of 1840 was 219,163,319 lbs., which, at the estimate of 1,200 lbs. to the hhd., would be equal to 182,636 hhds., and at the average price of that year, 81 dollars 5 cents. per hhd., would make the value of the crop of the United States 14,802,647 dollars 80 cents. The average annual export for the ten years ending with 1840, was 96,775 hhds. The actual exportation of 1840 was 119,484 hhds. The princ.i.p.al exports are formed of the produce of Virginia, Kentucky, Tennessee, Maryland, and North Carolina. The exports are chiefly to the following countries--about 30,000 hhds. annually to England, 15,000 hhds. to France, 20,000 hhds. to Holland, 25,000 hhds. Germany, and about 22,000 hhds. to other countries. The whole crop for 1845 was put down at 187,422,000 lbs. In 1839, it was ascertained that one and a half million persons were engaged in the cultivation and manufacture of tobacco in the United States, one million of whom were so occupied in the States of Virginia, Maryland, Kentucky, and Missouri. In the city of New York the consumption of cigars is computed at 10,000 dollars a day, a sum greater than that which the inhabitants pay for their daily bread; and in the whole country the annual consumption of tobacco is estimated at 120 million pounds, being 7 lbs. for every man, woman, and child, at an annual cost to the consumers of 20 million dollars (more than four million pounds sterling).

It is estimated that the manufacture of tobacco in the United States is increasing at the rate of 2,000 hhds. per annum.

hhds.

The quant.i.ty manufactured in 1851, was stated at 55,000 Exportations for the year estimated at 120,000 ------- 175,000

The production for 1852 is supposed to be as follows:--

hhds.

Virginia 27,000 Maryland 33,000 Western States, including frosted 65,000 ------- Total production 125,000 Deficiency in the year's crop 50,000

The quant.i.ty produced in the United States, in 1847, was 220,164,000 lbs., worth, at 5 cents per lb., nearly 11 million dollars (more than two million sterling). The princ.i.p.al producing States were--Kentucky, 65 million lbs.; Virginia, 50 millions; Tennessee, 35 millions; North Carolina, 14 millions; Ohio, 9 millions; Indiana, 4 millions; Illinois, Connecticut, and a few others in smaller proportions.

The production in 1848 was 218,909,000 lbs., which, valued at four cents per lb., would be worth nine million dollars. From persons largely interested in the tobacco trade, and well informed in relation thereto, I have gathered the following general statements:--

The crops of tobacco to come to market in the year 1851, were estimated as follows--

hhds.

Virginia 30,000 Kentucky, Tennessee, and Missouri, about 50,000 Maryland, about 22,000 Ohio, about 14,000

From the above estimate it will be seen that the quant.i.ty produced in 1850 is less than two-thirds of the usual production in the States named. The entire crop of Virginia will be required for home consumption. About 15,000 hhds. Kentucky, and 5,000 hhds. Maryland will also be wanted for home use. Owing to the increase of population by immigration and otherwise, the domestic consumption, which was a few years ago so small as not to be considered worthy of notice, has now increased to a very important item, and affords a steady home market for a large portion of the production.

The quant.i.ty of Maryland tobacco left for export to Bremen and Holland, in 1851, will only be about 17,000 hhds., which is not more than half the amount usually shipped to these countries every year.

Of the Kentucky tobacco contracted for last year by France and Spain, through their agents in this country, less than one third has yet been purchased, and those governments will this year require the deficiency to be made up, in addition to their annual average supply, which, with the quant.i.ty required for England, will take the entire crop, leaving nothing for the rest of Europe, Africa, South America, the West Indies, &c. The tobacco markets throughout the world are in a much more healthy condition than has ever been known, and it is thought prices will rule very high the coming season. In Maryland, while the production has been not more than half an average crop, the price is nearly three times as high as usual; so that the planter will receive more for his diminished crops than in ordinary seasons of plenty.

QUANt.i.tY OF TOBACCO EXPORTED ANNUALLY FROM 1821 TO 1850.

Exports for Year ending hhds.|Stocks in Europe, year ending hhds.

September 30th, 1821 66,850| December 31st, 1821 -- " " 1822 83,169| " " 1822 -- " " 1823 99,000| " " 1823 -- " " 1824 77,889| " " 1824 -- " " 1825 75,986| " " 1825 -- " " 1826 64,099| " " 1826 -- " " 1827 100,020| " " 1827 -- " " 1828 96,279| " " 1828 69,485 " " 1829 77,136| " " 1829 63,670 " " 1830 83,810| " " 1830 50,672 " " 1831 86,718| " " 1831 54,690 " " 1832 106,800| " " 1832 61,868 " " 1833 83,153| " " 1833 50,543 " " 1834 87,979| " " 1834 53,413 " " 1835 94,353| " " 1835 57,458 " " 1836 109,042| " " 1836 68,918 " " 1837 100,232| " " 1837 38,703 " " 1838 100,593| " " 1838 31,067 " " 1839 78,995| " " 1839 38,715 " " 1840 119,484| " " 1840 37,623 " " 1841 147,828| " " 1841 50,880 " " 1842 158,710| " " 1842 62,496 June 30 (9 ms.) 1843 94,454| " " 1843 91,196 " (12 ms.) 1844 163,042| " " 1844 88,973 " " 1845 147,168| " " 1845 91,213 " " 1846 147,998| " " 1846 100,774 " " 1847 135,762| " " 1847 88,858 " " 1848 130,665| " " 1848 80,391 " " 1849 101,521| " " 1849 70,527 " ' 1850 145,729| " " 1850 66,777

It is a curious fact that, notwithstanding the variety of climate and soil in the northern State;, every State and territory in the Union produces some tobacco. In many of the States its cultivation is, of course, a secondary object, and perhaps in several it is attended to as a mere matter of curiosity; but in most of the States, probably a sufficient quant.i.ty has been grown, to show that with attention to this object, it might, in case of necessity, be resorted to as a profitable crop. The States in which the great bulk of the crop is grown lie between the lat.i.tudes of about 34 and 40 degrees.

There is a considerable increase of consumption of American tobacco in Europe, as well as in the United States, which should encourage the planters of Virginia and North Carolina to cultivate this article more abundantly than they have done for several years past; and, since the home manufacture has increased so much, and the Virginia tobacco is preferred in many parts of the European markets, they may safely count on getting good prices for many years to come.

It is not in the power of Virginia to make any three years together more than 56,000 hhds., even with good seasons, and 30,000 hhds.

annually of this will be wanted by our manufacturers.