414 THE TEOPICAL AGRICULTURIST. [Dec. 1, 1899. 
hialerially to the yield and tlie profib of the Com- 
] any in the immediate future. 
Tlie estates of the Company are reported to he 
in thoroughly good order. During the past year 
some of the machinery lias been renewed and the 
factories put into good repair. Extensions liave 
been made to both of them in view of ihe young 
tea about to come into bearing ; this lattet ex- 
penditure has been charged to capital account. 
During the year Mr. C. J. Kowe and Mr. F. A. 
Macrae died, and in accordance with the Articles 
of Association, Mr. ]}. F. White was appointed 
in the ])lace of the former and Mr. A. Valen- 
tine Holland was appointed in the place ot the 
latter. 
THE 
' KNOUK-OUT " IN 
MARKET. 
THE TEA 
(COIIMUNICATED.) 
Tn spite of many assurances to the contrary 
from those interested, for sometime it has been 
generally known that a unity of action existed 
among the larger buyers of tea, which has now 
assumed the shape of The Tea Buyers Associ- 
ation, with the object of buying coilectively ac 
the (inblie sales and acting on the lines of what 
is generally known as "a knock-out." There is 
110 doubt about it, and after all it is only an out- 
come of the modern mode of doing bu.siness. 
Anyone who likes to go to Ingram House, 165 
Fenchurch-street, can see the title in the porch :— 
THE TEA BUYERS ASSOCIATION. 
Most of the following was compiled in January, 
1899, by one who had previously devoted some 
months to studying the Tea Trade in all its 
branches, from arrival of its produce in London 
to its retail— comparing it with the other large 
industries, such as brewing, distilling, iron, cotton, 
leather, &c. ; in search ot any information likely 
to' be of service in improving the system of 
selling tea. , . , • , , , 
In carrying out tlu=, his endeavours have been 
to adhere as closely as possible to simple facts 
and direct conclusions, and so avoiding all that 
is remote, or complex. 
The Tea Planting Industry of India and Ceylon 
is now sulTering depression from four causes :— 
1st. An arbitrary action of the Indian Govern- 
ment', affecting so-called exchange. 
2nd. Occasional and periodic i ushes of tea from 
India and Ceylon upon the London market, ne- 
cessitating some order and regularity in the quan- 
tities offered for sale weekly. 
3rd. The want of definite and reliable inform- 
ation on the quantities of tea produced and 
likely to come furward from India and Ceylon. 
4th. The same collective care in selling that is 
exercised in buying teas. 
Temporary over-supply seriously brought down 
the price in "the tea market during the early part 
of last and this year ; and although the statis- 
tical position of all teas, a little later, shewed the 
stocks to be almost identical with those of 1897, 
yet there was no reversion to the prices then 
ruling, at least for Indian teas. Ceylon, by ex- 
tra line plucking, has barely (1898) maintained its 
average price, It is observable, however, that a 
return to v;hat economists call an equilibrium of 
t/ic iiiii.vLvt, doen not re-establish a. relative and 
'jirniujunit recovery of }-ir!ee. _ 
Then; Im also every indication that the market 
has hitherto peiiodically sull'ered lar more from 
lUu im'tjuliii' luauavr in which jjroducc has reached 
it, than from over-production, although this posi 
tion has been very nearly reached. 
Some years ago, when consuni|ition was smaller, 
the public sales market in Mincing Lane was fre- 
quented by a proportionately larger number of 
tea buyers than now : tea was broiiglit in fsmaller 
parcels obtaining livelier competition. 
PUBUC SALES. 
Now in spite of the so-called sales by Public 
Auction, eveiyone knows that by far the larger 
proportion of tea now sold in Mincing Lane goes 
from seller to buyer without any public competi- 
tion whatever, it evidently being arranged before- 
hand who shall be the purchaser. Formerly, tha 
statistical position of the tea market was n<> 
more favourable to growers than it is now ; the 
present market, however, has ceased shewing (he 
same response to improved statistical condition* 
as it then did. 
Although the exce.s.sive snpjdy of tea brought 
to sale during the past few years, has gradually 
been worked off, assisted by the increased con- 
sumption of foreign markets, yet there is not 
the reacting buoyancy that the market should 
in consequence possess. 
Nor is any one prepared to dispute that tlie 
buying of teas in Alincing Lane has fallen into 
fewer hands, and that rhe results obtained are 
not so satisfactory as formerly. 
Also few will admit that the market responds 
now as formerly to sujiply and demand ; for, from 
a grower's point of view, whatever be the cause, 
the fact remains of the existence of some ad- 
veise influence somewhere. Consequently, ii the 
present order of things continues unaltered, the 
ojien market is not likely to adjust itself in any 
adequate degree. 
The following table shews that something 
besides supply, demand and over-production have 
been influencing the downward tendency of tea 
prices, for the past 15 years, although probably 
the chief cause has been the irregular supply 
of the maiket. 
HOMH CONSUMPTION OF TEAS. 
Memo shewing the total home consumption 
of all teas, including India, China, Ceylon and 
Java ; also stock at the close of each year ; 
with average of price and the proportion of stock 
to consumption over 15 years, in intervals ot 
three years, from January 1st to 31st Decem- 
ber in each year : — 
Year. 
Home con- 
sumption in 
lb. 
1898.. 235,414.185 
'95. '221,731,490 
'02. ..217,185,679 
■89... 185,578,298 
'86...178,800,197 
'83. ..170,780,777 
Total stock 
at the end of 
each year. 
Average 
price. 
a 
8- 35* 
9- 63 
10-07 
10- 79 
11- 77 
12- 46 
Propor- 
tion of 
stock to 
coneninp- 
tion. 
per cent. 
43 
46 
45 
60 
57 
69 
101,638,000 
103,480,802 
98,244,217 
113,189.357 
103,157,446 
118,060,000 
The foregoing table proves that just the oppo- 
site has happened to what would be expected. 
A proportionate reduction of stocks should be 
followed by a corresponding rise in prices and a 
proportionate increase of stocks by a fall. 
This surely shews that some other influence 
must be at work, for there is no natural response 
to supply and demand. 
The progression ot the figures from '43 to -69 
are gradual over 15 years, so the result can 
scarcely be considered accidental. 
^ 9'3d ia gnlj apprQsimatQ< 
