10 Report of Schimmel 3 Co. April 1913. 



capitalistic circles the unavoidable sequence is the feeling of unsettlement and con- 

 sequent abstention from new ventures. Unfortunately it would seem that the Govern- 

 ment, the Chambers of Commerce and other mediatory authorities are almost powerless 

 in the face of these upheavals, which have become distressingly regular incidents in 

 British life of recent years. But the gravest sign of all is that the labour-leaders 

 themselves are no longer able to count upon discipline among their followers, for 

 during the last few years several strikes have been declared, mostly on the railways, 

 against the expressed wish of the leaders. Some of these strikes have only lasted a 

 couple of days, or at most a few weeks. One of the many causes of these events 

 may perhaps be sought in the steady increase in the price of the necessities of life, 

 which has become more and more marked in recent years, although not perhaps to 

 the same extent as has been the case in most countries where a high protective 

 policy prevails. 



Notwithstanding these and other unfavourable signs, business generally has been 

 very good in the British Isles, so that, speaking purely from a commercial standpoint, 

 the year 1912 may fitly be described as a record year. The official Board of Trade 

 Returns of imports and exports have shown steadily increasing figures, and, as was 

 to be expected, the totals for the year were the largest ever attained. Our London 

 branch has enjoyed its fair share of the brisk trade and has been very fully occupied 

 throughout the year. 



The unsettlement and depression of the general European situation have made 

 themselves felt in Spain more than in any other country; hence during the last few 

 months the course of business in that country has been extremely dragging in all 

 branches. The effect of these external influences has been aggravated by the unsatis- 

 factory condition of Spanish politics. Within the last few months the Liberals, the 

 governing party in recent years, have become leaderless. In the month of November 

 the Prime Minister, S r Canalejas, who at last, after lengthy preparatory labours, had 

 just arrived at the beginning of the realisation of his true programme, fell a victim 

 to an anarchist attempt upon his life, and his death has left many of his plans and 

 projects unfulfilled. Then, only a few weeks ago, the death occurred of the other 

 leader of the Liberal party, the gifted S r Moret. Although up to the present the 

 Liberals have succeeded in maintaining the reins of Government and have been suc- 

 cessful in resisting all Conservative attempts to oust them, it is impossible to foresee 

 which party will be victorious and what aspect the Spanish political situation will 

 assume in the immediate future. Naturally all these internal broils are not conducive 

 to the improvement of trade and traffic. 



There has been a good deal of talk lately of a possible abandonment by Spain 

 of its attitude of aloofness from European politics, and it is said that she is hesitating 

 between joining the Triple Alliance or the Triple Entente. In view of the influence 

 of Britain at the Spanish Court the chances of Spain coming to an understanding 

 with Britain and France appear to be the greater, but nothing can be prognosticated 

 with certainty. It also remains a question of the future whether, and to what extent, 

 such a rapprochement would affect German commercial relationships with Spain. 



In Italy the state of affairs during the past year has been the reverse of satis- 

 factory, although our own relations with this market have been very animated and 

 have developed in a pleasant manner. The effects of the costly and unexpectedly 

 long drawn-out war in Tripoli have manifested themselves in the form of a pronounced 

 attitude of reserve in capitalistic circles; and among other factors which have unfavourably 

 affected commerce and industry were failures in the cotton trade, a serious handicapping 



