Drugs.

The importation of drugs is very large, 4,525 packages, valued at £35,567, having been brought in last year, an amount very slightly in excess of that of the previous year. Of these; drugs a large number are tinctures and other alcoholic preparations, which could be made up in the colony; but the present page 20 system of levying duties appears to hamper the trade and stand in the way of this being done. The ease is best stated in the words of a pharmaceutical chemist of long experience both in England and New Zealand. He says, "The English manufacturer is allowed to compound and distil these preparations from duty-free spirit in bond; in addition to which large quantities of similar compounds of German make, but of doubtful reputation, are imported, these latter having the recommendation of cheapness to those who are careless of quality. Colonial manufacturers are absolutely prohibited making similar compounds, as a heavy Customs duty, amounting to about £1 1s. per gallon on rectified spirit, must be paid at the outset. This completely puts us out of the pale of competition, and makes the supply of necessary drugs very much of a monopoly in the hands of a little knot of importers. The remedy is: Allow the manufacture of alcoholic tinctures, distilled spirits, and preparations in which alcohol is an important factor to be made in the colony with duty-free spirit in bond; these, when removed from bond, to be charged with the ordinary 10 per cent, ad valorem duty. The Government could be no loser; the public would gain by the exclusion of inferior drugs; large sums in freight would be avoided; and the qualified colonial manufacturing chemist would stand a show in the competition."