The times. [volume] (Richmond, Va.) 1890-1903, 1897-05-06
DO NOT LIKE The INCREASE.
4 Change Of Only TWO Cents in The To.
baCCO Tax Undesirable.
IT WILL lEJURE THE MANUFACTURERS
Being Too Small to Allow an Increase I'm
the Prices of Tobacco-will Ncces-
state Expensive Changes
In Machinery.

II tho tariff on manufactured tobacco
Is increased from six to eight cents n
pound. as proposed by tho Senate FL
nance Committee. tho ofcct m0y be very
serious indeed on manufacturers. cspc-
ciaiy the smaller concerns. Tho to-
hacoo raiscrs may also be more or less
affected
SO far as can be learned no action has
been taken toward protesting against
the passage OF tho bill by Richmond to-
bacconists. IL is stated. however. that
the Tobacco Board OF Trade of Winston.
y. c.. has taken steps TO secure the CO.
operation Of Virginia and North Carolina
manufacturer in lighting its passasa.
LARGER pREFERRED.
Nfr Marvcrn 4. Patterson. OF r. A.
Patterson A Co. was seen last night.
lie had lust returned from the country
and did not know what the manuiaciur-
ors thought of the latest developments.
Afr Patterson said. however. that ne
would prefer a. large increase. say OF
four or six cents. II any change was 10
ho made. An increase Of two cents
would hardly cause prices 10 be raised
Co the iohbers and retailers. but would
cause closer competition. Another erect
would be- TO require e larger investment
Of capital as result of the increase OF
the tax and this money would have to
Die idle while bills were running. In
consequence the risks on bills would also
he increased.
one advantage of higher tax. than is
proposed by the Senate Committee.
which Mr. Patterson saw. would be the
increased demand which IL would cause
for the higher grades Of tobacco. be-
cause the tax being the same on all
qualities OF tobacco the lower grades
would Doe made relatively more costly
and many consumers would be willing to
pay the smaller difference for higher
grade.
MIR. BOYD'S OPINION.
Mr. James VI. Boyd. president OF the
Tobacco Trade OF Richmond. said when
seen by a Times representative:
"Wc had 1lther see an increase of
six instead of two cents ia the tax. A
change in the tax will necessitate
change in the size Of tobacco now manu-
featured. This will cause the manufac-
turcrs 10 make changes In their machin-
CRY. IF not to put in new. and with only
am increase in the tax Of two cents the
enormous outlay necessary TO make the
change. will not be Justified
Mr. BOYD knew nothing of proposed
meeting Of the tobaccOnists TO confer on
tho subject and hc seemed to be Of the
opinion that 10 would be useless to take
ans action. as he believed the bill VIII
pass Congress as it now stands.
Mr. James b. Pace. a prominent tobac-
couist. boz an Interview expressed him
self along the same lines as Mr.. Boyd.
and seemed to think that any action on
the part OF the tobacco manufacturers
hero would ho frutloss.
TOBACCO BAISERS.
Another erect Of the increase Of the
tax on tobacco which has been suggest
cd is the probable cut in the prices re-
oeivcd by tobacco raiscrs for the lower
grades Of tobacco. If the tax Is only
raised two cents the manufacturers will.
of course. DE forced 10 buy on closer
terms. as it will be impossible to place
much if any OF the increase on the job
lor- and retailers on account OF the al
ready fierce competition and small pro-
CTS.
10 tho tax ls increased more than is
proposed by The Senate committee the
demand for the cheaper grades would be
lesscncd. as explained hy Mr. Patterson;
consequently the market for inferior
qualities Of tobacco would be poorer.