io6 ON TAXATION 



It is the general belief that the consumer of 

 tea pays the whole of the duty. But we might 

 possibly find, if we had the whole of the facts 

 accurately before us, that the planter pays a part 

 of the duty, and the consumer the remainder. 



The price paid by the consumer contains the 

 cost of transport and delivery to himself, retailer's 

 profits (a very considerable item), cost of trans- 

 port to retailer's warehouse, unpacking and 

 repacking, the London expenses, the total cost 

 up to London {6d. the pound), and the duty. 

 Estimating these items as best we can, it seems 

 probable that if the whole of the duty were 

 taken off, the planter would get more for his 

 tea. 



Some years ago the planters, it was understood 

 owing to dissatisfaction with their share of the 

 profits, introduced rows of rubber trees between 

 the lines of tea plants. The production of tea 

 is, in consequence, now beginning to fall off, and 

 a rise in the price of tea is expected. Formerly, 

 Great Britain offered the one market for British 

 Indian and Ceylon teas : this is not now the 

 case. Whatever part of the duty on tea is now 

 paid by the consumer, it is likely he will presently 

 have to pay the whole of it ; and if they are right 

 who think he does now pay the whole of it, then 

 he will presently have to pay a high price as well. 



Articles of this grade are therefore not suitable 

 for high duties. 



No duty can ever be levied economically on 

 capital of the second class. Raw cotton cannot 

 be grown in Great Britain : it is grown in British 



