- 58 - 



As it was not possible to make any purchases worth mentioning, 

 we are not yet in a position to reduce our selling prices in a manner 

 corresponding to the actual harvest results, but we would point out 

 that the longer the consumers are holding back their orders, the more 

 yielding the manufacturers will become, and that consequently the 

 movement of the prices will probably depend exclusively upon the 

 demand during the next few months. 



In our last Report 1 ) we have already referred to the experiments 

 in the cultivation of lavender made in the South of France. Lately 2 ) 

 this cultivation seems to receive all the interest it deserves, the more 

 so as at the present oil prices the cultivation must unquestionably be 

 very remunerative. The author of this article advises the landed 

 proprietors not to wait any longer with cultivation experiments on a 

 few acres, until perhaps others have pocketed the profits, but to make 

 use of the opportunity offered by the present high prices. 



The cultivation does not involve much trouble. When the soil 

 is fertilised in the manner recommended by Zaccharewitz 3 ), the 

 cost of laying out one acre of lavender is estimated at about 400 francs 

 (say jj^ 16), taking 16600 young plants at 50 francs per 1000. In 

 the second to the fifth years the net profit comes to about j@ 1 5 per acre, 

 in the sixth and following years to about jj^ 8 to £ 10. 



Lemongrass Oil. As we anticipated, the backward movement 

 of the prices has since April of this year made further progress, and 

 the quotations have declined to 2 1 / 2 d. per oz. As large contracts 

 had been made at 3d. per oz. (as already mentioned by us), there 

 was very little inclination to buy when the market gave way further, 

 and the consequence was a renewed fall. The following figures show 

 in how striking a manner the production has increased in the season 

 1906/7: — 



Between July 1, 1906 and June 30, 1907 there where shipped: — 



to London . 



609V12 



cases 



„ Havre 



1267% 



» 



„ Marseilles 



I733V2 



5J 



„ Antwerp . 



129% 



>> 



„ Hamburg 



1 923 72 



31 



„ New York . 



351 



J1 



„ Asiatic ports 



225 



» 



Total 



6239Vl2 



cases 



against 



2259 5 /l2 



„ in the same period 1905/6 



and 



i88iV 2 



» » „ M 1 9°4/5 • 



*) Report April 1907, 62. 



2 ) La Revue de Grasse 50 (1907), Nr. 31. 



3 Report April 1907, 62. 



