AGRICULTURIST. 
857 
June  r,  1897.I  THK  TROPICAL 
THE  STANDARD  TEA  COMPANY  OF 
CEYLON. 
The  sixth  oicliiinry  general  meeting  of  the  share- 
holders of  the  Standard  Tea  Company  of  Ceylon, 
Limited,  was  held  at  the  Registered  Office  of  the 
Company,  25,  Fenchnrch  Street,  London,  on  '^^■ednes- 
day,  the  lith  day  of  April  at  12  o’clock,  noon. 
Among  those  who  were  present  we)  o Messiv.  Alex. 
Brooke  (in  the  chair),  William  Rollo,  Henry 
Atkinson,  R.  A.  Bosanqnet,  John  Anderson  (ofGorthie), 
Frederick  Hadden,  Edward  S.  Grigson,  Tlios.  S. 
Grigson,  S.  Wilson,  Geo.  Setou,  Geo.  Stehn,  Jas. 
Mackintosh  Smith. 
The  Secretauv  (Mr.  A.  Trafford  Brooke)  read  the 
notice  convening  the  meeting. 
The  Chairman  said: — Gentlemen,  you  will,  I fancy, 
take  the  accounts  and  report  as  read  in  the  usual  way. 
You  will  note  the  Directors  recommend  the  same 
dividend  as  last  year,  though  you  have  not  had  the 
same  profits,  owing  to  the  increase  in  the  tea  not 
quite  compensating  for  the  fnlling-off  in  coffee,  and 
the  rise  in  the  rate  of  exchange  in  1896.  The  in- 
crease in  tea  has,  however,  done  pretty  well  towards 
filling  up  the  gap.  Our  first  year  the  income  from 
coffee  and  baric  was  nearly  half  onr  total  income 
this  year  the  coffee  gives  about  5 per  cent  towards 
total  income.  It  is  therefore  satisfactory  that  the 
tea  has  done  so  well,  and  you  see  by  the  report  that 
wo  have  a good  deal  of  land  still  only  partially 
bearing,  or  not  bearing  at  all.  The  exchange  has 
not  treated  us  as  well  this  year  as  in  1894  and  1895. 
The  close  connection  of  Ceylon  with  India  made  us 
a sufferer  in  exchange,  an  I the  severe  famine  there 
did  us  no  good  even  in  the  matter  of  labour  in 
which  some  thought  it  might  help.  It  seems  a little 
strange  that  it  should  be  such  an  anxiety  to  Ceylon 
Planters  to  obtain  labour,  while  the  anxiety  of  Indian 
rulers  is  to  find  labour  for  their  teeming  population. 
The  Ceylon  Association  and  H.E.  the  Governor  have, 
however,  this  matter  in  hand,  and  it  may  be  hoped 
they  will  persuade  the  Indian  rulers  into  measures  to 
overcome  the  conservatism  of  the  Northern  coolies. 
I .suppose  it  will  not  be  a much  greater  difficulty  to 
induce  such  coolies  to  come  to  Ceylon  now  than  it  was 
at  first  to  obtain  Tamil  labour.  The  high  rate  of 
exchange  has  been  somewhat  artificial  Money  has 
been  very  dear  out  in  the  East.  In  the  old  days  the 
Exchange  Banks  and  others  would  have  purchased  and 
shipped  silver  to  relievo  the  tightness,  but  this  can- 
not be  done  now  for  the  Indian  mints  being  closed 
it  cannot  be  coined  into  rupees,  so  that  practically 
the  only  way  to  relieve  the  scarcity  of  money  w;s  by 
remittance  by  Indian  Council  bills  at  a high  ex- 
change. While  our  Indian  currency,  the  rupee,  is 
made  so  much  dearer,  our  tea  rivals  in  Chin’’,  who  have 
full  use  of  cheap  silver,  gained  12  per  cent  on  us  and 
12  per  cent  on  8d.  tea  is  a penny  per  lb.  That  penny 
is  a substantial  bonus  to  the  Chinese  tea  producer. 
I do  not  know  that  I have  more  to  say  except  that 
the  Ceylon  management  has  continued  to  give  satis- 
faction. You  may  hear  something  upon  this  subject 
from  Mr.  Norman  Grieve.  Of  the  purchase  of  Coney- 
gar  I need  say  little  beyond  what  is  told  you  in  the 
report.  The  Directors  believe  it  will  prove  a fair  pur- 
chase ; it  is  wedged  in  between  our  Gordon  and  St. 
Leonards  estates.  I shall  he  happy  to  answer  any 
question  that  aoy  shareholder  may  put  to  mo,  and 
I now  beg  leave  to  move  that  the  report  and  accounts 
be  received  and  adopted. 
