Australian Exporters

Excise Duty On

Tobacco To Pacific Is.

May be Lifted to Help Australian Exporters

THE manufacture of trade tobacco for use by Pacific Islands natives is al most wholly in the hands of American interests, who annually export thousands of pounds worth of black stick tobacco.

In the Federal Parliament at the end of September, the Hon. A. E. Green (Wes tern Australia) questioned the Minister for Trade and Customs (Hon. T. W.

White) regarding the possibility of as sisting Australian manufacturers to capture the tobacco trade of at least those islands commercially related to the Com monwealth.

“In view of the fact that all the tobacco consumed in the Solomon Islands, valued at £11,495 per annum, is exported en tirely from the United States of America, and that that country does not import any Solomon Islands produce, whereas Aus tralia imports goods to the value of £120,371 per annum, or two-thirds of the total S.I. exports,” said Mr. Green, “will the Minister consider the adyisableness of entirely removing the excise duty on prospective exports of tobacco and ciga rettes produced by Australian manufac turers prepared to try to capture the Solomon Islands trade? Will he also make inquiries with regard to oppor tunities for similar trade in the Mandated Territory of New Guinea and Papua?”

“Australia would doubtless like to ob tain the Pacific Islands trade in tobacco, and the matter has been thoroughly in vestigated,” replied Mr. White. “It has been found, however, that the tobacco used by the natives is a black twist of a class not manufactured in Australia.

Indeed, there is not available in this country labour of the kind necessary to manufacture it. In order to encourage the use of Australian dark leaf the Govern ment has reduced the excise duty on tobacco intended to be sold to Australian aborigines. They prefer tobacco in plug form. However I shall investigate the possibility of completely lifting the excise duty on tobacco intended for the Pacific Islands trade.”