136 SECTIONAL ADDRESSES 



' cesses.' They amounted in April 1936, per 100 lb. of tea exported, 

 to the following : 



a. Customs duty (taken to general revenues) 



b. Medical wants on estates 



c. Tea research ..... 



d. Tea propaganda .... 



e. Tea control ..... 



Rs. Cents. 



2 00 



15 

 o 14 



° 75 

 o 11 



15 



The restriction scheme is more properly called a regulation scheme ; 

 and it is concerned with the regulation of exports. In Ceylon it takes 

 no account of domestic consumption, but in India it is accompanied at 

 present by a gentleman's agreement under which producers agree not 

 to manufacture for sale in the domestic market more than a certain 

 percentage (in 1936, 12 per cent.) of the estate's basic crop. It does, 

 however, in both countries, provide for a prohibition of new planting, 

 save in special cases, and then only up to \ of 1 per cent, of the total 

 area under tea. Replanting is limited to replanting on the same area 

 which has been uprooted, and the nursery acreage may not be increased 

 permanently. The scheme came into force on April 1, 1933. There 

 was a precedent for it in the post-war scheme of rubber restriction 

 known as the Stevenson Scheme. The latter eventually failed, because 

 in addition to being rather greedy and very inelastic it did not include 

 the Dutch East Indies, where an enormous impetus was given to new pro- 

 duction, especially by native producers. But this time Holland herself 

 took the lead ; and the tea scheme of April 1, 1933, was followed by the 

 new rubber scheme of June 1, 1934, Holland again being a member in 

 respect of the Netherlands Indies. Inasmuch as the schemes in each 

 country have the force of law, all producers must conform. Tea restriction 

 has borne with exceptional severity on the activities of the English and 

 Scottish Joint Co-operative Wholesale Society in South India. Since 

 19 14 the English and Scottish Co-operative has added largely to its 

 acreage, its policy being to produce as much as possible of its own 

 consumption. What it already produces is a fraction only of this con- 

 sumption. But now it cannot add to this except to a slight degree by the 

 purchase of other producers' export rights. 



Regulation was the final item in a long chapter of voluntary co-operation 

 for other ends. The planters of Ceylon first came to co-operate closely 

 with one another for the recruitment and regulation of labour and the 

 organisation of medical services. Their next step was to co-operate for 

 research. Before the war research was done in the Royal Botanical 

 Gardens at Peradeniya, which in 19 14 were transferrred to the Department 

 of Agriculture to serve as its technical nucleus. After the war the 

 tea-planters began to feel that there was need of tea research by the planters 

 themselves ; for the Agricultural Department now desired to pay more 

 attention than before to the ordinary village agriculture of the island. 

 A tea research scheme accordingly was drawn up, supported and financed 

 by the tea industry and established by colonial ordinance. The Institute 



