The Sun.
London, England, 1846-11-27 00:00:00

THE TEA DUTY QUESTION.
MEETING AT LIVERPOOL.
The public meeting convened by his worship the
Mayor, in compliance with a numerously-signed
requisition presented to him for that purpose, was held
at twelve o'clock on Wednesday, in the Sessions-house,
Liverpool. The attendance was extremely large, the
building being densely crowded in every part.
The MAYOR, having taken the chair, read letters of
excuse, for inability to attend the meeting, from W.
Entwisle, Esq., and Lord Sandon.
The requisition having been read by the town-clerk,
The CHAIRMAN called upon Wm. Brown, Esq., M.P.,
to move the first resolution.
Mr. BROWN, having read the resolution, spoke as
follows:—I am not at all interested in the exportation of
British manufactures to China, or in the importation of
tea from thence, neither am I a shipowner, nor manu-
facturer nor a member of the society who are bringing
this subject under discussion,—l am interested in pro-
moting the social comfort and domestic happiness of the
people ; and I believe a reduction of the duty on tea
would have that effect. Our position with China at this
time seems to be nearly a dead lock. To that immense
empire our exports ten years ago were 1,300,0001., and
now they are only increased to 2,300,0001., which shows,
in the clearest point of view possible, that there is no
such thing as a one-sided trade between nations. We
must buy to enable us to sell : it is the cardinal point
which we must never lose sight of in discussing commer-
cial questions. All commerce is an exchange of equiea-
lents,:each party receiving from the other something that
is more valuable to them than that with which they part.
It is not necessary on all occasions that we should carry
on a direct exchange of equivalents with any country to
which we are exporting our goods, if that country has
the means of paying us through some other channel.
But unfortunately this is not the case with China, and
our object, therefore, must be to increase the direct
trade ; and I will endeavour to show, by statistical and
historical facts, that we can do this without materially
impairing the revenue, or unnecessarily alarming or
embarrassing the Chancellor of the Exchequer, who feels
the great responsibility that rests on his shoulders to be
able to comply with all our public engagements, and sus •
tain the honour and dignity of the nation. For we
must all admit that the preservation of public credit is
our sheet anchor, and at every sacrifice that must be
sustained. I believe the present Government have every
disposition to remove all unnessary burdens from com-
merce; but they are powerless unless sustained by public
opinion to enable them to re-adjust taxation, and place
those unavoidable burdens on those objects most able to
bear them. I shall now endeavour to give you a short
outline of our China trade from its commencement, from
which you will see the remarkable fluctuations that have
taken place with the rise and fall of the duty on tea.
Prior to 1667, no tea was imported into this country by
the East India Company, but a little by the private
trade. It was made into a decoction at the coffee-houses,
and sold at an excise duty of 3d. per gallon. In 1667
the East India Company sent out their first order for
4001bs. of the best " tay," as it was then called; From
that period up to 1707, I am not able to ascertain the
duty, but I believe it to have been heavy; because, in an
old newspaper of that date, it was stated by one who
was anxious to get customers, that he was prepared to
sell it from 265. to the very low price of 16s. per pound.
In 1747, the duty was reduced 25., and it quadrupled
the consumption.—(Hear, hear.) In 1768, the duty
on black tea was reduced ls., and the consumption in-
creased eighty per cent. In 1773, the duty was re-
imposed, and we lost that eighty per cent. From that
period we come down to 1784, when Mr. Pitt, under the
Commutation Act, in order to stop smuggling, and to
add to the comforts of the people, reduced the duty from
ls. and 6 per cent. ad valorem duty to 121 per cent. The
consequence was, that the consumption rose from
5,000,0001b5. to 21,000,0001b5., in 1795.—(L0ud cries of
" Hear, hear.") There is some little discrepancy in the
actual amount of the tea consumed at that period. Some
parties state it as low as 3,000,0001bs.; I think 5,000,0001 b.
may be taken as a fair estimate. In 1795, the duty was
raised to 20 per cent.; and from that period, to 1834,
when the charter of the East India Company was abro-
gated, there was a continuous rise of duty at nine vari-
ous periods ; and at the latter date the consumption,
though more in pounds, was less per head than in 1795.
—(llean) As this is from a parliamentary document, I
had better read you the statement, and it will carry on
the history of the trade to the year 1836.—" In 1784,
the tax was 121 per cent.; in 1795, it was raised to 20
per cent.; in 1797, to 20 per cent. under 2s. 6d. per lb.,
and 30 per cent, at and above that price; in 1798, to 20
and 35 per cent. respectively ; in 1800, to 20 and 40 per
cent. ; in 1801, to 20 and 50 per cent.; in 1803, to 65
and 95 per cent.; in 1806, to 96 per cent. on all prices; and
in 1819, to 96 per cent. under 2s. per lb., and 100 per cent.
at and above that price, continuing to the termination of
the Company's charter. Ia 1834, the trade being thrown
open, the duty was attempted to be levied according to
a scale, which was supposed to mark quality, being la.
6d. per lb. on the lowest tea, 2s. 2d. on the middle, and
35. per lb. on the finest kinds. This scale was also con-
structed on the principle of taxing, as near as may be,
the article with an average duty of 100 per cent.; but
was abandoned in 1836, owing to causes unnecessary to
state here, and was succeeded by a uniform duty of 2s.
Id. per lb., until 1840, when the additional 5 per cent.,
imposed on all Customs' duties, brought it up to 2s. 21d.
per lb." A very important fact connected with the im-
portation of tea, is embraced between the periods 1822-3
and 1831-2. The East India Company reduced the price
of Bohea 74d. per lb., and as it was charged an ad valo-
rem duty, a similar reduction was made on the part of
the Government, together amounting to is. 3d. par lb.
