The Archive · 1931

A Tea Problem

Apr. 6

The telegram published recently from British Empire tea producers to the Chancellor of. the Exchequer suggesting that in re-considering any re-intro- 7, duction of the tea duty in the United Kingdom—preference should be given to the Empire-grown article is important, in View of what has recently taken place, It is only a month since negotiations between British and Dutch East Indies interests for tea restriction reached a @eadlock, the committ charge of the matter voting by gix to four against any such measure. Whether Mr, Snowden will be moved by the suggestion just made is doubtful, but as it

only two competing countries 8 a matter principally affecting and not to any conspicuous extent the trade relations with others, he may be prepared to consider it as an alternative to the proposals for restriction Which have failed to mature. Especially so as the supremacy of certain Indian-grown teas is cing more and more menaced in the markets of the world by those of Java and Sumatra, and from this point of view it is arguable that the former ought to be the medium for Empire preference, The Dutch East tions are able to camp: the Indian estates because of the more favourable soil and climatic conditions, and, if the "Financial News" is. correct, accordingly a much higher yield of tea per acre than even the most prolific gardens in India are capable of. The tea produced in Java is of a comparatively common type, and on the Home market to all intents and purposes never appears as such.

is not of the aristocracy of Ceylon, Formosa or China, although a great deal of com mon tea comes from the last mentioned country which is used for "filling up" when the Indian leat ig scarce. In the same way Java tea comes in very usefully for blending purposes. Where the schemes for restriction fell down was on the ground that the Dutch interests were apprehensive of a glut in producti a. few years hence, because he Janse of the necessary time ere would be 80 many new gardens at a producing stage! that restricted picking could no Jonger be within the realm of practical economics, Obviously a lesson had been Tearned from the glut of rubber following the termination of the Stevenson Scheme, and it may be taken as axiomatic that most industries will be inclined to view with a certain. amount of Suspicion the operation of such artifiefal schemes in the future. The case of the Chinese te gardens, however, may not be unworthy of consideration in the light of the situation reveat ed. When prices are good the Chinese tea-grower plucks carefully so as not to damage plant, but when the market is depressed his tendency is Pluck coarse, putting small Ris product, to increase weight. ieees of stem and so forth into

Now the Chinese industry, being' Gnorganized and in the hands of small number of growers, has never responded to efforts. made towards improvement, but in India the case is different. It is now pointed out that many] Indian gardens are capable of such culture as to bring product beyond the rank of mon tea and s0 out of range of competition with tea from Java and Sumatra. Were this done it would at once take a load off the burden of common tea produced, giving the Dutch article 'a.chance to secure a somewhat higher price, and thereby. possibly ensuring more careful handling of bushes and less glut on the market. Possibly Empire preference, advancing with the! grade of tea, would be found to assist this end.

Text read from the printed page and cleaned; old type leaves the occasional error.

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