May 2, 1892.1 THE TROPICAL AQRltSOl-TURlST, 
8s3 
WILSON, SMITHETT & CO.'S CEYLON 
TEA MEMORANDA FOR 1891. 
London, March, 1892. 
The Ceylon Tea market during the year 1891 has 
pursued a remarkably uneventful course. During the 
first two or three months the strong statistical posi- 
tion of the article as a whole gave rise to consider- 
able speculation in the " futui'e " market, and caused 
a quite disproportionate advance in the quotations for 
low grade leaf tea, but the unexpectedly heavy arrivals 
from Ceylon, at this juncture, consequent upon an 
abnormally wet spring, speedily dispelled any fears 
as to possible short supply, and a reaction followed, 
from which the market never thoroughly recovered 
during the remaining portion of the year. 
The weight of Ceylon tea offered in auction between 
January 1st and December 31st, 1891, amounted to 
00,000,000 lb. or .50 per cent in excess of the supply 
in the previous year, and realised an average price 
of about lO^d per lb. against lOfd in 1890 and 1889. 
On the opening after the Christmas holidays of 1890 
a strong demand set in, establishing an advance of id 
to Id per lb. on useful medium Souchongs and Pekoes; 
prices for all desirable leaf teas up to Is per lb., 
also gradually hardened throughout January and Feb- 
ruary, but during this time ordinary Broken Pekoes 
■experienced a flat and irregular market. At the close 
of February the artificial character of the "boom" 
in teas for "price" became more widely recognised; 
the high rates established had checked business in 
the country, and dealers being well stocked, this class 
of tea commenced at once to decline in value. To- 
wards the end of March a slight recovery took place 
in teas up to lOd per lb., but above this price buyers 
acted cautiously. After Easter there was again a 
slight upward movement which was maintained 
throughout April until Whitsuntide, when the large 
supply coming forward had a very depressing effect 
upon the market. In June the demand tended more 
strongly towards really good liquoring teas, which 
commanded much more attention than they had re- 
ceived throughout the spring; common teas, on the 
other hand, were neglected. At the close of July the 
market had relapsed into extreme dullness and at this 
eriod the average price had receded from Is in 
anuary-February to 8|d per lb., or as low as 
at the most depressed period in 1889, when, 
however, lower rates for common grades caused 
the reduced average, whereas now the fall ex- 
tended over a much wider area. After the August 
holiday a good demand for really good to fine tea 
sprang up which lasted throughout the autiimn, values 
gi-adually hardening, and at the end of October the 
average price had advanced to lOd per lb. During 
November the market showed less buoyancy but a 
better tone became apparent next month, and the year 
closed with firm rates and an average of lOjd per lb. 
The list of estates, which we have tabulated this 
year, gives the results on 562 gardens, which have* 
sold over 20,000 lb. of tea during 1891, on the London 
market, under their own marks. On comparing these 
results with last year's it will be noticed that in the 
gi-eat majority of instances the largely increased yields 
have been disposed of at a marked reduction in the 
prices realised; this decline in value was mainly 
confined to the large bulk of ordinary quality tea, the 
range of prices being well maintained in those gardens 
favoured by elevation and climatic advantages 
Portswood, which has increased its output by about 
80 per cent, shows an average of Is -l.Jd per lb for 
the year against Is id in 1890, this being again the 
highest on the list. A rise of Id per lb. in the aver- 
age accompanied by a very substantial increase in the 
y ields ot Cliapolton, Glondevon, Norwood, Morar, and 
tioatlell must be considered highly satisfactory, es- 
pecially when tlio generally depressed state of the 
market m 1891 is taken into consideration, and 
soryos to emphasize the fact that reaUy good tea 
will almost always command the special attention 
ot the trade. On numerous other estates almost 
equally satisfactory results are shewn, as reference 
to tlie names of Bogawaiitalawa. H enfold, Glenalpin, 
* Each of which has.— Ed. T. A. ' 
107 
Spring Valley, Invery, Glenngie, Elbedde, Gorthie, 
Mount Vernon, Ouvah Kellie, Frotoft, &c., will testify. 
