In 1764, import of foreign liquor was banned in America, and tax was imposed on buying molasses from England and other countries. Molasses was a byproduct of sugar industry which was used to make alcohol. The American traders bought molasses or sugar from the French or Dutch colonies which was cheaper, and no duty was imposed on them. Due to this law, the American traders had to forcibly buy molasses or sugar from England at higher rates, since now they could not import them from other countries. The manufacturers of molasses in England profited from this. British ships were ordered to check smuggling of molasses or sugar across seas. The act was also implemented strictly. Intense anger arose in America agaisnt this law.
