Sugar and Molasses Act
Encyclopedia
The Molasses Act of March 1733 was an Act
of the Parliament of Great Britain
(citation 6 Geo II. c. 13), which imposed a tax
of six pence per gallon
on imports of molasses
from non-British colonies
. Parliament created the act largely at the insistence of large plantation
owners in the British West Indies. The Act was not passed for the purpose of raising revenue, but rather to regulate trade by making British products cheaper than those from the French West Indies
.
The Molasses Act of 1733 provided:
Historian Theodore Draper described British intent on the tax as it would affect the American
colonies:
A large trade had grown between the New England
and Middle colonies and the French, Dutch, and Spanish West Indian possessions. Molasses from the British West Indies, used in New England for making rum
, was priced much higher than its competitors and they also had no need for the large quantities of lumber, fish, and other items offered by the colonies in exchange. The British West Indies in the first part of the 18th Century were the most important trading partner for Great Britain so Parliament was attentive to their requests. However, rather than acceding to the demands to prohibit the colonies from trading with the non-British islands, Parliament passed the prohibitively high tax on the colonies for the import of molasses from these islands. Historian John C. Miller noted that the tax:
Largely opposed by colonists, the tax was rarely paid, and smuggling
to avoid it was prominent. If actually collected, the tax would have effectively closed that source to New England and destroyed much of the rum industry. Yet smuggling, bribery
or intimidation of customs officials effectively nullified the law. Miller wrote:
The growing corruption of local officials and disrespect for British Law caused by this act and others like it such as the Stamp Act
or Townshend Acts
eventually led to the American Revolution
in 1776. This Act was replaced by the Sugar Act
in 1764. This act halved the tax rate, but was accompanied by British intent to actually collect the tax this time.
Act of Parliament
An Act of Parliament is a statute enacted as primary legislation by a national or sub-national parliament. In the Republic of Ireland the term Act of the Oireachtas is used, and in the United States the term Act of Congress is used.In Commonwealth countries, the term is used both in a narrow...
of the Parliament of Great Britain
Parliament of Great Britain
The Parliament of Great Britain was formed in 1707 following the ratification of the Acts of Union by both the Parliament of England and Parliament of Scotland...
(citation 6 Geo II. c. 13), which imposed a tax
Tax
To tax is to impose a financial charge or other levy upon a taxpayer by a state or the functional equivalent of a state such that failure to pay is punishable by law. Taxes are also imposed by many subnational entities...
of six pence per gallon
Gallon
The gallon is a measure of volume. Historically it has had many different definitions, but there are three definitions in current use: the imperial gallon which is used in the United Kingdom and semi-officially within Canada, the United States liquid gallon and the lesser used United States dry...
on imports of molasses
Molasses
Molasses is a viscous by-product of the processing of sugar cane, grapes or sugar beets into sugar. The word molasses comes from the Portuguese word melaço, which ultimately comes from mel, the Latin word for "honey". The quality of molasses depends on the maturity of the sugar cane or sugar beet,...
from non-British colonies
Colony
In politics and history, a colony is a territory under the immediate political control of a state. For colonies in antiquity, city-states would often found their own colonies. Some colonies were historically countries, while others were territories without definite statehood from their inception....
. Parliament created the act largely at the insistence of large plantation
Plantation
A plantation is a long artificially established forest, farm or estate, where crops are grown for sale, often in distant markets rather than for local on-site consumption...
owners in the British West Indies. The Act was not passed for the purpose of raising revenue, but rather to regulate trade by making British products cheaper than those from the French West Indies
French West Indies
The term French West Indies or French Antilles refers to the seven territories currently under French sovereignty in the Antilles islands of the Caribbean: the two overseas departments of Guadeloupe and Martinique, the two overseas collectivities of Saint Martin and Saint Barthélemy, plus...
.
