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Higher Fuel Tax Causes French Outburst

31st December 1937
Page 18
Page 18, 31st December 1937 — Higher Fuel Tax Causes French Outburst
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Coach. Companies Stage 24hour "Warning" Strike as Dernonstra lion of Disapproval AGREAT public outcry has arisen in France over the proposed increase in fuel taxation, due to come into force on January 1. The motor industry has formed a united front and a big public meeting was recently held in Paris.

It was attended by members of the motor trade in general and especially transport operators. An immediate outcome was a 24-hour " warning " strike by all coach companies in five departments of France.

Commenting on the united front, the industrial journal, L' Argus, publishes some interesting figures with regard to • food transport fo and from the. Paris . central markets.

It would appear that 4,812 lorries are .employed regularly on this work. Of this number, 1,312 vehicles bring in vegetables, fruit, meat, butter and dairy produce from a radius of 50 miles or more around Paris, whilst 3,500 are engaged. on distribution in the city and suburbs.

Obviously, therefore, a rise in fuel taxation may have serious repercussions upon the retail prices of food. Already, the Chautemps Government is being caused discomfort by the rising cost of food and any further increase would cause still more official embarrassment.

There is no doubt that liquid fuels are already excessively taxed in France and any increase will defeat its own ends. The extra levy is intended to protect the railways, which propose to raise all fares by 25 per cent. as from January 1. Railway officials contend that, unless petrol taxation is increased, at the same time, road competition will affect them acutely.

£196,000,000 in Petrol Tax.

Leaders of the road-transport industry repeat that, during the past four years, the State has collected no less than 2198,004,000 in petrol taxation and has given the motor industry nothing in return. During the same period, the railways have made a loss of £154,000,000, which has had to be counterbalanced by general taxation.

The road-transport leaders add that the French motor industry and its: allied trades give employment to 1,000,000 people, whilst the railways employ only 500,000.

Tags

Organisations: Chautemps Government
Locations: Paris

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