840 
THE TROPICAL AGRICULTURIST. [June r, 1895. 
Exchange we thought favourable in 1893, when 
it averaged is 3 7-32d. In 1894 it was still more 
favourable, being Is 1 13-324. Some think we 
shall never see another year so favourable in this 
respect. Well, they thought so in 1893, and even 
in previous years. It is argued now that there is 
a decrease in production of silver, and that the de- 
mand for it will increase as a consequence of the newly- 
made peace between Japan and China, with tin prob- 
ability of the opening up of China. The pron and eon 
of these points I will not discuss. At this date e> change 
is a little above the average of last year. Should it 
rise materially it would tell adversely in current work- 
ing expenses,but only on us in Ceylon in common with 
other countries using a silver currency \s regards 
capital outlay, any rise should rather tell in on favour, 
and handicap our later competitors. All that we haVe 
invested on capital account when rupees were cheap 
should score for ns, enabling us to compete a 1 the 
better with rivals who invest capital with rupees 
dearer. 
Coffee continues to help us ; still it is a decreasing 
and uncertain factor. We had 473 cwt. in 1894 from 
all the estates against 723 cwt. in 1893. We hope 
for 540 cwt. this year. Taking St. Leonards alone 
(and in coffee it stands as altogether the most im- 
potant) the yield was in 1892, 458 cwt., in 1893 it wase 
466 cwt., in 1894 it was 300 cwt. ; this year we hope 
for 300 cwt. Everything has been done to keep up 
this valuable product. I mentioned last rear the 
beneficial effect of old grevillia trees as shade during 
attacks by bug. as seen under old trees nlanted by 
Mr. Grieve on Liddesdale and the late Mr. K:tv 
Shuttle worth on St. Leonards, and that what was left 
of your coffee had been interplanted with grevillias in 
hopes of their growing up in time to save the coffee. 
Mr. A.E.Wright on that occasion remarked that it was a 
race for the coffee between bug and grevillia. Matters 
are much in the same position this year. Air. B. 
S. Grigson reports last month that the ravages of 
the bug are hardly perceptible under the shade of 
the old grevillias, and the coffee so shaded bears 
well in alternate years, but no striking results are 
noticed under the shade of the young grevillias. 
Under coffee alone, unintermixed with tea, you 
have on St. Leonards 75 acres, and on Liddesdale 
60 acres. You have in addition on St. Leonards, 
Gordon, and Tulloes estates a certain amount of 
coffee interspersed through the tea. Tea is our 
mainstay, of course ; we may consider it practi- 
cally our only product. We obtained neither the 
quantity we expected nor quite the prices in 1894. 
We looked for nearly ten per cent in quantity 
more than we obtained, but unfavourable weather 
prevented us. The disappointment in prices on 
fine teas was owing to the scarcity and high prices 
of common qualities. 
To one unacquainted with the tea market a rise 
in the price of common would lead him to expect 
a rise in all the higher grades. The reverse is the 
ordinary course. When common teas are dear fine 
teas are relatively cheap. It has always been the 
case. Itresults from the habit of tea drinkers buying 
their tea at so much per pound, refusing to pay 
more in times of scarcity and high prices. If 
there be a rise in wine the same individuals will 
pay the extra without demur; but if accustomed 
to pay 2s 6d or 3s per lb. for their tea they 
rarely can be induced to pay more than their 
wont, whatever happens, but are content to drink 
an inferior article. The packet trade tends in the 
same direction. The vendor of some unrivalled 
" Sun and Star" blend at 2s or some other sum per 
lb. advertised as the finest the world produces, on 
finding his profits disappearing by a rise in common 
teas buys less of the superior to put into his pockets. 
He must reduce thus the quality of his " blend" 
or raise the price ; and his customers will not al- 
low him to raise the price. Still, though we did 
not command quite the prices for our Uda Pusilawa 
teas all the year that we hoped for, we were in the 
same boat as other growers of fine teas. What af- 
fected us affected them, and the St. Leonards mark 
with some l8K,0001b. of tea was at the h*ad of the 
market, as it was also during the hhort time it was 
sold here in the preceding year. Several circum- 
stances contribute to this — altitude, climate, soil, the 
great proportion of young tea, a factory and ma- 
chinery as complete as they well can be, anil 
a good manager. Mr. Uagot's services have been 
specially alluded to in the report. The dir- 
ectors believe you have been well served by all 
your managers under the supervision of such a firm 
as the company 's agents, Messrs. Ge.ige Sit an i t A 
Co. Mr. G. A. Craib, at the head of your MaBkeliya 
estates, has worked those properties very satisfactorily. 
The consumption of Ceylon tea increased in 1M94 
satisfactorily, the Loudon deli\eiie» exceeding those 
of the previous year by 7J million pounds. The 
general average price of Ceylon tea in Mincing Lane 
unfortunately almost yearly shows a fall. It was '.lid 
in 1892; in 18!IH it was '.Id; in 1*91 it was 8Jd We 
cannot have prosperous times without their leading 
to competition, with its iuevit ble results. We must 
face that fact, and that fair returns from tea planting 
can be expected only from good estates reasonably 
bought and carefully managed. The company s pro- 
perties seem to come under this category. 
With not very far short of 1.000 acres still to 
come into bearing, in addition to the 1.300 acres now 
in bearing, but likely to increase in yield, there is 
reasonable prospect for the company even with its 
increased capital, a somewhat more adverse exchange 
and rather lower prices, if these two last come. I 
do not think there is anything else for me to say 
in connection with the report now in your hands. 
I will therefore move "That the report and state- 
ment of accounts be, and that they are. received 
and adopted." 
Mr. Moir seconded the resolution, which, after 
some remarks by the shareholders present, was carried 
unanimously. 
The Chairman then proposed, and Mr. Kay Shut- 
tleworth seconded, that a final dividend of 10 per 
cent, on the i'40,400 paid-up capital entitled to divi- 
dend — viz., on shares Nob. 1 to 5,(100 — be paid on 
April 25, free of income-tax ; that £3/100 be placed 
to reserve; and that the bilance, £818 13s 5d., be 
carried forward to next account. The resolution was 
carried nem <on. 
A proposal was adopted re-electing Mr. Norman 
W. Grieve, moved by Mr. Stables, and seconded by- 
Mr. Wickham. 
Mr. Johnston, premising that he had a reso- 
lution to propose, said that he was an original 
shareholder, that he had taken part in the pro- 
ceedings first determining the amount set apart for 
the remuneration of the directors when they were three 
in number; that he then thought it rather inade- 
quate ; that they now numbered four ; that the com- 
pany had then one estate, and has now seven ; that 
the "acreage under tea was then 265, and is now 2250; 
that there was then some doubt of work- 
in" to pay a dividend during the first year or so ; 
and that the company has now, divided 12' per cent, 
after having three years' dividend at the rate of 10 
per cent. He had therefore much pleasure in moving 
that the amount set aside for the directors be ±'600 
annually. He generally reviewed their conduct of the 
affairs of the company, especially in forming the 
reserve, in very complimentary terms, stating wherein 
he differed from them — viz. .in the iast issue of shares. 
Tiiese he considered should have been issued at a 
premium to be added to reserve. Mr. Wickham 
seconded the resolution, which was carried unani- 
mously. 
The Chairman, on behalf of the directors, thanked 
the shareholders, and replied to the observations and 
criticisms of Messrs. Johnston and Wickham, and 
remarks and analyses of figures by Mr. Stables. 
Mr. A. E. Maidlow Davis was elected auditor of 
the company's accounts for 1895. 
IA vote of thanks tc the chairman closed the pro- 
ceedings. — H. and C -Vail. 
