Evening star. [volume] (Washington, D.C.) 1854-1972, 1902-12-27
JApAN's TOBACCO MONOPOLY.
An Account of the Working of Dis
appointing Experiment.


From the London Globe.
1t is now over four years since the Jap
anese government established its tobacco
monopoly So far it has proved anything
but the grand source of revenue expected
of it. Its promoters thought that apart
from the increase of revenue it would I'M
prove the growth and enlarge the export
but in these respects also it has been dis
appointing. There are no large tobacco
planters in this country. Numerous small
farmers raise each small quantity, hence
in order to prevent offenses against the mo-
nopoly laws a small army of officials Is re-
quired, yet Illicit dealings and smuggling
are by no means uncommon. In the second
year of its working the monopoly depart
ment reported the detection of over 1900
cases. The number of undetected cases
may be imagined. So far from helping to
monopoly has killed it. Prior to the es-
tabishment of the system the stock of
Japanese leaf in the united kingdom-the
only country to which it was exported
was usually about $1,000 bales, now 1t Is
nearly nil.
The working of the system is as follows:
First of ALL intending growers must apply
for permission to the monopoly department,
stating the area they propose to cultivate.
When grown all the tobacco must be
brought to the monopoly office on or before
March 81 of the following year The price
to be paid to the growers is fixed before
hand 1t is arrived at by dividing the crop
into grades. In the year 1900 there were
eighteen grades. Each of these again was
divided into first, second and third quality.
Then, again, in each quality the leaf was
separated into four sorts, viz, top leaves,
upper middle leaves, lower middle leaves
and ground leaves, thus making PIG grades
and prices. On being brought to the local
office of the monopoly the tobacco is in
spected, graded and paid for. 1t is then
distributed to other places, each bale being
marked by a little wooden ticket giving it's
grade and weight, and also number.
The leaf thus packed is sold by the
kwamme (about 81 pounds) on its original
weight: The monopoly's profit was origi-
nay fixed at cent per cent but has now
the causes that have initiated and will
most likely continue to initiate against
this experiment may be mentioned the fol-
lowing: The growers chief object is to get
his tobacco off his hands as soon as he
possibly can, thus throwing any risk of
deterioration onto the monopoly, and the
earlier it is taken the better for him, as
the moisture contained in it means more
money to him. And now that he has a
sure market he does not take the same care
as formerly, and thus the tobacco not sell
i zoe, goes into the monopoly's warehouses
| In half-cured state, and owing to scarcity
or competent experts it sometimes spols
and becomes worthless. 1t is believed that
| there are considerable quantities of tobacco
held by the monopoly in this state
To these drawbacks must be added de-
terioration of the culture An ''ad va
| lorem' profit of $50 per cent is gradually
but surely forcing the finer kinds of to-
| bacco out of cultivation, because every
| rise IN the percentage of profit causes the
| manufactures to use a lower grade; thus
| the standard of tobacco used is lowered
| without the revenue being benefited. Again
| While the profit is collected on original
weights. there is always a considera BILE
shrinkage by drying, ranging from u to
20 per cent; hence the manufacturer has to
| pay $50 per cent on tobacco which does
not exist, and though the precautions
against smuggling are largely Intellectual
the expenses of working the system are
Wastefully high: Finally, the import OF
| foreign leaf, which is also in the hands OF
| the monopoly, has been very small. the
profit being the same as the native leaf
$50 per cent