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Wednesday, 15 August 1906

Mr GLYNN (Angas) . - I think that the Government will do well to increase the alcoholic strength of the spirits mentioned in paragraphs 1 to 5. I wish to know what the position of molasses spirit will be. To substitute "approved materials" for "other materials" in regard to blends will not do what is necessary, and even if it is provided, as I believe is intended, that "other materials" shall not include molasses, we should know under what heading molasses will come.

Mr Watson - It will pay duty as rum.

Mr GLYNN - Some of the spirit made from molasses will pay duty as rum, but molasses spirit is used for other purposes as well. I wish to make sure that the differentiation in regard to molasses spirit shall not be as low as1s. ; it should be at least 2s. If molasses spirit has to pay a duty of 13s. as spirit, n.e.i., matured by storage in wood, the difference will be only1s.

Mr Watson - That is sufficient for molasses spirit, which can be produced very cheaply.

Mr.GLYNN. - But the difference in favour of grape spirit will be only1s.

Mr Watson - No; it will be 3s., the Excise duty on grape wine spirit being 10s., and the importduty 14s.

Mr GLYNN - Well, I should like to know, if molasses spirit is excluded from paragraph 2, under what heading it will come? The question is between the Excise rates on the two blends.

Sir John Quick - The Government do not propose to exclude molasses spirit from paragraph 2.

Mr GLYNN - But that is to be proposed.

Mr Deakin - At present molasses spirit would be covered by paragraphs 7 and 8, but I shall be quite prepared to consider the provision in regard to that kind of spirit. when we have disposed of the items now under discussion.

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