Of the different districts, Bogawantalawa, the neigh- 
bourhood of Nuwara Eliya, and Dimbnla again head 
the list ; the two former suffering a diminution of 
^d and the latter Id per lb. in the average price ob- 
tained : the greatest reduction is shewn in the Kelani 
Valley, where the average was 9d against 10|d in 1890. 
The exports during 1891 shew very satisfactory 
extension, the actual figures being 2,100,000 lb., against 
1,432,000 lb. in 1890. The Continental demand was 
considerably interfered with by the distress in Russia, 
occasioned by the failure of cereal and other crops, 
which gave rise to restrictions and prohibitions in 
exports, and consequently depreciated the rouble ; 
despite this a fair trade has passed in Ceylon tea 
with Russia, and there is ample evidence that in 
that country particularly it is coming more and more 
into favour. 
The trade with America has also developed con- 
siderably during the past season, and much paina 
are being taken to push Ceylon Tea at the World's 
Fair to be held at Chicago next year; evidence ia 
multiplying on all sides that this branch of the 
trade will yet shew a great expansion, and the des- 
patch of a Special Commissioner from Ceylon should 
have very substantial results. 
During the past year, which has been decidedly 
one of over-production, Ceylon has still further out- 
distanced its rivals in the race for popular favour. 
Up till last season China had the undoubted ad- 
vantage, in that it practically commanded the market 
for tea for price, common Congou forming the basis 
of the blenders' operations. But now that the relative 
positions of China and Bast Indian growths have 
Isecome reversed, Ceylon has demonstrated its ability 
to undersell its old rival, and to give a much better 
article at the normal price of " common Congou." 
It would also seem that the decline of the China 
trade is operating entirely to the benefit of Ceylon. 
The bulk of Indian tea, being much stronger and 
more rasping than Ceylon, is in great measure 
dependent on China for blending purposes to render 
it more acceptable to the palate, whereas Ceylon 
needs none of this toning down to make it a pleasant 
and wholesome beverage. However this may be, a 
glance at the Board of Trade returns for the year 
will shew that whereas the Home Consumption 
of China tea during 1891 fell off to the extent of 
over ,5,000,000 lb., and Indian to the extent of 
3,000,0001b., that of Ceylon has increased to 16,700,000 
lb. Reference has also been made to the over-pro- 
duction in 1891, and it may be advisable to devote 
some attention to the prospects of the future. The 
extraordinarily wet spring .in Ceylon, last year was 
productive of heavy flushing, and the yield on a gieai: 
number of estates consequently almost doubled the 
estimates made, It was this unexpectedly heavy sup- 
ply that upset the ca'culations of speculators on the 
"future" market and had such a depressing effect 
on the trade throughout the remainder of the year. 
The low rates afterwards established had the highly 
desirable effect of sending Ceylon tea rapidly into 
consumption, and it is very satisfactory to note that 
practically all the Ceylon tea imported since June last 
up to date has been delivered from the warehouses. 
At the close of the year the apprehensions of the 
trade as to the supply of the forthcoming season were 
not allayed by the sanguine estimates formed of the 
probable yield of 1892, and the report was widely cir- 
culated that we should have between 80,000,000 and 
90,000,0001b. from the island, some going so far as to give 
a still more extravagant amount as our probable sup- 
ply. Blatiuer reflection has considerably pared down 
this weighty total, and the most relidfcle authorities 
do not now estimate the exports for 1892 over 
7.''>,000,0001b., and several causes arc likely to still 
fui'ther diminish this total. Firstly, the heavy coldraina 
in January considerably reduced "the amount wo might 
reasonably have oxpocled during the tii'st two months 
of the year; secondly after the lieavy flushing of last 
vear some reaction will probably set in, the bushes 
being scarcely likely to prove so prolific in the coming 
season ; and thirdly, the low rates current for common 
grades Livvo iniilucotl many growci's to ft^ppt, at any 
