§ Sir J. D. REESasked the Under Secretary of State for India, whether the duty lately imposed on silver bullion imported into India is intended to be permanent in character; whether its effect has been to cause the natives of India to hoard gold instead of silver, thereby depleting our gold reserves, causing the rates of exchange with China to fall, stimulating the competition of the latter country's products with those of Great Britain, and causing white men's wages to fall as the price of white men's food rises; and, if so, whether the imposition of the duty will come under reconsideration?
§ The UNDER-SECRETARY of STATE for INDIA (Mr. Montagu)The duty was raised in 1910 to its present level with the object of providing a permanent addition to Indian revenues. There is no reason to attribute to this cause the alleged tendency of the Indian people to hoard gold. Both the world price of silver and the exchange with China have improved since the duty was raised. There is no intention to reconsider the duty.