cclxxviii 



(6) Extract from Buchanan's " Jomney through Mysore^ Canara 

 and Malabar, 1801." 



The following is the account given by Dr. Buchanan as to the 

 terms on which advances were usually made by merchants on the sea 

 coast to ryots in the interior on account of commercial produce to be 

 delivered after harvest : — 



*' Farmers of prudence and substance, such as the Moplahs mostly 

 are, receive no advances for pepper ; but when their pepper is fit for 

 market, sell it to the best advantange and deliver it at the seaport at 

 from E.S. 120 to Ks. 125 a candy of 640 lb. The case is, however, 

 different with most of the Hindus, who, in Malabar, are as remarkable 

 for a thoughtless profusion as in other parts they are penurious. 

 Between 12th of June and of 13th September, the Mussulman traders 

 come from the coast and enter into written engagements with those 

 who are willing to receive advances. The cultivators agree to deliver 

 a certain quantity of peper for which the trader pays down immedi- 

 ately from 13 to 15 fanams a tulam or from Rs. 65 to Es. 75 a candy. 

 Should the cultivator, at the crop season, be unable to deliver the 

 quantity for which he contracted, he must pay for the deficiency at the 

 market price, which is generally Rs. 120 to Rs. 125 a candy. As he 

 is seldom or never able to pay this in cash, he gives a note of hand, 

 engaging to deliver pepper for the amount of the price of the deficiency, 

 at the rate of 1 tulam for 13 to 15 fanams ; but no interest is charged. 

 Indeed the profits of the trader are immense ; as for an advance of 15 

 fanams for six months, he gets a profit of 10 ; and it is evident that 

 the risk is very small. Should a merchant not consent to receive the 

 pepper on account of its being bad, the cultivator may sell it to any 

 person that he pleases and give the proceeds to the merchant. Should 

 these not amount to the market price, he gives a note of hand for the 

 balance, which is considered as part of the advance for next year. It 

 is evident that the interest of the merchant is to keep up a high 

 nominal price, even should he, in selling the pepper to foreigners, be 

 obliged to allow a large discount ; for all the balances due by the 

 farmer are paid in, what is called, the market price. The present 

 market price is Rs. 125 a candy or £2-1-5 a cwt. It is sometimes as 

 low as Rs. 100, and at others rises to double that sum. 



'' The cultivators, when questioned concerning the reason that can 

 induce them to take up money on terms so disadvantageous, attribute 

 it entirely to the land tax ; for every evil in Malabar is ascribed to 



that as its source At length, I found that the real cause of ' 



the Hindus disposing of their pepper at this low rate is a festival called 

 * Onam,' which is celebrated in the month of Singham. At this, the 

 Hindus expend in drinking and finery everything which they can 

 raise." 



As regards the arrangements now usually entered into by mer- 

 chants with cultivators in regard to the delivery of commercial produce, 

 such as pepper, cocoanuts and coffee, the Registrar of the Tellioherry 

 district, in which these crops are extensively grown, reports as 

 follows : — 



" About fifty years ago it was the practice for Moplahs on the sea 

 coast to go to the interior and advance money to tenants at Es. 60 or 



