THF. TROPICAL AGRICULTURIST. 
[August i, 1888. 
the want became an absolute necessity unless our 
merchants, brokers, and manufacturers were to be 
placed at a very serious disadvantage. That was the 
motive for which the Company was formed— it was 
intended to be a solid and very powerful insurance 
office for the fulfilment of forward contracts, ihey 
might heat it said that the existing machinery private 
contracts was sufficient to meet all the legitimate wants 
of the case. But those who said that ignored the true 
bearings of the position, and might just as well say 
that tie trade of the United Kingdom could be 
carried on without joint-stock banks, or that the traffic 
oE the London and Nortb-Western Railway could be 
efficiently carried on upon a single line of rai'way iney 
forgot that ocean telegraphs had created both the 
power and the desire to sell the produce of the world 
before even it was ready for shipment. So that unless 
consumers could be induced to contract for their 
clothing and food six or more months before they were 
required, tbey must have, under the present conditions 
of trade, a body of men called jobbers or speculators, 
who were always ready to deal in forward merchan- 
dise, and thus gire a backbone to that class of commerce. 
The object for which the Clearing House existed was 
to regulate and secure such contracts for the advantage 
of our traders, and the Board were satisfied that it was 
only under the conditions on which they proposed to 
work, viz., the obligation of both buyer and seller to 
make an adequate deposit on each contract by way ot 
margin, and to keep up that margin from day to day, 
that the present requirements of trade could be 
satisfied. Undoubtedly that was the system of the 
future, and they therefore feared no competition based 
on any other methods. It was, too, the only system 
by which over-trading could be prevented, and by which 
traders would be placed on a perfectly fair footing 
towards each other, as it would secure the fulfil- 
ment of every contract, and each traders deposit 
would be in exact proportion to his transactions. 
Such a system would treat the millionaire and the 
moderate trader alike, and no credit would be given 
to either. „ . ,. „ 
Compared with the old system of trading, the 
operations of the Clearing House would be like a cur- 
rency based on gold, as against a paper currency 
without any metallic backing. The only persons who 
would have any reason to fear at the establishment 
of the Company would be those speculators who exer- 
cised an influence on prices far beyond their means. 
While they recognised the usefulness and even the 
necessity of legitimate speculation resting on a solid 
money basis, the Company was bound, in its own 
interests as well as in those of sound commerce, to 
check all attempts at cornering, and it could do to at 
bv the power it had reserved to refuse the registra- 
tion of contracts, and also by the influence it would 
necessarily have over its authorised agents— the experts, 
through whom alone contracts could be made with 
the Company. To initiate a new system of contracts, 
and to settle the regulations necessary to each trade, 
required, of course, time. So far the only arUcle in 
which they were actually dealing was Bio Coffee, to 
which the Clearing House had already given a re- 
cognised position in the London market. While 
however, the Company gave the security of sale 
enjoyed abroad, our mercnants also naturally asked 
to be put on an equal footing with Continental 
ports as regarded ocean freights, in which respect 
London had hitherto been at a disadvantage. 
He was glad to say that they had succeeded in 
removing that disadvantage, which would allow Lon- 
don to make use of its superior P°?itwn M compared 
with Antwerp and Havre for dealing with the ,Noith 
of Europe. The depot business of the port of London 
was also likely to be assisted by concessions which 
were being offered to them in other directions, iney 
wore now compl il-i'ij regulations for admitting sugar 
into the Clearing House, and other important articles 
would follow. When next he had the pleasure of 
Meeting the shareholders he trusted they would be 
able to report that they were doing suoh a business 
as would fully meet their expectations, and also prove 
of material advantage to the trade of this port and 
to all connected with it. 
A vote of thanks to the Chairman for presiding 
concluded the proceedings. 
PETROLEUM IN THE PUNJAB. 
(From the Times of India, June 19th.) 
, • a „+o(-pri a few days ago, a concession 
As we briefly stated a tew y g , Qf 
basbeen granted to ^ d ment " 0 f the earth 
Petroha, Ontario for the P ^ which 
oil deposits of the i-u ] ^ Govern _ 
is dated March 23rd, ■ bli . aud ha8 rece i V ed the 
ment of India « * of State. It grants 
final sanction of the usiye ri bt to bore I0r 
to the concessionaire the exc^usi g ^_ 
oil in the "« rth " D „ pa 0 f course that which will be 
pindi district being oi oil refiner o{ grea t 
chiefly prospected Mr «0Die ^ fae ^ 
experience gained west n c;ipita „ 8ts anxious 
presents a syndicate " have formed 
to explore the Punjab p UDjab y and Oriental 
a company, ™ 0 ™ n „ * - jf the borings prove success- 
Oil Co. (Limited), ' £ ™£ g on p 0 , electing 
fulthis company _ w.ll ha jnte here 
five square blocks ot i» thousand acres 
they may find oil, o° n ** ,mu * no expense in the 
each. The Government go to no ^ p^ 
matter, but are , to rem , / ^ 0Dtamed from 
five per cent, of all the inter fere with the 
the ground. The company 
surface area, except at sum p 
require to put down we is. him six other gentle- 
Mr. Noble has associated mtn n ^ 
men, all of them praet ca 1 oil ^ A m duc . 
in petroleum,, who are largely tlemen own 
ing and refining oil. Already t * which is 
four-fifths of the stock in ^cornp^ y^ _ 
composed of 2,500 shar f d . 0 \ diD „ their different m- 
pose of more easily sub - d, ™ in f d b capitalists 
terests, and the other fifth « ow* ea y h 
in India, whose commercial experience and g ^ 
ledge will be of ^^^^^ ."bnlftbS to the 
names of these stock-holders nav prin cipal fea- 
Government for a PP ro :»Vta that none of these original 
tures of the agreement is that no ^ ^ ^ 
stockholders can assign or sell ™ e G nment 0 f India 
sider without the consent of the £ Thig condi . 
first had and obtained to such q 
tion has been insisted o. b, fteW 
order to prevent the stock of the ^ comp y a^ 
the hands of ^f ^ZU ^e b ? oil 
the development of he '^{^ is considered sufficient 
experts. The capital of 2j .take i w should be 
to strike oil with, after which ™« 5°°^ very liber- 
self-sustaining. The Government ^ r y ates of 
ally with Mr. Noble in ff^ n 5 ai iwTy S controlled by 
freight for five years over all railways ^ 
the State for his oil and plant kc &c a 
pany are successful in striking 01 ' ^ ' a ^f B J or some 
W have agreed to erect works at ^ P^ fe 
other suitable place on the Wortn lubricat - 
for the manufacture of tew«ne and^raU ^ ^ 
ing oil. The Government have ^ g _ ^ 
from the company a certain quantity oi i ^ 
every year for five years fro ^jhe °o mp ^ ^ 
^ o^ift^ S uied for lubricating 
purposes by the different raflways in , I dia ^ 
If the operations ot the company are sue , 
sine oil will also be manufactured^ n I ^ ^ ^ 
and the Government have agreed to I . ibuti 
wagons on the Norto-Western Railway ^.^ 
the oil over India in bulk, in the sa mo Noble 
basbeen so successfully established by Messr 
Brother (of dynamite fame) i»E«b^ wU1 be 
One great advantage the company wi 
their crose proximity to the de nsely jop ^ 
portion of India, where there will be a fac . 
farge cities for all the ,0.1 the company 
