IIG COTTON IN THE MADEAS PEBSIDENCT. [2TSD SEASON. 



render its use utterly impracticable as a mercantile 

 transaction. 



180 1st, High prices demanded by the Ryots for tbeir 

 seed Cotton. — The arrangement made by Mr. Pinnie to 

 purchase seed Cotton from the Eyots proved a failure ; 

 and he was unable to procure a sufficient quantity to 

 keep his few gins in working order. The seed Cotton 

 delivered to him was always so inferior to the sample 

 that he was compelled to reject it ; and though he was 

 ever willing to take it at a reduced price in proportion 

 to the quality, yet in that case the people preferred 

 selling it to the Brokers. The object of the Eyots 

 appeared to be to compel him to purchase the Cotton 

 at their own price ; but against this proceeding Mr. 

 Einnie made a determined stand. Grovernment could 

 afford to lose, but if once the precedent of high prices 

 were established, it could never be broken through. 

 He considered that the object of the experiment was 

 to ascertain if the business could be carried on as a 

 mercantile transaction ; and if high prices were created, 

 no merchant would ever succeed in carrying on the 

 business. 



181 2nd, Heavy expenses of ginning. — ^Mr. Pinnie sub- 



mitted at the same time a tabular statement, 

 lettei^'S' exhibiting the cost of ginning operations. 

 Sept., 1847. This estimate was confined to the actual ex- 

 (1857), p. 280. penses or the day, excluding the rent ol 

 sutemenUo *^^ house, and the cost of machinery and 

 Messr-s. Ar- superintendence. Moreover, he reported 

 Co*26UiAug., t^^* ^^^ business was conducted, and the 

 im. Ibid. ' expenses disbursed, under his own eye ; 

 ^''' ' ■ and consequently with greater celerity and 

 stricter economy than could be expected when left to 

 the Native servants. Erom his statement, which is 

 exhibited on the opposite page, it would seem that the 

 net cost of every pound of gin-cleaned Cotton was 

 nearly 3id. ■ Accordingly, Mr. Finnie inferred that it 

 was utterly impossible to use the gin in cleaning Cot- 

 ton as a mercantile transaction. He also reported the 

 same results to Messrs. Arbuthnot and Co., of Madras ; 

 and the latter concurred in his conclusions, but trusted 



