EMPIRE TOBACCO IN BRITAIN

Press, Volume LXXIV, Issue 22308, 24 January 1938, Page 13

EMPIRE TOBACCO IN BRITAIN

RESULT OF PREFERENTIAL TARIFF STEPS TO SAFEGUARD MARKET (FBOU OCR OW)l CORRESPONDENT./ LONDON, December 28. The Tobacco Federation of the British Empire, the council of which is composed of nominees of producers' associations in all the Dominions and colonies where tobacco is grown, has asked the Board of Trade for the privilege of consultation in the preliminary stages of any discussions on the proposed Anglo-American Trade Treaty which may affect tobacco. The federation is anxious that the Empire growers' share in the United Kingdom market and the amount ot money paid to them should be increased substantially, and that there should be no reduction in Imperial preferences. The federation's letter says:— "The share of the United Kingdom home consumption market occupied by Empire tobacco was, in 1919, .01 per cent.; in 1936, 22.66 per cent.; and in one month of this year it rose to as high as 26.49 per cent. The rise is due to the effect of the preferential tarnt, stabilised at Ottawa for 10 years to 1942, on tobacco of Empire origin imported into the United Kingdom. The success, in recent months, of the 10 for 4d cigarettes made of Empire tobacco is one of the beneficial results which have accrued from the operation of the preferential tariff. The Tobacco Federation considers that even 26 per cent, is an insufficient share of the United Kingdom market if the consumption of Empire tobacco is to keep pace with the increasing production in the Empire of a good cigarette-type tobacco."