1839J 



Permanent Annual Moyiey Rents, 



73 



lating famines have nevertheless prevailed. And it is open to every 

 day's observation, that the drought in whole provinces, contrary to Dr. 

 Smith's assertion, is ordinarily universal : the failure which affects one 

 field, affecting all. And further, that in South India, and we might add 

 in tropical countries generally— there is not that variety of soil or 

 climate, which can compensate the failure of the periodical rains. 



If we cannot premise then of India, as we can of Europe, that famine 

 never arises from the fault of the season alone," Dr. Smith's princi^ 

 pies, and his whole reasoning fail of application to this country, and the 

 orders of Government based upon them, rest consequently on no solid 

 foundation. 



The Government orders appear also erroneous, in applying without 

 limitation to the grain trade of South India, the great general principle 

 established by Smith, that, " where trade is free the demand for any 

 *<■ commodity, is sure to meet as far as circumstances v/ill allow, with a 



corresponding supply." In applying this principle to trade in the 

 food of a country, we shall err, if we omit to take into our consideration 

 the striking peculiarity of the corn trade, that it admits of no delay in 

 its supplies. The supplies of grain must arrive at the precise moment 

 they are required, or they are useless, the evil has been done, the con- 

 sumers themselves have been cut off. The truth of Dr. Smith's general 

 principle no one will be disposed to question, as respects trade in gene« 

 ral, and even the grain trade in seasons of scarcity in Europe, for the 

 reason he repeatedly assigns, that the energy and enterprize of the 

 British or European merchant in pursuance of his own interest, will 

 always supply the market more readily, as well as more cheaply than 

 Government agency : and it follows as a necessary consequence, that if 

 the Government interfere in the corn trade in Europe in a period of 

 dearth, and the private trader withdraw, the requisite supplies will be 

 provided more tardily, and at a greater cost, and a dearth or a temporary 

 famine will ensue. 



We know well that in periods of scarcity in England, when large 

 profits are to be realized by the importation of grain, the British mer- 

 chant, be his ordinary traffic what it may, immediately turns aside from 

 it, and invests his capital in grain — and such is the extent of his credit, 

 that he can augment his capital almost at will, and before his bills at 

 60 or 70 days' sight are due, he has brought his cargoes from the Baltic, 

 and other continental corn markets, and disposed of them to the inland 

 dealer. 



How differently circumstanced is the grain trade in South India. The 

 whole trade i» shackled by the trammels of caste, and of usage, which 