Mr.  Norman  Grieve  said: — Mr.  Chairman  and  gentle- 
men, I have  much  pleasure  in  seconding  the  adop- 
tion of  this  report,  and  I should  like  in  a few  words 
to  state  the  impre.ssion  I have  gained  by  being  out 
in  Ceylon.  Of  course  1 saw'  a great  many  changes  in 
point  of  view  of  labour.  Everything  is  wonderfully 
altered  since  I was  there.  I can  see  dangers  in  some 
quarters  and  considerable  difficulties  which  will  have 
to  be  contended  with  in  others.  So  far  as  our  pro- 
perties are  concerned,  I carried  away  the  impression 
w'e  had  very  much  less  to  fear  than  many  of  our 
neighbours.  I have  had  occasion  to  visit  a number 
of  estates  belonging  to  other  companies  during  my 
stay  in  Ceylon,  and  in  no  quarter  did  I find  that 
any  property  was  more  efficiently  managed  or  pos- 
sessed be'ter  managers.  In  the  matter  of  manage- 
ment I can  see  difficulties  in  many  places.  There 
are  a large  number  of  experienced  men  who  have 
come  home,  and  consequently  there  is  a considerable 
tightness  in  the  market  for  able  managers.  We, 
however,  have,  I am  glad  to  say,  in  Mr.  Bagot  and 
Mr.  Craib  and  the  other  gentlemen  who  manage  our 
estates  a moat  efficient  staff.  In  proof  of  this  you 
need  not  go  further  than  the  report,  when  you  con- 
sider that  wo  have  not  only  shown  good  results,  but 
have  increased  the  price  of  tea  since  last  year.  I think  I 
do  not  speak  too  highly  of  our  manager  on  St.  Leo- 
nards; his  value  to  the  company  is  great.  There 
are  of  course  drawbacks  here  and  there.  AL  superin- 
tendents have  now  a very  anxious  time  in  the  manage- 
ment of  their  labour.  Every  district  has  to  contend 
with  unscrupulous  people  who  are  increasing  the 
advances  on  coolies  in  a most  reckless  way ; but  this 
system  I regard  as  tantamount  to  a rise  of  wages. 
It  has  this  advantage — the  screw'  can  be  put  on  more 
easily.  When  the  time  comes  if  you  make  a specific 
advance  in  the  rate  of  wages,  it  is  very  difficult  to  make 
a reduction.  On  this  advance  system  there  is  a pos- 
sibility of  going  bick  to  the  ohl  system  again  and 
dropping  the  advance.  I do  not  think  that  on  our 
estates  wo  have  suffere  1 as  badiy  as  miny  other 
places  I visited,  and  I baliove  this  is  due  to  the 
excellent  managers  we  have  on  our  properties. 
There  is  a great  feeling  of  clannishness  amongst 
coolies,  and  when  they  are  under  a man  whom  they 
thoroughly  trust  they  are  not  so  willing  to  move 
from  estate  to  estate.  I can  speak  w'ith  the 
greatest  confidence  with  regard  to  the  future  of  the 
properties.  I think  that  this  company  can  contem- 
plate with  comparative  equanimity  the  possibility  of 
difficulty  in  the  money  market,  exchange,  or  the 
prices  of  tea,  as  compared  w'ith  many  other  under- 
takings. I w'as  much  struck  in  yt.  .Leonards  with 
the  very  large  amount  of  undeveloped  land.  We 
have  a very  luge  area,  which  has  hitherto  been 
under  coffee,  w'hich  is  now  under  tea.  Similar  land, 
on  an  adjoining  estate  is  giving  as  much  as  6001b.  to 
700  lb  per  acre.  I should  certainly  advocate  the 
dismissal  of  coffee  soon  because  it  is  a 
vanishing  quantity.  I should  therefore  devote  the 
whole  of  the  valuable  area  to  tea,  and  not  postpone 
any  longer  than  is  necessary  the  day  when  it  will 
be  bearing  tea.  We  have  a valuable  and  an  increas- 
ing valuable  property  to  deal  with,  and  I think  this 
company  is  very  much  to  be  congratulated  on  the 
position  in  which  it  stands.  Y'e  shall  have,  like 
everybody  else,  to  be  careful  and  economical,  and 
endeavour  in  eveiy  possible  way  to  keep  down  the 
cost  of  production.  The  men  wo  have  in  charge  of 
our  property  are  alive  to  this  necessity,  and  are  un- 
surpassed by  any  I came  across  during  my  travels 
in  Ceylon.  I have  much  pleasure  in  again  second- 
ing this  motion. 
The  CiiAiiLMAN  : — Before  I put  this  motion  to  the 
meeting  I ask  any  shareholder  for  remarks  or  en- 
quiries. 
Mr.  Seton: — Mr.  Chairman,  I should  like  to  ask 
what  probability  there  is  of  these  £6  paid  shares, 
which  constitute  the.  chief  ])art  of  the  capital  of  the 
Company  being  jraid  up  in  full.  Of  course,  I am 
quite  aware  that  if  wc  do  not  want  money,  there 
is  no  object  in  calling  it  up,  but  if  they  could  be 
paid  up  without  injiuingthc  financial  position  of  the 
Conqiany,  I think  the  shares  would  have  a greater 
value  on  the  market. 
The  Chairman: — When  wc  started  our  Company, 
it  was  with  rather  large  ideas.  We  thought  we  should 
buy  many  more  estates  and  that  we  should  call  up 
this  reserve,  or  unpaid  liability  and  use  it  in  paying 
for  these  estates  never  obtained.  The  ideas  of  Ceylon 
estate  owners  went  rapidly  far  ahead  of  ours,  and 
we  have  done  very  little  towards  buying  property  on 
the  scale  at  one  time  contoinphitcd  with  Conygar, 
the  Vendor,  stipulated  lor,  and  we  agreed  to  pay  him  in 
shares.  So  for  the  present  I do  not  see  that  there 
is  much  probability  that  w'e  shall  call  up  that  liability. 
Mr.  H-adden: — Mr.  Chairman,  if  I am  in  order^ 
100 
