Jan. 1, 1&02.1 
THE'' TEOPICAL AGRICULTURIST. 
biy nor Madras, nor any of the smaller ports on the 
sonth coast are, or are likely to become, centres 
of the tea trade. The only Diarket within easy 
reach of the ftrower in Sonthern India, 's Colombo ; 
and that market he is practically debarred irom 
usins by rpasion of the protecive duty. 
The hardships which this barrier entails have been 
forcibly represented to the General Committee by tha 
United Planters' Association, and the other kindred 
Aasociiitions, of Sonthern India. It has been pointed 
out in thes3 representations that under existing con- 
ditions Indian teas cannot be sold in Colombo on an 
equality with Ceylon teas. The reason for this is 
thut, being dutiable, they are stored in the Bonded 
WarehonFC, from which they cannot be removed ex- 
cept on payment of the duty (which is equal to about 
70 per cent of their averaafe v.ilue) or on their being 
shipped. This precludes their being used by dealers 
for blending purposes, and consequently has a dis- 
tinctly adverse influence upon prices. The Ceylon 
plsutersare — as h'ls been already conceded — doubtless 
right in taxing foreign teas, because they object to 
their own being mixed with inferior growths. But 
this objection does not apply to teas produced in 
Southern India, because ihese are equal in quality to 
ordinary Ceylon teas. For the protection of the latter, 
therefore, it is not really necessary to tax the former ; 
and the Southern Indian Associations are very strongly 
of opinion that their produce should be admitted free 
iuto Ceylon. 
4. As has been already stated the duty does not to 
the same extent affect the Northern Indian industry, 
which this Association more especially represents. 
But in one respect it indirectly exercises a prejudicial 
influence upon the distribution of teas produced in 
the northern districts. This is particularly so in the 
case of teas destined for the Black Sea ports, where a 
great prospective market is believed to exist. There 
is no direct steamer service between Calcutta and 
Russian ports, and consequently transhipment at Col- 
ombo or elsewhere is unavoidable. Moreover the' 
^Rusaian Government gives certain advantages in 
inland transit to goods lauded from the steamers of 
the Russian Volunteer Fleet trading between China 
and the Black Sea. And in order to put Indian tea on 
equal terms with that from China and Ceylon, it is 
therefore necessary that these steamers should be 
carriers. It is almost needless to say that Colombo 
in view of its geographical position in relation to 
Calcutta is the natural point for transhipments 
But the charges which are levied there are so heavy — 
because the tea has either to be stored i;i the Bonded 
Warehouse or to be cleared by payment of the duty 
— that it is less expensive to tranship at Singapore, 
notwithstanding the greater distasiee. If Colomba 
were a free port such a detour would be unnecessary 
and much valuable time would be saved. In this 
respect therefore the existence of the duty is a distincc 
disadvantage to teas shipped from Calcutta. 
5. It is the opinion of the Gi-eneral Committee — 
after having given the whole question their most 
attentive consideration — that the facts "disclosed in 
the preceding paragraphs justify an application 
being made to Ceylon for the abolition of the duty, 
so far as Indian teas are concerned. They have con- 
sequently instructed me to enquire if the Government 
of India would be disposed to assist the Indian 
industry by preferring such a request to the Ceylon 
Government, or if need be to the Secretary of State 
for the Colonies. In making this enquiry the 
Committee hnve not omitted to take into 
account the possibility that the Colonial autho- 
rities if they consent ' to admit Indian 
teas fi-eo, may be willing to do so only on the 
condition that the .5 per cent, duty now levied in 
India is likewise remitted in the case of Ceylon teas. 
So far as Indian growers are concerned the Committee 
arc unacquainted with any reason why such a demand, 
if made, should not be complied with. And seeing 
that the revenue derived from this source cannot 
be large, they presume that the Governmeiit of 
ladia would raise no serious objection ; for any 
readjustment of taxation which might be required 
would apparently be trifling and eas.Iy arranged. 
The proposal which the Committee venture to adi'^uce 
is, therefore, of a two-fold nature. Firstly, that 
an attempt should be made to induce the Ceylon 
Government to exempt Indian tsa from the 
payment of duty; and secondly that, if necessary, 
Ceylon tea should be likewise exempt from the 
payment of duty in India. In the case of non-Bri- 
tish teas the Committee consider that the ex- 
isting duties should be maintained. 
6. It has been suggested that if the Ceylon Gov- 
ernment definitely decline to mal;e the concession 
asked for the Government of Indi;i should sei-iously 
consider the advisability of enhancing the Indian 
duty to a protective rate. That the present position 
as ijetween India and Ceylon is unfair to the*^ former 
is evident. For while Indian tea— as has been shown 
— is practically excluded from Colombo, Ceylon tea is 
being sent to India in increasing * quantities. The 
rate of duty i?: so low as to present no real obstacle 
to its importation, either for consumption in India 
or for re-exportation to Central Asia, The Indian 
tea industry have determined, as you are doubtless 
aware, to make a strong effort to extend the con- 
sumption of Indian tea in both the markets indicated, 
especially that of India itself. And it d oes not seem 
fair that Ceylon should enjoy the beneht of develop- 
ments effected at the cost of India, while itself re- 
taining a practical embargo on Indian tea. State- 
ments have also been made to the effect that the 
quality of a large portion of the tea now being im- 
ported from Ceylon is so inferior as to necessitate a 
protective rate of duty. Upon this point the Committee 
are at present unable to express an opinion ; but 
they are distinctly opposed to the continuance of the 
inequality as between the two tariffs. The removal 
of this inequality would, they think, be best effected 
by abolishin? both the duties in question. But if 
the Ceylon Government are not agreeable to this be- 
ing done, then the enhancement of the Indian tax 
would appear to be the only alternative. 
7. In conclusion the General Committee respect- 
fully venture to ask that this letter may be submit- 
ted to His Excellency tha Viceroy for such orders as 
His Excellency may see lit to pass. 
I have the honour to be. Sir, Your most obedient 
Servant, W. P.\rsons, Secretary. 
BRITISH NEW GUINEA UP-TO-DATE. 
The report from British New Guinea for 
the year ended June 30th hist shows that 
during the past ten vear.s the revenue haa 
more tlian quadrupled, while the expenditure 
has increased by about 59 per cent. In the 
last five years the trade has almost trebled. 
The rubber industry is at present languish- 
ing, probably because the accessible country 
near the coast is worked out. But there is 
an enormous area of good rubber country' 
waiting to be worked in a scientific and 
rational way : " until and unless it is treated 
so, it had better be left alone, and it is 
infinitely preferable to see a diminished 
export than an apparently flourishing trade 
being carried on at the expense of its capital 
sources and ultimate ruin." The accounts 
of the visits of inspection to various parts 
* The imports for the past live years are stated by 
the Director-General of Statistics to have been as fol- 
lows: — 
lb. lb. 
189i;-97 7-18,127 I 1899-1900 570 IGl 
1897- 98 1,059,716 I 1990-1901 1,496,700 
1898- 99 1,108,686 
