Study on the Changes in Tea Laws and the Distribution of Monopoly Revenue Among Trade Actors in the Early and Mid Northern Song Period​

Author: Cho Bok Hyeon

Page: 5-48

Abstract​

It can be said that the Northern Song period marked the first robust implementation of the government monopoly system in China. From soon after its founding, the Northern Song expanded its monopoly on tea, such that by the reign of Emperor Taizong, revenue from tea had already exceeded four million guan. However, as the Northern Song advanced its unification efforts toward southern China during its early years, it gradually found itself on the defensive against the Khitan, while the Western Xia was expanding its influence in the northwest.

When conditions along the frontier grew dire, the government enacted preferential policies to encourage merchants to transport military supplies to these regions. However, the profits derived from supplying these provisions ultimately fell into the hands of large-scale capitalists known as jiaoyin puhu (交引鋪戶). To remedy this situation, the Tieshefa (貼射法) policy was introduced. It proved highly effective, strengthening the government’s finances and ensuring ample stockpiles of military provisions. Ultimately, having instituted a monopoly system soon after its founding and experimented with various tea monopoly measures, the Song dynasty adopted the Tongshangfa (通商法), which permitted commoners to sell tea freely and levied taxes on merchants.