Collection Correspondence Zionist Board Hebrew University in Jerusalem Treasurer about the budget for Tobacco ...

Collection Correspondence Zionist Board Hebrew University in Jerusalem Treasurer about the budget for Tobacco Research in the department of chemistry and biology in order to support and assist Jewish Land of Israel farmers in marketing and reaching high quality tobacco. 1926, several months after the inaugaration and opening of the university. Rare document.

Signed on the document - Professor A. Fodor - director of the college chemistry institute and Nachum Tishbi, general secretary for commerce and industry in the Zionist board.

The Tobacco Rush:

The profits received at that year encouraged many others to join in the celebration, however not only experienced farmers joined the "Tobacco Rush", but also people who had no clue about growing tobacco. They tried to farm lands unsuitable for agriculture, used seeds of the wrong kind and used misguided techniques in tending to the tobacco leaves that grew. Due to all this the tobacco suffered a quality decrease, however the crop exceeded expectations - 1,899 tons of proud Land of Israel tobacco which flooded the market in 1924. This was double the amount that the local industry could absorb, creating gigantic stock surpluses with no chance to get rid of them. The exportation of the tobacco was impossible, since it had no reputation around the world, adding to its medicore at best quality. This caused a drop in tobacco prices, with many growers suffering heavy losses.

In the following two years the tobacco crop returned to its normal proportions, and most new growers had left the occupation. A commitee by the Zionist board that investigated the matter arrived at the conclusion that there is room for tobacco growing in the :Land of Israel but only for the needs of the local market and only in suitable lands, mainly in the Galilee.

Three cigarette factories were closed in the years 1925-1926. On of them, named Hermon, was founded by H. Alperin in Tel Aviv in the ravenous hunger season of 1924. 3,250 Lires were invested in it, and among the reasons for closing it down it was written: "The firm wasa closed due ot a lack of operating capital, H. Alperin has a house, but the factory is located at a rented apartment, for he has fulfilled different obligation to the government, and he was forbidden to move his machines from their places. The storeroom has all the required materials. H. Alperin ows APK 600 Lires and for the house and machines he owes 350 Lires. Besides that, he owes 300 Lires to the Zionist board. He is also owed money, however he does not have the ability to collect the debts. The business stands for sale".

In census done in 1927 15 factories of tobacco and cigarettes were listed in the country, in them 781 workers, a produce worth 473,000 Lires and a capital estimated at 352,000 Lires.