Evening star., 1934-01-02
EUROPE BATTLING
F0RU.S. RUM TRADE
Exhaustion Of Some OF Liquor
Quotas Brings Renewed
Competition.
BY the Associated Press.

LONDON, January 2.-The exhaustion
of some liquor quotas for the United
States Centered the attention of Euro
pean nations anew today upon the
American liquor market
The size of liquor quotas is of as much
interest to many European governments
as were immigration quotas few years
ago.
European governments have one
thing in common in liquor control
they exact huge sums annually Tor the
state. The methods are almost as va
rious as the nations, ranging from Rus
Sia, where the manufacture and sale OF
liquor is concentrated entirely In the
hands of the state, to Belgium, where
the state sells no liquor, but capitallzeS
on high excise duty.
Combination System I'm Britain.
Britain has a combination of the two
SyStems for while she extracts heavy
revenues from licenses for producers
and dealers and from excise and Gus
toms duties, she has small experiment
in state purchase and management OF
the liquor trade.
While the profit to the exchequer of
the latter ran to $246000 in 1892,
the revenue from licenses and excise
and customs duties for the year ended
March 81, 1898, amounted to fll6,-
1922. normally nearly S584. 900 900.
Liquor trade taxation contributed 1872
per cent of the eXchequer'S total tax
revenue in the year ended March 81
1882
Belgium's excise duty is expected to
yield $4,000 600 cat par) this year
France, as the worlds greatest wine
drinking country, taxes wines lightly,
but exactS heavy tribute from liquors
and pure alcohol, all together producing
1000, 100000 francs (curTently about
Sl2O,000 000) annually for the treasury,
Germany has no general rule apply
ing to the sale of liquor and there is
practically no regulation, except the
self-imposed measures of the vintners.
A tax on beer consumption Is levied by
various localities and sometimes by the
states, but there is no federal or general
tax. The Reich, however, has erected
an alcohol monopoly.
Italian Licensing System.
The Italian government does not in
tervene directly in the sale Of alcoholic
liquor, but subjects it TO a strict fed
eral licensing system. The chief rev.
enue is derived from a 20 per cent
profit tax on wine. applied directly
10 manufacturers. and a further 20 per
cent on wholesale dealers. In return,
they are protected by high import
duties.
Liquor flows freely in the Danube
Basin, but most governments are con-
tent to tax the traffic for all 1t Is
worth without going into the business
itself
Rumania requires all distillers Of
grain alcohol to sell through a govern
ment monopoly which pays II cents
. quart and distributes to retailers at
90 cents. making a profit of approXi-
mately Sl0,000,000 annually. Wines.
beer and brandies, such as produced
by farmers are not subject to the mo-
nopoly but are taxable.
Monopoly in Czechoslovakia.
Czechoslovakia has what might be
called monopoly but may be more
correctly described as distillery con-
troll corporation through which all dis
tilleries must distribute their products
1t fixes the production quota for each
distillery, at the same time making
certain that no drop leaves a diStillery
without paying the government tax.
Yugoslavia. Bulgaria. Austria and
to pre-prohibition United States. There
are excise taxes, annual license fees,
and other revenue producing measures
but the business is left to private
initiative.
The liquor trade in Russia, like the
production and distribution of every
thing else, is concentrated entirely in
the hands of the state.
Special liquor stores dispense alcohol
beverages for consumption only in the
homes. The nearest thing to saloons
there are beer halls where only beer
and light wines can be purchased
Vodka can be bought by the glass in
hotel dining rooms and public restau-
rants.
Sweden has her unique Bratt system,
two features of which are that the
state gets the revenue, and there is dis
interested management and control of
private profit.
Sweden is divided into districts, each
with a retailing company. The COM
panieS employ private capital. but all
revenue over per cent of the actual
cash subscribed by the shareholders Is
payable to the state.
There are two wholesale companies
likewise restricted to a certain profit.
Besides these revenues, the State gets
money by internal taxation and Gus
toms duties.
The vine and spirit central. whole
sale liquor unit, earned in 1882 an
equivalent at par of Salts ,000-of
which S3,22O,00O went to the state
treasury.
Surplus in Finland.
Norway and Finland both have gov
ernment mOnopolieS Finland'S Alcohol
Co. in the last nine months of 1882
had a surplus of S204000O at par;
the import duty on alcohol brought in
an additional Sl,000,000. while the
manufacturers tax amounted to more
than 100000
In Spain the treasury officials esti-
mate the 1888 revenue from liquor taxes
will amount to 100000 pesetas, or
about s48O0O0O.
The Spanish law applies taxes of 80
peSetaS per hectoliter on alcohol or
wine origin liquors; 140 pesetas per
hectoltter on others; Is pesetas on beer,
while domestic wines pay nothing. For
eign wines and liquors are subject to
duties according to q complicated scale
and varying according to special
treaties.
Bars, cafes, restaurants and taverns
do not have to pay special taxes to sell
liquors, wines and beer.
OWN LIQUOR ACT.