THE FISCAL ISSUE.

New Zealand Mail, Issue 1716, 18 January 1905, Page 30

THE FISCAL ISSUE.

LONDON, January 14

Mr Austen Chamberlain, Chancellor of the Exchequer, replying to a deputation representing the sugar-using trades, declined to discontinue or modify the tax, producing a revenue of six millions. Instead, he said, of describing the sugar tax as “the only tax” on raw material, the deputation ought to have described it as “one of several taxes” on food, such as tea and other articles taxed under the present system for many years. The raw sugar- tax was 30 per cent., the raw tobacco* tax 600 per cent, value. The deputation practically admitted that the development of industries was dependent on an artificial cheapness. The Sugar Bounties Convention tended to restore the natural course df trade. The deputation was not entitled to expect the maintenance of artificial conditions in favour of a particular industry,'and refusing protection to any other. It was not entitled to ask for sugar below cost of production. Sugar articles imported paid the same duties themselves. The true remedy was to get fresh sources of supply. The imports of oane had largely increased, and he predicted a greater increase.