AGBICULTUKAL ALCOHOL IN GEEMANY. 11 



because of the enormousl}^ increased potato production. Indeed, 

 the surplus of alcohol carried over increased from year to year. 



VOLUNTARY REGULATION OF PRODUCTION. 



In October, 1902, the surplus for which no use could be found 

 amounted to 26,417,500 gallons (100,000,000 liters), approximately 

 double the quantity that had to be carried over in any previous year. 

 Something had to be done to diminish this surplus if a crisis which 

 would affect the entire distilling industry was to be prevented. The 

 consumption could not be sufficient!}^ increased to reestablish the 

 equilibrium, especially since the amount used as a beverage decreased 

 rather than increased. Another measure, therefore, had to be re- 

 sorted to, namely, the regulation of production. The agreement be- 

 tween the agricultural distiller and the association did not permit of 

 such a regulation by contract. An appeal, however, to the agricul- 

 tural distillers was not made in vain. The large majority of dis- 

 tillers realized that it would be more profitable for them to produce 

 smaller quantities with reasonable profits than to distill large quan- 

 tities at a loss. The representatives of 90 per cent of the agricul- 

 tural potato industry voluntarily agreed to inflict upon themselves 

 a reduction of 18 per cent, calculated on an average production for 

 the years 1896-97 to 1900-1901. The result was that the surplus car- 

 ried over the next fiscal year dropped to about 7,925,250 gallons 

 (30,000,000 liters). The production agreement henceforth became a 

 standard feature of the distilling industry. 



The 9-year contract entered upon in 1899 between the Society of 

 German Distillers and the Central Association expired in 1908, and 

 the renewal of this contract for another nine years was accomplished. 

 While the existing situation was thus assured, the distilling industry 

 nevertheless anticipated the future with some cui-iosity if not 

 anxiety. 



THE POTATO THE PRINCIPAL SOURCE OF ALCOHOL. 



The cultivation of the potato in Europe is of quite recent date 

 when compared with that of grain, which has been cultivated two 

 thousand years or more. Toward the end of the sixteenth century, 

 the potato was brougnt from America to certain parts of Spain and 

 England. At first it was considered a curiosity, and for a long 

 time attracted but little attention when cultivated in gardens. Grad- 

 ually, however, the value of tlu; potato as a nuti'itious food became 

 known and its cultivation increased accordingly. 



The great extent to which the cultivation of the potato was car- 

 ried on in Prussia during the scfond half of the eighteenth century 

 was due to the efforts of Fred«*rick the (ireat, who a|)j)re(iate(l thor- 

 oughly the great politico-economical significance of its cultivation. 



