7 août 1930
RUM GANGS’ NEW BASE ST. LAWRENCE ISLANDS
St. Pierre and Miquelon, French Territory, Boom Since Canada’s Ban on Clearances for Liquor-Laden Ships U.S . Bound – Exports Jump From 19,021 Gallons to 113,219 a Month.
Special to The Star
Ottawa, Aug, 7. – There were no declared exports of liquor to the United States last month according to official figures released here, but the big rum shipments that formerly crossed the International border have been diverted to the French islands of St. Pierre and Miquelon in the Gulf of St. Lawrence.
In other words, Canada has lived up to her bargain of prohibiting liquor exports to the United States, but the rum runners have solved the difficulty by using St. Pierre and Miquelon as the base of operations.
As a matter of fact, last month 178,868 gallons of whiskey were shipped from Canada to various countries as compared with 164,957 gallons in July 1929. Then, however, 74,901 gallons of « hard stuff » were exported to the United States against none so cleared during July this year.
Those exports to St. Pierre and Miquelon clear the situation. In July, 1929, when the Canadian government permitted liquor to be sent into the United States, only 19,021 gallons were exported to these two French islands. Last month, however, the exports to St. Pierre and Miquelon jumped to 113,219 gallons – proving that the rum-runners had changed their base.
Ale and beer shipped to the United States in July, 1929, totalled 143,008 gallons while last month this business dopped off to nothing – and Canadian brewers suffered. No gin was exported across the border last month, but in the July of the previous year 2,508 gallons were shipped.
It is estimated here that the Canadian government last month lost $750,000 in revenue as a result of the law barring liquor exports to the United States.