— 4.8— 



The matters in dispute between the manufacturers and the growers 

 in the South of France are still unsettled. The latter, to the number 

 of about 1400, have jointly established works at Vallauris, said to be 

 capable of distilling 1400000 to 1500000 kilos blossoms. Operations 

 will be commenced there if the manufacturers refuse to pay a price 

 for the blossoms which enables the growers to earn a living, and to 

 continue the cultivation. 



Orris Oil. On the present position of the orris-root market 

 we receive from our friends in Florence the following information: — 



According to our previous report trie quantity at disposal at the beginning 



of September 1905 amounted to about 560 tons 



added to this, the result of the last harvest „ 650 „ 



makes a total of about 12 10 tons. 

 If we deduct the shipments from the beginning of September 1905 



to the end of February 1906 ,, 550 ,, 



there remains at disposal, at the end of February 1906. . about 660 tons. 



The export during the present season will apparently be a very large one, 

 as from the beginning of September 1905 to the end of February 1906, that 

 is to say in only 6 months 7 time, already 550 tons have been shipped, as 

 against a total export of only 500 tons during the preceding 12 months, 

 1 st September 1904 to 31st August 1905. 



As compared with the last crop (1905) of 650 tons, we had in 1904 

 a crop of 670 tons, in 1903 of 750 tons, and in 1902 of 1000 tons. 



The quality of the last crop has with few exceptions again turned out 

 inferior, as too little care is bestowed upon the cultivation. The new plantings 

 have again been reduced by about io°/ - The demand has, since the beginning 

 of September, constantly been good; France especially has bought a good deal, 

 and is still in the market. The consequence is a continued advance in the 

 prices. At the commencement of the harvest it was possible to buy assorted 

 roots at 36/37 marks cif. Hamburg; now they are quoted 48/50 marks. Of 

 seconds, which were last paid 45 marks cif. Hamburg, hardly anything can at 

 present be obtained. With regard to the prospects of the next harvest jve 

 believe that, in view of the smaller quantities planted out in recent years, not 

 more than 500 tons may be reckoned upon. The further movement of the 

 prices during the present season will naturally depend in the first place upon 

 the demand; if this should continue as at present, not much would remain of 

 the existing stocks by the time of the new harvest, and this might easily have 

 an upward effect upon the prices of the latter. The big demand from France 

 appears to point to the fact that the old stocks there have been used up, 

 which is all the more probable, as France was buying so little in the previous 

 year. This would also explain the small export of but 500 tons during the 

 12 months from 1st September 1904 to 31st August 1905, whilst the world's 

 annual consumption is estimated at about 900 tons. 



Veronese orris has also advanced considerably. The so-called "mercantile" 

 quality, which last autumn could be bought at 22 marks, now fetches 33 marks 

 cif. Hamburg, with very small stocks. In the other Veronese qualities, No. 1 

 and No. 2, a great scarcity also exists, as the last crop, as is well known, 

 was a very small one. 



Taking all together, the probability is that high prices of orris-root 

 must be looked for in future. 



