WARRANTS EST PORTUGAL 75 



special laws (i), which are bound by their rules to receive their members' 

 wine. Discount could be given up to the amoimt of 60 % of the value of 

 the alcohol in the wine, at the rate of 2.62 reis (0.0131 frs.) per degree of al- 

 cohol and by the litre. To meet any deficit due to the discounting of the 

 warrants, an amount of 200 contos de reis (1,000,000 frs.) was entered on the 

 estimates. It was thought that after the foundation of a " Winemaking 

 Co-operative Society ", issuing bonds at 5 % guaranteed by the State, 

 and undertaking to have 150,000 hectolitres of wine always in stock, there 

 would be no further need of warrants. In the same way, as it was thought 

 that co-operative agricultural credit when once organized, would fully meet 

 the requirements of the viticulturists, it was stipulated that the law on 

 agricultural warrants should only remain in force up to the date of the 

 promulgation of the proposed law on agricultural credit. Expe.ience has, 

 however, shown that the system of warrants must be continued, with 

 slight alterations, notwithstanding that the State promoted the found- 

 ation of aWinemakers' Co operative Society (2) with a capital of 10,000,000 

 frs. (2.000 contos de reis) on December 2°^., 1908 and promulgated the 

 law on Agricultural Credit on March 2nd., tqio (3). 



We have just referred to small amendments introduced into the law on 

 warrants. It had in fact been found that only the General Deposit Bank 

 (a State institution) would undertake to discount the warrants, as private 

 establishments found the rate of 5 % fixed by law too low (4) ; on the other 

 hand, the large farmers almost alone benefited by the system of warrants, 

 as is seen by the average amount of the loans being 5,500 frs. A reform 

 was urgently needed. It has just been introduced in the Regulations 

 of November 7th., 1913. 



§ 2 The ORGANIZATION OF THE GENERAL AGRICULTURAL WAREHOUSES 

 IN THE T:EGULATIONS OF NOVEMBER 7TH., I9I3. 



A law (no. 26) of July 28th., 1913 divided Portugal into three large 

 iVgricultural Divisions, for each of which there is an Agricultural Services 

 Department, a F'orestry Services Department and a Livestock Department. 

 In each division, again, there are sections, managed by three sectional chiefs. 



In accordance with the Regulations of November 7th. , 1913, a General 

 Agricultural Warehouse has been established for each of the three Agricul- 

 tural Services Departments, for the reception of agricultural produce, 

 manure, agricultural macliinery and implements, whether as a commercial 

 deposit, that is for some commercial object reaUsed by the warehouse it- 



(i) See Bulletin of Economic and Social Intelli'^ence, no. 2. October-November, 1910, p. 192. 



(2) See Bulletin of Economic and Social Intelligence, no. 2. October-November, 1910, p. 195. 



(3) See Bulletin of Economic and Social In>elli';ence no. 5. May, 19x1, p. 201. 



(4) Sec Bulletin of Economic and Social Intelligence, no. 2. October-November, 1910, 

 183 and No. 10. October, 1913, p. 70. 



