Then my hon. friend meant it. Now let us see what happened to the price of tobacco in Ontario last season. Prior to that there was a surplus of flue cured tobacco in the hands of the farmers of Ontario, amounting to some ten million pounds. In addition to that, one company, the Imperial Tobacco Company, the year previously had purchased some five -million pounds of tobacco more than its normal requirements. That meant fifteen million pounds of tobacco in Canada more than ordinarily we would require, with a crop coming on. In the fall of 1933 the price fell to about 17 cents a pound, I think, and prospects were that the price would not be very good the next year. The manufacturers and the growers got together and tried to agree on a price; I think they did agree on a price of 27 cents a pound, but some of the manufacturers refused to sign the agreement. Later a scheme was organized under the marketing act and a board was set up. That board set the price of tobacco-and I say this -with all deference to my hon. friend from Shelburne-Yarmouth (Mr. Ralston), who says boards have no right to set prices-by some means or other, for the year, at 24J or 25 cents per pou-nd. That price was agreed upon and all the tobacco was used up; all the tobacco was sold at that price, not only the crop of that year but the carry over from the previous year. To whom was it sold? It was not sold to consumers or manufacturers in Canada. British buyers of tobacco, who ordinarily go to Virginia for their flue cured tobacco, found that they could buy tobacco in Canada for 25 cents per pound while the price for the same tobacco in the United States was 32 cents per pound, so they came to Canada and bought their supplies. That was why there was an advance in the price of tobacco last fall. It was not due to the marketing act; it was due to the artificial scarcity created by the United States government at enormous cost to the United States treasury.
Trade Commission-Mr. Young
Now my hon. friend says that we should use money out of the treasury in order to raise the prices of those commodities that are being sold at a loss in order that all our people should get a fair price for their products.