WORLD'S PRODUCTION AND CONSUMPTION. 251 



of the quantities of alcoholic and non-alcoholic stimulants 

 it uses. 



All teas have declined one-half in value during the past 

 ten years, owing to the increased production of India and 

 Ceylon, the position of the market at the present time is, 

 however, unique and unusual. Heretofore the rule has 

 been for the supply to exceed the demand, particularly 

 of China tea, it being the custom to claim that the market 

 would never run short of the latter, as the production 

 could be increased to meet any sudden or excessive de- 

 mand. Now, however, the position is entirely different, 

 the shortage in China tea the past year reaching some 

 21,000,000 pounds, to which must be added the increase 

 in consumption of 11,500,000 pounds, due in a measure 

 to the reduction of the duty in England, against which 

 deficit is to be placed the increase of production in India 

 of 3,000,000 pounds, and that of Ceylon of 15,000,000 

 pounds, but still leaving a shortage of 14,000,000 

 pounds. This position has led to an advance in China 

 common grades, part of which is undoubtedly due to 

 speculation. With decreased imports and increased con- 

 sumption in the market, however, appears to have all the 

 requisite of strength to sustain it, and it will be years 

 before it reaches its late low point again. 



With the great reduction in importation price and 

 keener competition the retail prices have been brought 

 down to a very low figure, and as the dealer has edu- 

 cated the public to the purchase of poor teas at low 

 prices it is not likely that the retail prices of teas will ever 

 reach any higher figure unless war or other cause should 

 lead to a duty being placed on the article. Yet, notwith- 

 standing these unprecedented low prices, the per capita 

 consumption of tea is comparatively very low in this 

 country at the present time, one of the chief causes 