The consequence was, that the consumption, which in
the former period was 1,800,0001b5., rose in the latter
to 64,000,0001bs.—(Hear, hear.) If this reduction had
not taken place, it would appear from the figures that
there would have been an actual decrease in the sales, up
to 1833, of 1,000,0001bs.: this reduction produced an ex-
cess of 46,000,0001b5. On the abrogation of the char-
ter, the consumption increased from 31,000,0001b5. to
44,000,0001b5., producing a revenue of 4,800,0001. We
have to contend with the difficulty of supplying this.
But when we look to the increase that has taken place
by the reduction of duty, and the effect of low duties in
other countries, I trust it will induce the Chancellor of
the Exchequer to believe that the reduction of duty will
produce a great increase of consumption.—(Oh, oh.)
The quantity often consumed in the Channel Islands is
about 411bs. per head. In Newfounland it is 51bs. per
head, and in New South Wales 7ilbs. per head.—(Oh.)
Now, with the evidence before us, that moderate duties
produced increased consumption, the Chancellor will be
fully warranted in doing what he can to increase the
comforts of the people ; for tea is not now a luxury, it
has become one of the necessaries of life. A friend of
mine, whom I see in court, was in Staffordshire lately,
where he saw four men doing some work ; some ale was
sent out to them. but they said, " We are not tee-
totallers, but we find that tea enables us to do our work
better ; we shall therefore be obliged to you for a cup
of tea instead of the ale." This shows clearly the taste
of the people, so that they will prefer tea if they can
get it. Mr. Brown then combated the objection that
China would not be able to produce a sufficient quantity
of tea. He went into several calculations to show this.
The Chinese, for example, used tea as we do beer. Their
consumption was about 71b. per head; and multiplying
this by the population of China, it would be seen that the
additional per tentage we should draw would be trifling
indeed. In fact, they had the means of indefinitely ex-
tending the cultivation of the plant. We must not lose
sight, Mr. Brown continued, of the fact, that a larger con-
sumption of tea would necessarily produce a larger con-
sumption of sugar. This will greatly assist the govern-
ment in making up the revenue. One argument brought
against us will be, why do not the United States con-
sume a larger quantity, where the duty was already
moderate, and now there is none at all ? The answer is,
the taste of the Americans is for coffee. -They use six
lbs. per head, or 120,000,0001b5. per annum, while we
consume but 34,000,0001b5., or Whs. per head. So that
what we use in tea, they use in ooffee ; and, hence, as
: .that part of the
our taste is for tea, and not for eoffeevl should not be
surprised to see the consurnptiorCrqMse three-fold.
—(lean) As for the moral effect,
question will be ably handled by sonse•of the gentlemen
who are to come after me. It is quite true that the
collection of a specific duty is much easier for the go-
vernment and for the merchant ; but is it equity—is it
justice—that the most valuable descriptions of tea should
pay only the same duty as the lowest kinds of Bohea,
depriving the great mass of the people of the use of
this wholesome beverage ? It has been clearly shown
by Mr. Bamfield, in one of his lectures, that the great
mass of the consumers of tea, the poorer classes, are as
10,300,000 compared with 4,500,000 of the middle class,
and 1,200,000 of the rich. Mr. Brown concluded by
pressing upon the public at large the necessity of aiding
in the movement for the reduction of the duty on tea ;
inasmuch as it was only by enlisting the almost omnipo-
tent voice of public opinion in their favour that their
efforts could be successful.
Mr. BRADLEY MOORE rose with great pleasure to
second the resolution. He entertained no fears as re-
garded the reduction of the duty on tea. He thought
the reduction might safely be made, without danger to
the revenue, and on such a scale as to affect the retail
price to the consumer, without which no benefit would
be conferred on the poorer classes. There could be no
doubt that a reduction of the duty on tea would confer
great benefits on the town of Liverpool in particular,
on the working classes in general, contributing largely
to the eomfort of the fire-side, and inducing the working
man to spend his
eluded along and able speech by seconding the resolution.
evenings at home. Mr. Moore con-
Mr. DIXON, wine and spirit dealer, then rose to address
the meeting. He said, feeling deeply the exorbitant and
disproportionate duty imposed on tea, he had deemed it
his duty to aid the object for which the meeting was
assembled, and had made some calculations from official
documents as to the effect of reduction on another article.
And if he could prove that such reduction had not dimin-
ished the public revenue, but had, on the contrary, aug-
mented it, he
might hoe that such evidence would
strengthen the hands of those who had to impress upon
her Majesty's Government the advantages of a reduction
p
of the duty on tea ; because the conviction that such
reduction would injure the revenue,
was perhaps the only
obstacle in the way,
It would be in the recollection of
many in that room that, early in the preaent year. the
duty on brandy was reduced from 225. 10d. to 15s. per
gallon—a reduction of nearly one-third. Mr. Dixon
then read in extenso a table, showing the amount of
duty paid, and the number of gallons released for a cer-
tain number of months in 1844, 1845, and 1846, from
which it appeared that, notwithstanding the extensive
reduction of duty, such was the increased consumption,
that there was already an actual gain to the revenue of
about 16,0001. The reduction made on wines had also
tended to increase the revenue. Mr. Dixon proceeded
to remark that if a reduction of duty on articles of luxury,
the consumption of which was confined to the more
affluent portion of the comunity, had led to an actual in-
creased revenue, how much more forcibly would the
principle apply to an article absolutely required by
every class of the community ?_..(Applause.) He
would not endeavour to show the advantages of a reduc-