HC Deb 02 July 1936 vol 314 cc608-9
52. Mr. LEONARD

asked the Chancellor of the Exchequer whether he will take immediate steps to reduce the rates of drawback on foreign tobacco by 1d. per pound and increase those for Empire tobacco by 1d. per pound, so that the advantage of £233,000 which accrued to manufacturers over the past financial year, in so far as they used foreign instead of Empire tobacco, shall accrue to them in future only in so far as they use Empire instead of foreign tobacco?

Mr. CHAMBERLAIN

I would refer the hon. Member to the reply given to him by the Financial Secretary to the Treasury on 27th May last on this subject.

Mr. LEONARD

Does not the right hon. Gentleman recollect that that answer indicates that it is being considered; and is he appreciative of the fact that the Treasury, through the medium of the Colonial Office, indicated to Empire growers that the points referred to were being considered and acknowledged, but that their observations in 1934 had been sent along too late for consideration in that year's Budget, and that since that time Empire growers have been receiving for manufacturing loss less than 9½ per cent. whereas foreign growers have been receiving over 10½ per cent.?

Mr. CHAMBERLAIN

In the answer to which I refer the hon. Member was told that we could not introduce legislation for this particular point by itself, but that if the question of drawback came into general consideration that particular point would be noted.