The Molasses Act of 1733 provided:
... there shall be raised, levied, collected and paid, unto and for the use of his Majesty ..., upon all rum or spirits of the produce or manufacture of any of the colonies or plantations in America, not in the possession or under the dominion of his Majesty ..., which at any time or times within or during the continuance of this act, shall be imported or brought into any of the colonies or plantations in America, which now are or hereafter may be in the possession or under the dominion of his Majesty ..., the sum of nine pence, money of Great Britain, ... for every gallon thereof, and after that rate for any greater or lesser quantity: and upon all molasses or syrups of such foreign produce or manufacture as aforesaid, which shall be imported or brought into any of the said colonies or plantations ..., the sum of six pence of like money for every gallon thereof ...; and upon all sugars and paneles of such foreign growth, produce or manufacture as aforesaid, which shall be imported into any of the said colonies or plantations ... a duty after the rate of five shillings of like money, for every hundred weight Avoirdupoize....
Historian Theodore Draper described British intent on the tax as it would affect the American
British America
For American people of British descent, see British American.British America is the anachronistic term used to refer to the territories under the control of the Crown or Parliament in present day North America , Central America, the Caribbean, and Guyana...
colonies:
A large trade had grown between the New England
New England
New England is a region in the northeastern corner of the United States consisting of the six states of Maine, New Hampshire, Vermont, Massachusetts, Rhode Island, and Connecticut...
and Middle colonies and the French, Dutch, and Spanish West Indian possessions. Molasses from the British West Indies, used in New England for making rum
Rum
Rum is a distilled alcoholic beverage made from sugarcane by-products such as molasses, or directly from sugarcane juice, by a process of fermentation and distillation. The distillate, a clear liquid, is then usually aged in oak barrels...
, was priced much higher than its competitors and they also had no need for the large quantities of lumber, fish, and other items offered by the colonies in exchange. The British West Indies in the first part of the 18th Century were the most important trading partner for Great Britain so Parliament was attentive to their requests. However, rather than acceding to the demands to prohibit the colonies from trading with the non-British islands, Parliament passed the prohibitively high tax on the colonies for the import of molasses from these islands. Historian John C. Miller noted that the tax:
Largely opposed by colonists, the tax was rarely paid, and smuggling
Smuggling
Smuggling is the clandestine transportation of goods or persons, such as out of a building, into a prison, or across an international border, in violation of applicable laws or other regulations.There are various motivations to smuggle...
to avoid it was prominent. If actually collected, the tax would have effectively closed that source to New England and destroyed much of the rum industry. Yet smuggling, bribery
Bribery
Bribery, a form of corruption, is an act implying money or gift giving that alters the behavior of the recipient. Bribery constitutes a crime and is defined by Black's Law Dictionary as the offering, giving, receiving, or soliciting of any item of value to influence the actions of an official or...
or intimidation of customs officials effectively nullified the law. Miller wrote:
The growing corruption of local officials and disrespect for British Law caused by this act and others like it such as the Stamp Act
Stamp Act
A stamp act is any legislation that requires a tax to be paid on the transfer of certain documents. Those that pay the tax receive an official stamp on their documents, making them legal documents. The taxes raised under a stamp act are called stamp duty. This system of taxation was first devised...
or Townshend Acts
Townshend Acts
The Townshend Acts were a series of laws passed beginning in 1767 by the Parliament of Great Britain relating to the British colonies in North America. The acts are named after Charles Townshend, the Chancellor of the Exchequer, who proposed the program...
eventually led to the American Revolution
American Revolution
The American Revolution was the political upheaval during the last half of the 18th century in which thirteen colonies in North America joined together to break free from the British Empire, combining to become the United States of America...
in 1776. This Act was replaced by the Sugar Act
Sugar Act
The Sugar Act, also known as the American Revenue Act or the American Duties Act, was a revenue-raising act passed by the Parliament of Great Britain on April 5, 1764. The preamble to the act stated: "it is expedient that new provisions and regulations should be established for improving the...
in 1764. This act halved the tax rate, but was accompanied by British intent to actually collect the tax this time.