Page 454 - 6 Persian Trade rep BUSHIRE 2_Neat
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                    Opium Monopoly.—On August 1st, 1(J28, temporary regula­
                 tions for the enforcement pf a Government opium monopoly were
                 issued with instructions that the regulations were to be put into
                 force throughout the provinces as soon as received. The Monopoly
                 Service was ordered to report on the results of the law and tin-
                 experience gained at the end of six months.
                    The present situation is that the Monopoly Service confines its
                 activities, as regards the preparation of the drug, to opium in­
                 tended for consumption within Persia. It does not export opium,
                 but sells it in the raw state to exporters who prepare the drug
                 under the supervision of the officials of the Monopoly Service.
                 Exporters had to pay during 1927-28 a tax of 200 tomans, nomi­
                 nally .£40, per case of approximately ICO pounds weight, which
                 tax superseded all former export duties, &c. The tax was raised
                 on March 21 a9 1929, to 2*50 tomans per case, nominally £-50.
                    The Moropoly Service has fixed the price for buying opiun:
                 from the cultivators at the average price of the last three year*
                 preceding the enforcement of the monopoly laws plus 10 per cent.
                 The Monopoly Service must, by law, pay cash to the sellers of
                 the opium for any amount up to 6£ lb. and the balance must b-
                 paid within two months. As, formerly, cultivators could usually
                 obtain credit for their opium crop for about three months beforv
                 it was gathered, the new regulations will oblige them to wait muc':
                 longer to benefit from their crops and so will probably lead to i
                 diminution in the amount of opium grown.
                    The Opium Monopoly hopes to be able enter direct into tl>-
                 export business, but as the service lacks the necessary experts f«*
                 preparing opium for export and is consequently unable
                 guarantee the morphine content, it is unlikely that it will be able
                 to do this for at least a year. Meanwhile it is interesting ;»•
                 note that certain British firms who import piece-goods int*
                 Persia, and whose business has been hard hit for the last fn
                 years, have commenced to act as exporters of opium for legitim..:*-
                 consumption to British Possessions which formerly obtained  r:..
                 their supplies from India and have in some cases managed i-
                 barter Manchester piece-goods against a proportion of the opiurr
                 purchased by them for export.
                    Other Monopolies.—At the end of the year plans were beio:
                 elaborated at Tehran for a Government monopoly on matches aoi
                 tobacco, and it had been suggested that the duty on imponK
                 cigarettes should be raised from 60 per cent, to 140 per cent. ^
                 valorem. These two monopolies will undoubtedly affect adverse^
                 the import trade of the Persian ports in the south, and will certain!;
                 lead to a further increase in smuggling.
                    Russian Competition.—The threatened Russian econoiri
                 invasion of the Gulf materialised during 1928 and three Russia-'
                 ships called at the Persian Gulf ports during 1928 bringing su£*
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