In 1837, the six states making up the "tobacco belt", Virginia, Maryland, North Carolina, Kentucky, Tennessee, and South Carolina, lobbied Congress to pass legislation to protect the tobacco exports. In 1837, tobacco was still a major cash crop driving their economies and they needed protection.
Tobacco trade has a long history in America. As early as 1640, Virginia was exporting nearly a million and a half pounds per year and by 1776, colonial farmers were taking out loans from the British to expand and meet the worldwide demand for tobacco. Demand continued to grow, yet by 1815 Cotton took over as the number one American export and by 1840 was worth more than all other exports combined. High tariffs, duties and restrictions around the world from Great Britain to Germany to France and Russia was hurting the export of American tobacco. In response, on February 18, 1837, a Select Committee of joint members in Congress released a report on the high rates of duty, and restrictions imposed by foreign governments upon American Tobacco. In the report, they resolved to request that the President "instruct the ministers and other representatives of this country in France, England, Russia, Prussia, Holland, and Germany, to negotiate with the respective Governments to which they are accredited, for a modification of the duties and restrictions upon tobacco imported from the United States"
In President Martin Van Buren's 1838 State of the Union address, he shared with Congress that he had carried out the wishes of congress relating to the tobacco trade, and while it was too early to tell, there was hope for a change. The hope was based not so much on America wielding a big stick, but rather that the people in those countries were already aware how the tobacco monopolies in these countries "were really injurious to the people". Van Buren expressed hope that "our efforts will be eventually crowned with success if persisted in with temperate firmness and sustained by prudent legislation." In other words, it was going to take time before any changes would take place.
Every proper exertion has been made and will be continued to carry out the wishes of Congress in relation to the tobacco trade, as indicated in the several resolutions of the House of Representatives and the legislation of the two branches. A favorable impression has, I trust, been made in the different foreign countries to which particular attention has been directed; and although we can not hope for an early change in their policy, as in many of them a convenient and large revenue is derived from monopolies in the fabrication and sale of this article, yet, as these monopolies are really injurious to the people where they are established, and the revenue derived from them may be less injuriously and with equal facility obtained from another and a liberal system of administration, we can not doubt that our efforts will be eventually crowned with, success if persisted in with temperate firmness and sustained by prudent legislation.
Today, the U.S. exports about $1 billion worth of tobacco. That's about 3 times the amount (adjusted for inflation) exported in 1837. Phillip Morris marketed the first American hand-rolled cigarettes in 1847 and by 2023, Phillip Morris International generated about $84.6 billion in revenue.
"Second Annual Message." Second Annual Message | The American Presidency Project, 3 Dec. 1838, https://www.presidency.ucsb.edu/documents/second-annual-message-4
24th Congress Rep. No 239, Tobacco [To accompany joint resolution No. 25], https://www.govinfo.gov/content/pkg/SERIALSET-00306_00_00-011-0239-0000/pdf/SERIALSET-00306_00_00-011-0239-0000.pdf
https://www.nps.gov/jame/learn/historyculture/tobacco-the-early-history-of-a-new-world-crop.htm
No comments:
Post a Comment